The China Insurance Regulatory Commission (CIRC) has issued on its website a set of rules for online insurers (Online Rules) on 3 September 2013.

The Online Rules were implemented to reduce the risks of online transactions and to protect the interests of consumers who are purchasing insurance online or receiving online insurance services.

Under the Online Rules, online insurers are required to establish and improve their online data system to retain transaction logs, history and sufficient audit trials, so that the online operations of the online insurer can meet the required audit standards.  Also, online insurers should collect transaction data in accordance with data collection requirements and submit the data to their regulator for each of their local business divisions or branches.

With regard to data protection, online insurers should establish safety policies and management practices and take necessary security measures to prevent clients’ data and sensitive information from leaking to third parties.

As a general principle, online insurers must ensure the quality of services provided to customers through an online channel is not lower than other business or service channels.

Source: CIRC