China's Overseas Investment Insurance System Construction And Improvement

To protect and encourage domestic investors to invest overseas, the United States, Japan, Germany, France and many other countries have established Overseas Investment Insurance System. In recent years, with China entering WTO and the implementation of "Going out" strategy, the overseas investment of China is developing rapidly. However, the legal system of Overseas Investment Insurance in China has not formed yet, which could hamper the homeland overseas investments and further execution of the economic development strategy of China.Through the comparison of the Overseas Investment Insurance System from three main capital exporting country, combining with the analysis of present situation of overseas investment insurance system, this article raises some suggestions with the intention to form and perfect Chinese Overseas Investment Insurance System.This article divides into five chapters. The first part of this article introduces the character and trend of current overseas investment in China and the political risks might be encountered; and then explains the definition, conception, development history of overseas investment insurance.The second chapter analyses the overseas investment insurance legislation in the United States, Japan and Germany. This part lays stress on the comparison of three substantial aspects of overseas investment insurance, such as legislative model, insurance institution, underwriting conditions; and further discusses the differences in legislation in each country and pros and cons, as the references of the advices for the legislation in China in the fifth chapter.The third chapter approaches the subrogation, the critical element of overseas investment insurance system. The analysis of subrogation relates to its feature, barriers hindering the exertion, relationship of holders of rights, and legal basis, with the intention to analyze the subrogation model which is appropriate for the environment and condition in China.The forth chapter introduces the current legislative status and availability and limitation of MIGA in our country, and points out some defects and that there is still room for improvements with our current legislation.Finally, the fifth chapter of this article provides some advices and suggestions in the respects of legislative model, organization of the insurance institution, underwriting conditions, risk covered, and the subrogation while constituting overseas investment insurance legislation in China.