On The Performance Guarantee Insurance

Guarantee insurance of performing contracts is an insurance business which the debtor is the insurant, the lender is the insured, if the debtor doesn't pay back the lender when the debt expired; the insurer would pay the insured the insurance. Guarantee insurance of performing contracts is a combination of guarantee and insurance. This business develops in our country not very long and the law lags, so there is mush dispute in the practice and theory. This text analyzes the guarantee insurance in theory and practice. The whole text is divided into four sections.Section 1 mainly discusses the character of guarantee insurance. Guarantee insurance of performing contracts is property insurance in essence.Section 2 deals with the guarantee insurance contract in the subject, the item and the content (four important rights and duties). The parties concerned are the insurant (the debtor) and the insurer, the insured (creditor) is the subjects related to the contract. The guarantee insurance contract is a contract for the third person; the creditor gets the insurance directly with the contract. The insurance object is the behavior of the insurant (debtor) to pay back the money, both the debtor and the creditor have benefit of it, but the content is diffident. If the debtor applies, it is called guarantee insurance and if the credit applies, it is called credit insurance. The guarantee insurance is different from the ordinary property insurance, for reducing the risk the insured has to inform besides the insurant. In the guarantee insurance, the bank's duty to examine is very important and the bank would lose the right to get the insurance fee if it fails to fulfill its duty. In this business, the insurer can takeover the insured's right to ask the insurant to pay back, this right is base on the insurance law instant of the guarantee law. The insurant can perform the right in its own name; this can deduce the litigation procedure and helps the insurant inform its right.Section 3 makes an analysis of the relationship between the guarantee insurance contract and some related contracts. Vehicle consume guarantee insurance for example, the guarantee insurance contract of fulfilling a contract business has great relation with the consumption contract between the buyer and the car seller, the debt contract between the buyer and the bank, the collaboration contract among the bank, the car seller and the insurer. First, the consumption contract is the base of it, it can't set up, but it isn't the follower, it is independent; the collaboration contract is not a part of the guarantee insurance, they are different contracts. If there are both guarantee insurance and assurance contract on the consumption contract, the insurer can't refuse to pay the insured for the assurance should fulfill first.Section 4 discusses the problem of guarantee insurance in lawsuit. As one business of the insurance, the guarantee insurance should use "Insurance Law", but if there is no proper article to apply, we can refer to "Guarantee Law".