The Improvement Of The Incontestable System In Insurance Law

Incontestable system is an important system which is to restrict the rights of the insurer and to protect the interests of the insurant. It derived from rules of the British insurance industry in mid-19th century. Since established as a legal system by the Armstrong Act of New York in the U.S.A, the system has been adopted by many other regions and countries all around the world. Nowadays, the incontestable system is adopted in almost all the countries whose insurance industry is developed.The incontestable system in Chinese insurance law, is aiming to regulate those insurance underwriting claims acts, provide full protection for insurance consumers’ interests, enhance consumers’confidence, establish the profession image of insurance industry, civilized and integrity, and make the insurance industry to be prosperity. Since the system has been implemented for two years, many insurance consumers benefited from the system, and the lack of integrity of the insurance industry has been changed. It is a legislation progress that Chinese Insurance Law added provisions about incontestable system. At the same time, due to a new concept in legal system, there are many defects in incontestable system, including the defects on the legal provisions, the relevant supervision regulations and the assistant implementation. As a result of those defects, there are problems on lacking of operability, difficulty on judicial application and high risk on implementing. So, combining the knowledge of the law and the understanding of insurance, and drawing on the advanced experiences of foreign countries, the author analyzes those defects in incontestable system in Chinese insurance law by empirical analysis, normative analysis, comparative analysis and other research methods, and brings up legally constructive countermeasures.Around the system defects, this paper will discuss in four parts:first, by analyzing the typical cases, leads to the defects in the incontestable system; second, by analyzing the provisions in P.R.C Insurance Law, the relevant supervision regulations and the assistant implementation, in order to find out what are the defects; third, by introducing the successful experience in other countries, reflect what could be the improvements of the incontestable system in China; fourth, by studying the foreign experience in legislation, relevant supervision regulations and assistant implementation, make a suggestion about improvements in Chinese current insurance law.