Study On Legal Supervision System Of The Internet Insurance In China

With the development and the improvement of coverage of Internet technology, and the increase of the number of Internet users, as well as the increase of consumer spending power, the Internet banking has become increasingly prominent in modern financial industry. As one of the three pillars of the modern financial industry, the insurance industry is also going through great changes affected by the Internet. With the united function of the Internet and the insurance, the Internet has become a new media for insurance marketing. Both insurance companies and insurance intermediaries begin to use the Internet to provide services or sell insurance products to customers through the online platform, which has totally changed the traditional insurance industry’s business model. It endows the Internet insurance with great development potentials, but with many legal risks as well.This paper firstly describes the concept of Internet insurance and then introduces the three major business models of Internet insurance:the official website mall model run by the insurance company itself, the independent third-party e-commerce platform model, and the pure Internet insurance operation mode. Through the comparison of it with the traditional insurance marketing model, it points out that the Internet insurance has its unique advantage and the particularity of the regulatory:using the Internet platform to have virtual network operation increases the difficulty of the regional regulatory; using the information technology to improve the timeliness of the insurance business,t the information technology of regulation also needs to improve; simplifying the transaction process to save the operating cost, the regulation of information disclosure should be more deliberative. Then it makes an explanation about the basic theory of the Internet insurance regulation,such as the subject, object, and the main content of regulation. By studying on the current situation of legislation,it points out the problems existing in the supervision:one is about the the imperfect legal system of the market access and withdrawal; the second one is about the problems in the information disclosure of Internet insurance; the third one is about the unclear legal standard for the establishment and effect-taken time of the Internet insurance contract; the forth one is the lack of the protection system for the interest of Internet insurance consumers. Lastly, it makes a comparative study on the development status quo of the Internet insurance in countries as the United States, Europe, Japan and other countries, as well as the relevant supervisory system, and puts forward some feasible suggestions for the relevant system construction in view of the lack of laws and systems in China’s Internet insurance drawing lessons from foreign Internet insurance regulatory legal systems.There is a lack of strong legal regulations and constraints in China’s Internet insurance industry. Therefore, legislation departments should re-examine China’s current legal framework for its insurance law according to the characteristics of Internet insurance, with a reasonable division of the legislative level, paying attention to the coordination between different laws and regulations, to introduce Internet insurance laws and rules and make up for gaps in the law, improving the legal system of Internet insurance as soon as possible. Moreover, the moderate advanced legislation of China’s Internet insurance can even be considered. In the Internet insurance regulatory system, it is recommended to make innovations in the improvement of the access system of the Internet insurance market, the establishment system of the exit system of the Internet insurance market, the specification of the standard about the Formation and Effectiveness of Contract, the disclosure system of the Internet insurance information, and the establishment of the special risk warning mechanism in the field of Internet insurance. In addition, the perfection of Internet insurance legal system is a comprehensive and systematic project, which not only requires the self-perfection of the legal provision, but the supporting implementation of other related systems. It includes the establishment of a unified, open and efficient Internet insurance credit system, the establishment of the self regulatory organizations of the insurance industry to play their self-regulatory functions, and the introduction of alternative dispute resolution ways to enrich the Internet insurance dispute resolution mechanism.