| In the early20th century, the captive insurance company came into beings. It gotrapidly progress under the help of captive insurance market. China’s reform andopening up are set in the1970s. This result in that China’s insurance market is greenthan many other countries, particularly in captive insurance market. State Councilapproved the resumption of domestic insurance business. China’s insurance marketstarted late, its development is less than30years. During the course of development,the long-term monopoly of state-owned insurance companies is gradually broken.Some innovative and competitive insurance businesses which are either privateinsurance company or joint-stock insurance company are lunched. The strength ofChina’s enterprises is growing rapidly in the same time. These companies show theirurgent needs for innovative product in insurance market, considering that thetraditional commercial insurers cannot meet the new needs of risk management.To ask for the real answer in detail, this paper combine many works of worldfamous economists and research the case of the establishment of Exclusive PropertyCompany of Petro-China. It makes a definition and gives classification for captiveinsurance company, which is widely accepted. This paper pick the establishment ofExclusive Property Company of Petro-China as a starting point to analysis of thenecessity and feasibility of the establishment of captive insurance company. Throughsummarizing historical experience, draw a conclusion about its existence, extrinsic andinternal motivation. After learning experience and basing on China’s nationalconditions, this article demonstrates the necessity and feasibility of setting up captiveinsurance company in China. It also puts forward some constructive comments. Tobuild a healthy and sable environment of law, strategy and economy for captiveinsurance company, to bring up professional brains, every involved aspect, such asgovernment, enterprise, and society, should cooperate with each other. |
PDF Full Text Request