The Legal Status Of Insurance Exchange

The insurance exchange is an organization or company that supplies the insurance companies and policy holders with services to assist both sides in achieving and finishing insurance contract.In addition,it takes responsibility for management during providing the floor,facilities,information and other services for transactions of insurance.With the development of insurance exchange,it would take some governmental administrative functions based on laws and authorizations in future.The establishment of Shang Hai Insurance Exchange(SHIE)is a signal of beginning to develop Chinese insurance exchange.However,there are not any relative laws and articles in Chinese legal system,and it leads to another problem,an ambiguous legal status.The most successful insurance exchange is the Lloyd's of London(Lloyd's),it developed from marine insurance,and SHIE would cover this field which was designed in original plan.So it should be a rational method to research the legal status of Chinese insurance exchange from shipping insurance.This paper could be divided into three parts:overview,main body,adviceFirstly,the overview section starts with the nature of exchange and defining the insurance exchange.Besides,it is a different exchange with others which was existed in other financial fields.And there are three problems while discussing the legal status of insurance exchange from shipping insurance,including the characters of insurance exchange,the relationship with other shipping insurance legal subject,the self-discipline management of insurance exchange and the specific rights and obligations.Secondly,these questions are discussed and resolved in main body.Fortunately,practices of other countries in this respect and of other financial fields in China have provided some reference experience for this paper.In general,China should establish her insurance exchange according to circumstance within the country.Besides,as a new legal subject in shipping insurance field,insurance exchange would be in a particular place,which is different with traditional insurance companies,policy holders and insurance brokers.It lies between government supervisor and market,and it belongs to self-discipline managing subject.After researching of its characters and relationships with other subjects,this section covers the specific rights and obligations of insurance exchange based on previous studies.Finally,the advice section,combines theories with SHIE,and gives some feasible suggestions about its development of shipping insurance business in future.