China to Let Insurers Settle Clients' Claims in Chinese Yuan Abroad
Zhang Yushuo
DATE:  Jun 06 2019
/ SOURCE:  yicai
China to Let Insurers Settle Clients' Claims in Chinese Yuan Abroad China to Let Insurers Settle Clients' Claims in Chinese Yuan Abroad

(Yicai Global) June 6 -- China will ease the way that insurers in China can send money abroad in  order to improve their efficiency of handling cross-border claims. 

China will stop examining  all insurers' foreign exchange capital settlements beforehand and  instead allow them to send funds overseas based on their actual demand  from July 1 so that these firms can compensate overseas clients in the  Chinese yuan, the State Administration of Foreign Exchange said in a  statement yesterday.

The SAFE expects more insurance brokers to start offering cross-border services with the further opening-up of the sector.  

Insurance companies have  been complaining about the low efficiency of cross-border business,  according to earlier surveys. Red tape has slowed down compensation  seekers' ability to recover from damages caused by accidents,  particularly proven by maritime emergencies. 

China started reforming the related forex management system in March 2015 by reducing the amount of paperwork. 

Editor: Emmi Laine 

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Keywords:   Insurance,Chinese yuan,Cross-border