SinoCast has reported that China Petroleum & Chemical Corporation has been approved to establish a captive insurance company to engage in overseas captive insurance.
The new insurance entity, named CPCC Insurance Company Limited, is registered in Hong Kong. It has $38.7 million in capital, and is wholly-owned by CPCC.
On October 31 it was approved by the Hong Kong Office of the Commissioner of Insurance.
Captive insurance is an emerging concept in China. Recently the Guernsey Financial Services Commission signed a memorandum of understanding with the Chinese Securities Regulatory Commission.
The memorandum sets out a statement of intent to establish a framework for mutual assistance and to facilitate the exchange of information between the authorities to ensure compliance with their respective laws and regulatory requirements.
