Want to be in the loop?
subscribe to
our notification
Business News
MORE MARKET ACCESS FOR INSURANCE AUXILIARIES NEEDED: NA DEPUTIES
Insurance auxiliary service providers have the right to join professional associations to develop the insurance-finance market, according to National Assembly deputy Trần Thị Quốc Khánh.
“In the market economy, insurance is seen as a State service. If the State can’t meet market demand, private firms and individuals must join and make the sector work properly,” Khánh said on Monday at a debate about the draft of amended Law of Insurance during the 14th National Assembly’s seventh meeting.
“They (private firms and individuals) are also able to work with foreign companies to set up insurance firms that meet international standards,” she said.
Agreeing with fundamental changes made in the draft law, Khánh said the role and responsibility of auxiliary service firms must be clarified as this was a new segment in Việt Nam.
In addition, the quality of the personnel resource would be a big challenge as it might not be sufficient to meet market demand for insurance auxiliary services, she said.
“Basically, we agree with the Government’s proposal on the draft law,” Khánh said, adding it would be very important to make changes to the Law of Insurance as it is one of the policies that may be affected by Việt Nam’s participation in the Comprehensive and Progressive Agreement for Trans Pacific Partnership (CPTPP).
Regarding the quality of insurance-finance personnel, deputy Lê Quân said the draft law complied with international conventions and the CPTPP.
However, those working in the insurance-finance sector might be asked to have a working licence only to prove their “knowledge, skills, attitude and quality,” he said.
“It would be unnecessary to require them to graduate from universities, colleges and professional training programmes” as such a standard may hinder them from getting employed, Quân added.
However, the training for the insurance workforce was now too simple and low quality, deputy Tôn Ngọc Hạnh said.
An insurance salesman might have only passed a short training course, she said. Therefore, it would be difficult for the State to manage the sector because companies were unable to manage their employees in the long run.
“This will remain a big difficulty for the Vietnamese insurance industry as it has a big growth potential,” Hạnh said.
That fact showed there needed to be a regulation to control insurance companies in training and management, she added.
The draft on amended Law of Insurance is one of the first two draft laws presented for debate at the 14th National Assembly’s seventh meeting, which runs from May 20 to June 15, 2019.
According to the Minister of Industry and Trade Trần Tuấn Anh, the Law of Insurance, in addition to seven other laws, must be adjusted to meet the CPTPP and other deals Việt Nam has signed.
Changes must be made to realise the policies of the Party and the State to comply with international practices and agreements, creating a better business environment for organisations, businesses and individuals to foster Việt Nam’s socio-economic development.
Source: VNS
Related News
![Card image cap](/uploads/news/Security.jpg)
2025 PIVOTAL FOR STOCK MARKET UPGRADE EFFORT
The Ministry of Finance (MoF) is expected to soon publish the entire content of the draft circular amending and supplementing four circulars on transactions, registration, depository, and clearing, as well as operations of securities companies and information disclosure. This move, along with feedback and explanations, aims to meet the criteria for upgrading Vietnam’s stock market.
![Card image cap](/uploads/news/bn-01.jpg)
VIETNAM INTENSIFIES E-COMMERCE TAX SCRUTINY
The department plans to offer guidance for and hold direct dialogues with e-commerce taxpayers to ensure compliance. Efforts will also include updating the e-commerce database, conducting risk analysis, and leveraging artificial intelligence (AI) to manage data and issue alerts.
![Card image cap](/uploads/news/eco2.jpg)
FOOTWEAR EXPORTS SEEN REACHING US$27 BILLION THIS YEAR
This optimistic forecast reflects the industry’s efforts to expand and diversify its markets. Lefaso indicated that Vietnam’s footwear sector will concentrate on traditional markets like the U.S. and the European Union, alongside markets with free trade agreements to maximize opportunities.
![Card image cap](/uploads/news/FDI.jpg)
FDI INFLOW INTO VIETNAM REACHES NEARLY 15.2 BILLION USD
Vietnam attracted nearly 15.2 billion USD in foreign direct investment (FDI) in the first six months of this year, a year-on-year increase of 13.1 per cent, according to the General Statistics Office.
![Card image cap](/uploads/news/Eco4.jpg)
GDP GROWTH REACHES 6.42 PC IN FIRST HALF
Vietnam's economy grew by 6.42 pc in the first six months of 2024, slightly lower than the figure of 6.58 pc in the same time of 2022 within the 2020-2024 period.
![Card image cap](/uploads/news/Eco3%20%281%29.jpg)
CAPITAL FLOWS STRONGLY INTO INDUSTRIAL REAL ESTATE
Industrial real estate has had easier access to bank credit since July, when the State Bank of Vietnam (SBV) reduced the credit risk coefficient for industrial real estate from 200 per cent to 160 per cent, encouraging commercial banks to lend to more projects in the segment.