China Banking and Insurance Regulatory Commission has developed the Basic Rules for Insurance Survey and Loss Adjustment
For the purposes of regulating the practice of insurance survey and loss adjustment and protecting the lawful rights and interests of the parties to insurance survey and loss adjustment activities and public interest, recently, the China Banking and Insurance Regulatory Commission has developed the Basic Rules for Insurance Survey and Loss Adjustment(hereinafter referred to as the Rules) which puts forward the standards from four aspects: basic compliance, survey and loss adjustment procedure, survey and loss adjustment report as well as survey and loss adjustment archives.
It is understood that the insurance survey and loss adjustment refer to the surveyors and loss adjustors institutions and their professionals accepting the entrustment to conduct assessment, survey, authentication, loss assessment and adjustment of the subject matter of insurance or an insurance accident, as well as the relevant risk assessment. For an insurance policy, the survey and loss adjustmentcompany makes the risk assessment and the value assessmentof the subject matter for the insurance company, and makes liability survey and amount estimation for the claim settlement. Therefore, the insurance survey and loss adjustment activity is a kind of technical service with the nature of judgment.
The promulgation of the Rulesis the norm formulated by the financial supervision system for the professional adjusters,and also indicates that the insurance survey and loss adjustment will step in a new stage. In terms of basic compliance, the Rulesput forward detailed requirements for the behavior and qualifications of insurance adjusters.For example, theRules require the insurance adjusters to independently investigate, analyze and assesswhile forming the professional advices, not to make commitments based on pre-established conclusions of insurancesurvey and loss adjustment, not to engage in business involving their own interests, and not to seek illegitimate interests; the practitioners practicing the insurance survey and loss adjustment are limited to conduct the professionalregistration in one institutefor engaging in the business of survey and loss adjustment.At the same time, an insurance adjuster may not carry outthe insurance survey and loss adjustment business withthe institutions or individuals illegally engaged in insurance business or insurance intermediary business.
In terms of insurance survey and loss adjustment procedures, the basic procedures that China Banking and Insurance Regulatory Commission requires the insurance adjusters to perform in carrying out the survey and loss adjustment business include determining the entrustment relationship of the survey and loss adjustment;surveying and investigating, collecting data, verifying, assessing and estimating, compiling, auditing and issuing the survey and loss adjustment report; closing the case and organizing and archiving the survey and loss adjustment files.
In the meantime, the Rulesrequire that before accepting the survey and loss adjustment business, the insurance adjuster should clarify a total of 7 major items such as the rights and obligations of the client and the parties involved in the survey and loss adjustment activities; the purpose of the survey and loss adjustment entrustment; the object of the survey and loss adjustment and the scope of service of the entrustment; the plan of the survey and loss adjustement; the submission of the survey and loss adjustement report; the cost, payment method and period; the mode of payment and the period of payment; and the cooperation and assistance between the relevant personnel, etc.
In the course of carrying out the business, an insurance adjuster shall formulate a standardized customer notice.According to the source in the insurance industry, the large-scale insurance institutions in our country occupy most of the insurance market, who have established a wide range of systems, providing a package of services such as loss assessment, verification and claims settlement. While the insurance survey and loss adjustment institutions arein small scale and with few outlets and relatively limited coverage, which makes it difficult for them to fully undertake the entire claims settlement of insurance companies.Coupled with the scarcity of professional practitioners, theinsurance adjusters have little footholdin such a market structure. The source believes that with the fierce competition in the market, the insurance companies should focus more and more on the development of their core competitiveness.Therefore, only by enhancing the professionalism of insurance survey and loss adjustment and giving full play to its own strengths, can it match the sales channels and claims settlement of insurance companies and become an indispensable part of the insurance industry chain.
