To improve monitoring and control of the solicitation and underwriting procedures of insurance enterprises, and to ensurecompliance with Article 25 of the United Nations “Convention on the Rights of Persons with Disabilities” (which sets out requirements regarding measures to ensure the right of persons with disabilities to health), the FSC amended Articles 6 and 7 of the “Regulations Governing Business Solicitation, Policy Underwriting and Claim Adjusting of Insurance Enterprises” and parts of the “Directions for Sale of Investment-linked Insurance Products” on February 13, 2020. The key points of the amended provisions are as follows:

1. When selling an insurance product that has surrender value to a customer over 70 years of age, insurance enterprises shall maintain the record of selling process by audio or video means, or retain the trail of relevant operating process using electronic equipment. Appropriate unit or managerial personnel shall double-check such record or trail and confirm the product suitability for the customer before the insurance enterprise underwrites the policy.
2. Insurance solicitors and insurance brokers which the insurance enterprise does business with are prohibited from inducing a customer to cancel or terminate a contract or to use a loan or a policy loan to pay insurance premiums. Moreover, where a customer''s source of funds is from a contract cancellation, contract termination, loan, or policy loan and the insurance product purchased meets certain conditions, the enterprise must also assign a person to contact the customer by phone to check whether the insurance solicitors and insurance brokers had carried out the process of “Knowing Your Customers,” engaged in improper solicitation behavior, confirmed the suitability of the insurance product, and informed the customer of any leverage-related risks or any possible loss of the customer''s right to switch insurance.
3. To ensure compliance with the United Nation’s “Convention on the Rights of Persons with Disabilities,” which sets out requirements regarding measures to protect the health of persons with disabilities, the amended provisions prohibit insurers from treating unfairly to particular types of insurers or applicants who have a physical or mental disability.