Chunghwa Post Co., Ltd ordered to halt the sale of Postal Simple Life Insurance contracts for six months (excluding policy renewal cases)
2018-03-13
From 2009, Chunghwa Post Co., Ltd.’s salesperson surnamed Chang illegally solicited insurance business and misappropriated premiums, affecting the rights of many policy holders and the period of violation was very long, however, the violations were not discovered by the company''s internal control and internal audit systems, illustrating that the systems were slack. Under Paragraph 1, Article 149 of the Insurance Act, a reprimand was issued, and, under Subparagraph 1, Paragraph 1 of the same Article, the company’s Keelung Post Office and all its branches were ordered to halt the sale of new Postal Simple Life Insurance contracts for six months (excluding policy renewal cases), Chunghwa Post was also required to submit an improvement plan to the FSC and will only be allowed to re-start selling Postal Simple Life Insurance when the FSC confirms that the necessary improvements have been made (including checking that no other post offices in Taiwan are affected by similar violation cases).
Also, with regard the salesperson Chang, the company has been required by the FSC to cancel her registration in accordance with the Regulations Governing the Administration of Supervision of Postal Simple Life Insurance.
Also, with regard the salesperson Chang, the company has been required by the FSC to cancel her registration in accordance with the Regulations Governing the Administration of Supervision of Postal Simple Life Insurance.
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3595
Update:
2018-05-07