China's National Financial Regulatory Administration published the Measures for the Regulatory Rating of Insurance Companies, setting out a unified supervisory rating system that will be used to rate insurers and apply differentiated supervision from 1 March 2025. The measures adopt a risk-based approach, requiring an assessment of risks across areas including corporate governance, solvency, liability quality, asset quality and asset-liability matching, information technology, risk management, operating conditions, and consumer rights protection, with the rating reflecting overall risk. A single framework, methodology, process and rating classification will apply to insurance group (holding) companies, property insurers, life insurers and reinsurers. Ratings will be used to shape supervisory planning and resource allocation and will inform supervisory measures and routine supervision, including market access decisions and on-site inspections. Implementation work will include developing detailed evaluation standards tailored to different types of insurance companies, improving the supervisory rating information system, and strengthening the binding effect and use of rating outcomes.
China Banking and Insurance Regulatory Commission 2025-01-17
China's National Financial Regulatory Administration issues unified regulatory rating rules for insurance companies effective 1 March 2025
China's National Financial Regulatory Administration issued the Measures for the Regulatory Rating of Insurance Companies, establishing a unified supervisory rating system effective 1 March 2025. The risk-based framework assesses insurers on governance, solvency, asset quality, and consumer rights to inform supervisory planning and market access decisions. Implementation will involve developing evaluation standards and enhancing the rating information system.