Title：
Regulations Governing Foreign Exchange Business of Insurance Enterprises
Inactive Regulations
Announced Date：April 23, 2007
Date：April 29, 2015
Chapter 3 Management of Foreign Exchange Business
(Know Your Customer)
Insurance enterprises engaging in foreign exchange business shall first verify the identity or primary registration data of the customer, and ensure that supporting documents comply with regulations.
(Submit Requsted Reports)
The Bank may require insurance enterprises to submit foreign exchange business related reports in a format to be separately prescribed by the Bank. Insurance enterprises shall ensure that such reports are complete and accurate.
Insurance enterprises engaging in foreign exchange business shall settle foreign exchange with banking enterprises in accordance with their receipts and payments, and shall keep the detailed settlement information on record for verification.
(Inspection)
The Bank may dispatch personnel to inspect the relevant account books and documents of insurance enterprises engaging in foreign exchange business, or may request insurance enterprises to provide truthful financial reports or other relevant information within a prescribed period of time if deemed necessary.
(Receipt, Payment and Exchange Settlement of Funds)
Where insurance policies use foreign currency for receipt and payment, the relevant funds may not be received and paid with New Taiwan dollars, and the relevant settlement matters shall be handled by the proposer or the beneficiary of the insurance policy with banking enterprises in accordance with the “Regulations Governing the Declaration for Foreign Exchange Receipts and Disbursements or Transactions”; provided, that when investment-linked annuity insurance transforms into a general account spot annuity insurance at the expiration of the accumulated period , it may pay the annuity in New Taiwan dollars, and the insurance enterprises shall settle in accordance with the “Regulations Governing the Declaration for Foreign Exchange Receipts and Disbursements or Transactions.”
(Source of Funds for Foreign Currency Loans)
The source of funds for an insurance enterprise to engage in the business under Subparagraph 5, Article 3 shall be limited to the insurance enterprise’s own foreign currency funds used for foreign investment.
(Restrictions on Underlying)
If the investment-linked insurance products marketed by insurance enterprises are linked to derivatives products and related to foreign exchange, their investment scope may not involve the following :
1.New Taiwan dollar interest rate index and exchange rate index of the money market in Taiwan.
2.Other categories limited by the relevant competent authorities.
(Matters of Compliance for Offshore Insurance Business)
An insurance enterprise that has been approved by the Bank to engage in insurance-related foreign exchange business may, within the approved scope of business, accept the designation of an offshore insurance branch of the same insurance enterprise to handle its offshore insurance business in accordance with the Offshore Banking Act, the Offshore Banking Act Enforcement Rules, and other relevant provisions.
(Foreign Exchange Business Involving Renminbi)
When the foreign exchange business conducted by an insurance enterprise involves Renminbi receipt and payment, the provisions of these Regulations shall apply mutatis mutandis, unless it is otherwise specified by the Bank.