Regulators plan crackdown on insurance rule breakers

Chinese insurers with rule-breaking and dishonorable records will face stricter market access as the country's top insurance regulator intensified crackdown in cooperation with other government agencies on Wednesday.

The China Insurance Regulatory Commission signed a memorandum of understanding with 30 ministries and regulators including the People's Bank of China, and the National Development and Reform Commission, to jointly crack down on illegal activities in the insurance sector, and they vowed to hold wrongdoers accountable.

Insurers will face restrictions in establishing banking, securities and insurance subsidiaries or branches for their wrongdoings and will be restrained from participating in government procurement and getting government subsidies, according to the MoU.