What are licensing requirements of insurance agents in Vietnam? What are contents of insurance agent agreements in Vietnam?

What are licensing requirements of insurance agents in Vietnam?

Pursuant to Article 125 of the Law on Insurance Business in 2022 (takes effect from 01/01/2023) stipulating licensing requirements of insurance agents in Vietnam as follows:

1. A person rendering insurance agent services must:

a) be a Vietnamese citizen permanently residing in Vietnam;

b) have full civil capacity;

c) hold the certificate of practising as an insurance agent conforming to Article 130 herein.

2. An entity rendering insurance agent services must:

a) be licensed or permitted for their establishment and operation in Vietnam;

b) obtain registration for their scope of insurance agent services under the regulatory provisions of the Corporate Law. As for any entity engaged in conditional business sectors and industries, a license, certificate and other approval or certification document (if any) containing information about permission for insurance agent services that is issued by a competent agency shall be needed;

c) be staffed by employees directly rendering insurance agent services that meet the conditions specified in clause 1 of this Article;

d) meet personnel and other conditions under the Government’s regulations.

3. Any entity or person shall be prohibited from concluding and executing an insurance agent agreement when:

a) The entity is a commercial legal entity facing the criminal prosecution process; an entity that is subject to the temporary suspension, perpetual termination or prohibition of their business or the prohibition of their engagement in the insurance-related sectors;

b) The person is facing criminal prosecution actions; is serving a prison sentence; is serving the sentence of prohibition of practising in the insurance-related sectors.

What are contents of insurance agent agreements in Vietnam? 

Pursuant to Article 126 of the Law on Insurance Business in 2022 (takes effect from 01/01/2023) stipulating contents of insurance agent agreements in Vietnam as follows:

An insurance contract must include, but not limited to, the followings:

1. Name and address of the insurance agent;

2. Name and address of the head office of the insurance company, branch of the non-life insurance company or mutual providing microinsurance products;

3. Rights and obligations of the insurance company, branch of the non-life insurance company, mutual providing microinsurance products, insurance agent;

4. Scope of business of the insurance agent;

5. Insurance agent commissions, rewards, support provided for the insurance agent and other interests (if any);

6. Contract term;

7. Dispute settlement methods

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