New regulations of Vietnam on guidelines on the organization of risk management of insurers

Tran Thanh Rin

13:53, 05/12/2022

On November 16, 2022, the Minister of Finance of Vietnam promulgated Circular No. 70/2022/TT-BTC on risk management, internal control, and internal audit of insurers and reinsurers, and foreign branches.

The Circular provides guidelines on the organization of risk management of insurers.

Specifically, insurers, reinsurers, and foreign branches shall organize the risk management with 3 independent protection lines as follows:

- First protection line: Professional departments that directly identify, receive, assess, control, report, and monitor risks generated from business operations;

- Second protection line: Risk management department, compliance control department, and other departments with risk control functions regarding operations of the first protection line.

- Third protection line: Department of internal audit.

+ Risk management means identifying, measuring, monitoring, and controlling risks in the operations of insurers, reinsurers, and foreign branches.

See more details in Circular No. 70/2022/TT-BTC, which comes into force as of January 1, 2023.

>> CLICK HERE TO READ THIS ARTICLE IN VIETNAMESE

339 lượt xem

- The legal regulations in this article are according to Vietnamese Law;
- This English translation is for reference purposes only and not a definitive translation of the original Vietnamese texts;
- Articles may be compiled from a variety of sources;
- Applicable Terms may have expired at the time you are reading;
- If you have any questions about the copyright of the article, please contact us via email banquyen@lawnet.vn