New Draft Regulations on Compulsory Fire and Explosion Insurance Offered by Non-Life Insurers
The Ministry of Finance of Vietnam (the MOF) has recently released the draft of a new Decree to regulate compulsory fire and explosion insurance products provided by local general/non-life insurers (the Draft Decree). The Draft Decree aims at improving the consistency between relevant regulations of the Law on Insurance Business and those of the Law on Fire Prevention and Fighting, as well as addressing implementation issues of current regulations under Decree No. 130. Specifically, the Draft Decree proposes clarifications and amendments to current regulations on, among other things, minimum sums insured, insurance premiums, compulsory contribution of the insurers to the budget maintained by the relevant public security authority for fire prevention and fighting purposes, and exclusions of insurance policies.