May 24, 2016

PLC Insurance and Reinsurance Multi-Jurisdictional Guide 2016/17 – Vietnam

Practical Law Company

The Insurance and Reinsurance Multijurisdictional Guide 2016/17  presents a Q&A-style overview of insurance and reinsurance law and practice in key jurisdictions worldwide. The Vietnam chapter of the guide, written by Vinh Quoc Nguyen, a senior associate in Tilleke & Gibbins’ corporate and commercial group, provides details on the following subjects:

  • Regulatory framework: The Law on Insurance Business and requirements on legal capital and deposits, internal controls and checks, risk provisioning, and credit ratings for offshore insurers and reinsurers
  • Corporate structure: Cross-border supply, company incorporation, and branch offices
  • Operating restrictions: Requirements for managers, paid-up charter capital, deposits, and total assets; restrictions on ownership or control; and failure to comply with legal and regulatory requirements including administrative sanctions and criminal penalties
  • Policy requirements: Obtaining approval from the Ministry of Finance; commonly found clauses such as insurance duration and time limits; implied terms; and customer protections
  • Claims: Third-party insurance claims, enforcement, remedies, and punitive damage claims
  • Taxation: Corporate income tax, value added tax, and foreign contractor’s tax 
  • Dispute resolution: Enforceability of arbitration clauses and choice of forum clauses
  • Reform: Relaxation of administrative burdens in the establishment and operation of insurance business and provisions on fraudulent acts under the new Penal Code