Summary
GlobalData’s "Governance, Risk and Compliance - The Bhutanese Insurance Industry", report is the result of extensive research into the insurance regulatory framework in Bhutan.
It provides detailed analysis of the insurance regulations for life, property, motor, liability, personal accident and health, and marine, aviation and transit insurance. The report specifies various requirements for the establishment and operation of insurance and reinsurance companies and intermediaries.
The report brings together GlobalData’s research, modeling and analysis expertise, giving insurers access to information on prevailing insurance regulations, and recent and upcoming changes in the regulatory framework, taxation and legal system in the country. The report also includes the scope of non-admitted insurance in the country.
The report provides insights into the governance, risk and compliance framework pertaining to the insurance industry in Bhutan, including -
- An overview of the insurance regulatory framework in Bhutan.
- The latest key changes, and changes expected in the country’s insurance regulatory framework.
- Key regulations and market practices related to different types of insurance product in the country.
- Rules and regulations pertaining to key classes of compulsory insurance, and the scope of non-admitted insurance in Bhutan.
- Key parameters including licensing requirements, permitted foreign direct investment, minimum capital requirements, solvency and reserve requirements, and investment regulations.
- Details of the tax and legal systems in the country.
Key Highlights
- The Bhutanese insurance industry is regulated by the Royal Monetary Authority of Bhutan.
- Non-admitted insurance is prohibited by the law. However reinsurers are permitted to operate without a license.
- 100% FDI is permitted in the Bhutanese insurance industry.
- Professional indemnity insurance for brokers is compulsory in Bhutan.
- Insurance premium tax is not imposed on insurance premiums in Bhutan.
Scope
- The report covers details of the insurance regulatory framework in Bhutan.
- The report contains details of the rules and regulations governing insurance products and insurance entities.
- The report lists and analyzes key trends and developments pertaining to the country’s insurance regulatory framework.
- The report analyzes the rules and regulations pertaining to the establishment and operation of insurance businesses in the country.
- The report provides details of taxation imposed on insurance products and insurance companies.
Reasons to buy
- Gain insights into the insurance regulatory framework in Bhutan.
- Track the latest regulatory changes, and expected changes impacting the Bhutanese insurance industry.
- Gain detailed information about the key regulations governing the establishment and operation of insurance entities in the country.
- Understand key regulations and market practices pertaining to various types of insurance product.
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Table of Contents
1 INTRODUCTION 6
1.1 What is this Report About? 6
1.2 Definitions 6
2 GOVERNANCE, RISK AND COMPLIANCE 8
2.1 Legislation Overview and Historical Evolution 9
2.2 Latest Changes in Regulation 10
2.3 Legislation and Market Practice by Type of Insurance 12
2.3.1 Life insurance 13
2.3.2 Property insurance 13
2.3.3 Motor insurance 14
2.3.4 Liability insurance 16
2.3.5 Marine, aviation and transit insurance 16
2.3.6 Personal accident and health insurance 16
2.4 Compulsory Insurance 17
2.4.1 Professional indemnity insurance for brokers 17
2.5 Supervision and Control 18
2.5.1 International Association of Insurance Supervisors 18
2.5.2 The Royal Monetary Authority 19
2.6 Non-Admitted Insurance Regulations 20
2.6.1 Overview 20
2.6.2 Intermediaries 20
2.6.3 Market practices 20
2.6.4 Fines and Penalties 20
2.7 Company Registration and Operations 21
2.7.1 Type of insurance organization 22
2.7.2 Establishing a local company 22
2.7.3 Foreign ownership 24
2.7.4 Types of license 24
2.7.5 Capital requirements 25
2.7.6 Solvency margin 26
2.7.7 Reserve requirements 26
2.7.8 Investment regulations 26
2.7.9 Statutory return requirements 27
2.7.10 Fee structure 28
2.8 Taxation 29
2.8.1 Insurance premium or policy taxation 29
2.8.2 Withholding taxes on premium paid overseas 29
2.8.3 Corporate tax 29
2.8.4 VAT 29
2.8.5 Captives 29
2.9 Legal System 30
2.9.1 Introduction 30
2.9.2 Access to court 30
2.9.3 Alternative dispute resolution 31
3 APPENDIX 32
3.1 Methodology 32
3.2 Contact GlobalData 32
3.3 About GlobalData 33
3.4 GlobalData’s Services 34
3.5 Disclaimer 35
List of Tables
Table 1: Insurance Industry Definitions 6
Table 2: Bhutan- Insurance Regulatory Framework Key Features 8
Table 3: Bhutan- Life Insurance Regulatory Framework 13
Table 4: Bhutan- Property Insurance Regulatory Framework 13
Table 5: Bhutan - Motor Insurance Regulatory Framework 14
Table 6: Bhutan- Liability Insurance Regulatory Framework 16
Table 7: Bhutan- Corporate Tax Rates for the Financial Year 2017 29
List of Figures
Figure 1: Bhutan- Insurance Supervision and Control at Various Levels 18
Figure 2: Bhutan- Insurance Regulatory Frameworks for Company Registration and Operation 21
