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The Chinese government will conduct a trial on technology insurance in some cities and lower taxes on technology insurance businesses, in an effort to promote innovation in science and technology.

The China Insurance Regulatory Commission (CIRC) has set up a working team to issue measures on how to improve insurance services offered to high-tech enterprises. Government financial support and preferential tax policies are necessary.

Insurance companies should develop products tailored for high-tech enterprise demands and improve their services. High-tech industry features high technology, heavy investment, high risks and high value. Technology insurance needs to mainly cover responsibilities in research and development, equipment losses and health and accident insurance for key technicians. Insurers will allow technology enterprises to pay premiums in stages and instantly offer them compensations.

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The full text is available in the December Issue of China Insurance.

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