Commercial banks are allowed to operate as insurance agents.

In particular, the notable point in Article 14, Circular No. 34/2024 clearly stipulates the insurance agency activities of commercial banks and foreign bank branches as follows:

When the License granted by the State Bank to a commercial bank or foreign bank branch includes insurance agency activities, the commercial bank or foreign bank branch is allowed to conduct insurance agency activities for types of insurance as prescribed by the Law on Insurance Business.

Commercial banks are allowed to operate as insurance agents. Illustrative photo. (Source: ST)

When performing insurance agency activities, commercial banks and foreign bank branches must comply with the provisions of law on insurance business and relevant legal provisions.

Thus, according to the provisions of Circular 34/2024/TT-NHNN, the State Bank still allows commercial banks to conduct insurance agency activities for investment-linked insurance products according to the provisions of the Law on Insurance Business and guiding documents.

Previously, in the draft Circular, the State Bank proposed that commercial banks would not be allowed to act as insurance agents for investment-linked insurance products.

In addition, Circular 34/2024/NHNN also stipulates that commercial banks and foreign bank branches are allowed to continue to collect insurance premiums and collect documents to serve the settlement of compensation and payment of insurance money according to agreements signed before July 1, 2024 for insurance contracts and agreements in which commercial banks and foreign bank branches act as insurance agents.

Amendments, supplements and extensions of insurance contracts and agreements for which commercial banks and foreign bank branches act as insurance agents may only be made if the contents of the amendments, supplements and extensions comply with the provisions of the Law on Credit Institutions and this Circular.

Source: https://www.congluan.vn/ngan-hang-thuong-mai-duoc-phep-hoat-dong-dai-ly-bao-hiem-post303898.html