Hong Kong Export Credit Insurance Corporation

Hong Kong Export Credit Insurance Corporation Ordinance

The business of the insurance bureau:

See Article 3 of No. 66 of 2000

(1) Subject to the provisions of this Ordinance, an insurance company may carry on the business of insurance under the insurance contracts specified in subsection (2) and the business of providing guarantees under section 9B. (Amended 8 of 1974 s. 2)

(2) The insurance contracts that an insurance company may enter into under this section are insurance contracts with or for the benefit of persons carrying on business in Hong Kong, which cover the risk of pecuniary loss or other pecuniary damage attributable to circumstances beyond the control of the person who suffered the loss or damage, And it is caused by the failure to make payments in the process of trade with or for the purpose of trade with places outside Hong Kong, or in other cases by acts or transactions made in the process of or for the purpose of trade with places outside Hong Kong. (Amended 66 of 2000 s. 3)

(3) Insurance companies are not allowed to enter into insurance contracts for risks typically covered by commercial insurers.

(4) The insurance company must follow a policy aimed at ensuring that the income earned is sufficient to cover all expenses that can be properly reimbursed in the income account.

Power of Insurance Bureau to Enter into Reinsurance Agreements

The insurance company may enter into an agreement with any person under which that person undertakes to underwrite all or any of the legal liabilities of the insurance company under insurance contracts entered into under section 9 before or after the commencement of the Hong Kong Export Credit Insurance Company (Amendment) Ordinance 1970 (58 of 1970).