Micro-insurance would be confined to traditional life and personal injury insurance, with maturity at one year
The Financial Supervisory Commission, Taiwan, has approved a draft regulation on micro-insurance – reported Taiwan Today.
Micro-insurance would be confined to traditional life and personal injury insurance with maturity at one year, with policy values limited to NT$300,000 ($9,108). Health insurance is not included. Trial calculations showed that life insurance will be 45% to 60% cheaper than currently available policies, and personal injury insurance 40% to 50% cheaper.
According to the draft, nine groups are defined as ‘financially disadvantaged’, including single persons with annual income under NT$250,000, and married couples with combined yearly income under NT$500,000. There are no restrictions on income for aboriginals, fishermen, disabled persons, and recipients of aid from social welfare groups. Foreigners must have permanent residence status to be eligible, the journal quoted.
Group personal injury insurance would adopt unified rates, while individual personal injury insurance would adopt different rates as per the occupation.