China to build science and tech insurance framework 

NFRA plans to introduce incentives such as rewards, subsidies, and tax benefits.

The National Financial Regulatory Administration (NFRA) is advancing efforts to support the insurance industry by establishing a specialised framework for science and technology insurance, according to NFRA official Yin Jiang'ao. 

Speaking at a media conference in Beijing, Yin outlined plans to enhance insurance offerings for technology-driven businesses at every stage of their development. 

This initiative includes the creation of new insurance products, policy refinements, and support for pilot projects in fields like cybersecurity and research and development loss insurance.

The proposed insurance system will cater to all phases of innovation, including equipment protection and intellectual property. 

Alongside other government agencies, the NFRA plans to introduce policy incentives such as rewards, subsidies, and tax benefits to promote technological innovation while reducing associated risks.

Regions like Ningbo, Lingang, and Hudong have already begun experimenting with science and technology insurance, serving as models for broader adoption across China. 

Yin noted that this type of insurance deals with specialised risks, requiring collaboration across various sectors to manage them effectively.

Luo Yanjun, another NFRA official, emphasised the administration's focus on guiding insurers to invest in emerging industries and advanced manufacturing. 

By August 2024, insurance fund investments had reached $4.5t, with $4.1t  allocated to support the real economy, particularly through debt and equity investments.