AGREEMENTS ON THE INSURANCE PREMIUM DEBT WITHOUT COLLATERAL MAY BE ALLOWABLE
On February 28, 2022, the Ministry of Finance promulgates the Circular No. 14/2022/TT-BTC on amending and supplementing a number of articles of the Ministry of Finance’s Circular No. 50/2017/TT-BTC dated May 15, 2017 guiding the implementation of the Government’s Decree No. 73/2016/ND-CP dated July 01, 2016 on detailing the implementation of the Law on Insurance Business and the Law on Amending and Supplementing a Number of Articles of the Law on Insurance Business and the Ministry of Finance’s Circular No. 04/2021/TT-BTC dated January 15, 2021 detailing a number of articles of the Government’s Decree No. 03/2021/ND-CP dated January 15, 2021 on compulsory insurance for motor vehicle owner’s civil liability.
Accordingly, insurance buyers and insurance enterprises may reach agreements on change of the time limit for insurance premium payment or on the insurance premium debt without collateral or guarantee of insurance premium payment if the following conditions are fully satisfied:
Specifically, insurance buyers or insurance enterprises are in localities placed under the social distancing prescribed in the Directive No. 15/CT-TTg, Directive No. 16/CT-TTg dated March 31, 2020 or in blockade areas for COVID-19 control according to the competent authority’s document or in localities where the COVID-19 risk level is high or very high in accordance with the Resolution No. 128/NQ-CP dated October 11, 2021. And the obligation of insurance premium payment arises in the period from January 01, 2021 until the Prime Minister announces the end of the COVID-19 pandemic.
In all cases, the time limit of premium payment does not exceed the insurance period under the insurance contract.
This Circular takes effect on the signing date.
