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Taiwan: Rules targeting insurers' risk-based capital ratio approved


An amendment to the Insurance Act that targets insurers' minimum risk-based capital ratio has been approved by a government authority, The China Post reported.

The Executive Yuan of Taiwan has passed the amendment, under which firms with a RBC ratio lower than 50% would be acquired by the government.

Tseng Ming-tsung, chairman of Financial Supervisory Commission, said the amendment will help the government in taking actions against weak firms.

It will also allow banks to set up an insurance unit.

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