Insurance enterprises engaging in foreign exchange business shall first verify the identity or primary registration data of the customer, and ensure that supporting documents comply with regulations.

The Bank may require insurance enterprises to submit foreign exchange business related reports in a format to be separately prescribed by the Bank. Insurance enterprises shall ensure that such reports are complete and accurate.
Insurance enterprises engaging in foreign exchange business shall settle foreign exchange with banking enterprises in accordance with their receipts and payments,and shall keep the detailed settlement information on record for verification.

The Bank may dispatch personnel to inspect the relevant account books and documents of insurance enterprises engaging in foreign exchange business, or may request insurance enterprises to provide truthful financial reports or other relevant information within a prescribed period of time if deemed necessary.

Unless otherwise provided in these Regulations or provided by the Bank, where insurance policies using foreign currency for receipt and payment, the relevant funds may not be received and paid in New Taiwan dollars, and the relevant settlement matters shall be handled by the proposer or the beneficiary of the insurance policy with banking enterprises in accordance with the“Regulations Governing the Declaration of Foreign Exchange Receipts and Disbursements or Transactions” (referred to as the“Declaration Regulations” hereunder).
When investment-linked annuity insurance is converted into the spot annuity insurance with general account after the expiration of the annuity accumulation period, it may pay the annuity in New Taiwan dollars, and the insurance enterprise shall settle the payment in accordance with the Declaration Regulations.
Non-life insurance policies using foreign currency for receipt and payment may receive and pay funds in New Taiwan dollars in accordance with the following provisions:
1.The proposer has provided relevant documents evidencing that the subject matter insured involves import or export of goods or providing cross-border services and the insurance enterprise has agreed with the proposer to collect premiums in an equivalent amount of New Taiwan dollars.
2.The beneficiary has provided documents for claims showing amount in New Taiwan dollars; if the payment involves foreign exchange settlement, the non-life insurance enterprise shall handle settlement matters with banking enterprises in accordance with the Declaration Regulations.
The proposer or beneficiary mentioned in the preceding paragraph shall be a company, firm, association or individual as defined in Article 3 of the Declaration Regulations.
When an insurance enterprise engages in the business listed in Subparagraph 2 or 3 of Article 3, the foreign currency used for receipt and payment may be s pecified in the insurance contract; if conversion between foreign currencies is involved, the insurance enterprise shall carry out the transaction with banking enterprises.

The source of funds for an insurance enterprise to engage in the business under Subparagraphs 5 and 7, Article 3 shall be limited to the insurance enterprise's own foreign currency funds used for foreign investment.
An insurance enterprise that has been approved to engage in the business under Subparagraph 7, Article 3 shall observe the following rules:
1. The borrowers shall be limited to domestic customers; and
2. The insurance enterprise shall ascertain that the lead arranger has complied with Article 6 of the Directions Governing Banking Enterprises for Operating Foreign Exchange Business with regard to required documentation, conversion restrictions and external debt declaration.

If the investment-linked insurance products marketed by insurance enterprises are linked to derivatives products and related to foreign exchange, their investment scope may not involve the following :
1.New Taiwan dollar interest rate index and exchange rate index of the money market in Taiwan.
2.Other categories limited by the relevant competent authorities.

An insurance enterprise that has been approved by the Bank to engage in insurance-related foreign exchange business may, within the approved scope of business, accept the designation of an offshore insurance branch of the same insurance enterprise to handle its offshore insurance business in accordance with the Offshore Banking Act, the Offshore Banking Act Enforcement Rules, and other relevant provisions.

When the foreign exchange business conducted by an insurance enterprise involves Renminbi receipt and payment, the provisions of these Regulations shall apply mutatis mutandis, unless it is otherwise specified by the Bank.