Regulations Governing Pre-sale Procedures for Insurance Products Article 8
An insurance enterprise shall rigorously execute the following matters when formulating the pricing actuarial memorandum during formal development of non-life insurance products:1. Determining benefit items and collecting reference information for premium rate-setting, confirming the correlation between the experience data used and the rate-setting, and that the experience data meet the following criteria, and that premium rates are adequate, reasonable and fair, and reflect costs and reasonable profits, and the enterprise shall not solicit or conduct insurance business by offering unreasonable prices:(1) The experience data should use statistical data in the past 3 – 5 years and should be principally domestic data, and may include the enterprise’s own experience data. However if no statistical data in the past 3-5 years are available, comparable foreign data may be used.(2) The setting of expected incidence rate in reference to domestic and foreign data should be commensurate with payment terms and conditions and exclusions stated in the insurance policy.(3) The enterprise should understand clearly the domestic and foreign data used and obtain the source data, and should not just use the incidence rate provided by reinsurance companies. The data used should be completely consistent with the payment terms and conditions in the insurance policy. If it is not entirely consistent, the enterprise should describe the difference and analyze whether the difference affects the premium rate setting.2.Determining the basis for pricing of the risk.3.Determining the method for calculation of premium rates.4.Evaluating reinsurance arrangements.5.Risk management mechanisms.Premium rate - making mentioned in the preceding paragraph shall be carried out in accordance with the rates checking mechanism approved by the competent authority based on the characteristics of insurance product or the reference rate range set by an institution designated by the competent authority.When an insurance enterprise formulates a risk management manual in the formal development of non-life insurance products, the manual shall include at least reinsurance arrangement, early warning and control mechanisms for evaluating sales limits, and shall state that the sales limits are commensurate with the risk appetite set by the company.
中文原文 保險商品銷售前程序作業準則第8條
保險業進行財產保險商品正式開發研擬計算說明書時，應確實執行下列事項：
一、設定給付項目及蒐集費率釐訂之參考資料，並確認所引用經驗資料與費率之釐訂具關連性及符合下列規定，且費率符合適足性、合理性及公平性，並應反映各項成本及合理利潤，不得以不合理之定價招攬或承作保險業務：
（一）所引用之經驗資料應採最近三至五年統計資料，且應以國內資料為主，倘有公司本身經驗資料者，應併同納入評估。
但無最近三至五年統計資料者，得引用國外相當之資料。
（二）引用國內外資料訂定預定危險發生率時，應配合保險單條款之給付條件及除外責任。
（三）引用國內外資料應確實瞭解並取得其原始資料，不得逕引用再保險公司提供之發生率，且與保險單條款給付條件應完全一致，若有不一致者，應予敘明，且分析有無影響費率釐訂。
二、確定風險之計價基礎。
三、確定費率計算之方法。
四、再保險評估。
五、風險控管機制。
前項費率釐訂應符合主管機關依保險商品特性所核定之費率檢核機制或其指定機構所定之參考費率範圍。
保險業進行財產保險商品正式開發研擬風險控管說明書時，其內容應至少包括評估再保險安排、銷售限額預警及控管機制，且應載明銷售限額符合公司所定風險胃納。
一、設定給付項目及蒐集費率釐訂之參考資料，並確認所引用經驗資料與費率之釐訂具關連性及符合下列規定，且費率符合適足性、合理性及公平性，並應反映各項成本及合理利潤，不得以不合理之定價招攬或承作保險業務：
（一）所引用之經驗資料應採最近三至五年統計資料，且應以國內資料為主，倘有公司本身經驗資料者，應併同納入評估。
但無最近三至五年統計資料者，得引用國外相當之資料。
（二）引用國內外資料訂定預定危險發生率時，應配合保險單條款之給付條件及除外責任。
（三）引用國內外資料應確實瞭解並取得其原始資料，不得逕引用再保險公司提供之發生率，且與保險單條款給付條件應完全一致，若有不一致者，應予敘明，且分析有無影響費率釐訂。
二、確定風險之計價基礎。
三、確定費率計算之方法。
四、再保險評估。
五、風險控管機制。
前項費率釐訂應符合主管機關依保險商品特性所核定之費率檢核機制或其指定機構所定之參考費率範圍。
保險業進行財產保險商品正式開發研擬風險控管說明書時，其內容應至少包括評估再保險安排、銷售限額預警及控管機制，且應載明銷售限額符合公司所定風險胃納。