Regulations Governing Foreign Investments by Insurance Companies Article 6
Where an insurer invests in the bonds issued by foreign central government related issuers mentioned in Subparagraph 1 of the preceding article, the investment shall be subject to the following conditions and limits:1.The institution of the foreign central government shall have a rating of at least medium or its equivalent in terms of the level of support from the central government as determined by a foreign credit rating agency. In addition, the credit rating of the issuance of the bond shall have a rating of AA- or its equivalent from a foreign credit rating agency.2.An insurer’s investment in bonds issued by an institution of a foreign central government shall not exceed 5% of the insurer’s funds.An insurer’s investment in bonds issued or guaranteed by a foreign local government mentioned in Subparagraph 2 of the preceding article shall be subject to the following conditions and limits:1.The bond shall have an issue rating equivalent to A- or above from a foreign credit rating agency, and the country the local government belongs to shall have a sovereign rating equivalent to AA- or above from a foreign credit rating agency.2.The total amount of investment in bonds issued or guaranteed by a single foreign local government shall not exceed 5% of the insurer’s approved foreign investment limit.An insurer’s investment in bonds issued or guaranteed by institutions of foreign local governments mentioned in Subparagraph 2 of the preceding article shall be subject to the following conditions and limits:1.The institution of the foreign local government must be established and funded by the local government for the performance of public services or established with a special permit in accordance with laws. The appointment of its personnel, finances, or business management shall be directly or indirectly controlled by the local government. Funds gained from the institution's performance of public services or designated source of income of the institution shall be used as the source of funding for the repayment of debts.2.The issuance and trading of the bonds and information disclosure shall meet related regulations established by the competent authority of securities in the respective countries of the issuers or other authorities established in accordance with securities laws of the country that are under the supervision of the competent authorities responsible for securities.3.The bond shall have a rating of at least A- or its equivalent as determined by a foreign credit rating agency. The country the local government related issuers belongs to shall have a sovereign rating equivalent to AA- or above from a foreign credit rating agency.4.An insurer’s total investment in bonds issued or guaranteed by institutions of each foreign local government plus the total investment in bonds issued or guaranteed by the same foreign local government shall not exceed 5% of the insurer’s approved foreign investment limit.An insurer’s investment in financial bonds, negotiable certificates of deposit or medium-term floating rate notes issued or guaranteed by a foreign bank shall be subject to the following conditions and limits:1. Investment conditions:(1) The bond issuer or guarantor shall have a credit rating equivalent to BBB+ or above from a foreign credit rating agency, unless the provisions of Items (2) or (3) hereof are met.(2) An insurer that meets the following conditions may invest in bonds having a credit rating equivalent to BBB- or BB+ from a foreign credit rating agency:A.The insurer was not subject to any major sanctions and penalties for violation of the Act in relation to the usage of insurer’s funds in the most recent year, or remedial actions for the violation, if any, have been taken and affirmed by the competent authority;B.The insurer has set up a risk management committee under its board of directors and set up a risk management department with a chief risk officer appointed to assume de facto responsibility for the overall risk management of the company;C.The board of directors sets risk exposure limits annually and such limits are regularly controlled by the risk management committee or risk management department; andD.The insurer’s ratio of total adjusted net capital to risk-based capital for the most recent period is above 125% of the regulatory standard for capital adequacy set out in Subparagraph 1, Paragraph 2, Article 143-4 of the Act, or the insurer has a credit rating equivalent to AA or above from a local or foreign credit rating agency in the most recent year.(3)An insurer whose ratio of total adjusted net capital to risk-based capital for the most recent period reaches the regulatory standard or above and meeting the conditions set out in Sub-items A and B of Item (2) hereof may invest in bonds having a credit rating equivalent to BBB from a foreign credit rating agency.(4)Where an insurer invests in subordinated bonds, the credit rating of such bonds set out in the preceding three items may not be replaced by the credit rating on the issuance or guarantee bank of the bond from a foreign credit rating agency.2.Investment limits:(1)The total amount of investment in subordinated bonds having an issue rating equivalent to BB+ from a foreign credit rating agency shall not exceed 2% of the insurer's approved foreign investment limit.(2)The total amount of investment in subordinated bonds having an issue rating equivalent to BBB to BB+ from a foreign credit rating agency shall not exceed 7.5% of the insurer’s approved foreign investment limit or 30% of its owners’ equity, whichever is higher. However, where the insurer obtains approval from the competent authority based on the proviso in Article 16, Paragraph 1 and the total amount of foreign securities mentioned in the preceding article that are put under the custody of Taiwan Depository & Clearing Corporation(hereinafter referred to as TDCC), domestic financial institutions, and branches of foreign financial institutions in Taiwan having a credit rating equivalent to A- or above from a local or foreign credit rating agency in the most recent year does not reach a certain percentage of the total amount of investment in foreign securities mentioned in the preceding article, the insurer shall observe the following provisions:A.If the percentage of foreign securities under custody is less than 30% , the total amount of investment shall not exceed 6% of the insurer’s approved foreign investment limit or 30% of its owners’ equity, whichever is higher.B.If the percentage of foreign securities under custody is 30% or higher and less than 50%, the total amount of investment shall not exceed 7% of the insurer’s approved foreign investment limit or 30% of its owners’ equity, whichever is higher.(3)The total amount of investment in bonds and negotiable certificates of deposit issued or guaranteed by a single bank in combination with the total amount of investment in the stocks mentioned in Paragraph 1 of Article 7 herein issued by the same bank shall not exceed 5% of the insurer’s funds and 10% of the owners’ equity of the issuing bank.(4)The total amount of investment in subordinated bonds having an issue rating equivalent to BBB, BBB- or BB+ from a foreign credit rating agency and issued or guaranteed by a single bank shall not exceed 10% of the insurer’s owners’ equity.(5)Insurers that meet the conditions prescribed by the competent authority may, after obtaining approval from the competent authority, invest in subordinated financial bonds having an issue rating equivalent to BBB or BBB- from a foreign credit rating agency. However the total amount of investment shall not exceed 3% of the insurer’s approved foreign investment limit or 18% of its owners’ equity, whichever is higher, and may be excluded from the investment limit set out in Item (2) hereof.An insurer’s total amount of investment in foreign currency denominated negotiable certificates of deposit issued by a branch of a foreign bank in Taiwan (including offshore banking unit) or a branch of a Mainland China bank in Taiwan mentioned in Subparagraph 4 of the preceding article and in foreign currency denominated negotiable certificates of deposit issued by a domestic bank mentioned in Subparagraph 5 of the preceding article shall be subject to the limits specified in Paragraph 2 of Article 4 herein.An insurer’s investment in foreign currency denominated financial bonds issued by a domestic bank mentioned in Subparagraph 5 of the preceding article and in foreign currency denominated corporate bonds issued by a domestic enterprise mentioned in Subparagraph 6 of the preceding article shall be subject to the following conditions and limits:1.Subparagraphs 2 and 4 of Paragraph 1 and Paragraph 2 of Article 146-1 of the Act shall apply mutatis mutandis to the investment conditions.2.The investment amount shall be subject to the limits set out in Subparagraphs 2 and 4 of Paragraph 1 and Paragraph 2 of Article 146-1 of the Act.An insurer’s investment in foreign currency denominated commercial papers mentioned in Subparagraph 7 of the preceding article shall be subject to the condition that such commercial papers shall have a credit rating equivalent to BBB+ or above from a foreign credit rating agency and shall be subject to the following limits:1.The total amount of investment in foreign currency denominated commercial papers issued or guaranteed by a single company and securities as specified in Subparagraph 13 of Article 5 or under the subparagraphs of Paragraph 1 of Article 7 herein which are issued or guaranteed by the same company shall not exceed 5% of the insurer’s funds and 10% of the owners’ equity of the issuing company, unless the provision of Subparagraph 2 hereof is met.2.If the corporate bonds and commercial papers issued or guaranteed by a company are guaranteed by a third party and meet the following conditions, the total amount of investment in foreign currency denominated commercial papers issued or guaranteed by such company, as well as those issued or guaranteed by the third party, and securities mentioned as specified in Subparagraph 13 of Article 5 or under the subparagraphs of Paragraph 1 of Article 7 herein which are issued or guaranteed by such company and the third party shall not exceed 5% of the insurer’s funds and 10% of the owners’ equity of the third party:(1)The third party and the company have prepared consolidated financial statements in accordance with generally accepted accounting principles (GAAP).(2)The owners’ equity of the third party exceeds that of the company.
中文原文 保險業辦理國外投資管理辦法第6條
保險業辦理前條第一款外國中央政府所屬機構發行之債券投資，應符合下列投資條件及限額規定：
一、該外國中央政府所屬機構須經國外信用評等機構認定中央政府支援程度在中級或相當等級以上，且該債券發行評等等級須經國外信用評等機構評定為AA-級或相當等級以上。
二、保險業對每一外國中央政府所屬機構所發行債券之投資總額，不得超過該保險業資金之百分之五。
保險業辦理前條第二款外國地方政府發行或保證之債券投資，應符合下列投資條件及限額規定：
一、債券發行評等須經國外信用評等機構評定為A-級或相當等級以上，地方政府所屬國家之主權評等等級並須經國外信用評等機構評定為AA-級或相當等級以上。
二、投資於每一外國地方政府發行或保證之債券之總額，不得超過該保險業經核定國外投資額度百分之五。
保險業辦理前條第二款外國地方政府所屬機構發行或保證之債券投資，應符合下列投資條件及限額規定：
一、該外國地方政府所屬機構係由地方政府為執行公共事務而出資設立或依法特許設立，且地方政府得直接或間接控制其人事、財務或業務經營之機構，並由該機構執行公共事務營運所得資金或經指撥特定財源之收入作為償債財源。
二、該債券之發行、交易及資訊揭露均符合發行機構所屬國家之證券主管機關或其他依該國家證券相關法律成立且受證券主管機關監管之權責單位所定相關規定。
三、債券發行評等須經國外信用評等機構評定為A-級或相當等級以上，地方政府所屬機構所屬國家之主權評等等級並須經國外信用評等機構評定為AA-級或相當等級以上。
四、保險業投資於每一外國地方政府轄下全部外國地方政府所屬機構發行或保證之債券之總額，加計投資於同一外國地方政府發行或保證之債券之總額，不得超過該保險業經核定國外投資額度百分之五。
保險業辦理前條第三款外國銀行發行或保證之金融債券、可轉讓定期存單、浮動利率中期債券投資，應符合下列投資條件及限額規定：
一、投資條件如下：
（一）債券發行評等等級須經國外信用評等機構評定為BBB+級或相當等級以上。
但符合第二目或第三目規定者，不在此限。
（二）保險業符合下列條件者，得投資債券發行評等等級經國外信用評等機構評定為BBB-級、BB+級或相當等級之債券：1.最近一年無國外投資違反本法受重大裁罰及處分，或違反情事已改正並經主管機關認可。
2.董事會下設風險管理委員會，並於公司內部設風險管理部門及置風控長一人，實際負責公司整體風險控管。
3.由董事會每年訂定風險限額，並由風險管理委員會或風險管理部門定期控管。
4.最近一期自有資本與風險資本之比率達百分之二百五十以上或經國內外信用評等機構評定最近一年信用評等等級為AA級或相當等級以上。
（三）保險業最近一期自有資本與風險資本之比率達百分之二百以上且符合第二目之1及2所定條件者，得投資債券發行評等等級經國外信用評等機構評定為BBB級或相當等級之債券。
（四）債券屬次順位者，前三目所定債券發行評等等級，不得以國外信用評等機構對該債券發行或保證銀行評定之信用評等等級替代之。
二、投資限額如下：
（一）投資於債券發行評等等級經國外信用評等機構評定為BB+級或相當等級之次順位債券之總額，不得超過該保險業經核定國外投資額度百分之二。
（二）投資於債券發行評等等級經國外信用評等機構評定為BBB級至BB+級或相當等級之次順位債券之總額，不得超過該保險業經核定國外投資額度百分之七點五或業主權益百分之三十孰高者。
但保險業依第十六條第一項但書規定報經主管機關核准者，其委由臺灣集中保管結算所股份有限公司（以下簡稱集保公司）或最近一年經國內外信用評等機構評定信用評等等級為A-級或相當等級以上之本國金融機構及外國金融機構在臺分支機構辦理前條國外有價證券保管之金額，合計占前條國外有價證券投資金額之比重未達一定標準者，應依下列規定辦理：1.比重未達百分之三十者，投資總額不得超過該保險業經核定國外投資額度百分之六或業主權益百分之三十孰高者。
2.比重達百分之三十以上未達百分之五十者，投資總額不得超過該保險業經核定國外投資額度百分之七或業主權益百分之三十孰高者。
（三）投資於每一銀行發行或保證之債券、可轉讓定期存單，合計投資於同一銀行所發行第七條第一項股票之總額，不得超過該保險業資金百分之五及發行銀行業主權益百分之十。
（四）投資於每一銀行發行或保證之債券發行評等等級經國外信用評等機構評定為BBB級或BBB-級或BB+級或相當等級之次順位債券之總額，不得超過該保險業業主權益百分之十。
保險業辦理前條第四款外國銀行在臺分行（含國際金融業務分行）及大陸地區銀行在臺分行發行之外幣可轉讓定期存單、第五款本國銀行發行之外幣可轉讓定期存單投資，其投資總額應計入第四條第二項規定限額。
保險業辦理前條第五款本國銀行發行以外幣計價之金融債券、第六款本國企業發行以外幣計價之公司債投資，應符合下列投資條件及限額規定：
一、投資條件準用本法第一百四十六條之一第一項第二款、第四款及第二項規定。
二、投資金額應計入本法第一百四十六條之一第一項第二款、第四款及第二項規定限額。
保險業辦理前條第七款以外幣計價之商業本票投資，其債券發行評等等級須經國外信用評等機構評定為BBB+級或相當等級以上，且應符合下列投資限額規定：
一、保險業投資於每一公司發行或保證以外幣計價之商業本票金額，合計投資於同一公司所發行或保證之符合第五條第十三款或第七條第一項各款有價證券之總額，不得超過該保險業資金百分之五及發行公司業主權益百分之十。
但符合第二款規定者，不在此限。
二、保險業投資之每一公司發行或保證之公司債及商業本票，如經第三人提供保證，且符合下列情形者，其投資於該公司所發行或保證以外幣計價之商業本票金額，合計投資於該第三人所發行或保證以外幣計價之商業本票金額，以及投資於該公司及該第三人所發行或保證之符合第五條第十三款或第七條第一項各款有價證券之總額，不得超過該保險業資金百分之五及該第三人業主權益百分之十：
（一）該第三人與該公司已依一般公認會計準則編製合併報表者。
（二）該第三人之業主權益金額大於該公司之業主權益金額。
一、該外國中央政府所屬機構須經國外信用評等機構認定中央政府支援程度在中級或相當等級以上，且該債券發行評等等級須經國外信用評等機構評定為AA-級或相當等級以上。
二、保險業對每一外國中央政府所屬機構所發行債券之投資總額，不得超過該保險業資金之百分之五。
保險業辦理前條第二款外國地方政府發行或保證之債券投資，應符合下列投資條件及限額規定：
一、債券發行評等須經國外信用評等機構評定為A-級或相當等級以上，地方政府所屬國家之主權評等等級並須經國外信用評等機構評定為AA-級或相當等級以上。
二、投資於每一外國地方政府發行或保證之債券之總額，不得超過該保險業經核定國外投資額度百分之五。
保險業辦理前條第二款外國地方政府所屬機構發行或保證之債券投資，應符合下列投資條件及限額規定：
一、該外國地方政府所屬機構係由地方政府為執行公共事務而出資設立或依法特許設立，且地方政府得直接或間接控制其人事、財務或業務經營之機構，並由該機構執行公共事務營運所得資金或經指撥特定財源之收入作為償債財源。
二、該債券之發行、交易及資訊揭露均符合發行機構所屬國家之證券主管機關或其他依該國家證券相關法律成立且受證券主管機關監管之權責單位所定相關規定。
三、債券發行評等須經國外信用評等機構評定為A-級或相當等級以上，地方政府所屬機構所屬國家之主權評等等級並須經國外信用評等機構評定為AA-級或相當等級以上。
四、保險業投資於每一外國地方政府轄下全部外國地方政府所屬機構發行或保證之債券之總額，加計投資於同一外國地方政府發行或保證之債券之總額，不得超過該保險業經核定國外投資額度百分之五。
保險業辦理前條第三款外國銀行發行或保證之金融債券、可轉讓定期存單、浮動利率中期債券投資，應符合下列投資條件及限額規定：
一、投資條件如下：
（一）債券發行評等等級須經國外信用評等機構評定為BBB+級或相當等級以上。
但符合第二目或第三目規定者，不在此限。
（二）保險業符合下列條件者，得投資債券發行評等等級經國外信用評等機構評定為BBB-級、BB+級或相當等級之債券：1.最近一年無國外投資違反本法受重大裁罰及處分，或違反情事已改正並經主管機關認可。
2.董事會下設風險管理委員會，並於公司內部設風險管理部門及置風控長一人，實際負責公司整體風險控管。
3.由董事會每年訂定風險限額，並由風險管理委員會或風險管理部門定期控管。
4.最近一期自有資本與風險資本之比率達百分之二百五十以上或經國內外信用評等機構評定最近一年信用評等等級為AA級或相當等級以上。
（三）保險業最近一期自有資本與風險資本之比率達百分之二百以上且符合第二目之1及2所定條件者，得投資債券發行評等等級經國外信用評等機構評定為BBB級或相當等級之債券。
（四）債券屬次順位者，前三目所定債券發行評等等級，不得以國外信用評等機構對該債券發行或保證銀行評定之信用評等等級替代之。
二、投資限額如下：
（一）投資於債券發行評等等級經國外信用評等機構評定為BB+級或相當等級之次順位債券之總額，不得超過該保險業經核定國外投資額度百分之二。
（二）投資於債券發行評等等級經國外信用評等機構評定為BBB級至BB+級或相當等級之次順位債券之總額，不得超過該保險業經核定國外投資額度百分之七點五或業主權益百分之三十孰高者。
但保險業依第十六條第一項但書規定報經主管機關核准者，其委由臺灣集中保管結算所股份有限公司（以下簡稱集保公司）或最近一年經國內外信用評等機構評定信用評等等級為A-級或相當等級以上之本國金融機構及外國金融機構在臺分支機構辦理前條國外有價證券保管之金額，合計占前條國外有價證券投資金額之比重未達一定標準者，應依下列規定辦理：1.比重未達百分之三十者，投資總額不得超過該保險業經核定國外投資額度百分之六或業主權益百分之三十孰高者。
2.比重達百分之三十以上未達百分之五十者，投資總額不得超過該保險業經核定國外投資額度百分之七或業主權益百分之三十孰高者。
（三）投資於每一銀行發行或保證之債券、可轉讓定期存單，合計投資於同一銀行所發行第七條第一項股票之總額，不得超過該保險業資金百分之五及發行銀行業主權益百分之十。
（四）投資於每一銀行發行或保證之債券發行評等等級經國外信用評等機構評定為BBB級或BBB-級或BB+級或相當等級之次順位債券之總額，不得超過該保險業業主權益百分之十。
保險業辦理前條第四款外國銀行在臺分行（含國際金融業務分行）及大陸地區銀行在臺分行發行之外幣可轉讓定期存單、第五款本國銀行發行之外幣可轉讓定期存單投資，其投資總額應計入第四條第二項規定限額。
保險業辦理前條第五款本國銀行發行以外幣計價之金融債券、第六款本國企業發行以外幣計價之公司債投資，應符合下列投資條件及限額規定：
一、投資條件準用本法第一百四十六條之一第一項第二款、第四款及第二項規定。
二、投資金額應計入本法第一百四十六條之一第一項第二款、第四款及第二項規定限額。
保險業辦理前條第七款以外幣計價之商業本票投資，其債券發行評等等級須經國外信用評等機構評定為BBB+級或相當等級以上，且應符合下列投資限額規定：
一、保險業投資於每一公司發行或保證以外幣計價之商業本票金額，合計投資於同一公司所發行或保證之符合第五條第十三款或第七條第一項各款有價證券之總額，不得超過該保險業資金百分之五及發行公司業主權益百分之十。
但符合第二款規定者，不在此限。
二、保險業投資之每一公司發行或保證之公司債及商業本票，如經第三人提供保證，且符合下列情形者，其投資於該公司所發行或保證以外幣計價之商業本票金額，合計投資於該第三人所發行或保證以外幣計價之商業本票金額，以及投資於該公司及該第三人所發行或保證之符合第五條第十三款或第七條第一項各款有價證券之總額，不得超過該保險業資金百分之五及該第三人業主權益百分之十：
（一）該第三人與該公司已依一般公認會計準則編製合併報表者。
（二）該第三人之業主權益金額大於該公司之業主權益金額。