I. Legal basis

• Law on Insurance Business amended in 2025
• Law on Insurance Business 2022
• Decree No. 174/2024/ND-CP
• Decree No. 46/2023/ND-CPP

II. Limitations on investment activities of insurance brokerage enterprises from 2026

Pursuant to the Law on Insurance Business (amended in 2025), effective from 01 January 2026, the investment activities of insurance brokerage enterprises shall be subject to stricter regulation in order to ensure financial safety. Specifically:

• Investment principles: insurance brokerage enterprises shall comply with four (04) core principles, namely safety, liquidity, efficiency, compliance with applicable laws, and shall assume full responsibility for their investment activities.
• Investment restrictions: notably, insurance brokerage enterprises shall be prohibited from making investments in any form in their shareholders, capital-contributing members, or related persons as defined under the Law on Enterprises. Such enterprises may only place deposits with shareholders or members where such entities are credit institutions. This is a newly introduced provision, which was not stipulated under the 2022 Law on Insurance Business.

III. New regulations on insurance agents from 2026

The Law on Insurance Business (amended in 2025) also clarifies that an individual acting as an insurance agent for a life insurer, non-life insurer, health insurer, or a mutual organization providing insurance shall not concurrently act as an agent for another enterprise or organization of the same type. This provision shall be uniformly applicable to all types of insurance enterprises operating in Vietnam.

IV. Penalties applicable to managers of insurance brokerage enterprises

In addition to the limitations on investment activities, regulations governing the managerial personnel of insurance brokerage enterprises are also subject to strict supervision under Decree No. 174/2024/ND-CP on administrative sanctions in the field of insurance business and Decree No. 46/2023/ND-CP detailing the implementation of a number of articles of the Law on Insurance Business.

Administrative penalties: an insurance brokerage enterprise shall be subject to a fine ranging from VND 140,000,000 to VND 180,000,000 if it commits any of the following violations:

• The Deputy Director or Deputy General Director, Chief Accountant, or heads of professional departments of an insurance brokerage enterprise fail to satisfy the standards prescribed in Clause 1, Article 138 of the Law on Insurance Business 2022, and Articles 79 and 80 of Decree No. 46/2023/ND-CP.
• The Chairperson of the Board of Directors, Chairperson of the Members’ Council, Director or General Director fails to satisfy the standards prescribed by law, as set out in Articles 77 and 78 of Decree No. 46/2023/ND-CP.
• Changing the Chairperson of the Board of Directors, Chairperson of the Members’ Council, Director or General Director without obtaining prior written approval from the Ministry of Finance.

V. Stricter regulations on conditions and standards applicable to managers of insurance enterprises

The Law on Insurance Business (amended in 2025) has comprehensively revised the provisions on the conditions and standards applicable to managers and controllers of insurance enterprises, introducing numerous mandatory requirements regarding personnel, experience, and residency in order to enhance market governance capacity.

The 2025 Law amends and supplements Article 81 of the Law on Insurance Business 2022 regarding managers and controllers of insurance enterprises. Accordingly, they must simultaneously satisfy the following general conditions:

• Not having been subject to administrative sanctions in the field of insurance business;
• Not having been disciplined by dismissal due to violations of internal procedures for a continuous period of three (03) years prior to the time of appointment;
• Not being subject to criminal prosecution by a competent authority at the time of election or appointment.

These constitute newly specified conditions which were not required under the 2022 Law.

The 2025 Law also provides a detailed classification by specific titles, while raising requirements on professional experience; introducing additional conditions relating to ethics, discipline, and legal proceedings; standardizing professional qualifications and insurance certifications; and mandating residency in Vietnam for key executive positions.

VI. About Us, Hankuk Law Firm

■ Hankuk Law Firm – Introduction

The goal of the legal services provided by HANKUK LAW FIRM is to support businesses, investors, and people. Our organization employs skilled Korean lawyers, partners, and professionals to provide legal services to businesses related to corporations and litigation.

To support the startup process, our lawyers and staff provide a wide range of services, including business law consulting, tax and immigration law consulting, real estate services, business consulting, marketing and communications, human resources, product distribution, franchise options, etc. We provide expert advice on every aspect of your business needs.

To protect the legitimate rights and interests of our clients and achieve the best results, we provide legal advice and participate in civil lawsuits related to business, labor, marriage, family, and inheritance.

■ Contact us now

For reliable and effective legal advice, please contact HANKUK LAW FIRM now. We are committed to providing you with the best possible answers and our team of experienced lawyers has extensive knowledge in many legal fields. We are always here to provide the most competent and dedicated support, whether you are dealing with contractual issues, commercial disputes or need guidance on foreign investment. HANKUK LAW FIRM is honored to have assisted hundreds of domestic and international clients in skillfully resolving complex legal issues as their trusted legal partner. Do not let legal issues hinder your success. Let us accompany you towards legal achievement and comfort. For prompt guidance and support to ensure your rights are always maintained at the highest standards, contact HANKUK LAW FIRM now.

■ Contact Hankuk Law Firm:

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