At a bank counter, check whether you are signing for a deposit or an insurance policy
Chinese banks may sell insurance but may not present it as a deposit. The cover must prominently identify an insurance contract and insurer, without “deposit” or “savings” language. Insurance is not a deposit and surrender after cooling off can lose money. Special safeguards apply to older or lower-income purchasers.
What it takes
Free. Spend two minutes reading the cover before signing.
What you may gain
China's bank-insurance agency rules prohibit conflating insurance with deposits, funds or bank wealth-management products, simple misleading comparisons of returns, or presenting uncertain returns as guaranteed. Insurance documents and promotional materials may not use the bank's name/logo or phrases such as deposit, savings or jointly launched with the bank. Policy covers must print “insurance contract” at least 72-point and the insurer's name at least Chinese No. 2 type size. In principle, only products with determinate benefits should be sold to purchasers over 65, installment-premium purchasers over 60, or people declaring annual income below local per-capita disposable income. Such applications require manual insurer underwriting rather than automatic branch issuance. Insurer staff may not sell from bank branches. Bank-sold policies exceeding one year have a 15-day cooling-off period; later surrender can cause loss. These rules date from October 2019.
Context & considerations
Grade B: rules are clear, but no official loss estimate for misled purchasers is cited. Older relatives depositing money are particularly worth helping with the cover check. For a recent signature, use cooling-off rights; for alleged mis-selling, see official complaints. Beneficiaries are you and older family members.
Research & references
General Office, China Banking and Insurance Regulatory Commission (2019). Measures for Commercial Banks' Insurance Agency Business, document No. 179, Articles 30, 31, 32, 36, 42 and 49. https://www.gov.cn/zhengce/zhengceku/2019-12/03/content_5457853.htm