THE
MINISTRY OF FINANCE
-------
|
SOCIALIST
REPUBLIC OF VIET NAM
Independence - Freedom - Happiness
----------
|
No.
76/2003/TT-BTC
|
Hanoi,
August 4, 2003
|
CIRCULAR
PROVIDING
GUIDELINES ON INSURANCE IN INVESTMENT AND CONSTRUCTION
Pursuant to the Law on
Insurance Business dated 9 December 2000;
Pursuant to Decree 42/2001/ND-CP of the Government dated 1 August 2001
providing guidelines for implementation of a number of articles of the Law on
Insurance Business;
Pursuant to Decree 52/1999/ND-CP of the Government dated 8 July 1999 issuing
Regulations on Management of Investment and Construction; Decree 07/2003/ND-CP
of the Government dated 30 January 2003 on amendment of and addition to a
number of articles of the Regulations on Management of Investment and
Construction issued with Decree 52/1999/ND-CP dated 8 July 1999 and Decree
12/2000/ND-CP of the Government dated 5 May 2000;
The Ministry of Finance hereby
provides the following guidelines on insurance in investment and construction:
I. GENERAL PROVISIONS
1. When carrying out investment
and construction under investment projects, relevant organizations and
individuals (including foreign organizations and individuals engaged in
investment and construction consultancy and in construction and installation of
works in Vietnam) shall purchase insurance in accordance with this Circular to
cover damage arising from unpredictable and unforeseeable risks or faults,
omissions or negligence of organizations or individuals during the course of investment
and construction.
Insurance in investment and
construction for foreign direct investment projects shall be procured in
accordance with the provisions of the laws on foreign investment in Vietnam.
2. Organizations and individuals
must purchase insurance in investment and construction from an insurance
enterprise operating in Vietnam.
...
...
...
Please sign up or sign in to your Pro Membership to see English documents.
II. SPECIFIC PROVISIONS
1. Products of insurance in
investment and construction include:
1.1 Professional insurance for
investment and construction consultancy;
1.2 Insurance for construction
works;
1.3 Insurance for materials,
equipment, premises used in construction;
1.4 Insurance for employee
accidents;
1.5 Insurance for third party
civil liability.
2. Applicability of compulsory
insurance:
2.1 Insurance for construction
works shall be procured in respect of investment projects funded by capital
from the State Budget, credit capital guaranteed by the State, State owned
credit capital for investment and development, and capital for investment and
development of State owned enterprises.
...
...
...
Please sign up or sign in to your Pro Membership to see English documents.
2.2 Professional liability
insurance for investment and construction consultancy; insurance for materials,
equipment, premises used in construction; insurance for employee accidents;
insurance for third party civil liability shall be compulsory insurance for
organizations andindividuals engaged in investment and construction consultancy
and in construction and installation of works irrespective of investment capital
sources.
3. Purchasers of insurance
include: investors (or project management boards), investment and construction
consultancy organizations (or individuals) and construction enterprises.
3.1 In the case of professional
insurance for investment and construction consultancy, the purchaser of
insurance shall beinvestment and construction consultancy organizations (or
individuals).
3.2 In the case of insurance for
construction works, the purchaser of insurance shall be investors (or project
management boards). Where insurance costs have been included in the successful
bid price, the contractor shall purchase insurance.
3.3 In the case of insurance for
materials, equipment, premises used in construction; employee accidents; or
third party civil liability, the purchaser of insurance shall be construction
enterprises.
4. Accounting of insurance
costs:
4.1 In the case of professional
insurance for investment and construction consultancy, insurance costs shall be
included in the cost of the consultancy product.
4.2 In the case of insurance for
construction works, insurance costs shall constitute a part of the investment
capital of the project and shall be included in the approved total estimated
budget (estimated budget) of the works. Insurance costs shall be calculated as
a percentage of the value of the works.
4.3 In the case of insurance for
materials, equipment, premises used in construction; employee accidents; or
third party civil liability, insurance costs shall be included in production
and business expenses of a construction enterprise.
...
...
...
Please sign up or sign in to your Pro Membership to see English documents.
III. IMPLEMENTING PROVISIONS
This Circular shall be of full
force and effect after fifteen (15) days from the date of publication in the
Official Gazette and shall replace Circular 137/1999/TT-BTC of the Ministry of
Finance dated 19 November 1999 providing guidelines on construction work
insurance.
If any problems arise during the
course of implementation, they should be reported promptly to the Ministry of
Finance for consideration and resolution.
FOR THE MINISTER
OF FINANCE
DEPUTY MINISTER
Nguyen Cong Nghiep