Decree 67/2023/ND-CP compulsory insurance for motor vehicle owner’s civil liability

DECREE

On compulsory insurance for motor vehicle owner’s civil liability, compulsory fire and explosion insurance and compulsory insurance in construction investment activities

______________

Pursuant to the Law on Organization of the Government dated June 19, 2015; the Law Amending and Supplementing a Number of Articles of the Law on Organization of the Government and the Law on Organization of Local Administration dated November 22, 2019;

Pursuant to the Civil Code dated November 24, 2015;

Pursuant to the Law on Insurance Business dated June 16, 2022;

Pursuant to the Law on Road Traffic dated November 13, 2008;

Pursuant to the Law on Fire Prevention and Fighting dated June 29, 2001 and the Law Amending and Supplementing a Number of Articles of the Law on Fire Prevention and Fighting dated November 22, 2013;

Pursuant to the Construction Law dated June 18, 2014 and the Law Amending a Number of Articles of the Construction Law dated June 28, 2020;

At the proposal of the Minister of Finance;

The Government hereby promulgates the Decree on compulsory insurance for motor vehicle owner’s civil liability, compulsory fire and explosion insurance and compulsory insurance in construction investment activities.

Chapter I

GENERAL PROVISIONS

Article 1. Scope of regulation

This Decree prescribes:

1. Insurance conditions and premiums, minimum insurance sum for compulsory insurance for motor vehicle owner’s civil liability, compulsory fire and explosion insurance and compulsory insurance in construction investment activities.

2. The mechanism on management and use of the Motor Vehicle Insurance Fund; collection rates and management and use of revenues from compulsory fire and explosion insurance for fire prevention and fighting activities.

3. Responsibilities of ministries and involved agencies, insurance buyers and insurance enterprises in implementing compulsory insurance for motor vehicle owner’s civil liability, compulsory fire and explosion insurance and compulsory insurance in construction investment activities.

Article 2. Subjects of application

This Decree applies to:

1. Motor vehicle owners joining traffic and operating in the territory of the Socialist Republic of Vietnam, for compulsory insurance for motor vehicle owner’s civil liability.

2. Agencies, organizations and individuals that have establishments prone to fire or explosion in accordance with the law on fire prevention and fighting, for compulsory fire and explosion insurance.

3. Project owners and contractors as prescribed by the construction law, for compulsory insurance in construction investment activities.

4. Non-life insurance enterprises, branches of foreign non-life insurance enterprises (hereinafter referred to as “insurance enterprises”); reinsurance enterprises and branches of foreign reinsurance enterprises (hereinafter referred to as “reinsurance enterprises”).

5. Other agencies, organizations and individuals involved in compulsory insurance for motor vehicle owner’s civil liability, compulsory fire and explosion insurance and compulsory insurance in construction investment activities.

Article 3. Interpretation of terms

In this Decree, the terms and phrases below are construed as follows:

1. Motor vehicle owner means the owner of a motor vehicle or a person assigned by the owner of a motor vehicle to lawfully possess or use the latter’s motor vehicle.

2. Motor vehicle in operation means a motor vehicle operated under the control of the motor vehicle owner or operating driver, including moving, stopping or parking.

3. Motor vehicle joining traffic means a motor vehicle owner or a driver operating a motor vehicle on the road.

4. Consultancy contractor means a consultancy contractor providing construction survey or construction design for construction works of grade II or higher grade.

5. Third party

a) For compulsory insurance for motor vehicle owner’s civil liability: Third party means a person suffering death or bodily injuries or property damage caused by a motor vehicle, except the following persons: The driver, persons on such motor vehicle; motor vehicle owner, unless the owner has assigned another organization or individual to possess or use such vehicle.

b) For compulsory insurance in construction investment activities: Third party means a person suffering damage to health, life, property or other legal rights and interests caused by construction survey, construction design, construction execution, except for insurance enterprises, insurance buyers, workers on the construction site.

6. Insurance withholding rate means the sum which the insurance buyer must incur in each insurance incident.

7. Putting into operation means the putting of a construction work or work item into operation.

8. Occupational disease means a disease defined in the Law on Occupational Safety and Health.

9. Employees defined in the Labor Code.

10. Occupational accident means an accident defined in the Law on Occupational Safety and Health.

Article 4. General principles

1. Agencies, organizations and individuals specified in Clauses 1, 2 and 3 Article 2 of this Decree (hereinafter referred to as “insurance buyers”) shall purchase compulsory fire and explosion insurance from insurance enterprises allowed to conduct fire and explosion insurance operations in accordance with law.

2. Insurance buyers and enterprises shall implement compulsory insurance under insurance conditions and premiums and minimum insurance sum specified in this Decree.

3. Apart from participating in compulsory insurance under insurance conditions and premiums, minimum insurance sum or limits of insured liability specified in this Decree, insurance buyers and enterprises may reach agreement in insurance contracts on expanding insurance conditions, increased insurance sum and corresponding additional insurance premiums in accordance with law provisions. In this case, insurance enterprises shall separate compulsory insurance from insurance contracts.

The State encourages agencies, organizations and individuals that are not obliged to participate in compulsory insurance as prescribed by this Decree to purchase insurance on the basis of agreement with insurance enterprises and compliance with relevant laws.

4. In compulsory insurance for motor vehicle owner’s civil liability, for each motor vehicle, the liability to pay indemnity for motor vehicle owner’s civil liability only arises under a single insurance contract.

5. Insurance enterprises may refuse to sell compulsory insurance in the following cases:

a) For compulsory insurance for motor vehicle owner’s civil liability:

Motor vehicles of which the lifetime expires as prescribed by law.

b) For compulsory fire and explosion insurance:

Establishments prone to fire or explosion have not yet been inspected in fire prevention and fighting in accordance with law.

Establishments prone to fire or explosion do not possess minutes on fire prevention and fighting safety examination by competent police offices or possess examination minutes made more than one year by the time of purchase of the compulsory fire and explosion insurance.

Establishment prone to fire or explosion of which the operation is currently suspended or terminated due to their violations of the law on fire prevention and fighting.

c) For compulsory insurance in construction investment activities:

The insurance buyers fail to satisfy the capacity conditions on construction activities as prescribed in the Construction Law and guiding documents.

6. Expenses for purchase of compulsory insurance:

a) For compulsory insurance for motor vehicle owner’s civil liability and compulsory fire and explosion insurance: Insurance buyers may account expenses for purchase of compulsory insurance as product, service costs or cost of business operations (for production and business establishments) or as a regular expenditure (for state administrative agencies, public non-business units, socio-political organizations and other organizations).

b) Expenses for purchase of compulsory insurance in construction investment activities: Comply with the construction law and this Decree.

7. Time limits for payment of insurance premiums must comply with regulations of the Ministry of Finance. For insurance contracts for construction works of construction investment projects specified in the Government's Decree No. 50/2021/ND-CP dated April 01, 2021, amending and supplementing a number of articles the Government’s Decree No. 37/2015/ND-CP of April 22, 2015, prescribing in detail construction contracts, insurance enterprises and insurance buyers shall reach an agreement on time limits for premium payments which are not later than the payment schedule of the construction contracts and include them in the insurance contracts. In any cases, the date of premium payment must not be beyond the insurance period.

8. The insurance enterprise is not liable to pay indemnity for any amount of money which arises or increases from an act of insurance fraud as prescribed in the Penal Code.

9. The leading foreign reinsurance enterprises or organizations and foreign insurance enterprises or organizations that accept reinsurance accounting for 10% or more of the total liability under each reinsurance contract are rated at least “BBB” by the Standards & Poor’s or Fitch Ratings, “B++” by A.M. Best, “Baal” by Moody’s or an equivalent rating by another rating agency in the fiscal year nearest to the time the reinsurance contract is entered into.

10. Other contents relating to insurance contracts that are not mentioned in this Decree shall comply with the law on insurance business and relevant laws.

Chapter II

REGULATIONS ON COMPULSORY INSURANCE FOR MOTOR VEHICLE OWNER’S CIVIL LIABILITY

Section 1

 INSURANCE CONDITIONS AND PREMIUMS, LIMITS OF INSURED LIABILITY

Article 5. Insured objects

Object of the compulsory insurance for motor vehicle owner’s civil liability is the motor vehicle owner’s civil liability toward the third party and passengers as prescribed by law.

Article 6. Limits of insured liability

1. The limit of insured liability toward damage to health or life caused by a motor vehicle is VND 150 million/person for an accident case.

2. The limit of insured liability toward damage to property caused by:

a) Two-wheeled motorcycles; three-wheeled motorcycles; mopeds (including electric motorbikes) and vehicles with similar structures as prescribed by the Law on Road Traffic: VND 50 million in an accident case.

b) Cars; tractors; trailers; trailers or semi-trailers pulled by cars or tractors as prescribed by the Law on Road Traffic: VND 100 million in an accident case.

Article 7. Scope of insurance and exclusion of insurance liability

1. Scope of insurance

An insurance enterprise is liable to indemnify for the following damages:

a) Outside-contract damage caused by a motor vehicle joining traffic or in operation to a third party’s health, life and property.

b) Damage caused by a motor vehicle joining traffic or in operation to the health and life of passengers on such vehicle.

2. Cases of exclusion of insurance liability

An insurance enterprise is not liable to indemnify in the following cases:

a) The motor vehicle owner, the driver or the aggrieved person intentionally causes damage.

b) The driver who causes the accident intentionally flees without discharging the motor vehicle owner’s civil liability. In case the driver who causes the accident intentionally flees but has fulfilled the motor vehicle owner’s civil liability, he/she will not fall into the case of exclusion of insurance liability.

c) The driver fails to satisfy the conditions in terms of age as prescribed by the Law on Road Traffic; the driver has no driving license or uses an invalid driving license as prescribed by the law on training, examination and issuance of motor vehicle driving licenses, a driving license containing erased information or a driving license already expired at the time of occurrence of the accident or a driving license not suitable to the motor vehicle of which the driver is required to have a driving license. A driver who has been deprived of the right to use a driving license for a definite term or whose driving license has been revoked is considered having no driving license.

d) Damage causes indirect consequences including decrease in commercial value, or damage associated with the use and exploitation of the damaged property.

dd) Damage to property is caused by the motor vehicle driver who has alcohol concentration in blood or breath in excess of the normal concentration as guided by the Ministry of Health; or uses drugs or stimulants prohibited by law.

e) Damage is caused to property stolen or looted in an accident.

g) Damage is caused to special property such as gold, silver, precious gems, valuable papers such as money, antiques and precious and rare paintings, human corpses and remains.

h) Damage caused by war, terrorism, earthquake.

Article 8. Insurance premiums

1. The insurance premium applicable to each type of motor vehicle is specified in Appendix I to this Decree.

2. Based on the accident history of indemnity of each motor vehicle or the accident history of the motor vehicle owner, an insurance enterprise may take the initiative in reviewing, increasing and decreasing insurance premiums. The maximum insurance premium increase or decrease is 15% on the insurance premium specified in Appendix I to this Decree.

Article 9. Insurance period

1. The period of compulsory insurance for motor vehicle owner’s civil liability is between 1 year and 3 years, except for the following cases where the insurance period may be shorter than 1 year:

a) Foreign motor vehicles temporarily imported for re-export with a period of operating on the roads in the territory of the Socialist Republic of Vietnam shorter than 1 year.

b) Motor vehicles with the remaining lifetime of under 1 year as prescribed by law.

c) Motor vehicles subject to temporary registration according to regulations of the Ministry of Public Security.

2. In case a motor vehicle owner has many vehicles covered by insurance at different times in a year but in the subsequent year he/she wishes to have them insured at the same point of time for easy management, the insurance period of these vehicles may be shorter than 1 year and equal to the remaining validity period of the first concluded contract of that year. For the insurance contracts and insurance certificates after being brought to the same point of time, their insurance periods in the subsequent year must comply with the provisions of Clause 1 of this Article.

3. During the validity period stated in an insurance certificate, if there is a motor vehicle title transfer, the former motor vehicle owner may terminate the performance of the insurance contract in accordance with Article 11 of this Decree.

Article 10. Insurance certificates

1. When buying compulsory insurance for motor vehicle owner’s civil liability, a motor vehicle owner shall be issued an insurance certificate by the insurance enterprise. Each motor vehicle shall be issued a single insurance certificate. When losing an insurance certificate, a motor vehicle owner shall send a written request to the insurance enterprise for re-issuance of the insurance certificate.

2. An insurance certificate may be designed by an insurance enterprise itself and must contain the following details:

a) Name, address and phone number (if any) of the motor vehicle owner.

b) License plate number or chassis number or engine number.

c) Type of vehicle, tonnage, number of seats, and use purpose, for a car.

d) Name, address and hotline number of the insurance enterprise.

dd) Limits of insured liability toward the third party.

e) Responsibilities of the motor vehicle owner and the driver in the event of an accident.

g) Insurance period, insurance premium, and premium payment schedule.

h) Date of issuance of the insurance certificate.

i) Numeric codes and barcodes already registered, managed and used in accordance with the law to store, transmit and retrieve insurance enterprise identification information and identification information of compulsory insurance products for motor vehicle owner’s civil liability.

3. In case of issuance of electronic insurance certificates, an insurance enterprise shall comply with the Law on E-Transactions and guiding documents; an electronic insurance certificate must comply with the current regulations and have all the contents specified in Clause 2 of this Article.

Article 11. Termination of insurance contracts and legal consequences of termination of insurance contracts

In case where the motor vehicle has its vehicle registration certificate or license plate revoked according to regulations of the Minister of Public Security, the insurance contract shall be terminated at the time the vehicle registration certificate or license plate is revoked. The insurance enterprise is liable to refund insurance premiums already paid to the insurance buyer corresponding to the remaining term of the insurance contract from the time the insurance contract is terminated.

Article 12. Principles of indemnity

Insurance enterprises shall consider paying indemnity in accordance with the law on insurance business and based on the following principles:

1. Upon occurrence of an accident, the insured shall:

a) Immediately notify the insurance enterprise on the hotline for coordination in settling, actively rescuing, and minimizing damage to health, life and property, and protecting the accident scene.

b) Not move, dismantle or repair property without obtaining the insurance enterprise’s approval, except cases in which it is necessary to do so to ensure safety, prevent and limit deaths, bodily injuries and property damage, or it is required to comply with the instructions of competent agencies.

c) Proactively collect and provide documents required in the indemnity dossier that falls under the responsibility of the insurance buyer and the insured to the insurance enterprise as specified in Article 13 of this Decree.

d) To create favorable conditions for the insurance enterprise in the process of verifying the documents they provide.

2. Within 1 hour after receiving an accident notice, the insurance enterprise shall provide guidance to the insurance buyer or the insured on measures to ensure safety and prevent and limit deaths, bodily injuries and property damage, and on indemnity claim dossiers and procedures; closely coordinate with the insurance buyer, the insured, the third party and related parties within 24 hours to conduct a damage assessment to identify the cause and extent of the damage as a basis for indemnity settlement.

3. Within 3 working days after receiving a notice of an accident from the insurance buyer or the insured, the insurance enterprise shall pay an advance indemnity for the death or bodily injuries, specifically as follows:

a) In case the accident has been determined to fall within the scope of damage compensation:

70% of the estimated indemnity rate as prescribed for a person in an accident case, for cases of death.

50% of the estimated indemnity rate as prescribed for a person in an accident case, for cases of bodily injuries.

b) In case it is not yet possible to determine that the accident falls within the scope of damage compensation:

30% of the law-specified limit of insured liability/person/case, for cases of death and the estimated injury rate from 81% or higher.

10% of the law-specified limit of insured liability/person/case, for cases where the estimated injury rate ranges from 31% to less than 81%.

After paying pay an advance indemnity, the insurance enterprise may request the Motor Vehicle Insurance Fund to refund the advance indemnity already paid in case where the accident is determined to be excluded from insurance liability or not covered by insurance.

4. Within 5 working days from the date an accident occurs, except force majeure cases or objective obstacles, the insurance buyer or the insured shall send a written notice or an electronic notice of the accident to the insurance enterprise.

5. When an accident occurs, within the limits of insured liability, an insurance enterprise shall indemnify the insured for the amount the insured has indemnified or will have to indemnify for the aggrieved person.

In case the insured dies or loses his/her civil act capacity as ruled by the court, the insurance enterprise shall indemnify directly to the aggrieved person or the aggrieved person’s heir (in case the aggrieved person has died) or the aggrieved person’s representative (in case the aggrieved person loses his/her civil act capacity as ruled by the court or is a minor as prescribed by the Civil Code).

6. Indemnity rates:

a) The specific indemnity rate for bodily injuries and death shall be determined by type of injury according to the Table of payment of indemnity for bodily injuries and death provided in Appendix VI to this Decree or as agreed (if any) between the insured and the aggrieved person or the aggrieved person’s heir (in case the aggrieved person has died) or the aggrieved person’s representative (in case the aggrieved person loses his/her civil act capacity as ruled by the court or is a minor as prescribed by the Civil Code), but must not exceed the indemnity rate specified in Appendix VI to this Decree. In case of a court ruling, the indemnity rate shall be paid based on such ruling but must not exceed the indemnity rate specified in Appendix VI to this Decree.

In case an accident is caused by more than one motor vehicle, leading to death or bodily injuries, the indemnity rate shall be determined depending on the extent of violation of the motor vehicle owner provided that the total indemnity must not exceed the limit of insured liability.

For an accident which is determined by a competent agency to have been caused entirely by a third party, the indemnity rate for death or bodily injuries for the third party is equal to 50% of the indemnity rate specified in Appendix VI to this Decree or as agreed (if any) between the insured or the aggrieved person’s heir (in case the aggrieved person has died) or the aggrieved person’s representative (in case the aggrieved person loses his/her civil act capacity as ruled by the court or is a minor as prescribed by the Civil Code), but must not exceed 50% of the indemnity rate specified in Appendix VI to this Decree.

b) The specific indemnity rate for property damage in an accident case shall be determined according to the actual damage and the level of violation of the motor vehicle owner, but must not exceed the limit of insured liability.

7. An insurance enterprise may reduce a maximum of 5% of the amount of indemnity for property damage in case the insurance buyer or the insured fails to notify the accident to the insurance enterprise under Clause 4 of the Article or, after an insured event occurs, the insurance enterprise discovers that during the performance of an insurance contract, the insurance buyer or the insured fails to perform the notification obligation when there is a change in the factors that serve as a basis for insurance premium calculation, leading to an increase in insured risks.

8. An insurance enterprise is not obliged to indemnify the excess of the limit of insured liability stipulated in this Decree, unless the motor vehicle owner concerned has entered into a voluntary insurance contract.

9. In case multiple contracts on compulsory insurance for civil liability are entered into for the same motor vehicle, the indemnity shall be settled only according to the first entered one. The insurance enterprise shall refund to the insurance buyer 100% of the paid insurance premiums for the remaining insurance contracts.

10. The insurance buyer or the insured shall be responsible for notifying and indemnify to the aggrieved person or his/her heir or representative the amount already paid by the insurance enterprise for each case of death or bodily injury according to Point a Clause 6 of this Article.

11. The insurance enterprise shall be responsible for notifying the insurance buyer, the insured and the accident victim of the amount of indemnity for deaths and bodily injuries and pay the indemnity according to Point a Clause 6 of this Article.

Article 13. Indemnity dossier

An indemnity dossier for compulsory civil liability insurance of the motor vehicle owner must comprise:

1. The written indemnity claim.

2. Documents relating to motor vehicle owner and the driver (certified copies from the originals or copies certified by the insurance enterprise after comparison with the originals or photocopies):

a) The vehicle registration certificate (or a certified copy of the original vehicle registration certificate together with the primary-source document of the valid receipt of the credit institution in replacement of the original vehicle registration certificate during the period the credit institution keeps the original vehicle registration certificate) or the document on vehicle title transfer and document on the vehicle origin (if no vehicle registration certificate is available).

b) The driving license.

c) The people’s identity card or citizen identity card or passport or other identification paper of the driver.

d) The insurance certificate.

3. Documents evidencing the bodily injuries or death (a copy of the health establishment or a copy certified by the insurance enterprise after comparing with the original or the photocopy). Depending on the extent of injury, one or some of the following documents is/are required:

a) The injury certificate.

b) Medical records.

c) An extract of the death certificate or the death notice or written certification of a public security agency or assessment results of a forensic examination agency, in case the victim dies on a vehicle or dies in an accident.

4. Documents proving loss of or damage to property, including:

a) Valid invoices and documents, or evidences proving the repair or replacement of the damaged property caused by an accident (to be collected by the insurance enterprise in case it repairs the damaged property or remediates the damage).

b) Papers, invoices and documents related to expenses incurred by the motor vehicle owner to minimize the losses or to comply with the instructions of the insurance enterprise.

5. Copies of relevant documents of the public security agency in accidents causing the death of third parties and passengers, or in cases requiring the verification of an accident case totally caused by the third party, including: notice of results of investigation, verification and handling of accidents or notice of conclusions on investigation and handling of accidents.

6. Assessment minutes of an insurance enterprise or a person authorized by the insurance enterprise.

7. The court ruling (if any).

The insurance buyer and the insured shall collect and send to the insurance enterprise the documents specified in Clauses 1, 2, 3, 4 and 7 of this Article. The insurance enterprise shall collect the documents specified in Clauses 5 and 6 of this Article.

Section 2

 MECHANISM FOR MANAGEMENT AND USE OF THE MOTOR VEHICLE INSURANCE FUND

Article 14. Principles of management and use of the Motor Vehicle Insurance Fund

1. Motor Vehicle Insurance Fund means a fund established to provide humanitarian assistance payments; carry out activities to prevent and reduce road traffic injuries and accidents; and provide public information and education on road traffic safety, the compulsory insurance for motor vehicle owner’s civil liability and related activities to contribute to protecting public interests and ensuring social safety.

2. The Motor Vehicle Insurance Fund shall be contributed by insurance enterprises implementing compulsory insurance for motor vehicle owner’s civil liabilities, and centrally managed at the Insurance Association of Vietnam, has its own accounts at commercial banks operating in Vietnam and may use the seal of the Insurance Association of Vietnam.

3. The Motor Vehicle Insurance Fund shall be managed and used transparently, effectively and properly in accordance with this Decree.

Article 15. Sources forming the Motor Vehicle Insurance Fund

1. Contributions of insurance enterprises licensed to implement compulsory insurance for motor vehicle owner’s civil liability.

2. Deposit interests.

3. Sources of funding and support from organizations and individuals.

4. Other lawful revenues (if any).

Article 16. Contribution to the Motor Vehicle Insurance Fund

1. Insurance enterprises shall deduct at most 1% of the total premiums of compulsory insurance for motor vehicle owner’s civil liability actually earned from original insurance contracts in the preceding fiscal year for contribution to the Motor Vehicle Insurance Fund.

2. Before April 30 every year, the Management Council of the Motor Vehicle Insurance Fund shall decide on the contribution rate to the Motor Vehicle Insurance Fund, notify insurance enterprises and the Ministry of Finance.

3. Insurance enterprises that implement compulsory insurance for motor vehicle owner’s civil liability shall contribute to the account of the Motor Vehicle Insurance Fund according to the following deadlines:

a) Before June 30 every year: 50% of the total amount mentioned in Clauses 1 and 2 of this Article;

b) Before December 31 every year: the remaining amount mentioned in Clauses 1 and 2 of this Article.

Article 17. Expenditures of the Motor Vehicle Insurance Fund

1. The Motor Vehicle Insurance Fund shall be used for the following purposes:

a) Expenses for humanitarian assistance:

In case accident-causing vehicles are unidentifiable or are not covered by insurance, not within the scope of insurance, or are eligible for exclusion of insurance liability as specified in Clause 2 Article 7 of this Decree (except intentional damage-causing acts of motor vehicle owners or drivers or aggrieved persons): 30% of the law-specified limit of insured liability/person/case, for cases of death and the injury rate from 81% or higher; 10% of the law-specified limit of insured liability/person/case, for cases where the injury rate ranges from 31% to less than 81%.

After an insurance enterprise has paid an advance indemnity as specified at Point b Clause 3 Article 12 of this Decree, the Motor Vehicle Insurance Fund shall refund the advance amount in case the accident is determined to be excluded from insurance liability or in case the accident does not fall within the scope of insurance.

Expense level must not exceed 30% of the total annual contributions to the Motor Vehicle Insurance Fund and the Motor Vehicle Insurance Fund’s balance in the previous years (if any). In case the Motor Vehicle Insurance Fund has spent all the money allocated for humanitarian support during the year, the unresolved humanitarian assistance expense records shall be transferred to the next year's expenses for humanitarian assistance.

b) Support for construction of works and equipment to prevent and limit losses and road traffic accidents: Expense level must not exceed 15% of the total annual contributions to the Motor Vehicle Insurance Fund and the Motor Vehicle Insurance Fund’s balance in the previous years (if any).

c) Public information and education about road traffic safety and compulsory insurance for motor vehicle’s civil liability. Expense level must not exceed 17% of the total annual contributions to the Motor Vehicle Insurance Fund and the Motor Vehicle Insurance Fund’s balance in the previous years (if any).

d) Support for the public security force coordinating with the Insurance Association of Vietnam, the Management Council of the Motor Vehicle Insurance Fund and insurance enterprises in the prevention and reduction of losses and prevention and combat of insurance business frauds and the implementation of regulations on compulsory insurance for motor vehicle owner’s civil liability: Expense level must not exceed 10% of the total annual contributions to the Motor Vehicle Insurance Fund.

dd) Support for commending and rewarding organizations and individuals that record achievements in implementing compulsory insurance for motor vehicle owner’s civil liability, preventing and limiting losses and traffic accidents, and ensuring road traffic order and safety: Expense level must not exceed 5% of the total annual contributions to the Motor Vehicle Insurance Fund.

e) Expenses for completing and maintaining the database on compulsory insurance of motor vehicle owner’s civil liability: Expense level must not exceed 10% of the total annual contributions to the Motor Vehicle Insurance Fund.

g) Expenses for the operation of the ASEAN Scheme of Compulsory Motor Vehicle Insurance and the operation of the Vietnamese National Bureau to implement Protocol 5 on the ASEAN Scheme of Compulsory Motor Vehicle Insurance: Expense level must not exceed 5% of the total annual contributions to the Motor Vehicle Insurance Fund.

h) Expenses for the management of the Motor Vehicle Insurance Fund, including: salaries, allowances, salary-based deductions (social insurance, health insurance and unemployment insurance premiums, trade union funds) and bonus and welfare payments for employees of the Motor Vehicle Insurance Fund’s Office; responsibility-based allowances for the Motor Vehicle Insurance Fund’s management and administration apparatus and part-time employees of the Motor Vehicle Insurance Fund’s Office; expenses for office rental, equipment procurement, banking and postal services; hiring of auditors; expenses for working trips and organizing meetings of the Motor Vehicle Insurance Fund: Expense level must not exceed 8% of the total annual contributions to the Motor Vehicle Insurance Fund.

i) In case there is a decision by the Prime Minister to declare an emergency situation of natural disasters according to the law on natural disaster prevention and control or to declare an infectious disease of group A according to the law on prevention and control of infectious diseases, the Management Council of the Motor Vehicle Insurance Fund Management Council can use the balance of the Motor Vehicle Insurance Fund from previous years for the expenditures specified at Points d, dd, e, g, and h Clause 1 of this Article. The total expenditures must not exceed the ratio specified at Points d, dd, e, g, and h Clause 1 of this Article corresponding to the maximum contribution of 1% to the Motor Vehicle Insurance Fund.

2. Insurance Association of Vietnam shall prioritize the implementation of expenses for humanitarian assistance, prevention and reduction of losses and road traffic accidents, and public information and education in conformity with the objective of establishing the Motor Vehicle Insurance Fund.

Article 18. Administration and operation of the Motor Vehicle Insurance Fund

1. The organizational structure for the management and administration of the Motor Vehicle Insurance Fund consists of the Management Council of the Motor Vehicle Insurance Fund, Executive Board of the Motor Vehicle Insurance Fund, and Supervisory Board of the Motor Vehicle Insurance Fund. The Motor Vehicle Insurance Fund’s Office is the assisting body for the management and administration apparatus of the Fund, and located at the standing agency of the Insurance Association of Vietnam. The Management Council of the Motor Vehicle Insurance Fund shall be established under a decision of the Minister of Finance at the proposal of the Insurance Association of Vietnam.

2. The Motor Vehicle Insurance Fund’s annual account-finalization reports (certified by an independent audit firm) shall be sent to the Ministry of Finance, insurance enterprises before March 31 of the following year and fully posted together with the opinion of the independent audit firm on the website of the Insurance Association of Vietnam.

Article 19. Organizational structure and operation administration of the Motor Vehicle Insurance Fund

1. The Management Council of the Motor Vehicle Insurance Fund includes:

a) Chairperson of Management Council of the Motor Vehicle Insurance Fund: President of the Insurance Association of Vietnam.

b) Members:

Representative of the Ministry of Finance.

Representative of the Ministry of Public Security.

General Secretary of the Insurance Association of Vietnam.

The General Director or Deputy General Director of at least 3 insurance enterprises permitted to deploy compulsory insurance for motor vehicle owner’s civil liability, with the largest market share in compulsory insurance for motor vehicle owner’s civil liability.

2. The Executive Board of the Motor Vehicle Insurance Fund includes:

a) Head of the Executive Board of the Motor Vehicle Insurance Fund: General Secretary of the Insurance Association of Vietnam.

b) Members: Representatives of at least 3 insurance enterprises permitted to deploy compulsory insurance for motor vehicle owner’s civil liability, with the largest market share in compulsory insurance for motor vehicle owner’s civil liability.

3. The Supervisory Board of the Motor Vehicle Insurance Fund includes:

a) At least 3 members being representatives of 3 insurance enterprises licensed to implement compulsory insurance for motor vehicle owner’s civil liability.

b) The head of the Supervisory Board of the Motor Vehicle Insurance Fund shall be selected and appointed among members of the Supervisory Board by the Chairperson of Management Council of the Motor Vehicle Insurance Fund.

c) Insurance enterprises having members participating in the Supervisory Board of the Motor Vehicle Insurance Fund must be independent from insurance enterprises having members participating in the Executive Board of the Motor Vehicle Insurance Fund in order to ensure timely assessment and detection of risks likely affecting the effectiveness and principles of management and use of the Motor Vehicle Insurance Fund.

Article 20. Tasks and powers of the organization and apparatus of the Management Board of the Motor Vehicle Insurance Fund

1. Tasks and powers of the Management Board of the Motor Vehicle Insurance Fund:

a) To take responsibility before the law and the Minister of Finance for the management and administration of the Motor Vehicle Insurance Fund.

b) To promulgate Working Regulations for the Management Council, Executive Board and Supervisory Board of the Motor Vehicle Insurance Fund.

c) To promulgate specific regulations on management and use of the Motor Vehicle Insurance Fund; to approve the Fund's estimates and account-finalization.

d) To decide on the contribution rate to the Motor Vehicle Insurance Fund, notify insurance enterprises and the Ministry of Finance.

dd) To supervise, manage, administer, operate, exploit, develop and maintain the operation of the database on compulsory insurance for motor vehicle owner’s civil liability.

e) To develop and implement policies on data management, access authorization, administration and updating, and exploitation, use and confidentiality of the database on compulsory insurance for motor vehicle owner’s civil liability.

e) To coordinate with insurance enterprises in summarizing proposals on upgrading and improving the database on compulsory insurance for motor vehicle owner’s civil liability; to adjust and complete the system configuration and implement projects on connection and upgrading of the database on compulsory insurance for motor vehicle owner’s civil liability.

h) To regularly check, monitor and urge the periodical updating of information and data by insurance enterprises; to receive and sum up difficulties, problems and proposals of insurance enterprises and resolve them according to regulations.

i) To assume the prime responsibility for guiding the insurance enterprises to develop the database on compulsory insurance for motor vehicle owner’s civil liability.

k) To promulgate the process, procedures and dossiers for humanitarian assistance payment, refund of advance indemnity already paid by insurance enterprises.

l) To promulgate the decisions on establishment of the Executive Board and Supervisory Board of the Motor Vehicle Insurance Fund.

m) To report the Ministry of Finance the approved estimates and account-finalization of the Motor Vehicle Insurance Fund.

2. Tasks and powers of the Executive Board of the Motor Vehicle Insurance Fund:

a) To take responsibility before the law and the Management Council of the Motor Vehicle Insurance Fund for the management, use, payment and account-finalization of the Motor Vehicle Insurance Fund.

b) To abide by regulations on management and use of the Motor Vehicle Insurance Fund according to the plan approved by the Management Council of the Motor Vehicle Insurance Fund in accordance with this Decree; not to use the Fund for other activities other than its purposes.

c) To take responsibility for urging or recovering, for insurance enterprises failing to make timely contributions with the specified amount.

3. Tasks and powers of the Supervisory Board of the Motor Vehicle Insurance Fund:

a) To supervise and ensure the Motor Vehicle Insurance Fund's operation in compliant with provisions of the law and this Decree.

b) To summarize evaluation and make recommendations to the Management Council of the Motor Vehicle Insurance Fund of the Fund's quarterly and annual financial situation.

c) To conduct inspection of the management and use of the Motor Vehicle Insurance Fund at the request of the Management Council of the Motor Vehicle Insurance Fund.

Article 21. Estimation, accounting and account-finalization of the Motor Vehicle Insurance Fund

1. Estimation:

a) Before December 15 every year, the Executive Board of the Motor Vehicle Insurance Fund shall make revenue and expenditure estimates of the Motor Vehicle Insurance Fund, including:

The revenues and expenditures of the Motor Vehicle Insurance Fund of the current year.

The plan on revenues and expenditures of the Motor Vehicle Insurance Fund for the following year.

b) The Executive Board of the Motor Vehicle Insurance Fund shall make reports on the revenue and expenditure estimates of the Motor Vehicle Insurance Fund for the Management Council of the Fund to approve. The revenue and expenditure estimates of the Motor Vehicle Insurance Fund must be reported to the Ministry of Finance and insurance enterprises immediately after obtaining approval.

c) Expenditure plans according to expenditure estimates for the year, except for expenditures at Points e, g, and h Clause 1 Article 17 of this Decree, which have not been implemented or not fully spent by December 31 every year, shall be continue to be implemented in the following year.

d) In case of necessary, the Management Council of the Motor Vehicle Insurance Fund may adjust the revenue and expenditure estimates that have been approved in the beginning of the year, and report to the Ministry of Finance and insurance enterprises.

2. Accounting of the Motor Vehicle Insurance Fund

The Executive Board of the Motor Vehicle Insurance Fund must:

a) Organize accounting and statistical work in accordance with the Accounting Law, the Statistics Law and their guiding documents.

b) Comply with regulations on accounting documents; accounting for all revenues and expenditures of the Motor Vehicle Insurance Fund.

c) Open an accounting book to record, systematize and store all arising operations relating to the Motor Vehicle Insurance Fund.

d) On a quarterly basis, make reports on revenues and expenditures of the Motor Vehicle Insurance Fund, send them to the Management Council of the Motor Vehicle Insurance Fund and the Ministry of Finance directly, via postal service or email.

For quarterly reports: The period for closing data starts from the first day of the beginning month of a reporting period to the 30^th or 31^th of the last month of the quarter of the reporting period. The time limit for submitting a report is 30 days counted from the end of the quarter.

3. Account-finalization of the Motor Vehicle Insurance Fund:

On an annual basis, the Executive Board of the Motor Vehicle Insurance Fund shall be responsible for making reports on account-finalization of the Motor Vehicle Insurance Fund, which are certified by independent auditing firms to report to the Management Council of the Fund for approval.

Article 22. Establishment of the Management Council of the Motor Vehicle Insurance Fund, change of members of the Management Council of the Motor Vehicle Insurance Fund

1. Procedures for requesting establishment of the Management Council or change of members of the Management Council of the Motor Vehicle Insurance Fund:

a) The Insurance Association of Vietnam (in case of establishment of the Management Council of the Motor Vehicle Insurance Fund), or the Management Council of the Motor Vehicle Insurance Fund (in case of change of members of the Management Council of the Motor Vehicle Insurance Fund) shall select the methods for performing procedures with the Ministry of Finance via the Ministry of Finance’s online public service system or submit dossiers directly or by postal service to the Ministry of Finance.

b) Within 10 working days after receiving a complete and valid dossier, the Minister of Finance shall issue a decision on the establishment of the Fund’s Management Council or the change of members of the Management Council of the Fund. In case of disapproval, the Ministry of Finance shall issue a document clearly stating the reason.

2. A dossier of request for establishment of the Management Council of the Motor Vehicle Insurance Fund must comprise:

a) One original of the written request for establishment of the Management Council of the Motor Vehicle Insurance Fund, made according to the form provided in Appendix VIII to this Decree.

b) One copy of the resolution of the Executive Board of the Insurance Association of Vietnam sector approving the request for establishment of the Management Council of the Motor Vehicle Insurance Fund.

3. A dossier of request for change of a member of the Management Council of the Motor Vehicle Insurance Fund must comprise:

a) One original of the written request for change of a member of the Management Council of the Motor Vehicle Insurance Fund, made according to the form provided in Appendix IX to this Decree.

b) One copy of the resolution of the Management Council of the Motor Vehicle Insurance Fund approving the request of the concerned insurance enterprise for change of a member of the Management Council of the Motor Vehicle Insurance Fund.

Chapter III

REGULATIONS ON COMPULSORY FIRE AND EXPLOSION INSURANCE

Section 1

 INSURANCE CONDITIONS AND PREMIUMS; MINIMUM INSURANCE SUM

Article 23. Insured objects

1. Objects covered by compulsory fire and explosion insurance include all assets of an establishment prone to fire or explosion, including:

a) Houses, construction works and their attached assets; machinery and equipment.

b) Goods and supplies (including raw materials and semi-finished and finished products).

2. Insured objects and their locations shall be clearly stated in insurance contracts and certificates.

Article 24. Minimum insurance sums

1. The minimum sum covered by compulsory fire and explosion insurance means the monetary value calculated according to market prices of assets specified in Clause 1 Article 23 of this Decree at the time of entry into an insurance contract.

2. In case market prices of assets cannot be determined, the sum covered by compulsory fire and explosion insurance shall be agreed by the parties as follows:

a) For assets specified at Point a Clause 1 Article 23 of this Decree, the insurance sum shall be the monetary value of an asset according to the residual or substitutive value of such asset at the time of entry into an insurance contract.

b) For assets specified at Point b Clause 1 Article 23 of this Decree, the insurance sum shall be the monetary value of an asset based on valid invoices or related documents.

Article 25. Scope of insurance and exclusion of insurance liability

1. Scope of insurance

Insurance enterprises shall perform the liability to pay indemnity for damage caused by fire or explosion to insured objects specified in Clause 1 Article 23 of this Decree, except the cases specified in Clauses 2 and 3 of this Article.

2. Cases of exclusion of insurance liability for an establishment prone to fire or explosion as prescribed by the law on fire prevention and fighting (except for nuclear facilities): An insurance enterprise is not liable to indemnify in the following cases:

a) Earthquake, volcano eruption or other natural catastrophes.

b) Damage caused by unexpected political, security or social order and security events.

c) Assets that are burnt or detonated under decisions of competent state agencies.

d) Self-fermenting or heat-radiating assets; assets that are under the impacts of a heated treatment process.

dd) Lightning strike on the insured assets without causing any fire or explosion.

e) Fire or explosion caused by nuclear weapon materials.

g) Damage to electric machinery or equipment or parts thereof due to direct impact of overload, over-pressure, short circuit, self-heating, electric arc or electric leakage caused by any reasons, including lightning.

h) Damage caused by intentional fire- or explosion-causing acts committed by the insured parties; damage caused by intentional violations of the regulations on fire prevention and fighting, as the direct cause of a fire or explosion.

i) Damage to computer data, software and programs.

k) Damage caused by burning forests, bushes and pastures or setting fire for ground clearance.

3. Cases of exclusion of insurance liability for a nuclear facility: Insurance enterprises and buyers shall reach agreement on cases of exclusion of insurance liability based on approval by reinsurance enterprises.

Article 26. Insurance premiums and withholding rates

1. For establishments prone to fire or explosion (except nuclear facilities) having the total insurance sum of under VND 1 trillion for assets in a single location, the insurance withholding rate must comply with Clause 1 Section I Appendix II and Clause 1 Section II Appendix II to this Decree.

According to the level of risk of the insured object, the insurance enterprise may increase or reduce the premium up to 25% of the premium.

In case in the immediately preceding fiscal year, the insured object is the direct cause leading to the amount of original indemnity payments greater than the original insurance premium revenue of compulsory fire and explosion insurance, on the basis of the data certified by the insurance enterprise's actuary and an independent audit firm, when renewing the insurance contract, the insurance enterprise and the insurance buyer may reach an agreement on the insurance premium and the insurance withholding rate, ensuring the solvency of the insurance enterprise.

2. For establishments prone to fire or explosion that have the total insurance sum of or higher than VND 1 trillion for assets in a single location (except nuclear facilities), insurance enterprises and insurance buyers shall reach agreement on insurance premiums and insurance withholding rates on the basis of evidences proving the leading foreign reinsurance organizations or enterprises’ confirmation. The leading foreign reinsurance enterprises or organization and foreign insurance enterprises or organizations that accept reinsurance accounting for 10% or more of the total liability under each reinsurance contract must meet requirements specified in Clause 9 Article 4 of this Decree. In all cases, an insurance premium must not be lower than the amount calculated by multiplying (x) VND 1 trillion by 75% of the insurance premium rate specified in Clause 1 Section I Appendix II to this Decree.

3. For nuclear facilities, the insurance enterprise and insurance buyer may reach an agreement on insurance rules and terms, premiums and insurance withholding rate based on the evidence proving that the leading foreign reinsurance enterprise or organization confirms its assumption of reinsurance under the same insurance rules and terms, premiums and withholding rate as those applied by the insurance enterprise to the insurance buyer. The leading foreign reinsurance enterprises or organization and foreign insurance enterprises or organizations that accept reinsurance accounting for 10% or more of the total liability under each reinsurance contract must meet requirements specified in Clause 9 Article 4 of this Decree.

Article 27. Insurance certificates

1. Insurance enterprises shall issue compulsory fire and explosion insurance certificates to insurance buyers. A compulsory fire and explosion insurance certificate may be designed by an insurance enterprise and must have the following contents:

a) Names, addresses and phone numbers (if any) of the insurance buyer and the insured.

b) Name, address and hotline number of the insurance enterprise.

c) Name of the establishment prone to fire or explosion in accordance with the law on fire prevention and fighting.

d) Location of the insured object.

dd) Insured asset(s).

e) Insured sum.

g) Insurance withholding rates.

h) Insurance period.

i) Insurance premium rate and insurance premium.

k) Date of issuance of the insurance certificate.

l) Numeric codes and barcodes already registered, managed and used in accordance with regulations of the law to store, transmit and retrieve insurance enterprise identification information and identification information of compulsory fire and explosion insurance products.

2. In case of issuance of electronic insurance certificates, an insurance enterprise shall comply with the Law on E-Transactions and guiding documents; an electronic insurance certificate must comply with the current regulations and have all the contents specified in Clause 1 of this Article.

Article 28. Principles of indemnity

Insurance enterprises shall consider paying insurance compensation in accordance with the law on insurance business and based on the following principles:

1. Upon occurring losses or damages, the insurance buyer shall immediately notify the insurance enterprise of the losses or damages via means of communication, then send a written notice to the insurance enterprise within 14 days from the date of occurrence of the losses or damages.

2. The indemnity for a damaged asset must not exceed the insurance sum for such asset (which has been agreed upon and stated in insurance contract and certificate), deducting the insurance withholding rate specified in Clause 3 of this Article.

3. A maximum reduction of 20% of the indemnity shall be given in case the establishment prone to fire or explosion fails to fully and promptly implement the recommendations in the minutes on fire prevention and fighting safety examination by a competent police office, leading to a greater damage caused by a fire or explosion.

Article 29. Indemnity dossier

An indemnity dossier must comprise:

1. The insurance buyer’s written claim.

2. Documents relating to the insured object, including the insurance contract and certificate of insurance.

3. A copy of the minutes on fire prevention and fighting safety examination by a competent police office latest to the time of occurrence of the insurance incident.

4. Assessment minutes of an insurance enterprise or a person authorized by the insurance enterprise;

5. A copy of the written conclusion or notice of causes of the fire or explosion made by the competent agency or evidences proving the causes of the fire or explosion;

6. A declaration of damage and papers proving damage.

The insurance buyer shall collect and send to the insurance enterprise the documents specified in Clauses 1, 2, 3, 5 and 6 of this Article. The insurance enterprise shall collect the documents specified in Clause 4 of this Article.

Section 2

COLLECTION RATES AND MANAGEMENT AND USE OF REVENUES FROM COMPULSORY FIRE AND EXPLOSION INSURANCE FOR FIRE PREVENTION AND FIGHTING

Article 30. Rates of collection and remittance of revenues from compulsory fire and explosion insurance for fire prevention and fighting

1. The level of revenues from an insurance enterprise carrying out compulsory fire and explosion insurance in the fiscal year is equal to 1% of the total compulsory fire and explosion insurance premiums actually collected from original insurance contracts of the preceding fiscal year.

2. On an annual basis, the insurance enterprise shall remit the amounts mentioned in Clause 1 of this Article into the account of the Fire Prevention, Fighting and Rescue Police Department, opened by the Ministry of Public Security at the Central State Treasury before:

a) June 30 every year: 50% of the total amount mentioned in Clause 1 of this Article;

b) December 31 every year: the remaining amount mentioned in Clause 1 of this Article.

Article 31. Management and use of revenues from compulsory fire and explosion insurance

1. The management and use of revenues from compulsory fire and explosion insurance must ensure the transparency and proper purposes prescribed in this Decree and relevant regulations.

2. Revenues from compulsory fire and explosion insurance for fire prevention and fighting shall be used as follows:

a) To support the provision of fire prevention and fighting devices and equipment for fire prevention and fighting police. The expense for this content must not exceed 65% of the compulsory fire and explosion insurance premium actually collected by an insurance enterprise in a fiscal year. The procurement of fire prevention and fighting means and equipment shall comply with the bidding law.

b) To support the propagation and dissemination of laws and knowledge on fire prevention and fighting and compulsory fire and explosion insurance. This expense must not exceed 15% of the compulsory fire and explosion insurance premiums actually collected by insurance enterprises in the fiscal year. The expenditure contents and levels on propaganda and dissemination of law and knowledge shall comply with the law on management, use and settlement of funds to ensure the dissemination and education of law.

c) To support the fire prevention and fighting police force in the following activities: investigation into causes of fire; fire prevention and fighting refresher courses and safety inspection; supervision of participation in compulsory fire and explosion insurance by establishments prone to fire or explosion. This expense must not exceed 15% of the compulsory fire and explosion insurance premiums actually collected by insurance enterprises in the fiscal year. The expenditure contents and levels shall comply with the current financial spending regimes.

d) To support the commendation and rewarding of achievements of organizations and individuals directly participating and coordinating with one another in fire prevention and fighting. This expense must not exceed 5% of the compulsory fire and explosion insurance premiums actually collected by insurance enterprises in the fiscal year. In which:

Regular expenditures for commendation and reward: shall comply with the law on emulation and commendation.

Irregular expenses for rewards for organizations and individuals directly participating in fire prevention and fighting: The Minister of Public Security shall, based on the achievements of organizations and individuals, and revenue from compulsory fire and explosion insurance, decide on specific cases to be rewarded and the level of unexpected rewards.

3. On an annual basis, at the same time as making annual state budget estimates, the Ministry of Public Security shall make an estimated revenue from compulsory fire and explosion insurance premiums, synthesize it into the Ministry of Public Security’s estimate, and send it to the Ministry of Finance in accordance with the Law on the State Budget and guiding documents for synthesis and monitoring.

4. The management and use of expenses shall comply with regulations on current regimes, norms and standards. The Ministry of Public Security shall consider the approval and appraisal of annual estimates for the revenues from compulsory fire and explosion insurance premiums for affiliated units; synthesize and make annual account-finalization report using other remaining funding sources and send it to the Ministry of Finance at the same time as submitting the state budget account-finalization report for synthesis and monitoring.

5. Amounts actually collected from compulsory fire and explosion insurance for fire prevention and fighting activities at the end of a year that have not yet been used up for each activity prescribed in Clause 2 of this Article shall be carried forward to the subsequent year for further use in accordance with law provisions. After 5 years, if the expenses collected from compulsory fire and explosion insurance are not fully used, the Ministry of Public Security shall assume the prime responsibility for, and coordinate with the Ministry of Finance in, reviewing and assessing the revenues from compulsory fire and explosion insurance, and report the Government to adjust an appropriate deduction rate.

Chapter IV

REGULATIONS ON COMPULSORY INSURANCE IN CONSTRUCTION INVESTMENT ACTIVITIES

Section 1

 INSURANCE CONDITIONS AND PREMIUMS; MINIMUM INSURANCE SUM FOR COMPULSORY INSURANCE FOR UNDERWAY WORKS

Article 32. Insured objects

The project owners are obligated to buy compulsory insurance for the following underway works:

1. Works and work items which affect the community safety and interest, as specified in Appendix X to the Government’s Decree No. 15/2021/ND-CP dated March 03, 2021, detailing a number of provisions on management of construction investment projects.

2. Construction investment works which have a high risk of negative impact on the environment or have a risk of negative impact on the environment as specified in Appendices III and IV to the Government’s Decree No. 18/2022/ND-CP dated January 10, 2022, detailing a number of articles of the Law on Environmental Protection, and are on the list of investment projects subject to environmental impact assessment as prescribed by the Law on Environmental Protection.

3. Works with special technical requirements and complicated construction conditions as prescribed by the law on construction and relevant laws.

Article 33. Minimum insurance sums

The minimum insurance sum for compulsory insurance for an underway work is the full value of that work once it is completed, including the value of all materials, labor cost, equipment installed therein, transportation costs, taxes, charges and other items provided by the project owner. The minimum insurance sum for an underway work must not be lower than the total value of the construction contract, including adjusted and additional values (if any).

Article 34. Scope of insurance and exclusion of insurance liability

1. Scope of insurance

An insurance enterprise shall indemnify for losses occurring to underway works caused by any risks, except cases of exclusion of insurance liability prescribed in Article 2 of this Circular.

2. Cases of exclusion of insurance liability

An insurance enterprise is not liable to indemnify in the following cases:

a) Loss caused by war, riots, strikes and acts of hostile forces, rebellion, malicious acts on behalf of or in connection with political organizations, confiscation, expropriation, requisition, confiscation or destruction or damage caused by order of a competent state agencies.

b) Loss caused by terrorism.

c) Loss caused by nuclear reaction, nuclear radiation or radioactive contamination.

d) Loss or damage to the insurance buyer and the insured on the embargo list.

dd) Loss or damage relating to epidemics as announced by competent agencies.

e) Loss arising due to intentional acts of violation of the insurance buyer or the insured.

g) Losses arising in cases where insurance buyers have no interests likely to be insured as prescribed by law.

h) Loss arising from cessation of construction work or consequential loss of construction work (whether partial or complete cessation of construction work).

i) Loss to data, software and computer programs.

k) Loss arising due to the construction investment consultancy contractors’ errors in design for underway works of grade II or higher.

l) Loss due to corrosion, abrasion, oxidation.

m) Loss due to decay and occurring under in the normal pressure and temperature (this provision only applies to construction works specified at Point a Clause 1 Article 37 of this Decree).

n) Loss due to hardening such as rust, scaling and the like (this provision only applies to construction works specified at Point b Clause 1 Article 37 of this Decree).

o) Expenses for repairing, replacing or correcting material defects or workmanship errors. This exclusion shall only apply to loss of directly-affected items, not apply to loss of other items that is indirect consequence due to material defects or workmanship errors and proper construction.

p) Loss or damage only detected at the time of inventory.

Article 35. Termination of insurance contracts

1. An insurance contract shall terminate in the following cases:

a) The insurance buyer and insurance enterprise have agreed in the insurance contract that the insurance contract shall terminate in case the job stated in the construction contract is suspended or the construction contract terminates in accordance with law.

Within 5 working days from the date on which the project owner decides on the suspension of the job stated in the construction contract or of the termination of the construction contract in accordance with law, the insurance buyer shall notify such in writing to the insurance enterprise. The insurance contract shall terminate at the time when the job stated in the construction contract is suspended or when the construction contract terminates in accordance with law.

b) Other cases as prescribed by law.

2. Legal consequences of the termination of an insurance contract

a) If an insurance contract terminates under Point a Clause 1 of this Article, within 15 days from the date of termination, the insurance enterprise shall, after deducting reasonable expenses related to the insurance contract as agreed in the insurance contract (if any), refund to the insurance buyer the premium amount (if any) corresponding to the remaining period of the insurance contract. If the insurance buyer has not yet fully paid the premium for the insurance period counting to the date of termination of the insurance contract, the insurance buyer shall additionally pay the unpaid premium amount.

b) The legal consequences of termination of an insurance contract under Point b Clause 1 of this Article must comply with the insurance contract and relevant laws.

Article 36. Insurance period

The insurance period of compulsory insurance for an underway work shall as follows:

1. For a construction work specified at Point a Clause 1 Article 37 of this Decree, the insurance period shall be specified in the insurance contract, counting from the date of commencement to the date of completion of construction as stated in the investment-deciding authority’s document, including adjusted and added time (if any). The insurance period of components and work items shall end at the time such components and work items are handed over or put into operation.

2. For a construction work specified at Point b Clause 1 Article 37 of this Decree, the insurance period shall be specified in the insurance contract, counting from the date of commencement of construction stated in the investment-deciding authority’s document, including adjusted and added time (if any) to the date of handover or after completion of the first test run of the work, whichever comes first, but must be within 28 days from the first date of the test run. The insurance period of an used equipment installed into a work shall end at the starting time of its test run.

Article 37. Insurance premiums and withholding rates

1. Premium of compulsory insurance for an underway work shall be as follows:

a) If the insured work is valued at less than VND 1,000 billion, whether or not including the installation job of which the cost accounts for less than 50% of the total value of the insured work items, the insurance premium and insurance withholding rate must comply with Clause 1 Section I Appendix III to this Decree.

b) If the work is valued at less than VND 1,000 billion, including the installation job the cost of which accounts for 50% or more of the total value of the insured work items, the insurance premium and insurance withholding rate must comply with Clause 1 Section II Appendix III to this Decree.

c) If the work is valued at VND 1,000 billion or more specified at Points a and b of this Clause, the insurance enterprise and insurance buyer shall reach an agreement on insurance premiums and insurance withholding rates on the basis of evidences proving the leading foreign reinsurance organizations or enterprises’ confirmation. The leading foreign reinsurance enterprises or organization and foreign insurance enterprises or organizations that accept reinsurance accounting for 10% or more of the total liability under each reinsurance contract must meet requirements specified in Clause 9 Article 4 of this Decree. In any cases, an insurance premium must not be lower than the amount calculated by multiplying (x) VND 1 trillion by 75% of the insurance premium rate specified in Clause 1 Section I Appendix II to this Decree (for construction works specified at Point a Clause 1 of this Article) or Clause 1 Section II Appendix III to this Decree (for construction works specified at Point b Clause 1 of this Article).

d) For construction works that have not yet been specified at Points a, b and c of this Clause,

the insurance enterprise and insurance buyer may reach an agreement on insurance rules and terms, premiums and withholding rate based on the evidence proving that the leading foreign reinsurance enterprise or organization confirms its assumption of reinsurance under the same insurance rules and terms, premiums and withholding rate as those applied by the insurance enterprise to the insurance buyer. The leading foreign reinsurance enterprises or organization and foreign insurance enterprises or organizations that accept reinsurance accounting for 10% or more of the total liability under each reinsurance contract must meet requirements specified in Clause 9 Article 4 of this Decree.

2. For construction works specified at Points a and b Clause 1 of this Article, based on the level of risk of the insured object, the insurance enterprise may increase or reduce the premium up to 25% of the premium.

In case in the immediately preceding fiscal year, the insured object is the direct cause leading to the amount of original indemnity payments greater than the original insurance premium revenue of compulsory insurance for underway works, on the basis of the data certified by the insurance enterprise's actuary and an independent audit firm, when renewing the insurance contract, the insurance enterprise and the insurance buyer may reach an agreement on the insurance premium and the insurance withholding rate, ensuring the solvency of the insurance enterprise.

3. In case the construction period is prolonged compared to that stated in the investment-deciding authority’s document upon entry into the insurance contract, the insurance enterprise and insurance buyer may agree on an additional premium for the prolonged time. The additional premium (if any) shall be calculated based on the premium prescribed in Appendix III to this Circular and provisions of Clause 2 of this Article, the proportion of the prolonged time to the total construction period stated in the investment-deciding authority’s document upon entry into the insurance contract, and other risks.

Article 38. Liability to buy insurance

A project owner shall buy insurance for the work or for each work item during the construction period. Below are specific cases:

1. In case of buying insurance for the work during the construction period, a project owner shall buy insurance with the minimum insurance sum specified in Article 33 of this Decree.

2. In case of buying insurance for each work item during the construction period, a project owner shall buy insurance with the insurance sum for each work item not lower than the full value of the work item after it is completed, and with the total insurance sum of these work items not lower than the minimum insurance sum prescribed in Article 33 of this Decree.

Article 39. Principles of indemnity

Insurance enterprises shall consider settling insurance claim in accordance with the law on insurance business on the following principles:

1. Upon occurrence of loss to the work during the construction period, the insurance buyer shall coordinate with the insurance enterprise in settling insurance claim as follows:

a) Immediately notify the insurance enterprise of the loss via means of communication, then send a written notice within 14 days from the date of occurrence of the loss.

d) After sending written notice to the insurance enterprise, the insurance buyer may repair or replace minor damage with a value not exceeding the corresponding withholding rate specified in this Decree.

In other cases, the insurance enterprise shall carry out loss assessment before the insurance buyer can perform repair or replacement of damaged work items. If the insurance enterprise cannot carry out loss assessment within 5 working days after receiving a notice of the loss to a work, the insurance buyer and the insured is entitled to perform repair or replacement of damaged work items, except for the force majeure events or external obstacles. The insurance enterprise shall pay expenses for the repair or replacement of damaged work items falling within its insurance liability under the condition that the insurance buyer or the insured performs repair or replacement in a timely manner.

c) Keep intact the damaged components and make them available for loss assessment by the insurance enterprise’s representative or assessor.

d) Promptly notify the public security agency in case of theft or burglary.

dd) Take all measures within its capacity to minimize the loss.

e) Take, or coordinate with or permit the insurance enterprise to, take all actions and measures which may be necessary or required by the insurance enterprise to protect the insurance enterprise’s interests after indemnifying for losses within its insurance liability prescribed in this Decree.

2. Upon occurrence of loss to the work during the construction period, the insurance enterprise shall settle insurance claim as follows:

a) Conduct loss assessment as prescribed by law and make a written record of assessment of the causes and extent of damage in accordance with Clause 5 Article 40 of this Decree.

b) Guide and coordinate with the insurance buyer and related agencies, organizations and individuals in collecting sufficient documents for preparation of an indemnity dossier.

3. The insurance enterprise shall indemnify only material losses actually incurred by the insured which have been included in the insurance sum.

4. The level of indemnity for each property item specified in the insurance contract must not exceed such item’s insurance sum. The total indemnity must not exceed the total insurance sum specified in the insurance contract, specifically as follows:

a) In case of repairable damage, such damage shall be repaired. The indemnity is equal to the necessary cost to restore the damaged item to its original condition before the occurrence of the damage less the salvage value (in case the insurance buyer retains the damaged property) and the insurance withholding rate.

b) In case of total loss, the indemnity is the actual market value of the item concerned at the time and place of occurrence of the loss less the insurance withholding rate. In case the insurance buyer retains the damaged property, the indemnity is the actual value of that item at the time and place of occurrence of the loss less the salvage value and the insurance withholding rate.

5. The cost of provisional repair shall be borne by the insurance enterprise if such repair constitutes part of the official repair and does not increase the total repair expense as stated in the final repair plan.

6. The insurance enterprise is not liable to pay indemnity for any expense aiming at renovation, addition, upgrade of any insured work item.

Article 40. Indemnity dossier

A compulsory indemnity dossier for an underway work must comprise:

1. The insurance buyer’s written claim.

2. Documents relating to the insured object, including the insurance contract and certificate of insurance.

3. Documents proving loss of or damage to property, including:

a) Construction incident records in case of occurrence of construction work incident (copies certified from the originals, or copies certified by the party making such records) as prescribed in Article 47 of the Government’s Decree No. 06/2021/ND-CP dated January 26, 2021, detailing a number of provisions on quality management, construction and maintenance of construction works, or evidences proving damages to the construction work.

b) Valid invoices, documents, or evidences proving the repair or replacement of the damaged property.

4. Documents proving necessary and reasonable expenses incurred by the insurance buyer to minimize the loss or follow the insurance enterprise’s instructions.

5. A written record of assessment of causes and extent of loss, prepared by the insurance enterprise or its authorized person.

6. Other relevant documents (if any).

The insurance buyer shall collect and send to the insurance enterprise the documents specified in Clauses 1, 2, 3, 4 and 6 of this Article. The insurance enterprise shall collect the documents specified in Clause 5 of this Article.

Section 2

INSURANCE CONDITIONS AND PREMIUMS, LIMITS OF INSURED LIABILITY FOR COMPULSORY INSURANCE FOR CONSTRUCTION INVESTMENT CONSULTANCY PROFESSIONAL LIABILITY

Article 41. Insured objects

The object of compulsory insurance for construction investment consultancy professional liability is the civil liability of construction consultancy contractors to a third party arising from survey and design of construction works of grade II or higher grade.

Article 42. Limit of insured liability

The limit of insured liability must be equal to the value of the construction survey consultancy contract or construction design consultancy contract.

Article 43. Scope of insurance and exclusion of insurance liability

1. Scope of insurance

An insurance enterprise shall indemnify a consultancy contractor amounts of money which the latter shall indemnify a third party for losses incurred by the third party arising from the performance of construction consultancy jobs and related costs as prescribed by law, except for the cases prescribed in Clause 2 of this Article.

2. Cases of exclusion of insurance liability

An insurance enterprise is not liable to indemnify in the following cases:

a) Exclusion of insurance liability specified at Points a, b, c, d, dd, e, g, h and i Clause 2 Article 34 of this Decree.

b) Loss arising from consultancy contractors’ intentional selection of untested methods of construction, measurement, calculation and design, and use of untested materials.

c) Expenses for redesigning or correcting drawings, plans, technical manuals or catalogs of technical documentation.

d) Loss caused by mold.

dd) Loss caused by construction survey and design advice that leads to environmental pollution or contamination and affects a third party.

e) Loss related to use asbestos or any materials containing asbestos.

g) Loss arising from the infringement of the intellectual property right.

b) Loss arising due to the contractor's intentional failure to comply with the construction law in terms of application of technical standards and regulations, use of construction materials harmful to public health and the environment.

Article 44. Insurance period

The period of compulsory professional liability insurance for construction consultants is counted from the date of performing the consultancy job through the work warranty time prescribed by law.

Article 45. Insurance premiums and insurance withholding rates

1. Insurance premiums and withholding rates of compulsory insurance for construction investment consultancy professional liability shall be as follows:

a) For a construction work which is valued at less than VND one trillion and is other than construction works of dikes, dams, ports, harbors, piers, wharves, breakwaters and irrigation works; construction works of airports, airplanes, satellites and aerospace; ship building and repair works; offshore and underwater energy construction works; railway, tram, express train and underground projects, and mines: Insurance premiums and insurance withholding rates are defined in Clause 1 Appendix IV to this Decree.

The insurance enterprise may, based on risk levels of the insured object, increase or reduce the premium up to 25% of the premiums.

In case in the immediately preceding fiscal year, the insured object is the direct cause leading to the amount of original indemnity payments greater than the original insurance premium revenue of compulsory insurance for construction investment consultancy professional liability, upon renewal of the insurance contract, the insurance enterprise and the insurance buyer may, based on the data certified by the insurance enterprise's actuary and an independent audit firm, reach an agreement on the insurance premium and the insurance withholding rate, ensuring the enterprise company’s solvency.

b) For a construction work which is valued at VND one trillion or more or of which the value of the consultancy contract is greater than VND 80 billion or a work not applying insurance premiums specified at Point a Clause 1 of this Article: The insurance enterprise and insurance buyer may reach an agreement on the insurance premium and insurance withholding rate based on the evidence proving that the leading foreign reinsurance enterprise or organization confirms its assumption of reinsurance under the same insurance rules and terms, insurance premium and withholding rate as those applied by the insurance enterprise to the insurance buyer. The leading foreign reinsurance enterprises or organizations and foreign insurance enterprises or organizations that accept reinsurance accounting for 10% or more of the total liability under each reinsurance contract must satisfy Clause 9 Article 4 of this Decree. In all cases, an insurance premium must not be lower than the insurance premium corresponding to VND one trillion multiplied by (x) 75% of the insurance premium rate specified at Point a Clause 1 of Appendix IV to this Decree.

2. In case the period of construction investment consultancy is prolonged compared to that stated in the investment-deciding authority’s document upon entry into the insurance contract, the insurance buyer and the insurance enterprise must agree on an additional premium for the prolonged time. The additional premium shall be calculated based on the premium prescribed at Point a Clause 1 Appendix IV to this Decree, regulations on increase or reduction of insurance premiums defined at Point a Clause 1 of this Article and in proportion to such prolonged time.

Article 46. Principles of indemnity

An insurance enterprise shall consider consider and settle an insurance claim in accordance with the law on insurance business and based on the following principles:

1. An insurance enterprise shall pay indemnity to a consultancy contractor amounts of money the latter is liable to indemnify a third party for losses incurred by the third party, and all related expenses as prescribed by law, specifically as follows:

a) Losses incurred by the third party and related expenses arising due to mistakes or negligence of the insured that are consequences of performance of construction survey or design jobs insured.

b) The third party’s first claim made against the insured (arising from an insured event) and notified by the insurance buyer to the insurance enterprise during the insurance duration, including expenses for a lawyer appointed by the insurance enterprise or the insured (with the insurance enterprise’s written consent), fees and other expenses for the investigations, revisions and defense related to the insured event, but excluding salaries paid to the employee or manager who signs a labor contract with the insured.

c) Other related expenses as prescribed by law.

2. Total indemnities of an insurance enterprise for all claims arising in the insurance duration must not exceed the limit of insured liability as agreed upon in the insurance contract.

3. Upon receiving a third party’s claim, the insurance buyer shall coordinate with the insurance enterprise in the settlement of such claim as follows:

a) Immediately notify it to the insurance enterprise via proper means of communication, then send a written notice to the insurance enterprise within 14 days after receiving a third party’s claim.

b) Take all measures within its capacity to minimize the loss.

c) Take, or coordinate with or permit the insurance enterprise to, take all actions and measures which may be necessary or required by the insurance enterprise to protect the insurance enterprise’s interests after indemnifying for losses within its insurance liability prescribed in this Decree.

4. Upon receiving a third party’s claim, the insurance enterprise shall carry out the settlement of such claim as follows:

a) Conduct loss assessment as prescribed by law and make a written record of assessment of the causes and extent of loss.

b) Provide guidance for the insurance buyer on, and coordinate with the insurance buyer and related agencies, organizations and individuals in, the collection of sufficient documents for making an indemnity dossier.

c) Coordinate with the insurance buyer in settling the third party’s claim request within the insurance liability when an insured event occurs.

Article 47. Indemnity dossier

An insurance enterprise shall coordinate with the insurance buyer, the insured and related agencies and organizations in collecting relevant documents for preparing an indemnity dossier. An indemnity dossier for compulsory insurance for construction investment consultancy professional liability must comprise the following documents:

1. A written claim of the insurance buyer.

2. Documents related to the insured object, including: Insurance contract and insurance certificate.

3. The third party’s written claim against the insured.

4. Documents proving bodily injury (copies certified by a medical examination and treatment establishment, or by the insurance enterprise after comparison with the originals) provided by the insurance buyer. Depending on the extent of injury, one or some of the following documents is/are required:

a) Injury certificate.

b) Hospital discharge paper.

c) Documents certifying surgery.

d) Medical records.

dd) Death certificate extract or death notice or written certification of public security agency or examination result of forensic examination agency.

e) Valid invoices and receipts of medical expenses.

5. Documents proving loss of or damage to property, including:

a) Construction incident records, for cases where a construction incident occurs (copies certified from the original or copies certified by the party making such records) as prescribed in Article 47 of the Government’s Decree No. 06/2021/ND-CP dated January 26, 2021 detailing a number of provisions on quality management, construction and maintenance of construction works, or evidence proving the loss of construction works.

b) Valid invoices and documents or evidences proving the damaged property repair or replacement.

c) Papers, invoices and documents related to expenses incurred by the insurance buyer to minimize the loss or follow the insurance enterprise’s instructions.

6. A written record of assessment of causes and extent of loss, prepared by the insurance enterprise or its authorized person.

7. Other relevant documents (if any).

The insurance buyer shall be responsible for collecting and sending the insurance enterprise the documents specified in Clauses 1, 2, 3, 4, 5 and 7 of this Article. The insurance enterprise shall be responsible for collecting documents specified in Clause 6 of this Article.

Section 3

 INSURANCE CONDITIONS AND PREMIUMS, THE LIMIT OF INSURED COMPULSORY LIABILITY FOR EMPLOYEES WORKING ON CONSTRUCTION SITES

Article 48. Insured objects

1. Object of the compulsory insurance for employees working on construction sites is the construction contractors’ civil liability toward the employees working on construction sites as prescribed by law.

2. The limit of insured liability is VND 100 million per person per case.

Article 49. Scope of insurance, exclusion of insurance liability

1. Scope of insurance

An insurance enterprise shall perform the liability to pay indemnity to a construction contractor for amounts of money the latter is liable to pay to employees for injury or death caused by occupational accidents or diseases due to their work on a construction site, except the cases specified in Clause 2 of this Article.

2. Cases of exclusion of insurance liability

The insurance enterprise is not liable to indemnify in the following cases:

a) Exclusion of insurance liability specified at Point a, b, c, d, dd, g, h and i Clause 2 Article 34 of this Decree.

b) Loss related to use of asbestos or any materials containing asbestos.

c) Loss caused due to personal conflicts between the employee and the perpetrator and has no relation to the performance of work on the construction sites.

d) Loss deliberately caused by the employee’s self-infliction.

dd) Loss caused due to the illegal use of narcotics or other addictive drugs (except for drugs prescribed for treatment under a licensed doctor’s prescriptions).

e) Loss arising from intentional violations committed by the insurance buyer or the insured (except for cases where such employee takes any self-defense act or saves people or assets or uses stimulants under doctor’s prescriptions).

Article 50. Insurance duration

1. The duration of compulsory insurance for an employee working on a construction site shall be counted from the date of performing his/her work on the construction site to the end of warranty duration of works as specified by law.

2. The duration of compulsory insurance for the employee working on the construction site shall be determined based on his/her labor contract and the construction contractor's written confirmation on the employee’s actual working duration on the construction site.

Article 51. Insurance premiums

1. Compulsory insurance premiums for employees working on construction sites are defined in Appendix V to this Decree.

2. The insurance enterprise may, based on risk levels of the insured object, increase or reduce the premium up to 25% of the premiums.

In case in the immediately preceding fiscal year, the insured object is the direct cause leading to the amount of original indemnity payments greater than the original insurance premium revenue of compulsory insurance for employees working on construction sites, upon renewal of the insurance contract, the insurance enterprise and the insurance buyer may, based on the data certified by the insurance enterprise's actuary and an independent audit firm, reach an agreement on the insurance premium and the insurance withholding rate, ensuring the enterprise company’s solvency.

3. In case of any change in the number of employees or their jobs, the following guidance shall be followed:

a) Before the 15^th of the month following the month of change, the construction contractor shall send to the insurance enterprise a written notice of such change enclosed with a list of the employees increased or decreased (in case of change in the number of employees), or changed jobs of employees (in case of change in employees’ jobs).

b) In case an increase in the number of employees or a change in their jobs results in an increase in the insured risks, the construction contractor shall pay an additional premium before the 15^th of the month following the month of notification.

c) In case a decrease in the number of employees or a change in their jobs results in a decrease in the insured risks, the insurance enterprise shall refund to the construction contractor an amount of the premium in proportion to the remaining period of the insurance contract that the insurance buyer overpaid before the 15^th of the month following the month of notification provided that up to that time, there arises no claim related to the insurance contract or a claim related to the insurance contract has arisen but no insurance payment has been taken by the insurance enterprise.

d) If the construction contractor properly performs the obligation of notification as prescribed at Point a of this Clause and pays the insurance premium as defined at Point b of this Clause, the insurance contract shall automatically be valid with respect to the increased number of employees or terminate with respect to the decreased number of employees; or automatically be valid with respect to the changed jobs of employees from the date on which the actual change occurs at the insured’s request.

Article 52. Principles of indemnity

An insurance enterprise shall consider and settle an insurance claim in accordance with the law on insurance business and based on the following principles:

1. When an occupational accident or disease occurs to an employee working on a construction site, the insurance buyer shall coordinate with the insurance enterprise in settling the payment of indemnity as follows:

a) Immediately notify the occurrence to the insurance enterprise via proper means of communication, then send a written notice to the insurance enterprise within 14 days after the date of occurrence of the occupational accident or disease.

b) Take all measures within its capacity to minimize the damage.

c) Take or permit the insurance enterprise to, take all actions and measures which may be necessary or required by the insurance enterprise to protect the insurance enterprise’s interests after indemnifying for losses within its insurance liability prescribed in this Decree.

2. When an occupational accident or disease occurs to an employee on a construction site, the insurance enterprise shall provide guidance for the insurance buyer and coordinate with the insurance buyer and related agencies, organizations and individuals in the collection of sufficient documents for making an indemnity dossier; and identify causes and level of damage and injury.

3. If an employee is injured or dead due to an occupational disease or accident occurring while performing construction jobs on a construction site within the scope of insurance liability, the insurance enterprise shall pay expenses as agreed between the construction contractor and the insured employee or the insured employee’s lawful representative (in case the employee is dead). Such expenses include:

a) Allowance during the period of medical treatment as prescribed by doctors, which shall be calculated based on the employee’s salary stated in the labor contract but must not exceed 6 months’ salary per insured event.

b) Actual medical expenses, including necessary and reasonable expenses for emergency aid and outpatient and inpatient treatment.

c) If an employee loses less than 81% of his/her working capacity, the specific indemnity for each type of bodily injury shall be determined according to the Schedule of compulsory indemnity rates for employees working on construction sites in Appendix VII to this Decree.

d) If an employee dies or loses 81% or more of his/her working capacity, the insurance enterprise shall pay an indemnity of VND 100 million/person/case.

The total indemnity specified at Points a, b, c and d of this Clause must not exceed VND 100 million/person/case for cases where the limit of insured liability is VND 100 million.

4. In case an employee’s injury caused by any occupational accident or disease is exacerbated by a preexisting injury or illness, the insurance enterprise is not liable for the exacerbation of injury.

Article 53. Indemnity dossier

An insurance enterprise shall coordinate with the insurance buyer, the insured and related agencies and organizations in collecting relevant documents for preparing an indemnity dossier. An indemnity dossier for an employee working on a construction site must comprise:

1. A written claim of the insurance buyer.

2. Documents related to the insured object, including:

a) Insurance contract, insurance certificate, labor contract signed by the insured and employee suffering from the occupational disease or accident, time sheet.

b) The employee’s written claim for indemnity for the occupational accident or disease (if any).

3. Documents proving the employee’s injury or death due to the occupational accident (copies certified from the originals or copies certified by the insurance enterprise after comparison with the originals):

a) An occupational accident investigation record (if any) made by a competent agency under law. In case a traffic accident is determined as an occupational accident, a traffic accident record or scene investigation record and the plan of the traffic accident scene prepared by competent agencies as specified by law are required.

b) Depending on the extent of bodily injury, one or some of the following documents is/are required: Injury certificate; hospital discharge paper; documents certifying surgery; medical record; death certificate extract or death notice or written certification of public security agency or examination result of forensic examination agency.

c) The Medical Assessment Council’s record of assessment of the level of working capacity decrease, in case the employee loses 5% or more of his/her working capacity (if any).

d) Valid invoices and documents certifying treatment of injuries caused by the occupational accident, issued by health establishments.

4. Documents proving an employee’s injury or death due to an occupational disease include:

a) A record of environmental hazard measurement in a prescribed period issued by a competent agency. If this record is made for many employees, an extract copy (if any) shall be required for each employee’s dossier.

b) A hospital discharge paper (or an occupational disease examination record if the employee did not receive treatment at a hospital), or paper of diagnosis of occupational disease; medical record; extract of death certificate or death notice (in case the employee dies).

c) The Medical Assessment Council’s record of assessment of the level of working capacity decrease, in case the employee loses 5% or more of his/her working capacity (if any).

d) Valid invoices and documents certifying treatment of injuries caused by the occupational disease, issued by health establishments.

5. Documents proving amounts of money paid by the construction contractor for the employee’s injury or death caused by the occupational accident or disease within the insurance liability.

6. Other relevant documents (if any).

Section 4

 INSURANCE CONDITIONS AND PREMIUMS, LIMIT OF INSURED LIABILITY FOR COMPULSORY INSURANCE OF CIVIL LIABILITY FOR THIRD PARTIES

Article 54. Insured objects

Object of the compulsory insurance of civil liability for a third party is the construction contractors’ civil liability toward a third party during the construction as prescribed by law.

Article 55. Limits of insured liability

The limit of insured liability for the compulsory insurance of civil liability for a third party shall be as follows:

1. The limit of insured liability for damage to health or life is VND 100 million per person per case and with no limitation on the number of cases.

2. The limit of insured liability for property damage and relevant legal expenses (if any) shall be determined as follows:

a) For works valued at under VND 1 trillion, the limit of insured liability for property damage and relevant legal expenses (if any) equals to 10% of the value of works for the entire insurance duration and with no limitation on the number of cases.

b) For works valued at VND 1 trillion or higher, the limit of insured liability for property damage and relevant legal expenses (if any) equals to VND 100 billion for the entire insurance duration and with no limitation on the number of cases.

Article 56. Scope of insurance and exclusion of insurance liability

1. Scope of insurance

An insurance enterprise shall pay as indemnities to a construction contractor the money amounts to be indemnified by the construction contractor to third parties for damage related to health, life and property which directly occurs in the course of work construction and relevant legal expenses (if any) covered by the scope of insurance liability as agreed upon in the insurance contract, except for cases defined in Clause 2 of this Article.

2. Cases of exclusion of insurance liability

The insurance enterprise is not liable to indemnify in the following cases:

a) Exclusion of insurance liability specified at Point a, b, c, d, dd, e, g, h and i Clause 2 Article 34 of this Decree.

b) Loss arising from pollution or contamination. Such exclusion does not apply to damage related to health, life and property which occurs from pollution or contamination due to unexpected and unpredictable risks.

c) Damage arising caused by shock, or by displacement or weakening of load-bearing parts and structural geology, or or injury or damage to human or property caused by any above-mentioned losses (excepts for those agreed upon by terms of amendment and supplementation)

d) Damage being the result of an accident caused by a motor vehicle or a vessel, barge or aircraft covered by the vehicle owner’s civil liability insurance against a third party.

dd) Liability as a result of injury or illness caused to employees of the project owner or contractor in connection with the insured work.

e) Loss or damage to property owned or under the lawful management and use of the project owner or contractor or the employees of one of the above persons.

g) Loss related to use of asbestos or any materials containing asbestos.

Article 57. Insurance duration

Duration of compulsory civil liability insurance for third parties is a specific span, counting from the date of starting to the date of finishing the construction, based on the construction contract and written in the insurance contract.

Article 58. Insurance premiums and insurance withholding rates

1. Premiums and withholding rates of compulsory insurance for civil liability for a third party shall be defined as follows:

a) The insurance premium shall be equal to 5% of the compulsory insurance premium for a corresponding underway work specified at Points a and b Clause 1 Article 37 of this Decree. The insurance withholding rate for property damage and relevant legal expenses (if any) shall be equal to 5% of the limits of insured liability for property damage and relevant legal expenses (if any), or VND 20 million, whichever is greater. The insurance enterprise may, based on risk levels of the insured object, increase or reduce the premium up to 25% of the premiums.

In case in the immediately preceding fiscal year, the insured object is the direct cause leading to the amount of original indemnity payments greater than the original insurance premium revenue of compulsory insurance for civil liability for third parties, upon renewal of the insurance contract, the insurance enterprise and the insurance buyer may, based on the data certified by the insurance enterprise's actuary and an independent audit firm, reach an agreement on the insurance premium and the insurance withholding rate, ensuring the enterprise company’s solvency.

b) For construction works other than those specified at Points a and b Clause 1 Article 37 of this Decree: The insurance enterprise and insurance buyer may reach an agreement on the insurance rules and terms, insurance premium and withholding rate based on the evidence proving that the leading foreign reinsurance enterprise or organization confirms its assumption of reinsurance under the same insurance rules and terms, insurance premium and withholding rate as those applied by the insurance enterprise to the insurance buyer. The leading foreign reinsurance enterprises, organizations and foreign insurance enterprises, organizations that accept reinsurance accounting for 10% or more of the total liability under each reinsurance contract must satisfy Clause 9 Article 4 of this Decree.

2. In case the construction period is prolonged compared to that stated in the investment-deciding authority’s document upon entry into the insurance contract, the insurance buyer and the insurance enterprise may agree on an additional insurance premium for the prolonged time. The additional premium (if any) shall be calculated based on the premium prescribed in Clause 1 of this Article, the proportion of the prolonged time to the total construction period stated in the investment-deciding authority’s document upon entry into the insurance contract, and other risks.

Article 59. Principles of indemnity

An insurance enterprise shall consider and settle an insurance claim in accordance with the law on insurance business and based on the following principles:

1. When a third party suffers a damage to health, life, or property directly arising during the construction process within the insurance liability, the insurance enterprise shall be responsible for paying the insurance buyer according to the following indemnities:

a) The specific indemnity for health or life shall be determined according to each type of injury according to the Table of payment of indemnities for damage to health and life prescribed in Appendix VI to this Decree or according to the agreement (if any) between the insured and the damage sufferer or the heirs of the damage sufferer (in case the damage sufferer is dead) or the representative of the damage sufferer (in case the damage sufferer loses his/her civil act capacity under a court decision or is a minor in accordance with the Civil Code) but must not exceed the indemnity specified in Appendix VI to this Decree. In case the court decision is available, the indemnity shall be determined based on the court decision but must not exceed the one specified in Appendix VI to this Decree.

b) The specific indemnity for property in a loss shall be determined according to the actual damage and fault level, but must not exceed the limit of insured liability as agreed upon in the insurance contract.

c) Relevant legal expenses (if any).

The total indemnity paid by the insurance enterprise specified in this Clause must not exceed the limit of insured liability prescribed in Article 55 of this Decree.

2. Upon receiving a third party’s claim, the insurance buyer shall coordinate with the insurance enterprise in the settlement of such claim as follows:

a) Immediately notify it to the insurance enterprise via proper means of communication, then send a written notice to the insurance enterprise within 14 days after receiving a third party’s claim.

b) Take all measures within its capacity to minimize the loss.

c) Take, or coordinate with or permit the insurance enterprise to, take all actions and measures which may be necessary or required by the insurance enterprise to protect the insurance enterprise’s interests after indemnifying for losses within its insurance liability prescribed in this Decree.

3. Upon receiving a third party’s claim, the insurance enterprise shall carry out the settlement of such claim as follows:

a) Conduct loss assessment as prescribed by law and make a written record of assessment of the causes and extent of loss in accordance with Clause 6 Article 60 of this Decree.

b) Provide guidance for the insurance buyer and coordinate with the insurance buyer and related agencies, organizations and individuals in the collection of sufficient documents for making an indemnity dossier.

c) Coordinate with the insurance buyer in settling the third party’s claim request within the insurance liability when an insured event occurs.

Article 60. Indemnity dossier

An indemnity dossier for compulsory insurance for civil liability for a third party must comprise the following documents:

1. A written claim of the insurance buyer.

2. Documents related to the insured object, including: Insurance contract and insurance certificate.

3. The third party’s written claim against the insured.

4. Documents proving the third party’s damage to health or life (copies certified from the originals or certified by a medical examination and treatment establishment, or certified by the insurance enterprise after comparison with the originals) provided by the insurance buyer, the insured. Depending on the extent of bodily injury, one or some of the following documents is/are required:

a) Injury certificate.

b) Hospital discharge paper.

c) Documents certifying surgery.

d) Medical records.

dd) Death certificate extract or death notice or written certification of public security agency or examination result of forensic examination agency.

5. Documents proving loss of or damage to property, including:

a) Construction incident records, for cases where a construction incident occurs (copies certified from the originals or copies certified by the party making such records) as prescribed in Article 47 of the Government’s Decree No. 06/2021/ND-CP dated January 26, 2021 detailing a number of provisions on quality management, construction and maintenance of construction works, or evidence proving the loss of construction works.

b) Valid invoices and documents in case of property repair or replacement.

6. A written record of assessment of causes and extent of loss, prepared by the insurance enterprise or its authorized person.

7. The court’s decision (if any).

8. Other relevant documents (if any).

The insurance buyer and the insured shall be responsible for collecting and sending the insurance enterprise the documents specified in Clauses 1, 2, 3, 4, 5, 7 and 8 of this Article. The insurance enterprise shall be responsible for collecting documents specified in Clause 6 of this Article.

Chapter V

ORGANIZATION OF IMPLEMENTATION

Article 61. Responsibilities of the Ministry of Finance

1. To organize propaganda and implementation of compulsory insurance according to its state management functions and tasks.

2. To inspect and supervise the management, use, payment and settlement of the Motor Vehicle Insurance Fund.

3. To assume the prime responsibility for inspection, examination and supervision of insurance enterprises in the implementation of compulsory insurance.

4. To settle insurance enterprises’ acts of violation of law on compulsory insurance.

5. The Ministry of Finance shall issue the Decision to establish and appoint members of the Vietnamese National Bureau to implement Protocol 5 on the ASEAN Scheme of Compulsory Motor Vehicle Insurance.

Article 62. Responsibilities of the Ministry of Public Security

1. To coordinate with the Ministry of Finance to propagate and disseminate the laws on compulsory insurance for motor vehicle owner’s civil liability, compulsory fire and explosion insurance.

2. To inspect and settle acts of violation of laws on compulsory insurance for motor vehicle owner’s civil liability, compulsory fire and explosion insurance by establishments prone to fire or explosion.

3. To announce the list of establishments prone to fire or explosion (except for establishments related to national defense, security and state secrets) by December 31 every year at the latest on the Ministry of Public Security’s portal.

4. To write fire and explosion proneness levels in fire prevention and fighting acceptance test minutes or minutes on fire prevention and fighting safety inspection on the basis of determination of fire and explosion proneness levels by agencies, organizations and individuals that have establishments prone to fire or explosion, for industrial establishments with fire and explosion proneness level A, B, C, D, or E.

5. To direct the traffic police and investigation police forces to provide copies of documents related to traffic accidents specified in Clause 5 Article 13 of this Decree, within 5 working days from the date of issuance of investigation results.

6. To share and provide information managed by the police sector into the database on compulsory insurance for motor vehicle owner’s civil liability to serve the management of compulsory insurance for motor vehicle owner’s civil liability under the law on managing the connection and sharing of digital data of state agencies.

7. To decide cases to be rewarded and the level of unexpected rewards specified at Point d Clause 2 Article 31 of this Decree.

Article 63. Responsibilities of the Ministry of Construction

1. To coordinate with the Ministry of Finance, relevant ministries and branches in guiding and propagating the implementation of compulsory insurance in construction investment activities.

2. To assume the prime responsibility for, and coordinate with functional agencies in, examining, inspecting, resolving complaints and denunciations, and handling administrative violations of insurance buyers who violate regulations on compulsory insurance in construction investment activities in accordance with law regulations.

Article 64. Responsibilities of the Ministry of Transport

1. To coordinate with the Ministry of Finance, Ministry of Public Security and relevant ministries and branches in guiding and propagating the implementation of compulsory insurance for motor vehicle owner’s civil liability.

2. To coordinate with the Ministry of Finance in inspecting and supervising and supervising insurance enterprises in the implementation of compulsory insurance for motor vehicle owner’s civil liability.

Article 65. Responsibilities of the Ministry of Health

To direct and guide central and local health establishments to provide copies of medical records, injury certificates, death notices or confirmation documents related to provision of emergency aid and treatment of victims of road traffic accidents to create favorable conditions for insurance enterprises to quickly complete indemnity dossiers, ensuring the interests of insurance participants.

Article 66. Responsibilities of the Ministry of Information and Communications

To direct central and local information and press agencies to regularly propagate and disseminate the compulsory insurance.

Article 67. Responsibilities of ministries, ministerial-level agencies and government-attached agencies

1. To coordinate with the Ministry of Finance, relevant ministries and branches in guiding and propagating the implementation of compulsory insurance.

2. Within the scope of their duties and powers, to coordinate in organizing the inspection, guidance and implementation of compulsory insurance in accordance with this Decree.

3. To coordinate with the Ministry of Information and Communications in organizing propaganda on the implementation of compulsory insurance according to their state management functions and tasks.

4. Vietnam Television and Voice of Vietnam shall spend the certain amount of broadcasting time to regularly propagate and disseminate the compulsory insurance.

5. To perform other duties within their competence as prescribed by law.

Article 68. Responsibilities of People’s Committees of provinces and centrally-run cities

1. To direct functional agencies and authorities at all levels to organize and implement the compulsory insurance.

2. To direct local news and press agencies to regularly propagate and disseminate the compulsory insurance.

3. To coordinate with the Ministry of Public Security in directing the traffic police force and other relevant police forces in the localities to organize inspection and handling of motor vehicle owners who do not participate in compulsory insurance for motor vehicle owner’s civil liability.

4. To perform other duties within their competence as prescribed by law.

Article 69. Responsibilities of the High Command of the Vietnam Border Guard

1. To coordinate with the Ministry of Finance and relevant agencies in organizing the implementation of Protocol 5 on the ASEAN Scheme of Compulsory Motor Vehicle Insurance.

2. To direct the land border guards to carry out inspection and control of the observance of compulsory insurance for civil liability by owners of motor vehicles in transit.

Article 70. Responsibilities of the National Traffic Safety Committee

1. To coordinate with the Ministry of Finance, Ministry of Public Security and relevant ministries and branches in guiding and propagating the implementation of compulsory insurance for motor vehicle owner’s civil liability.

2. To coordinate with the Motor Vehicle Insurance Fund in organizing and implementing propaganda and education activities; prevent and limit losses; spend on humanitarian assistance expenses in accordance with this Decree.

Article 71. Responsibilities of the Vietnamese National Bureau to implement Protocol 5 on the ASEAN Scheme of Compulsory Motor Vehicle Insurance

1. The Vietnamese National Bureau to implement Protocol 5 on the ASEAN Scheme of Compulsory Motor Vehicle Insurance is the standing agency to assist relevant ministries and branches in the implementation of Protocol 5 on the ASEAN Scheme of Compulsory Motor Vehicle Insurance.

2. To research and propose the Ministry of Finance to submit the competent authorities to complete the regulations on compulsory insurance for motor vehicle owner’s civil liability in order to create the favorable conditions for implementation of the ASEAN Scheme of Compulsory Motor Vehicle Insurance.

Article 72. Responsibilities of the Vietnam Automobile Transportation Association

1. To coordinate with the Ministry of Finance, Ministry of Public Security and relevant ministries and branches in guiding and propagating the implementation of compulsory insurance for motor vehicle owner’s civil liability.

2. To direct and guide provincial-level and regional associations to coordinate with People's Committees of provinces and centrally-run cities in guiding and propagating the implementation of compulsory insurance for motor vehicle owner’s civil liability.

Article 73. Responsibilities of the Association of Vietnamese Insurers

1. To report on the contribution rate to the Motor Vehicle Insurance Fund as specified in Clause 2 Article 16 of this Decree to the Ministry of Finance.

2. To organize propaganda of the implementation of compulsory insurance.

3. To publicize information about the compulsory insurance for motor vehicle owner’s civil liability.

Article 74. Responsibilities of agencies, organizations and individuals having establishments prone to fire or explosion

To determine industrial establishments’ fire and explosion proneness level A, B, C, D, or E, for establishments prone to fire or explosion in accordance with law regulations on fire prevention and fighting.

Article 75. Responsibilities of insurance enterprises

1. To not implement promotion and payment discounts in any form for compulsory insurance for motor vehicle owner’s civil liability.

2. To prepare and send the following reports:

a) Professional operations reports: Insurance enterprises must prepare and send the following reports to the Ministry of Finance:

Reports on implementation of compulsory insurance for motor vehicle owner’s civil liability (made using the Form No. 1 in Appendix X); Reports on revenues, indemnities of compulsory fire and explosion insurance (made using the Form No. 2 in Appendix X); Reports on revenues, indemnities of compulsory insurance of works in construction investment activities (made using the Form No. 3 in Appendix X).

The period for closing data shall be counted from January 01 to December 31 of the reporting year.

The report must be submitted on March 31 of the following fiscal year at the latest.

Methods of sending reports: Reports shall be sent directly, by post, via emails or via the reporting information system of the Ministry of Finance (when the Ministry of Finance’s reporting information system is put into operation).

b) Reports on collection and remittance of compulsory fire and explosion insurance premiums (Form No. 4 Appendix X): Insurance enterprises must prepare and send reports to the Ministry of Public Security as follows:

The period for closing data shall be counted from January 01 to June 30 of the reporting year, for first 6-month reports; from January 01 to December 31 of the reporting year, for annual reports.

Time for sending report shall be July 31 every year at the latest, for first 6-month reports; January 31 of the following fiscal year at the latest, for annual reports.

Methods of sending reports: Reports may be sent in person or by post to the Ministry of Public Security.

3. To set up and operate a hotline 24 hours a day and 7 days a week to timely receive information about accidents and losses, provide instructions and answers to the insurance buyer, the insured and related parties about matters related to compulsory insurance. Record calls to the hotline to ensure the interests of the insurance buyer and the insured.

4. To integrate the lookup feature for certificates of compulsory insurance for motor vehicle owner’s civil liability on the insurance enterprises’ websites and portals, allowing competent agencies to inspect, examine, supervise, the insurance buyer and the insured to look up and verify the insurance duration and validity of the insurance certificates.

5. To clearly explain insurance conditions and premiums, minimum insurance sum, ensuring that the insurance buyer and the insured may distinguish between compulsory insurance and other types of voluntary insurance.

6. To enhance the application of information technology in settlement of claims of compulsory insurance for motor vehicle owner’s civil liability for motorcycles and mopeds.

7. To coordinate with the insurance buyer and related parties to compile one indemnity dossier and take responsibility before law for the accuracy, completeness and validity of the indemnity dossier. To take the initiative in collecting documents required in the indemnity dossier falling under their responsibility as specified in this Decree.

8. To advance the indemnities and pay indemnities of compulsory insurance on a quick and accurate manner in accordance with this Decree.

9. To pay to public security agencies the cost of photocopying the provided dossiers and records of accidents of motor vehicles in accordance with law regulations and keep them secret during the investigation process.

10. To notify the insurance buyer and the insured of the expiration of the insurance contracts within 15 days before the expiration of the insurance duration.

11. To contribute to the Motor Vehicle Insurance Fund in accordance with Article 16 of this Decree; remit 1% of the total premiums of compulsory fire and explosion insurance actually earned from original insurance contracts in the preceding fiscal year for contribution to fire prevention and fighting activities as defined in Article 30 of this Decree.

12. To separately account revenues of insurance premiums, insurance agent commissions, indemnities and expenses related to compulsory insurance.

13. To provide and update information in the database on compulsory insurance for motor vehicle owner’s civil liability at the request of the Management Council of the Motor Vehicle Insurance Fund.

14. Other obligations as prescribed by law.

Chapter VI

IMPLEMENTATION PROVISIONS

Article 76. Transitional provisions

1. Compulsory insurance contracts concluded before the effective date of this Decree and being in the contract implementation period shall continue to comply with Law on Insurance Business dated June 16, 2022 (for insurance contracts concluded from January 01, 2023); the Government’s Decree No. 03/2021/ND-CP dated January 15, 2021 on compulsory insurance for motor vehicle owner’s civil liability; the Government’s Decree No. 23/2018/ND-CP dated February 23, 2018, prescribing compulsory fire and explosion insurance; the Government’s Decree No. 97/2021/ND-CP dated November 08, 2021 on amending and supplementing a number of articles of the Government’s Decree No. 23/2018/ND-CP dated February 23, 2018, prescribing compulsory fire and explosion insurance; the Government’s Decree No. 119/2015/ND-CP dated November 13, 2015, prescribing compulsory insurance in construction investment activities; the Government’s Decree No. 20/2022/ND-CP dated March 10, 2022 on amending and supplementing a number of articles of the Government’s Decree No. 119/2015/ND-CP dated November 13, 2015, prescribing compulsory insurance in construction investment activities; except for cases where the parties to insurance contracts reach an agreement on amendment and supplementation of contracts for conformity with this Decree and application of this Decree.

2. The mechanism on management and use of the Motor Vehicle Insurance Fund; collection rates and management and use of revenues from compulsory fire and explosion insurance for fire prevention and fighting activities shall comply with this Decree from the fiscal year 2023. For the fiscal year 2023, the Management Council of the Motor Vehicle Insurance Fund shall decide the contribution rate to the Motor Vehicle Insurance Fund, insurance enterprises must contribute to the Motor Vehicle Insurance Fund, pay contributions to the fire prevention and fighting activities from compulsory fire and explosion insurance before December 31, 2023.

3. For cases where a contractor has been selected in accordance with law regulations on bidding but an insurance contract has not been concluded, the parties shall continue to comply with the provisions in the bidding dossier or dossier of requirements issued.

Article 77. Effect

1. This Decree takes effect on the signing date.

2. The following Decrees cease to be effective from the effective date of this Decree:

a) The Government’s Decree No. 03/2021/ND-CP dated January 15, 2021 on compulsory insurance for motor vehicle owner’s civil liability.

b) The Government’s Decree No. 23/2018/ND-CP dated February 23, 2018, prescribing compulsory fire and explosion insurance; the Government’s Decree No. 97/2021/ND-CP dated November 08, 2021 on amending and supplementing a number of articles of the Government’s Decree No. 23/2018/ND-CP dated February 23, 2018, prescribing compulsory fire and explosion insurance.

c) The Government’s Decree No. 119/2015/ND-CP dated November 13, 2015, prescribing compulsory insurance in construction investment activities; the Government’s Decree No. 20/2022/ND-CP dated March 10, 2022 on amending and supplementing a number of articles of the Government’s Decree No. 119/2015/ND-CP dated November 13, 2015, prescribing compulsory insurance in construction investment activities.

3. In case legal documents mentioned herein for application are amended, supplemented or replaced, these amending, supplementing or replacing documents shall apply.

Article 78. Implementation responsibility

Ministers, heads of ministerial-level agencies, heads of government-attached agencies, Chairpersons of People’s Committees of provinces and centrally-run cities and the subjects of application shall take responsibility for the implementation of this Decree./.

* All Appendices are not translated herein.