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THE GOVERNMENT
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SOCIALIST REPUBLIC OF VIETNAM
Independence – Freedom – Happiness
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No. 20/2022/ND-CP

Hanoi, March 10, 2022

 

DECREE

AMENDMENTS TO THE GOVERNMENT’S DECREE NO. 119/2015/ND-CP DATED NOVEMBER 13, 2015 ON COMPULSORY INSURANCE FOR CONSTRUCTION INVESTMENT ACTIVITIES

Pursuant to the Law on Organization of the Government dated June 19, 2015; the Law on Amendments to the Law on Organization of the Government and the Law on Organization of the Local Government dated November 22, 2019;

Pursuant to the Law on Insurance Business dated December 9, 2000; the Law on Amendments to the Law on Insurance Business dated November 24, 2010; 

Pursuant to the Law on Amendments to the Law on Insurance Business and the Law on Intellectual Property dated June 14, 2019;

Pursuant to the Law on Construction dated June 18, 2014; the Law on Amendments to the Law on Construction dated June 17, 2020;  

At the request of the Minister of Finance;

The Government hereby promulgates the Decree on Amendments to Decree No. 119/2015/ND-CP dated November 13, 2015 of the Government on compulsory insurance for construction investment activities.

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1. Amendments to Point c Clause 4 Article 3:

“c) With respect to employees working at construction sites and compulsory third-party civil liability insurance: Insurance premiums shall be included in production and business costs”.

2. Amendments to Point a Clause 1 Article 4:

“a) Construction projects or project items which have great impacts on public safety and benefits as stipulated by Appendix X of Decree No. 15/2021/ND-CP dated March 3, 2021 of the Government elaborating certain regulations on management of construction projects and its amending or replacing documents (if any)”.

3. Amendments to Clause 3 Article 4:

“3. Engineering construction contractors must buy compulsory insurance for employees working at construction sites and compulsory third-party civil liability insurance”.

4. Clause 4 is added after Clause 3 Article 5:  

“4. Compulsory third-party civil liability insurance shall be a specific period, from the start date to the end date of the construction time according to the construction contract and included in the insurance policy".

5. Point dd is added after Point d Clause 1 Article 6:

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6. Point e is added after Point dd Clause 2 Article 6:

“e) Damage or losses in accordance with international practices agreed to apply by parties that participate in the insurance if such practices are not contrary to the law of Vietnam".

7. Clause 4 is added after Clause 3 Article 10: 

“4. With respect to compulsory third-party civil liability insurance:

a) The minimum sum assured regarding damage of health or life is 100 million VND/person/case, not limiting the number of cases of damage or losses.

b) The minimum sum assured regarding damage of assets or related legal costs (if any) is:

- 10% of the value of the works for the entire valid duration of the insurance regarding works valued at less than 1.000 billion VND, not limiting the number of cases of damage or losses.

- 100 billion VND for the entire valid duration of the insurance regarding works valued at 1.000 billion VND or more, not limiting the number of cases of damage or losses.

8. Amendments to Clause 1 Article 12:

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a) Insurance for construction works in progress;

b) Compulsory professional liability insurance for construction consultancy service;

c) Compulsory insurance for employees working at construction sites;

d) Compulsory third-party civil liability insurance”.

Article 2. Annul Clause 6 Article 3 and Clause 1 Article 18 of Decree No. 119/2015/ND-CP dated November 13, 2015 of the Government on compulsory insurance for construction investment activities.

Article 3. Implementation provisions

1. This Decree comes into force as of July 1, 2022.

2. Compulsory insurance policies in construction activities and compulsory third-party civil liability insurance concluded before this Decree comes into force shall continue to be executed in accordance with regulations of the law that are effective at the moment of conclusion of such insurance policies. In case revisions to an insurance policy are regulated by this Decree, this Decree shall apply.

3. Ministers, directors of ministerial agencies, directors of the Government’s affiliates, Chairmen of People’s Committees of provinces, centrally affiliated cities, and the Decree’s regulated entities shall implement this Decree.

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ON BEHALF OF THE GOVERNMENT
PP. PRIME MINISTER
DEPUTY PRIME MINISTER




Le Minh Khai