Local incorporation is now required for conducting insurance business in Lao PDR. Previously, foreign insurers were allowed to invest through branches.
"Article 3 (Revised) Glossary
The terms used are as follows:
Insurers refer to the insurance company and the reinsurance company, which is a form of financial institution that is established and conducts business in accordance with this law and other relevant laws of Lao PDR.
[...]
Section IV - Insurance business
Chapter 1 - Running an insurance business
Article 35. (Business) Insurance business
Insurance business is the operation of a business related to life insurance or general insurance, including reinsurance.
Article 36. (Amendment) Application for insurance business license
Those who intend to do insurance business in Lao PDR must apply for investment license and enterprise registration as stipulated in the Law on Investment Promotion and Enterprise Law and apply for a business license with the Ministry of Finance. The Ministry of Finance shall consider in accordance with the time stipulated in the relevant laws,
In conducting business, the legal entity is allowed to conduct only one type of insurance business.
Article 37. (Revised) Insurance business model
The insurance business must operate in the form of a public company and a limited company only.
[...]
Article 100 (Revised) Effectiveness
This law came into force fifteen days after the President of the Lao People's Democratic Republic issued a decree promulgating it.[...]" (Law on Insurance (Revised) No. 78 / NA, dated 29 November 2019 [google translation])
-----------Previously-------------
"PART IV - INSURANCE BUSINESS OPERATIONS
Chapter 1 - Establishment and Operation of Insurance Business
Article 17 Establishment and Operation of Insurance Business (amended)
Anyone wishing to establish and operate an insurance business in Lao PDR shall file an application form through the one-stop service of the Planning and Investment sector as provided in the Law on Investment Promotion .
Article 18 Types of Insurance Business (amended)
The type, form and kind of the establishment of insurance business in Lao PDR shall comply with the Law on Investment Promotion and Law on Enterprise.
[...]
Article 22 Application for a License to Operate an Insurance Business(amended)
Both a domestic and foreign individual and legal entity fulfilling all requirements is eligible to file an application to operate an insurance business to the Planning and Investment Sector in accordance with the laws and regulations of Lao PDR.
[...]
Article 29 Application for the Establishment and Operation of a Foreign-Owned Insurance Company (amended)
Any foreign insurance company and insurance broker wishing to establish and operate an insurance business in Lao PDR shall file application documents through the one-stop service for approval as defined in the Law on Investment Promotion.[...]" (Insurance Law Amended No. 06/NA, dated 21 December 2011)
----------------------------------
"[...]Chapter I. Forms of investment
Article 26. Forms of investment
Investment consists of the following forms:
-A wholly domestic or foreign-owned investment;
-A joint venture between domestic and foreign investors;
-A business cooperation by contract;
-A joint venture between a state-owned enterprise and a private enterprise;
-A public-private partnership (PPP).
The Government may participate in the equity of any concession business on a case-by-case basis as set out in relevant laws.
Article 27. Wholly domestic or foreign-owned investment
A wholly domestic or foreign-owned investment is an investment entirely owned by either domestic or foreign investors, and can be either a single investor or group of investors in the enterprise or project in the Lao PDR.
[...]
Part VI. Rights and obligations of investors
Chapter I. Rights of investors
Article 67. Rights of investors
Investors have rights to invest as follows: [...]
5. To establish a representative office or a branch in the Lao PDR;
[...]
Article 100. Rights and duties of the industry and commerce sector authority
In supervising investment promotion, the industry and commerce sector authority shall have the rights and duties according to the supervision decentralization as follows:[...]
5. Receive applications for enterprise registration for businesses outside the controlled business list and branches of foreign enterprises;[...]" (Law on Investment Promotion, Law No. 14/NA, dated 17 November 2016)
Law on Insurance (Revised) No. 78 / NA, dated 29 November 2019
Insurance Law Amended No. 06/NA, dated 21 December 2011
Law on Investment Promotion, Law No. 14/NA, dated 17 November 2016
[<a href="http://lsp.moic.gov.la/index.php?r=site%2Fdisplaylegal&id=496">Law</a>],[<a href="http://laoofficialgazette.gov.la/kcfinder/upload/files/Insurance%20Law%20(%20Amended%20).pdf">Law</a>],[<a href="https://policy.asiapacificenergy.org/sites/default/files/LAW%20ON%20INVESTMENT%20PROMOTION%20%28Amendment%29_2016%20%28EN%29.pdf">Law</a>]