The President announced the Amendment of the Insurance Act ("Amendment") on June, 4, 2014. Major amendments include: (1) Requiring insurers to install independent directors and an audit committee, and having the audit committee act in the place of the supervisors. (2) When insurance companies merge or assume contracts due to bad management, the Taiwan Insurance Guaranty Fund may advance funds to cover the losses. (3) A supervisor, receiver, rehabilitator, liquidator, and the responsible person or staff of the Taiwan Insurance Guaranty Fund shall be liable for damages caused by their acts infringing upon the rights of others in the course of performing their duties. (4) The rights and obligations of the receiver and rehabilitator are specified in the Amendment. (5) Insurance enterprises are obliged to provide the Taiwan Insurance Guaranty Fund with information required in electronic form. Violators may be fined or ordered to discharge the responsible person. (6) Insurance enterprises shall not exercise voting rights concerning the election of directors and supervisors of invested companies and shall not participate in the operation of such companies through third parties. (7) The Amendment excludes the following items from the calculation of limits on foreign investments: (a) investments in foreign currency denominated stocks or debt obligations of domestic listed or OTC-listed companies; and (b) investment items and amounts already approved by the competent authorities. (8) Anyone who circulates rumors or uses fraudulent means to damage the reputation of domestic insurance enterprises or foreign insurance enterprises shall be punishable by prison term of less than 5 years, or in addition, a criminal fine not exceeding NTD 10 million.