China's Anbang Insurance said that it has not exceeded its overseas investment quota yet following reports that it may be facing local policy barriers after raising its offer for Starwood Hotels & Resorts Worldwide at $14 billion, outbidding Marriott International's latest bid.

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Industry watchdog China Insurance Regulatory Commission may allegedly deny the two deals of Anbang as it could violate its existing policy that prohibits local insurance firms from investing over 15 percent of their total assets overseas, financial magazine Caixin reported.

The report further revealed that its total insurance assets in 2015 is probably less than a trillion yuan, and the company has already shelled out nearly 172 billion yuan internationally, including its counteroffer for Starwood.

However, a representative from the Beijing-based company said on Tuesday that its Anbang's investment plan has not violated the rules and regulations, and its overseas investment quota for this year is enough.

Other experts, on the other hand, also said Anbang has ample overseas investment quota and it can also take advantage of policies that encourage foreign investment.

Based on the policy, Anbang is not allowed to invest over 15 percent of its total assets overseas, not total insurance assets, Hao Yansu, School of Insurance at the Central University of Finance and Economics' director, pointed out. 

Anbang's overseas investment quota could be 285 billion yuan, as its estimated total asset is over 1.9 trillion yuan, according to its official website.

Furthermore, Anbang aggressively ventured out overseas since 2014, following the State Council's issued policy that encourages the insurance sector to seek opportunities abroad and enhance investment capabilities.

Among the high-profile firms Anbang has acquired include New York's Waldorf Astoria, US' Fidelity and Guaranty Life, Dutch' VIVAT, Belgium's Fidea Assurances and Delta Lloyd Bank, and South Korea's Tong Yang Life. This year, it will acquire Blackstone's Strategic Hotels and Resorts Inc. for  $6.5 billion.

TagsAnbang, Starwood Hotels, Marriott Hotels, overseas investment quota, China insurance regulatory commission