Insurers net 2018 profits estimated at more than $40bn
Source: Asia Insurance Review | Mar 2019
Profits in the insurance industry in China last year is estimated at CNY271bn ($40.4bn) for 2018, according to a report by the Shanghai Securities News. This would represent an increase of 5.57% over 2017.
The life sector estimates net profits to have increased by 22.07% last year to CNY169.8bn. However, net profits in the non-life sector are estimated to have plunged by 26.02% to CNY47.3bn while those in the insurance asset management sector are assessed to have slipped by 13.9% to CNY9.5bn last year, compared to 2017.
Major life insurers get bigger
The 2018 gross premium figures for the Chinese life insurance sector show that the largest insurers maintained, if not increased, their domination of the market.
Nine of the top 10 life insurers in 2017 continued to be in this exalted list in 2018. China Life and Ping An Life were dug in firmly as the biggest and second biggest life insurers respectively.
The changes were:
- Tian An Life squeezed into the top 10 life insurers, as measured by gross premiums, in 2018, jumping from 12th position previously.
- The most dramatic change was Anbang Life, which was ousted from its number three position in 2017 as its 2018 gross premiums plunged by around 90%.
- With Anbang out of the top 10 ranks, the other players jostled for and reshuffled positions.
- Huaxia Life showed the fastest growth among the top 10 insurers, with its premiums surging by 81% to CNY158.2bn ($23.6bn) last year, enabling the company to leap from ninth position in 2017 to fourth place in 2018. A