Around 170 insurance and reinsurance companies in China have filed their 1Q2022 solvency reports as of 15 May 2022, the first such reports to adhere to rules under China Risk-Oriented Solvency System (C-ROSS) Phase 2 .
Chinese life insurers' top-line growth and earnings are pressured by a combination of weak insurance demand and capital-market volatility, says Fitch Ratings. However, these challenges are balanced by stable exposure to opaque alternative investments and solid solvency buffers.
The aggregate premium growth rate of China's five major listed life insurers was flat in the first four months of this year, standing at 0.3% year on year with combined premiums reaching CNY791.2m ($117.6m).
China's five major listed insurance group companies posted an aggregate premium income of CNY1,174bn ($174bn) in the first four months of this year, 3.45% higher than in the corresponding period in 2021.
The non-life insurance market in mainland China posted an aggregate net profit of CNY15.82bn ($2.34bn) for the first quarter of this year, representing a drop of 15.8% from the corresponding quarter in 2020.
More than 70% of Generation Z regard purchasing insurance as an important means of health protection, and 50% of users use insurance to diversify property risks, according to a recent survey commissioned by Zhongan Online P&C Insurance.
The legal representatives or senior management of financial institutions, including insurers, will be held ultimately liable for the quality of statistical data submitted to the CBIRC, the regulatory agency has warned.
Insurance companies, banks or securities firms can be required to submit a certain amount of funds to support China's new Financial Stability Fund, based on their respective asset value, suggests Mr Liu Xiaochun, deputy head of the Shanghai Finance Institute.
Statistics from the Monetary Authority of Macau (AMCM) show that the gross premium of the life insurance business in Macau jumped to MOP33bn ($4.08bn) in 2021, representing an increase of 29% compared to the MOP25.6 billion in 2019.
China's online P&C insurance sector saw steady growth in premiums in 2021, according to a report released by the Insurance Association of China.