China Insurance Report

Published 06 August 2015

  • 70 pages
  • Instant access to your report online and PDF format through your account library
  • Includes 3 free updated quarterly reports
$1,295.00
China Insurance Report

BMI View : China ' s insurance sector continues to stand out in global terms as one that is both extremely large by most metrics and rapidly growing. As is the case in South Korea, Hong Kong, Taiwan and Japan, life insurance plays a crucial role as a conduit of organised savings in a country where the population is ageing rapidly and where limited social security benefits are provided directly by the government. The ongoing growth and development of the economy should underpin a steady rise in volumes in the non-life segment. In some sub-sectors, price competition is expected to restrict premiums growth.

China's massive insurance sector has much in common with its peers in North East Asia. Life insurance has become a very important channel for organised savings: this is in the context of a rapidly ageing population, high savings rates and limited social security that is provided by the government. The government provides tax breaks for use of life insurance (and, as indicated below in the listing of recent developments) some other products. In essence, the authorities recognise that the life insurers can play a central role in the provision of enterprise annuities and other retirement income solutions. The general growth of the economy, and rising consumerism, underpins an expansion in volumes in many of the various sub-sectors of the non-life segment. We note, however, that aggressive price competition is likely to continue restricting the growth of premiums in the important motor vehicle sub-sector.

Both segments are open to foreign competition. However, the foreign groups - most of whom operate through joint ventures with Chinese partners - collectively speak for single-digit shares of the two main segments and the leading sub-sectors. The challenges facing foreign groups include the entrenched positions of local players which boast strong brands, access to cheap capital, key distribution relationships and - in global terms - scale. As is the case in...

BMI Industry View
7
SWOT
9
Insurance
9
Political
11
Economy
12
Operational Risk
13
Industry Forecast
15
Life Premiums Forecast
15
Life Premiums
15
Table: Gross Life Premiums Written (China 2012-2019)
17
Life Claims
17
Table: Life Insurance Claims (China 2007-2014)
18
Life Drivers
18
Table: Life Expectancy by Gender (China 2012-2019)
19
Table: Demographic Breakdown (China 2012-2019)
20
Non-Life Premiums Forecast
21
Non-Life Premiums
21
Table: Gross Non-Life Premiums Written (China 2012-2019)
22
Non-Life Claims
23
Table: Non-Life Insurance Claims (China 2007-2014)
23
Table: Non-Life Insurance Claims by Line (China 2007-2014)
24
Non-Life Sub-Sector Forecast
25
Table: Non-Life % Breakdown (China 2012-2019)
26
Motor Vehicle Insurance
26
Table: Motor Vehicle Insurance (China 2012-2019)
27
Table: Insurance Key Drivers, Autos (China 2012-2019)
27
Transport Insurance
28
Table: Transport Insurance (China 2012-2019)
29
Table: Insurance Key Drivers, Freight Tonnage (China 2012-2019)
29
Health Insurance
30
Table: Health Insurance (China 2012-2019)
30
Table: Insurance Key Drivers, Private Health Expenditure (China 2012-2019)
31
Personal Accident Insurance
31
Table: Personal Accident Insurance (China 2012-2019)
32
Property Insurance
32
Table: Property Insurance (China 2012-2019)
33
General Liability Insurance
33
Table: General Liability Insurance (China 2012-2019)
34
Credit/ Financial Guarantee Insurance
34
Table: Credit/Financial Guarantee Insurance (China 2012-2019)
35
Other Insurance
35
Table: Other Non-Life Insurance (China 2012-2019)
35
Insurance Risk/Reward Index
36
Asia Pacific Industry Risk/Reward Index
36
Table: Asia Pacific Insurance Risk/Reward Index
37
Market Overview
38
Life Market Overview
38
The Product Offering
38
The Competitive Landscape
38
Table: Life Insurance Market (USDmn) 2007-2014
40
Table: Life Insurance Market (%) 2007-2014
41
Non-Life Market Overview
43
The Product Offering
43
The Competitive Landscape
43
Table: Non-Life Insurance Market (USDmn) 2007-2014
44
Table: Non-Life Insurance Market (%) 2007-2014
45
Company Profile
47
China Life Insurance Co
47
China Pacific Insurance (Group) Co
50
PICC Property and Casualty Co
53
Ping An Insurance (Group) of China Limited
56
Demographic Forecast
59
Table: Population Headline Indicators (China 1990-2025)
60
Table: Key Population Ratios (China 1990-2025)
60
Table: Urban/Rural Population & Life Expectancy (China 1990-2025)
61
Table: Population By Age Group (China 1990-2025)
61
Table: Population By Age Group % (China 1990-2025)
62
Methodology
64
Industry Forecast Methodology
64
Risk/Reward Index Methodology
67
Table: Indicators
69
Table: Weighting of Indicators
70

The China Insurance Report has been researched at source and features BMI Research's independent assessment and forecasts for the insurance sector. It examines industry developments, key growth drivers and risk management projections, including the macroeconomic situation, government policy, regulatory environment and the level of development and potential for growth, broken down by line. Leading insurers are profiled, covering premiums, products and services and competitive positioning.

BMI's China Insurance Report provides professionals, consultancies, government departments, regulatory bodies and researchers with independent forecasts and regional competitive intelligence on the Chinese insurance industry.

Key Benefits

  • Benchmark BMI's independent insurance industry forecasts for China to test other views - a key input for successful budgeting and strategic business planning in China's insurance market.
  • Target business opportunities and risks in China through our reviews of latest industry trends, regulatory changes and major deals, investments and macroeconomic developments.
  • Exploit latest competitive intelligence on your competitors, partners and clients via our Company Profiles (inc. SWOTs, KPIs and latest activity).

Coverage

BMI Industry View

Summary of BMI’s key industry forecasts and views, covering the Life and Non-Life segments, the evolving competitive landscape and business operational risks.

Industry SWOT Analysis

Analysis of the major Strengths, Weaknesses, Opportunities and Threats within the insurance sector and within the broader political, economic and business environment.

BMI Industry Forecasts

Historic data series (2005-2014) and forecasts to end-2019 for key industry indicators, supported by explicit assumptions, plus analysis of key risks to the main forecasts. Indicators include:

  • Life/non-life Premiums: Total premium growth (USDmn), premium growth (% y-o-y), penetration (% of GDP), density (USD per capita) for Life and Non-Life sectors, claims reinsurance, and assets and liabilities.
  • Non-life subsectors: Data on gross written premiums for all major Non-Life segments (motor, transport, property, personal accident, health, general liability and credit financial).

BMI’s Insurance Risk Reward Index

BMI’s Risk Reward Indices provide investors (Life and Non-Life) looking for opportunities in the region with a clear country-comparative assessment of a market’s risks and potential rewards. Each of the country markets are scored using a sophisticated model that includes more than 40 industry, economic and demographic data points to provide an indices of highest to lowest appeal to investors, with each position explained.

Company Profiles*

Examines the competitive positioning and short- to medium-term business strategies of key industry players. The latest financial and operating statistics and key company developments are also incorporated within the company profiles, enabling a full evaluation of recent company performance and future growth prospects.

Growth Drivers & Risk Management Projections

Key data and forecasts to end-2019 focusing on the growth drivers and downside risks to specific insurance lines including:

  • Population: Male/female, by age group, active/pensionable/youth population % of total, urban/rural population % of total.
  • Freight: Tonnage – air freight, rail freight, road freight, inland waterway.
  • Motor: Fleet size by type of vehicle % change y-o-y.
  • Epidemiology: Disease Adjusted Life Years and private health expenditure.

Market Overview & Rankings

Illustration of the insurance industry via rankings tables comparing gross written premiums by company (USDmn) and market share (%) for the top 20 players in both Life and Non-Life. This chapter also includes in-depth regional analysis of the market position, business strategies and investment potential of the leading insurance companies.

Sources

The insurance Reports draw on an extensive network of primary sources, such as multilateral organisations, government departments, industry associations, chambers and company reports.

*Company profiles are not available for every country. Those reports instead contain information on the current activities of prominent companies operating in the market.

secure
Benefit from discounts when you add multiple products to your basket
2 Products SAVE 10%
3 Products SAVE 15%
4 Products SAVE 20%
5 Products SAVE 25%
6 Products SAVE 30%
7 - 20 Products SAVE 35%
21 Products or more SAVE 40%