China’s insurance industry is expected to continue to grow at the fastest pace in the world over the next decade, in terms of total premium income. The latter climbed to Rmb3.8 trillion (US$563 billion) in 2018, up 3.9% from 2017, according to data from the China Banking and Insurance Regulatory Commission. Moreover, the industry’s total assets stood at Rmb18.3 trillion as of 31 December 2018, up 9.5%.
The good news is that China’s insurance market has room to expand, and the government is introducing policies and oversight to foster a healthy insurance environment. The bad news is that the country’s economy is slowing, along with that of the world. The rising global debt burden and trade friction with the US are other worries. How is this mix of good and bad factors affecting China’s insurance market? What is on the cards for the next decade?
Clearly, digitalisation will feature strongly in the future. Innovative technology has wrought rapid change on insurance processes, products and services. Use of big data has enabled insurers to not only get closer to customers but also to evaluate risks better. This dynamic development comes with regulatory changes, greater risks to cyber security, and a need for deeper investment in technology. Is China’s insurance industry ready for the challenge?
FT China Insurance Summit: Striving for enhanced growth is the third in the series.It will bring together leading insurers, asset managers and technology experts from China and overseas to discuss the state of China’s insurance industry today and in the future, explore the best investment strategies in the next phase of growth, and examine the dramatic changes due to digitalisation.
Note: Proceedings will be mainly in Mandarin. Some sessions will be in English.