Gross premium income at Chinese insurers slowed during the first half of this year, according to a statement issued by the China Insurance Regulatory Commission.
From 37% growth in the first half of 2016, gross premium income growth slowed down to 23% for the first six months of this year, according to the
CIRC.
“In general, the insurance market was stable with a trend for slower growth,” the regulator said in its statement. “Adjustment in business structure accelerated, returns from the use of capital were steady, and industrial risk control enhanced.”
For the life insurance sector, premium income was up 26%, much slower than the 50% growth experienced last year, reports Shanghai Daily.
The reverse was true for general insurance, as premium income growth sped up to 13.9% this year, compared to 8.5% last year.
According to the CIRC, the general insurance sector’s growth was due to the recovery of the corporate and shipping insurance businesses, as well as increased economic growth.
Investment income improved, with insurers investing more into bonds, loans, and stocks, while shying away from bank deposits and equity funds. CIRC data indicated that investment income rose 26.23% to RMB371.73 billion yuan (US$55.33 billion)
The regulator also lauded the industry’s efforts for innovation through offering insurance products covering new and emerging shared economy concepts such as bike-sharing and smart transport.
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