Car Insurance Facts

Insurance businesses in 2008 the first annual report issued yesterday, income has shrunk substantially. March 26, China Life was held in Beijing in 2008 the functioning outcomes of the annual seminar, in Hong Kong accounting standards-based presentation report displayed that as at December 31, 2008, China Life’s total buying into earnings of 30.24 billion yuan more than 2007 was down 61.4 percent; snare earnings of 21.28 billion yuan, comprising a 45.3 per hundred down turn in 2007. Solvency in 2007 from 525% to 310%.

Decline in net profit affected by many factors

Not perfect but for as early as the anticipated profitability of, China Life Chairman Yang Chao said in the seminar, as a outcome of the first half of the homeland in 2008 for the South skilled a catastrophe and iced rainfall and snowfall “5.12″ Wen chun large earthquakes, and are seldom glimpsed in the second half of the worldwide economic urgent position, making the procedure of the development of China Life is opposite unprecedented challenges. As of the end of 2008, China Life Insurance to pay a total of 11.916 million yuan reimbursement snowstorm, earthquake to pay a total of about 153 million claims; At the identical time, change of monetary and borrowing principle, exchange rates, alterations in interest rates, the cost of component charges conveyed about by alterations to their varying qualifications of impact.

As for the sharp decline in solvency, vice president of China Life Insurance Analysis Tak Liu pointed out that the depth of capital markets led to lower investment asset values have dropped sharply recognized and the rapid development of the company’s business is the main reason for the decline in solvency.

It was furthermore presented in 2008 a gigantic shock to worldwide capital markets, China Life Insurance is not buying into, and sub-loan urgent position is exactly associated to the offshore bonds, equities and derivatives.

Modest investment in overseas

As can be observed from the report in 2008, China Life’s financial endeavour portfolio has modified highly, which allegations financial endeavour statements for 61.4% equity financial endeavour in 2007 from 23% to 8%. In the face of fiscal critical purpose, the nation life in time to acclimatise the financial endeavour strategy. Germany, as showed by Liu, the 2008 increment of the principle assets in fixed-income portion of species, embracing infrastructure strategies, for instance allegations, but in addition to award some of the privileges and welfare of timely financial endeavour wages group, but in addition slice interest rates before the advance of bank bank deposits and bond-type configuration. Nevertheless, the total financial endeavour wages was only 3.4%, and in 2007 was as high as 10.24%.

Investment approach for 2009, Liu said Germany would adhere to the fixed-income assets supported financial endeavour approach, at the matching time will more intimately organize the organisation of the new financial endeavour paths open to find, for instance financial endeavour in infrastructure, invest in unsecured bonds, actual property area financial endeavour, confidential equity financial endeavour chances for the new configuration. “We will look for a better stage of financial endeavour wages to make up for in 2009 will face insist on profits.”

Tak Liu notified reporters that China Life would grab the new “Insurance Law” to expand buying into passages of protection businesses this beneficial opening, particularly for genuine land parcel buying into and infrastructure buying into is very welcome.

The report cited that in the overseas buying into, will dynamically impel ahead the sound of overseas amalgamations and acquisitions and equity investments. Prior to this, China Life Insurance has broadcast it was forsaking a tender for AIG assets in Asia, Yang Chao in response to a reporter’s inquiry, said that overseas buying into is the buying into firm China Life Insurance main heading, stop the AIA (AIA), does not signify that overseas buying into is no longer China Life will do a good job in the household market on the cornerstone of an befitting buying into overseas. Has now built up many of buying into tasks, the ongoing study in depth. At the identical time, the recorded business China Life has yet to strategic investors, wanting to find symmetric Yang Chao worldwide strategic investors, but furthermore need time and careful.

Unexpected advance in premiums

Sharp decline weighed against to a yield of China Life in 2008 premium expansion was unforeseen, principally in the Bancassurance narrow pathway growth.

The report shows that in 2008 the original insurance contract premiums of 295.579 billion yuan of income than the same period in 2007 grew 50.33%. “This growth rate greatly exceeded the budget of the Board of Directors issued last year, the goal is 8% -10%.” Chao said such growth, mainly in the Banking and Insurance channels due to the entire market environment impact. He admitted that for such mixed results, because the majority of revenue is silver wholesale insurance to pay, not entirely in keeping with the development strategy of China Life position, but can not give up the channel.

Therefore, China Life has been targeted in 2009 in order to achieve a smooth scale of business growth, adjustment of business structure, to guard against operational risks to resolve business-oriented development strategy. Pay attention to the business to develop long-term period, risk-based business, as well as personal insurance policies mainly to pay the operational phase dispersion. According to the briefing, the company’s insurance universal basic moratorium on the sale in 2009, and the cast basically did not even dangerous.

Today, the People’s Insurance in Tianjin Binhai New Area carrying ventures and obligation financial endeavour arrange to set up Tianjin People’s Insurance and enterprise gatherings to manufacture for the noting commemoration held in Tianjin. Tianjin Municipal Standing Committee, vice chief of the Chinese People’s Insurance Group party assistant, Wu Yan, head and other chiefs to attend. And the pertinent government sections of Tianjin Binhai New Area, Coastal Construction Group will be the cause for financial endeavour, the Chinese People’s Insurance Group, pertinent sections and parts in Tianjin, joined the noting ceremony.

It was educated that the obligation financial endeavour plan is pulled apart into 5-year, two 10-year, respectively, to hoist 5.0 billion, total 10 billion yuan Prospectus, Tianjin Binhai New Area to support the transport infrastructure ventures, is the indemnity capital of the Tianjin Binhai New large-scale financial endeavour in the “first single.” Insurance allegations supported on the above-mentioned strategies and regulatory prerequisites connected guidelines by the Chinese begun the establishment of security for the fresh creation of the indemnity development has a tough appealing aspect of the claims-based yield of fiscal innovation. As the venture progresses with the constancy, security, and longer-term characteristics for instance the use of indemnity finance and the pursuit of long-term constancy of the wants of the progresses, and the brand label gained from the PICC, after started by the indemnity development investors of all ages.

At the contract signing ceremony, Tianjin hopes to strengthen contacts with the Chinese insurance business, led the financial industry and the Tianjin Binhai New Area continued to increase the overall strength, innovation, service capacity and international competitiveness, so that the development of the new district of Tianjin in the drive to promote the Beijing-Tianjin-Hebei and regional economic revitalization of the Bohai Sea, danger to promote interaction and coordinated development of national economy and play a greater role. Paul said the Chinese people, the next step will be to fully rely on the development of Binhai New Area a unique environment, to play the comprehensive advantages, the full support of the construction of Tianjin Binhai New Area and development, and with the Tianjin Binhai New Area in the capital and operational and business aspects of deepening co-operation Tianjin economic and social development to provide strong support.

In the Tianjin Binhai New Area People’s Insurance claims transport investment plan to set up projects at the same time, the Chinese People’s Insurance claims its services, equity investment platform – People’s Insurance Holding Investment Co., Ltd. and coastal construction investment for the Group signed a cooperation agreement, People’s Insurance Finance insurance branch in Tianjin and the Binhai also voted to build the Group signed a business cooperation agreement.