{"id":48737,"date":"2021-03-22T09:41:28","date_gmt":"2021-03-22T09:41:28","guid":{"rendered":"https:\/\/chinesetouristagency.com\/?p=48737"},"modified":"2021-03-18T09:43:41","modified_gmt":"2021-03-18T09:43:41","slug":"western-insurance-in-china","status":"publish","type":"post","link":"https:\/\/chinesetouristagency.com\/western-insurance-in-china\/","title":{"rendered":"Western insurance in China"},"content":{"rendered":"<p><span style=\"color: #000000;\">To develop insurance and pension infrastructures while financing infrastructure projects outside its borders, China wants to tap into national savings.<\/span><\/p>\n<p><span style=\"color: #000000;\">With Western-style expertise, the Chinese financial sector, which is now mainly focused on its local economy, wants to provide more complex services by moving closer to Western institutions.<\/span><\/p>\n<p><span style=\"color: #000000;\">The bosses of Western insurance companies like to praise the great opportunity to develop in China.<\/span><\/p>\n<p><span style=\"color: #000000;\">If you want to know more, read on.<\/span><\/p>\n<ul>\n<li><span style=\"color: #000000;\"><strong>The great prospects of the Chinese market<\/strong><\/span><\/li>\n<li><span style=\"color: #000000;\"><strong>The difficulty of the Chinese market<\/strong><\/span><\/li>\n<li><span style=\"color: #000000;\"><strong>Foreign insurers pay attention to China<\/strong><\/span><\/li>\n<\/ul>\n<p>&nbsp;<\/p>\n<h2><span style=\"color: #000000;\"><strong>I. The good prospects of the Chinese market<\/strong><\/span><\/h2>\n<p><span style=\"color: #000000;\">China will be its &#8220;fastest growing market &#8230; for many years to come&#8221;, &#8211; says Prudential&#8217;s head of Asia.<\/span><\/p>\n<p><span style=\"color: #000000;\">Allianz&#8217;s managing director calls it a &#8220;strategic market&#8221;.<\/span><\/p>\n<p><span style=\"color: #000000;\">Considering the relatively small percentage of people with insurance and China&#8217;s huge population, this enthusiasm is quite clear.<\/span><\/p>\n<p><span style=\"color: #000000;\">Today, hoping that the long-awaited relaxation of the foreign ownership regime will serve as a springboard, foreign insurers are preparing to take a big step forward in China.<\/span><\/p>\n<p>&nbsp;<\/p>\n<h2><span style=\"color: #000000;\"><strong>II. China&#8217;s difficult market<\/strong><\/span><\/h2>\n<p><span style=\"color: #000000;\">But the big foreign insurance companies tried to make their existence palpable against the local giants.<\/span><\/p>\n<p><span style=\"color: #000000;\">Although they have been operating in China for a dozen years, their consolidated market share is less than 50%.<\/span><\/p>\n<p><span style=\"color: #000000;\">Even so, domestic rules are likely to dampen the spirits of global companies.<\/span><\/p>\n<p><span style=\"color: #000000;\">After joining the World Trade Organization in 2003, China was pushed to open its financial services sector to foreign players.<\/span><\/p>\n<p><span style=\"color: #000000;\">In front of some of the world&#8217;s largest banks and insurance companies, the changes were slow and Beijing.<\/span><\/p>\n<p><span style=\"color: #000000;\">Most foreign insurers were allowed to hold 50 per cent shares, but other significant reforms were blocked.<\/span><\/p>\n<p>&nbsp;<\/p>\n<h2><span style=\"color: #000000;\"><strong>III. Foreign insurers pay attention to China<\/strong><\/span><\/h2>\n<p><span style=\"color: #000000;\">As part of the operation, which was marked as the first industry in China, the French company<a href=\"https:\/\/www.axa.com.hk\/en\/who-we-are\" target=\"_blank\" rel=\"noopener\"> Axa<\/a> acquired the 50% of the Chinese collaborative companies Axa Tianping.<\/span><\/p>\n<p><span style=\"color: #000000;\">The German company Allianz obtained the authorization to create a holding company wholly owned in the country.<\/span><\/p>\n<p><span style=\"color: #000000;\">Changes have taken place a few years before the April deadline, suggesting that China is under pressure to demonstrate real changes in the way it refers to foreign financial companies.<\/span><\/p>\n<p><span style=\"color: #000000;\">Oliver Bite, the executive director of <a href=\"https:\/\/www.allianz.fr\/\" target=\"_blank\" rel=\"noopener\">Allianz<\/a>, said &#8220;China&#8217;s leaders have hesitated for a long time and have now decided to open up&#8221;.<\/span><\/p>\n<p><span style=\"color: #000000;\">Other foreign companies are interested in increasing their shares.<\/span><\/p>\n<p><span style=\"color: #000000;\">&#8220;We would like to have a larger share of our collaborative venture in China, but this should be legally possible and we would need the full agreement of our partner,&#8221; &#8211; said Philippe Donnet, executive director of Generali.<\/span><\/p>\n<p><span style=\"color: #000000;\">The British company Prudential, considering China as one of the main drivers of its growth in Asia, would also like to increase its stake in its two Chinese joint ventures to more than 50%.<\/span><\/p>\n<p><span style=\"color: #000000;\">In September, it signed an agreement with the government to help develop the country&#8217;s pension system.<\/span><\/p>\n<p>&nbsp;<\/p>\n<h3><span style=\"color: #000000;\"><strong>In conclusion<\/strong><\/span><\/h3>\n<p><span style=\"color: #000000;\">Chinese insurance companies now have the largest agent base in the world, a power that will protect them against the infringements of new companies in the market.<\/span><\/p>\n<p><span style=\"color: #000000;\">The leaders said that the policy of foreign companies should not wage war with local competition.<\/span><\/p>\n<p><span style=\"color: #000000;\">Allowing foreign companies to own 100 per cent would not eliminate many of the other regulatory problems they face, which are precisely the claim to extend to different provinces.<\/span><\/p>\n<p>&nbsp;<\/p>\n<p>Further readings<\/p>\n<blockquote class=\"wp-embedded-content\" data-secret=\"VjA4vlayc6\"><p><a href=\"https:\/\/marketingtochina.com\/china-bank-insurance\/\" target=\"_blank\" rel=\"noopener\">Good Timing to Enter China for Western Bank and Insurance Company<\/a><\/p><\/blockquote>\n<p><iframe loading=\"lazy\" class=\"wp-embedded-content\" sandbox=\"allow-scripts\" security=\"restricted\" style=\"position: absolute; clip: rect(1px, 1px, 1px, 1px);\" title=\"&#8220;Good Timing to Enter China for Western Bank and Insurance Company&#8221; &#8212; Marketing China\" src=\"https:\/\/marketingtochina.com\/china-bank-insurance\/embed\/#?secret=VjA4vlayc6\" data-secret=\"VjA4vlayc6\" width=\"600\" height=\"338\" frameborder=\"0\" marginwidth=\"0\" marginheight=\"0\" scrolling=\"no\"><\/iframe><\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>To develop insurance and pension infrastructures while financing infrastructure projects outside its borders, China wants to tap into national savings. With Western-style expertise, the Chinese financial sector, which is now mainly focused on its local economy, wants to provide more complex services by moving closer to Western institutions. The bosses of Western insurance companies like&#8230;<\/p>\n","protected":false},"author":11,"featured_media":48738,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"jetpack_post_was_ever_published":false,"_kad_post_transparent":"","_kad_post_title":"","_kad_post_layout":"","_kad_post_sidebar_id":"","_kad_post_content_style":"","_kad_post_vertical_padding":"","_kad_post_feature":"","_kad_post_feature_position":"","_kad_post_header":false,"_kad_post_footer":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[48,389],"tags":[],"class_list":["post-48737","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-entertainment","category-lead-generation-china"],"acf":[],"jetpack_featured_media_url":"https:\/\/chinesetouristagency.com\/wp-content\/uploads\/2021\/01\/Western-insurance-in-China.jpg","jetpack_sharing_enabled":true,"jetpack_shortlink":"https:\/\/wp.me\/p67DXD-cG5","_links":{"self":[{"href":"https:\/\/chinesetouristagency.com\/wp-json\/wp\/v2\/posts\/48737","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/chinesetouristagency.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/chinesetouristagency.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/chinesetouristagency.com\/wp-json\/wp\/v2\/users\/11"}],"replies":[{"embeddable":true,"href":"https:\/\/chinesetouristagency.com\/wp-json\/wp\/v2\/comments?post=48737"}],"version-history":[{"count":2,"href":"https:\/\/chinesetouristagency.com\/wp-json\/wp\/v2\/posts\/48737\/revisions"}],"predecessor-version":[{"id":48747,"href":"https:\/\/chinesetouristagency.com\/wp-json\/wp\/v2\/posts\/48737\/revisions\/48747"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/chinesetouristagency.com\/wp-json\/wp\/v2\/media\/48738"}],"wp:attachment":[{"href":"https:\/\/chinesetouristagency.com\/wp-json\/wp\/v2\/media?parent=48737"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/chinesetouristagency.com\/wp-json\/wp\/v2\/categories?post=48737"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/chinesetouristagency.com\/wp-json\/wp\/v2\/tags?post=48737"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}