The new insurance products that guarantee the return

For this rate cut significantly, the insurance industry said that due to narrow spreads, the greater the impact of new business, insurance products will return to emphasis on security. "The rate cut so drastically, narrowing spreads, new business, the banking channels for short-term (3 to 5-year) financial products have a greater impact." An insurance company who told reporters that both the Financial or security-type products, as a result of investment in addition to insurance, other types of products that have varying degrees of security at the end of the interest rate (generally 2.5%), will allow insurance companies to cut interest rates spreads have been compressed space. One on, he considered the bank's short-term financial channels, such as the product of the vast majority of the proceeds from the spread, and its spread has been very limited, narrow the spread of this type of product The profit margin greater role in the negative.

However, some market participants believe that the next year as a result of the insurance industry may take the initiative to adjust business strategy overall business contraction, the big business of the will is not strong, asset allocation funds to add pressure on limited by the rate cut should have little impact. "For insurance companies, regardless of rate hikes or rate cuts, there is no absolute good and bad points of the main assets of insurance companies depend on the structure and business strategy, and other factors."

At the same time, the person also said that the rate cut will be "forced" to adjust the operational structure of the life insurance industry, the return of security. Demand for life insurance products to protect is no substitute for the functions of the product will be returned to security. Due to financial product sales will be certain difficulties, the sales channels will be more inclined to turn to selling security products. On the other hand, with the benchmark interest rate cut, with 2.5 percent of the price gap between the interest rates are reduced, sales are more difficult to reduce.