Life insurance premiums statistical reform of the brewing market share of the market rate or risk change

[Abstract] have informed sources, the Ministry of Finance is working with the China Insurance Regulatory Commission on the "Enterprise Accounting Standards No. 2 to explain (the draft)" in the insurance industry relating to the content of discussions on the proposed premium income of statistical methods for reform. Affected by this, has been "Quiz premium," the ranking system for insurance companies, is expected to be replaced by the actual business profit ranks. As a result, will improve to some extent, insurance companies, "non-profit premium red, red-scale" illness.

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Statistical methods to adjust, the China Life Insurance (601,628, it shares) will see a hefty increase market share

Since August this year, this newspaper reported that the Ministry of Finance issued an exclusive "Enterprise Accounting Standards No. 2 to explain (the draft)" (hereinafter referred to as the "new rules") and to seek the views of the listed companies, and the beginning of last week, informed sources told this newspaper Reporters said that the Ministry of Finance is currently working with the China Insurance Regulatory Commission on the "new rules" relating to the insurance industry to discuss the contents, to be on the premium income of statistical methods for reform. Affected by this, the three listed insurance companies of the life insurance market share may not small change, particularly in China Life.

According to these sources, said the China Insurance Regulatory Commission in accordance with the current thinking, even the intention to vote in insurance and risk everything in investment income is no longer part of the accounts included in the original insurance premium income, and belong to a new life insurance product Dividend will , Was included. A life insurance company's actuary, told reporters that "with international accounting standards are basically the same, in 2006 the Ministry of Finance issued the new corporate accounting standards, so we proposed to the China Insurance Regulatory Commission."

Another well-informed sources said that excluding the life insurance industry is likely to decline in premiums, according to another by the end of September this year, the three listed insurance companies as well as the life insurance market share of insurance premiums in proportion to the projection, the statistical methods to adjust, The three insurance companies listed on the life insurance market share will be increased by about 11 percentage points.

The three insurance companies not listed in the Third Quarterly Bulletin of the detailed disclosure in insurance premiums and market share data, however, that the above-mentioned sources said that by the end of September this year, the Big Three domestic life insurance - China Life, Ping An of China (601318 , It shares)'s Ping An Life Insurance, China Pacific Insurance (601,601, it shares)'s in the dividends Taibao life insurance, universal insurance, investment and even the risk premium on the ratio of about: 74:4:0,34: 32:8,48:26:0, and the first three quarters of this year, three of the life insurance market share of about 41% and 13%, 9%.

"China Life's dividend ratio of the largest insurance, so if the adjustment of statistical methods, its market share from 41% up to 54%; peace and universal life insurance is not a small proportion, so that its market share slightly from 13% Shrunk to 11%; Taibao Life's market share remained unchanged. "Adopted by some of these people come to this conclusion after calculating the whole, the three insurance companies listed on the life insurance market share is growing. "As small and medium-sized life insurance companies for even larger proportion of risk, statistical methods to adjust, small and medium-sized life insurance market share may be down."

"The new regulation" of the insurance industry's impact on the other, reflected in the charges, amortization of commission on the issue. "H shares are usually statements of the implementation of amortization, which allows DAC, but the mainland does not allow for amortization." New regulations "on this issue, H shares and A shares will be statements of the line, that is, shall not be amortized. This will Means that the listing of H shares of the insurance companies make a profit report at least seven to 20 percent. "According to one source, while H shares and A shares listed on China's Ping An and China Life have objection to this content, hope And the regulatory authorities for further communication.

A number of senior members of the insurance industry that, when read, "Once the statistical methods such adjustments will impact the insurance industry, is likely to lead to insurance premiums in the book shrink and shrink the specific ratio is still very difficult to determine. At the very least, At present, accounting for slightly rough handling of the Chinese insurance industry, the new regulation implies possible changes in the interests of the insurance industry should be re-allocated to make up for the Chinese insurance industry in the existing insurance accounting standards under the false profits of the status quo, but also pay attention to insurance On the sound operation of the industry. "

More visual impact will be to have been "Quiz premium," the ranking system for insurance companies, is expected to be replaced by the actual business profit ranks. As a result, insurance companies will be fully reflected in all aspects of the operation, accurate measurement and evaluation of the operation of insurance companies, but also to a certain extent, insurance companies improve the "non-profit premium red, red-scale" illness.