The Dilemma of Foreign Insurers in China

1. The Dilemma of Foreign Insurers in China By Wang Maoqi, Bingzheng Chen

2. 1. Introduction • The open history of China’s Insurance market • Performance of foreign insurers in China • Potential reasons for today’s dilemma • Suggestions

3. 2. Development of Foreign Insurers in China

4. 2. Development of Foreign Insurers in China

5. 3. Measurement of Foreign Insurers’ Performance in China

6. 3. Measurement of Foreign Insurers’ Performance in China (Ctd.) • Declining Market Share • Losing Confidence • Selling Equity Shares

7. 4. The Possible Reasons for Foreign Insurers’ Market Share Dilemma • Regulatory Environment • The Shareholding Structure Problem • Some Equity Transactions and Bancassurance Business

8. 4.1 Regulatory Environment [1] Foreign capitals are restricted to maximum shareholding of 50% for life insurance

9. 4.2 The Shareholding Structure Problem

10. 4.2 The Shareholding Structure Problem * In 2010 AXA-Minmetals became a domestic insurer

11. 4.2 The Shareholding Structure Problem

12. 4.3 Some Equity Transactions and Bancassurance Business

13. 5. Conclusion and Remarks Current dilemma Possible reasons What should we do?

14. Thank you!