China Pacific Insurance Company Limited (CPIC) has reported that H1 operating revenue reached RMB 175.539 billion, representing a year-on-year growth of 6.5%.
At the same time, attributable operating profit amounted to RMB 21.537 billion, representing a year-on-year growth of 2.5%.
According to CPIC, in terms of original premium income, its Life and P&C segments each ranked as the respective third-largest in China.
CPIC explained that its operating results were buoyant due to the “excellent growth rate” of value of new business and its “proactive efforts in deepening the transformation of the long-term insurance industry.”
CPIC realised scale premiums in H1 of RMB 169,574 million, an increase of 2.5% year-on-year. Of this, the value of new business amounted to RMB 7,361 million, representing a year-on-year increase of 31.5%. In addition, the value of new business rate also rose, reaching 13.4%, an increase of 2.7 percentage points year-on-year.
Further, CPIC said its property insurance business “fully grasped the general trend of economic recovery and industrial upgrading” in H1 of 2023, focusing on the key national strategies of green development, rural revitalisation and technology insurance.
“We strengthened systematic capacity building on all fronts, aiming to achieve a breakthrough in sustainable and high-quality development. The precise implementation of this series of strategies has brought the company faster growth in premium income, while underwriting profitability has been maintained at a good level,” the firm explained.
Specifically, CPIC’s property insurance business achieved original premium income of RMB 103.703 billion in the first half of 2023, a year-on-year growth of 14.3%.
The underwriting consolidated cost ratio was 97.9%, an increase of 0.6 percentage points year-on-year, of which the underwriting consolidated claims ratio was 70.4%, an increase of 0.9 percentage points year-on-year.
Meanwhile, the firm’s H1 life insurance operating profit amounted to RMB 16.690 billion, up 2.4% year-on-year.
As per CPIC, its life segment further strengthened its business quality management and achieved a significant increase in policy continuation rate, with the 13-month policy continuation rate for individual life insurance customers at 95.4%, up 7.6 percentage points year-on-year, and the 25-month policy continuation rate for individual life insurance customers at 84.1%, up 9.4 percentage points year-on-year.
CPIC concluded with, “Overall, in the gradually warming economic environment, CPIC focuses on high-quality development, adheres to the main line of value, insists on long-termism, and continues to deepen the operation of its main business, with sustainable value creation ability, which is expected to continue to strengthen its leading position in the market, and create stable long-term returns for shareholders and customers.”
