This step represents a shift in Chinese insurance market with the lion share of investment life insurance. China Life, China Pacific Insurance, Ping An Insurance Group, and Zhong An Online P & C Insurance Co included virus coverage into existing health insurance products over the past week. At least half a dozen of more companies are in the process of approving this option.
Last week the Chinese regulator of the banking and insurance sector (CBIRC) adjusted the actuarial rules in healthcare, accident insurance and life insurance, as well as annuity insurance, which would help reduce the policy cost by 3-5%.
Classic life and medical insurance accounted for 23% of insurance premiums in 2019. This figure reaches 30% in the United States.
The share of classic insurance products in China is expected to grow significantly in the near future, as people rush to buy coverage for a new virus treatment.
Photos are from open sources.
