According to a new market research report “China Insurance Sector till 2010†by the leading research firm RNCOS, China is one of the fastest growing insurance market across the globe and has fuelled the growth of insurance sector in East Asia. The report finds out the reasons that make China a dominating player in all the emerging insurance markets.
The report has thoroughly analyzed the Chinese insurance market and compares it with other insurance markets such as that of South Africa, Brazil and India. For example, both the life and non-life insurance sectors in China witnessed growth rate higher than these countries, thanks to its more open and shareholder-focused system.
However, the insurance density of life and non-life insurance markets of China is still very low in comparison to other Asian countries. But improving legislative structure for insurance, ongoing liberalization, and easing of investment rules are providing huge growth opportunities to insurers, especially to foreign players, in the country, according to the report.
Also, says the RNCOS research, as the country is entering its next year of WTO accession, its insurance sector will be completely opened to the foreign players, thus further intensifying the competition. This will result in increased awareness among Chinese consumers and hence, a progression will be observed in terms of customer services and insurance regulations.
The report has also given an account on the efforts made by China’s government to support its insurance industry and gives an overview on the future plans of the government to achieve high growth in the insurance industry of China. Like, the government has planned to launch a medical insurance program and a national health insurance program which will cover all urbanites, including unemployed since till now, only employed urban citizens have been able to join the national health program.
Apart from government and regulatory support, “China Insurance Sector till 2010†has identified various other factors also driving the Chinese insurance market. It has offered an insight into several sub-segments of the sector, including health insurance, accidental insurance, commercial property insurance, and motor insurance, and evaluates the opportunities and challenges critical for the market.
About RNCOS:
RNCOS, incorporated in the year 2002, is an industry research firm. It has a team of industry experts who analyze data collected from credible sources. They provide industry insights and analysis that helps corporations to take timely and accurate business decision in today’s globally competitive environment.
For more information visit: http://rncos.com/Report/IM574.htm
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