China Life Insurance Company

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This article is about China Life Insurance Company in Mainland China. For China Life Insurance Company in Taiwan, see China Life Insurance Company (Taiwan).
China Life Insurance Company Limited
中国人寿保险股份有限公司
TypePublic; State-owned enterprise
NYSE: LFC
SSE: 601628
IndustryFinancial services
Founded1949; 73 years ago (1949) (as PICC)
Headquarters
Beijing
,
China
Area served
People's Republic of China
Key people
 (CEO), Chairman:
ProductsLife & Health insurance
Revenue768,438,310,000 renminbi (2018) Edit this on Wikidata
Total assets$362.1 billion (2015)[1]
Owner
Number of employees
99,739 Edit this on Wikidata
ParentChina Life Insurance Group
Websitechinalife.com.cn

China Life Insurance Company Limited (short China Life, simplified Chinese: 中国人寿保险; traditional Chinese: 中國人壽保險; pinyin: Zhōngguó rénshòu bǎoxiǎn) is a Beijing-headquartered China-incorporated company that provides life insurance and annuity products. China Life is ranked No. 94 on Fortune 2015 Global 500 Company list.[2] With 70% state-ownership, China Life is the biggest life insurer in China in terms of total assets, but has experienced economic difficulty in the past years. China's insurance market has attracted dozens of new competitors after the Chinese government liberalized it, and China Life's market share has fallen by almost half since 2007, from 50% to around 26%, according to Morningstar. The company is completing a major restructuring, and the government assigned it a new CEO in 2014. A new sales push early this year (fueled by an army of newly hired agents) led to a big bump in net income in the first quarter of 2015. China Life is also ranked on Fortune China: 2015 Top 500 Chinese Enterprises at No.13.

China Life has more than 600,000 agents nationwide, making its cost of acquiring new customers relatively low. China Life has a substantial share of China's group life and health insurance business, and its government ties give it an inroad to help it build that business among state-owned enterprises.[3]

In 2015 China's government allowed Chinese insurance companies to invest in foreign real estate; China Life subsequently made its first such investment, in a Boston waterfront project.[4]

3.02 billion yuan in illegal activities[]

China's audit office said it uncovered "improper and illegal activities" involving 3.02 billion yuan at two of the country's largest insurers, People's Insurance Co. of China Ltd. and China Life Insurance Co., during an audit of their 2009 books. They are charged with offenses including the illegal sale of policies, overstating policy sales, improper claim settlements, illegal distributions of commissions and "grey income" - off-the-books gains, some of which company officials pocketed among themselves.

These violations have raised concern amongst some Chinese citizens over the authenticity and legality of the policies they currently hold. They are worried about where their money is going and what it is being used for. Without transparency, trust is quickly evaporating from businesses that are found to be conducting shady business.[5]

See also[]

References[]

  1. ^ "The World's Largest Public Companies".
  2. ^ "China Life Insurance". Fortune. 2015-07-21. Retrieved 2016-05-18.
  3. ^ "China Life Insurance". Fortune. 2015-07-21. Retrieved 2016-05-18.
  4. ^ "China Life Insurance". Fortune. 2015-07-21. Retrieved 2016-05-18.
  5. ^ "Archived copy". Archived from the original on 2011-07-21. Retrieved 2011-03-26.{{cite web}}: CS1 maint: archived copy as title (link)

External links[]

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