Foreign companies keen to Chinese companies watching variable annuity pilots prudent starting

1-year-old Ji Yunfei brewing variable annuity pilot finally started, according to the China insurance regulatory Commission issued in mid-May's the notice on variable annuity insurance and of the interim measures for the management of variable annuity insurance, Shanghai, Beijing, Guangzhou, Shenzhen and Xiamen 5 will be the first pilot city management variable annuity. In danger-dividend and dividend level plain, traditional life insurance runs to lose under the background of the bank rate, variable annuity market brings to market a fresh meaning. Recommended reading insurance weekly: increased warehouse investment over 30,000,000,004 months insurance funded deposits moved near billions of cast even insurance May then case Waterloo income differentiation country life cast even insurance success escape top 5 name foreign executives joined China peace Qian May Beijing insurance intermediary was penalty million history with shares mass insurance holding 20% Qiming: shocks city in the how mining Daniel unit however, for this variable amount annuity pilot, joint venture life insurance reaction actively and in the funded life insurance still is wait-and-see in the, has determine participation pilot and the escalation related products of joint venture life insurance has Sino-US joint Thai large will, and letter Cheng life, and gold Cheng Renshou,, and market share Qian 5 of in the funded life insurance almost are wait. Shanghaicaijingdaxue Xu Jinliang pointed out that a Professor of insurance, the current domestic investment environment lack assets matching the minimum income guarantee, investment and even the insurance space than in previous years, annuity insurance without tax incentives, variable annuity I'm afraid it is difficult to form tide. Pilots prudent variable annuity is to market that includes insurance functions, policies and links of interest associated investment account invest unit prices, in accordance with the policy agreed with the lowest interest guaranteed by the policy of life insurance products. Insurance life insurance supervision Department Director Liang t says, nearly 10 years, old-age pension products develops slowly, is a short to long-term and healthy development of the insurance industry. Variable annuity insurance, to make up for this short Board, strategic initiatives are long-term savings life insurance functions. Aita, Chief Executive of Metropolitan life insurance between China and beikejun introduction, variable annuity insurance market in Europe and is a mainstream product, as in the United States market, 1-year premium of about $ 170 billion, 8.5% per cent of the pensions market. In the view of beikejun, advantage of variable annuity can provide 4 different types of guaranteed minimum policy interests, will attract customers who require both capital preservation and soft return on investment. But its management is also on a life insurance company challenge, one is the customer's income, there are so-called risk management of insurance companies, must also meet the mobility needs of some customers. "During the global financial crisis, 2008 for North America of variable annuity sales fall 15%, assets under management fell by 24%. This description variable annuity or a closely related products and capital markets. "For risk prevention, the China insurance regulatory Commission at the beginning of variable annuity pilot begins layout. According to the China insurance regulatory Commission requirements, pilot life insurance company shall carry on investment-linked business for 3 years; at the end of the previous year and at the end of the last two quarters before submitting application is sufficient payment capacity class ⅱ (over 150%); support of variable annuity insurance management information system; solvency and pilot line shall not exceed the most recent quarter end and 4 times of actual capital under $ 8 billion less. In terms of sales channels, China insurance regulatory Commission specifically pilot life insurance company may not be sold bank savings counters, and telemarketing channels. For sales channel of "bound", Xu Jinliang pointed out that, compared with the existing product, variable annuity pricing more challenging, and variable annuity is usually more complex, bank counter and telephone sales hard to introduce a comprehensive, there is a risk may result in misleading sales. No giant promote guotai Junan analyst Peng Yulong believes that the insurance industry, on investment and even risk a large proportion of small and medium-sized insurance companies in particular, its parent companies have variable annuity experience of foreign life insurance, variable annuity business may become its development focus. It is also reported to the relevant products in the list of life insurance companies are supporting. According to the survey, said guotai Junan recently in China life, for variable annuity pilot released a few days ago, China life insurance not to submit applications for the pilot. "China life had nearly 3 years investment and even dangerous business, but relatively minimal, although a variable annuity pilot qualified, but developing variable annuity in the near future is unlikely. "Guotai Junan securities, reports said. Early in 2007, new investment and even insurance actuarial rules amendments, China allowed to launch the first under the new rules of investment and continuous selection of insurance value of an investment account. But according to the China life insurance's product strategy, adhere to the traditional participating business, investment and continuous risk control within a certain percentage of the scale. Judging from the overall premium constitutes, China life insurance for investment business is not enthusiastic. "Ping an life insurance of investment and even insurance business carried out earlier, pilot qualification to meet variable annuity, but its investment and even the insurance business in reducing year by year 2010 investment and continuous insurance business accounted for less than 3%, investment and even the basic insurance new business to a standstill in recent two years. "There are people familiar with the, data show, ping an life insurance was introduced in 1999 since the first investment and even dangerous, than the coverage in more than 10 years has been very low, as of 2010, ping an life insurance investment and even insurance premium revenue of $ 15.3 billion, only 1.46% per cent of total life insurance premiums. Turbo in China (601,601, unit), while early had development investment and even insurance products, but have not been sold, even in 2007 investment and even the occasion of the insurance recovery, was not involved in this area and therefore does not meet "vote for continuous risk management for 3 years" of experimental conditions. "2011 official implementation of new accounting standards, reducing the investment business on the premium level of contribution, which to a large extent ' command ' product strategy inherent in the life insurance giant, which is also cautious about variable annuity life insurance Giants pilot one of the underlying causes. "Some experts pointed out.