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Voiceover | Research on the 20-Year Development Report of Dubang Property & Casualty Insurance, one of the eight property insurance companies established in China in 2005
This report studies Datong P&C Insurance (都邦财险) among eight property and casualty (P&C) insurance companies established in 2005: Bohai P&C, Datong P&C, Japan P&C (China), Samsung P&C, Asia-Pacific P&C, Sunlight P&C, Sunlight Agriculture Insurance, and BOC Insurance. Relying on the industry research indicator system for P&C insurance, it analyzes five core dimensions—operational soundness, business development quality, investment and assets-liabilities management, service compliance and social value, and shareholder and executive governance—through a 20-year development history. It reveals diversification characteristics and development trends, providing practical references for high-quality industry development, and offering a mirror and ideas for enterprise development as well. This report is compiled by the professional insurance research institution Hexun Yanshu Research Institute (金融界燕梳研究院).
I. Research Subjects and Data Definitions
(I) Overview of the Research Subject
This study selects Datong P&C Insurance, established in 2005. Its registered capital, equity nature, and core positioning are summarized as shown in the table below:
Registered Capital**: State-owned holding enterprise capital is moderate****, highly aligned with its positioning and layout****.**
The capital scale matches the company’s positioning and business layout strongly. Datong P&C Insurance (RMB 2.94B) has registered capital at the mid-range level of around RMB 2 billion, meeting the needs of a national layout under state-owned holding.
Equity Nature:** Clear empowerment by state-owned capital****, aligned with industry development trends****.**
Datong P&C Insurance’s proportion of state-owned capital exceeds 60%, laying a solid business foundation in the Northeast region.
Core Positioning:** Diversified competition in the national P&C insurance market**
Leveraging its state-owned holding background, Datong P&C Insurance expands from the Northeast to the entire country.
Overall, by precisely matching capital scale, equity nature, and core positioning, Datong P&C Insurance has formed a distinctive development path, laying a foundation for diversified, specialized, and distinctive development in the P&C industry. Its exploration across different segments also promotes improvements in the industry’s overall service capabilities and development level.
(II) Data Definitions
Datong P&C Insurance’s solvency reports, annual information disclosure reports, official announcements, and coverage by authoritative media;
Strictly comply with the Insurance Company Solvency Management Regulations and apply unified definitions to all comparative indicators to ensure data comparability and analytical objectivity.
II. Comparative Analysis of Core Dimensions
(I) Operational Soundness Dimension: Core Focus on Solvency and Risk Absorption
Operational soundness is the foundation for the sustainable development of P&C insurance companies. This dimension analyzes two areas: solvency and regulatory ratings, and core financial and reserve indicators. It primarily assesses the insurer’s capital adequacy, risk management and control capabilities, and the health of its financial fundamentals.
Datong P&C Insurance’s core solvency adequacy ratio, comprehensive solvency adequacy ratio, and risk comprehensive rating all meet quantitative regulatory requirements (core solvency adequacy ratio ≥ 50%, comprehensive solvency adequacy ratio ≥ 100%). The latest indicators are shown in the table below:
Core Solvency Adequacy Ratio:** Premium-tier cohort; highly matched between capital quality and operating positioning.**
This indicator measures the condition of high-quality capital adequacy. Datong P&C Insurance (160.8%) belongs to the premium-tier cohort, with capital quality highly aligned with its operating positioning.
Comprehensive Solvency Adequacy Ratio: Meets requirements; the degree of adequacy is highly related to the capital structure**.**
This indicator measures overall capital adequacy. Datong P&C Insurance is above the 100% regulatory threshold. The trend of its figures is basically consistent with the core solvency adequacy ratio. Datong P&C Insurance (160.8%) belongs to the base tier that meets requirements.
Risk Comprehensive Rating: Clear result stratification, highly matched with capital and risk-control capability**.**
The regulatory authority categorizes the risk comprehensive rating into four classes: A, B, C, and D. The rating results are strongly correlated with capital adequacy ratios, and simultaneously reflect differences in the company’s risk-control system, operations management, and capital structure. Datong P&C Insurance is rated as B: basic compliance, but risk-control capability needs improvement.
Core Financial and Reserve Indicators
The scale of net assets is highly linked to the company’s capital strength, business model, equity background, and development status. The debt-to-asset ratio and the adequacy ratio for reserves for outstanding claims have not been disclosed yet. Datong P&C Insurance’s latest net assets are RMB 979 million. Its internal (endogenous) capital is insufficient, and reserve adequacy needs improvement. The company faces the issue of capital replenishment and insufficient endogenous capital.
The Link Between Net Assets and Capital Management, and Reserve Accrual: Scale determines support capacity; background affects management level
For companies with sufficient net assets (top-tier and mid-to-high-tier), capital management is sound and reserve accruals are well-standardized, forming a virtuous cycle of “capital adequacy—standardized management—sound operations.” Datong P&C Insurance faces high pressure to replenish capital, and its reserve management is questionable or needs improvement.
Core Implications of Net Assets
In the P&C industry, net asset accumulation must balance both scale and quality. Equity background, business model, and market positioning jointly determine the company’s ability to accumulate net assets and the efficiency of financial support. Operating returns are the core internal driving force for net asset accumulation. Continuous losses will directly erode the financial foundation. For small and medium-sized companies, net assets need steady growth through external capital replenishment and internal operational optimization, and by matching their positioning to achieve a precise fit between capital scale and operating model.
In summary, Datong P&C Insurance’s solvency indicators are generally compliant, but it faces the issue of capital replenishment and insufficient endogenous capital. The stability of solvency is highly correlated with the company’s capital replenishment capability and the completeness of its risk-control system, clearly indicating development directions for capital management and risk control in the P&C industry.
(II) Business Development Quality Dimension: Core Focus on Scale, Structure, and Underwriting Profitability
Business development quality directly reflects a P&C insurance company’s core competitiveness. In this dimension, it analyzes two aspects: key indicators of business scale and structure, and underwriting profitability. It examines the company’s business volume, growth drivers, structural layout, and profitability, revealing core trends in the industry’s business development.
Business Scale and Structure
Datong P&C Insurance’s business performance is closely tied to its equity background, market positioning, and operating strategy. The specific indicators are shown in the table below:
Original Premium Income: Positioning determines business volume
Datong P&C Insurance (RMB 4.05B) is in the second tier. Its mid-scale matches a region-focused, specialized operating layout.
Year-on-year Growth Rate: Digitalization and specialized layout become growth drivers
The company’s growth performance is directly related to its operating conditions and business strategies. Digital transformation and deepening efforts in professional fields are the core drivers for high growth, while operational issues lead to a decline in business depth. Datong P&C Insurance (4.46%) belongs to the steady low-growth tier. It achieves steady development by leveraging advantages in the region, shareholders, channels, or policies.
Business Structure:** Auto-insurance-led; single-line structure**
The P&C market has formed two distinct camps: “auto-insurance-led” and “non-auto-insurance-led.” Whether the share of non-auto business is higher or lower is an important indicator reflecting business diversification and risk-absorption capacity. The allocation and mix are an active strategic choice based on each company’s own resources. Datong P&C Insurance (73.68%) is auto-insurance-led, with a single-line structure. It is heavily affected by reforms in the auto insurance industry and has weak ability to withstand volatility.
Core Structural Characteristics: Positioning and capability determine development quality
As a company with mid-range scale but a structure needing optimization, Datong P&C Insurance relies on traditional auto insurance. Its growth drivers are insufficient, and it urgently needs to improve structural quality and efficiency.
Key Indicators of Underwriting Profitability
Underwriting profitability is the core manifestation of a P&C insurer’s main business earnings ability. In this dimension, it analyzes three indicators—combined ratio, loss ratio, and expense ratio. The P&C companies’ indicator performance is deeply linked to business structure, risk-control ability, and channel models. The specific indicators are shown in the table below:
Combined Ratio: 100% is the break-even line;** profitability needs improvement**
The combined ratio is the core judgment indicator for underwriting profit. Below 100% indicates profit; above 100% indicates loss. Datong P&C Insurance (101.82%) is in the underwriting-loss camp, showing a slight loss condition.
Loss Ratio: Significantly affected by business type; higher in professional fields, lower in distinctive layouts
The loss ratio reflects the proportion of claims expenses to premium income. Whether it is high or low is determined by business structure, risk-control capability, and the risk characteristics of the underlying exposures. Datong P&C Insurance (63.33%) belongs to the middle loss-ratio tier. The risks of its auto and comprehensive P&C lines are balanced, and its loss ratio is at typical industry levels.
Expense Ratio: Highly related to channels and digitalization level; controlling expenses is the key to profitability
The expense ratio reflects the share of sales and administrative expenses. Whether it is high or low is directly related to channel model, digital operations, and market strategy. The effectiveness of expense ratio control is a key variable in determining underwriting profitability. Datong P&C Insurance (38.48%) belongs to the high expense-ratio tier. Its offline channel expansion and relatively extensive operations management have pushed up expenses, becoming the core reason for underwriting losses.
Three-Indicator Interaction: Loss ratio sets the base; expense ratio determines profit or loss
The indicators show a clear linkage logic. The loss ratio is constrained by business types, leaving limited room for optimization. The expense ratio has relatively large room for control improvements, supported by channels and digitalization, making it the core determining factor for underwriting profitability. For auto-insurance-led enterprises like Datong P&C Insurance, losses result from a high expense ratio, becoming a common industry issue.
In summary, the business development quality data of P&C insurers fully reflect industry development trends: the growth ceiling of auto insurance is becoming visible; non-auto insurance has become the core track for differentiated competition and high-quality growth. Digital transformation, channel coordination, and deepening in professional fields are the core drivers of business growth. Key to underwriting profitability is expense ratio control; digital transformation and refined management are the core levers for cost reduction and efficiency improvement. Auto-insurance-led enterprises urgently need to improve profitability through structural optimization and expense control.
(III) Investment and Assets-Liabilities Management Dimension: Core Focus on Returns and Matching
Investment capability is an important support for P&C insurers to supplement earnings and sustain development, while assets-liabilities management determines capital utilization efficiency and risk matching. In this dimension, it uses a combination of comprehensive investment return on investment and investment return, along with asset allocation characteristics, to analyze the company’s investment capability, return stability, and risk matching. The specific indicators are shown in the table below:
Comprehensive****Investment Return on Investment: Asset allocation and resource advantages determine returns
The comprehensive investment return on investment measures the overall profitability level of the investment portfolio. With fixed-income as the main configuration being the industry’s common allocation tone, an appropriate allocation to equity assets is the key to improving returns. Datong P&C Insurance (1.95%) belongs to the low-return tier; its strategy is conservative and lacks quality assets.
Investment Return on Investment: Reflects actual profitability efficiency
The investment return on investment measures actual investment returns after deducting expenses, reflecting the real profitability efficiency of the investment portfolio. Datong P&C Insurance (1.63%) belongs to the middle-to-low return tier, with expense control and return quality decreasing as operational capability declines.
Investment capability and company type are closely linked: Set the tone by allocation; determine capability by type; achieve the highest level by resources
Companies with different equity properties and operating positioning form differentiated investment return models. For state-owned holding enterprises, Datong P&C Insurance has a single allocation approach and inefficient expense control, causing returns to remain sluggish.
In summary, the company’s investment data reflects core industry investment and operations trends in P&C insurance: under a fixed-income-dominant allocation tone, a proper allocation to equity assets is the key to increasing returns. The value of investment returns ultimately appears at the level of net returns. Expense-control capability and the quality of realized returns are core factors in actual profitability. The importance of shareholder resources and group empowerment is highlighted: quality resources can create advantages across multiple dimensions, including asset allocation and expense control. Enterprises with weak investment returns need to optimize asset allocation structure, improve expense-control efficiency, and leverage shareholder resources to obtain quality underlying assets.
(IV) Service Compliance and Social Value Dimension: Core Focus on Compliance and Contribution
Service compliance is the bottom-line requirement for the operation of P&C insurers, while social value is an important reflection of how an enterprise fulfills social responsibility and integrates with industry development and the real economy. In this dimension, it is analyzed through two aspects: compliance and service indicators, and social value contributions. Although some quantified indicators have not been disclosed, based on the company’s positioning and operating characteristics, its core performance can be clearly identified as follows:
Compliance and Service Indicators
A P&C company’s compliance evaluation and service competitiveness are highly related to its equity background, business positioning, and risk-control capability. Enterprises with mature risk control and standardized governance typically have excellent compliance, and their service has distinctive characteristics. Datong P&C Insurance’s compliance needs improvement, and its service standardization level needs to be strengthened.
Social Value Contributions
Based on each insurer’s own positioning and segment layout, social value contributions formed in areas such as serving the real economy, safeguarding people’s livelihood, and supporting industry development vary. Datong P&C Insurance’s core contribution is a regional responsibility model, supporting local industries.
Overall, enterprises with excellent compliance typically have mature risk-control systems and standardized governance models, and their service capabilities align with the needs of their target customer groups. Social value contribution is highly related to the company’s business scale and segment layout. For companies focusing on the real economy and livelihood protection, social value contributions are more targeted and practical.
(V) Shareholder and Executive Governance Dimension: Core Focus on Governance Standardization and Incentives
Corporate governance is the fundamental guarantee for the sound development of P&C insurers. Shareholder governance determines the resource base and the risk bottom line for enterprise development, while executive governance affects the implementation of business strategies and development efficiency. In this dimension, it analyzes Datong P&C Insurance’s governance standardization level, incentive effectiveness, and suitability of governance models from two aspects: shareholder governance, executive management, and compensation.
Shareholder Governance
The four core dimensions of shareholder governance (qualifications and stability, concentration, support strength, and risk) are deeply tied to the company’s equity nature and business positioning. This aligns with the regulatory guidance of “strengthening oversight through equity penetration and optimizing shareholder qualification requirements.” The specific indicators are shown in the table below:
Shareholder Qualifications and Stability: State ownership as the foundation,** strong qualifications**
Datong P&C Insurance is led by state-owned capital, with strong qualifications.
Equity Concentration:** Dispersed model; multiple shareholders for checks and balances**
Datong P&C Insurance follows a dispersed model with multiple shareholders acting as checks and balances. Governance is diversified and suitable for a distinctive operating approach.
Shareholder Support Strength: Positively correlated with shareholder qualifications
Shareholder support strength focuses on three dimensions: capital replenishment, resource coordination, and risk-control/technology empowerment. It shows a “comprehensive empowerment—coordinated empowerment—capital replenishment—insufficient support” gradient distribution and is positively correlated with shareholder qualifications and equity concentration. Datong P&C Insurance is a capital-replenishment type, mainly increasing capital, with limited resource coordination.
Risks at the Shareholder Level: Low risk,** no substantive operating risks**
Datong P&C Insurance is a low-risk type. It only faces stage-specific issues such as capital replenishment, with no substantive operating risks.
Core Takeaways from Shareholder Governance
Shareholder governance in the P&C industry shows four core logics: equity nature sets the foundation; concentration sets efficiency; support strength determines development; risk sets the bottom line. High-quality shareholders and standardized governance are the core foundation for enterprise development. The equity structure must be precisely matched with business positioning to maximize governance effectiveness. Under equity-penetration-based regulation, shareholder risks have become a core focus of industry supervision and are an important source of enterprise operating risks.
Executive Management and Compensation
Executive governance performance is highly correlated with shareholder governance and operating conditions. Enterprises with standardized shareholder governance typically have excellent executive governance. In enterprises where shareholders have risks, executive governance faces pressure. The specific indicators are shown in the table below:
Stability of the Executive Team:** Long-term stability; forming a long-term operating framework**
Datong P&C Insurance is a long-term stable type. Relying on a mature governance system and stable shareholder empowerment, it forms a long-term operating framework.
Professional Background: Aligned with operating positioning; a diversified composite background creates a distinctive enterprise advantage
Datong P&C Insurance’s executive team has professional backgrounds in P&C insurance and related fields, reflecting the industry’s professional threshold requirements, and its specific sub-directions are highly matched with the enterprise’s positioning. Datong P&C Insurance is an experience-based company specializing in P&C, fitting a traditional auto-insurance-led operating position.
Compensation System: Highly bound to company scale and governance model
Datong P&C Insurance’s executive compensation is balanced across its pay range distribution and its highest compensation. The compensation scale is directly related to business volume, equity nature, and governance maturity. Datong P&C Insurance has 9 executives in the RMB 1 million–5 million range, 4 executives in the RMB 0.5 million–1 million range, and 2 executives below RMB 0.5 million. The highest annual compensation range is RMB 1 million–4 million.
Source of the figure: Datong P&C Insurance’s Q4 2025 solvency report
Compensation and Performance Matching: Strongly bound to governance level**; matching needs improvement**
The compensation and performance matching ratio is a core indicator of the effectiveness of the incentive mechanism. Datong P&C Insurance is a type whose matching needs improvement, with gaps in the incentive system or issues where incentives have not been fully implemented in certain stages.
Governance Assessment: Highly linked across all executive governance dimensions; determines the quality of operating development
The governance assessment is a comprehensive reflection of executive stability, professional background, and compensation matching. Datong P&C Insurance is in a category of governance needing improvement/optimization, with stage-specific or structural issues and clear directions for improvement.
Core Takeaways from Executive Governance
Executive governance in the P&C industry follows three core logics: shareholder governance is the foundation of executive governance; when shareholder governance is standardized, executive governance is excellent. The fit between professional background and business positioning is the core of executive performance; a composite background fit supports industry-specific characteristics and the trend toward digital development. High matching between compensation and performance is the core of the incentive mechanism; a mature incentive system is the key to executive stability and sufficient operating motivation. Executive governance needs to be deeply linked with shareholder governance and business positioning to build a composite professional team and establish a precise incentive system with strong performance linkage.
III. Datong P&C Insurance —Differentiated Development Recommendations
Based on the comparative analysis across the five core dimensions above, combined with the company’s equity background, core positioning, current operating conditions, and development shortcomings, the report proposes targeted development recommendations for Datong P&C Insurance to help the company break through accurately and achieve high-quality development:
Datong P&C Insurance: Strengthen state-owned capital empowerment and unlock the potential of nationwide expansion
Advance the state-owned shareholders’ planned capital increase, addressing the shortfall in insufficient endogenous capital, improve the capital buffer space for comprehensive solvency adequacy ratios, and support the business layout needs for expanding the Northeast region to the national market.
Relying on the solid foundation in the Northeast, expand in a phased, graduated manner into surrounding provinces while avoiding blind overspending in nationwide expansion. Reduce the auto-insurance share (current 73.68%) and focus on non-auto P&C lines related to state-owned economic entities (e.g., large manufacturing enterprise P&C insurance, government project liability insurance). At the same time, control the high expense ratio (current 38.48%): operate channels more intensively to reduce sales costs.
Establish a compensation system linked to core indicators such as industry rankings, profitability, and solvency, to improve the matching between compensation and performance. Strengthen the operating motivation of executive teams and core employees and address the current situation of “governance needing optimization.”
IV. Summary of Industry Diversification Characteristics and Development Trends
(I) Core Characteristics of Industry Diversification in 2005**
Eight P&C insurers established around 2005 have, over two decades of development, formed distinct industry diversification. The core drivers of diversification come from innate differences in capital scale, equity nature, and governance level, as well as later choices in operating strategy, risk-control capability, and digital transformation. Specifically, three features are evident:
Among enterprises focusing on national segments, Sunlight P&C and BOC Insurance—supported by group coordination or bank channels—have reached the top tier, while Asia-Pacific P&C lags due to constraints from shareholder issues. Among enterprises focusing on regional/specialized segments, Bohai P&C and Sunlight Agriculture Insurance have precisely cultivated local and agricultural insurance fields, forming differentiated advantages. Among enterprises focusing on niche benchmark segments—Japan P&C (China) and Samsung P&C—by leveraging risk control and digitalization, they build industry-distinctive characteristics and achieve steady development.
Enterprises with strong risk-control capabilities (Japan P&C (China), BOC Insurance, and Sunlight P&C) achieve underwriting and investment dual profitability. Enterprises with leading digital transformation (Samsung P&C) become engines for high business growth. Companies with strong expense-control capabilities can effectively offset claims pressure and achieve underwriting profitability. By contrast, enterprises with weak risk control and lacking core capabilities (Asia-Pacific P&C and Datong P&C) fall into a difficult situation of underwriting losses and sluggish business development.
Enterprises with standardized shareholder governance and sufficient resource empowerment (BOC Insurance, Sunlight P&C, Japan P&C (China)) have stable executive teams and effective incentive mechanisms, resulting in sound operations and growth potential. Enterprises where shareholders have risks and governance fails (Asia-Pacific P&C) have executives frequently adjusted and incentive mechanisms fail, making them the slowest in development. Enterprises in a transformation stage (Bohai P&C and Datong P&C) have governance issues in certain stages and need to achieve development breakthroughs by optimizing governance.
(II) Future Development Trends in the P&C Industry
Based on the comparative analysis of the eight companies and the current state of industry development, the P&C industry in the future will show four major development trends, providing directional guidance for industry enterprises:
The growth ceiling for auto insurance is becoming visible. Nationwide large-scale competition is no longer the industry’s mainstream. Focusing on professional areas (agricultural insurance, liability insurance) and building distinctive advantages (risk control, digitalization, and channel coordination) is key for P&C companies to break through development bottlenecks. Enterprises must formulate differentiated development strategies based on their own equity backgrounds and resource strengths, avoiding homogeneous competition.
Digital transformation can not only drive expansion into business scenarios (e.g., Samsung P&C’s driver ecosystem), but also improve operational efficiency and optimize expense control, making it a core lever for cost reduction and efficiency improvement. In the future, P&C companies need to increase investment in digitalization, promote end-to-end digitalization across customer acquisition, claims, operations, and investment, and build digital core competitiveness.
Equity-penetration regulation will become a norm in the industry. High-quality shareholders and standardized shareholder governance are the foundation for enterprises to obtain capital and resource support, and they are also the bottom line for preventing operating risks. Executive governance also needs to be deeply linked with shareholder governance and business positioning. Enterprises should build a professional composite executive team and establish incentive mechanisms with high matching between compensation and performance to improve governance effectiveness.
The P&C industry has entered a “low-profit era.” Relying on single main-business profitability can no longer sustain sustainable development. The dual-wheel model—underwriting profitability as the base and investment returns as supplementation—has become the mainstream industry approach. Enterprises need to achieve underwriting profitability by optimizing business structure and strengthening risk control and expense control. At the same time, under a fixed-income-dominant allocation tone, they should appropriately allocate to equity assets to enhance investment capability and net return levels, realizing synergistic profitability between underwriting and investment.
V. Industry Development Recommendations
Based on the diversification characteristics of the eight P&C insurers and industry development trends, the report proposes targeted recommendations for P&C industry enterprises and industry regulators to promote high-quality industry development:
(I) Recommendations for P&C insurers
Enterprises need to define differentiated development positioning based on their capital scale, equity background, and resource advantages. Focus on niche segments and cultivate deeply: nationwide enterprises should strengthen group coordination or channel advantages to achieve both scale and structure optimization; regional enterprises should take root in local markets and serve local economic development and people’s livelihood; specialized enterprises should focus on areas such as agricultural insurance and liability insurance to build professional service capabilities; distinctive enterprises should rely on advantages such as risk control and digitalization to form industry benchmarks.
Embed risk control throughout the entire process of underwriting, claims, investment, and operations. Establish and improve a comprehensive risk management and control system: on the underwriting side, strictly select underlying exposures and optimize risk pricing; on the claims side, precisely manage claims expenses to lower the loss ratio; on the investment side, optimize asset allocation to improve risk matching. At the same time, continuously replenish capital to improve solvency and ensure the soundness of enterprise operations.
Increase investment in digital technologies and promote end-to-end digital transformation of business processes: use digital channels for online customer acquisition to reduce sales expenses; build a digital claims system to improve claims efficiency and customer experience; use big data, artificial intelligence, and other methods to optimize risk control and investment decisions to improve operational efficiency; combine the company’s business characteristics to develop scenario-based insurance products and tap new areas for business growth.
Strictly control shareholder qualifications, introduce high-quality shareholders, and leverage shareholder resources for empowerment to prevent shareholder risks from transmitting into enterprise operations. Optimize equity structure so that it precisely matches the company’s business positioning and improves decision-making efficiency. Build a stable and professional executive team, and, combining enterprise characteristics, establish a compensation and performance incentive mechanism with high matching. Strengthen internal control compliance management of branches to enhance overall governance level.
On one hand, optimize business structure to reduce reliance on auto insurance and vigorously develop non-auto insurance businesses, achieving underwriting profitability through refined management and control. On the other hand, improve investment capability. Under a fixed-income-dominant configuration tone, appropriately allocate to equity assets, strengthen expense control and realized returns management, improve net investment return ratios, realize synergistic profitability between underwriting and investment, and enhance enterprise sustainable development capability.
(II) Recommendations for industry regulators
Strictly review shareholders’ qualifications for insurance companies and prevent shareholder risks such as pledge and freezing of equity. Take restrictive measures against shareholders with operating issues or legal disputes. Establish a dynamic shareholder supervision mechanism to monitor shareholders’ qualifications and stability in real time. Firmly remove shareholders who violate regulations and harm the interests of insurance companies to establish a solid industry governance bottom line.
Issue relevant policies to guide P&C insurers to focus on segmented development. Provide policy support (e.g., tax incentives, pilot permissions) to enterprises that deeply develop agricultural insurance, liability insurance, green insurance, and other areas. Encourage insurers to build distinctive products and services based on their own strengths, promoting a diversified and differentiated development pattern in the industry and improving the industry’s overall service capability.
Build industry digital platforms to enable data sharing and resource integration and reduce the costs of digital transformation for small and medium-sized insurers. Encourage the development and application of insurtech and promote the implementation of technologies such as big data, artificial intelligence, and blockchain in the P&C insurance sector. Establish unified digital standards and norms for the industry, improve the industry’s level of digitalization in risk control, claims, operations, and other areas, and achieve overall cost reduction and efficiency improvement for the industry.
Continuously optimize regulatory indicator systems such as solvency and risk comprehensive ratings. Adjust indicator definitions dynamically according to industry development trends, so that operational soundness can be measured more comprehensively and objectively. For enterprises whose solvency is close to regulatory red lines and whose risk comprehensive ratings are low, take regulatory reminders, require time-bound rectification, and other measures to urge enterprises to replenish capital, optimize risk control, and ensure sound overall industry development.
Leverage the insurance industry association’s bridging role to strengthen industry self-regulation and standardize enterprise business conduct. Build industry exchange platforms to encourage leading enterprises and distinctive enterprises to share best practices in risk control, digitalization, governance, and other areas. Organize industry training and seminars to help small and medium-sized insurers improve their business management capabilities, enabling coordinated industry development and mutual improvement.