China's insurance market to expand in 20 years: ACE Life
HONG KONG - ACE Life, one of the world's leading life insurers, said Friday that China's insurance market, which is still at an early stage, will expand quickly in the coming 20 years.
The scale of the market in China is really unique, and ACE Life is encouraged by the developing economy and the emerging middle class, said Russell Bundschuh, president of the company.
"China is going to provide a lot of growth opportunities for life insurance companies," said Bundschuh, who believed that given the current proportions of insurance penetration and population buying life insurance in China, the market is "at a very early stage of what it could and should be".
He believes that the market will expand quickly in the coming 20 years.
The company's Asia Pacific regional president Saloon Tham was more bullish about the prospect, who expected the market to "become the biggest in the world" after two decades.
ACE Life, as a subsidy of Switzerland-based ACE Group, a major global insurance and reinsurance services provider, said it will continue to grow and invest in the Chinese market.
ACE Life has begun to invest in China through holding shares of Beijing-based Huatai Insurance Group after a strategic agreement signed by both sides in 2002.
Meanwhile, the company was also optimistic about the insurance operations in Asian market. "We can see a potential in Asia in terms of future growth. The size of the population, the continuing emerging of the middle class...all that could transit into a lot of opportunity for life insurance," Bundschuh said.
ACE Life just launched its Hong Kong life insurance business after the completion of acquisition of New York Life's Hong Kong and the Republic of Korea (ROK) operations. Its branch in ROK started to provide life insurance services since February this year.