Citigroup 花旗：中国保险行业展望 32页

10 September 2007 | 32 pages

Chinese Insurance – Outlook

China Life preferred: To Have its Own Version of Diversified Model

Strong result on gains, but what’s next? — 1H07 saw insurers deliver strong A
share-related gains, high dividend income from equity funds and stronger-thanexpected
premium growth in a difficult environment. While it is anyone’s guess
where the A-share market will be in 12 months, in this report, we recapitulate our
view on potential changes in regulatory environment and market structure, impact
on growth from rising interest rate and A-share market volatility. At current
valuations, we prefer China Life over Ping An as we expect China Life will catch up
in building its own version of a diversified financial model over the next 12 months

Contents
Executive Summary – Price, Growth and Risks 3
Yield driven margin improvement yet to peak 7
Investment Income – they all have different strategies 7
Network expansion – Battle in the Cities 10
Life on Middle Earth 15
China Life Insurance 25
Ping An Insurance 26
PICC Property & Casualty 27
China Insurance International Holdings 28
Appendix A-1 29