Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.
中國太平洋保險(集團)股份有限公司
CHINA PACIFIC INSURANCE (GROUP) CO., LTD.
(A joint stock company incorporated in the People's Republic of China with limited liability)
(Stock Code: 02601)
ANNOUNCEMENT IN RESPECT OF DISCLOSURE OF RELEVANT PRESENTATIONS ON 2020 INVESTOR DAY
This announcement is made pursuant to the disclosure requirements under Rule 13.10B of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited.
China Pacific Insurance (Group) Co., Ltd. (the "Company") hereby announces that it will host an investor day for 2020 on Thursday, 24 September 2020 and the Company will focus on the initiatives, effectiveness and future prospects of CPIC P/C in transformation and development with the themes of "Pursue High-quality Development with Value-oriented Transformation".
For specific details of the abovementioned presentations, please refer to the appendix of this announcement.
By Order of the Board
China Pacific Insurance (Group) Co., Ltd.
KONG Qingwei
Chairman
Hong Kong, 24 September 2020
As at the date of this announcement, the Executive Directors of the Company are Mr. KONG Qingwei and Mr. FU Fan; the Non-executive Directors of the Company are Ms. LIANG Hong, Ms. LU Qiaoling, Mr. John Robert DACEY, Mr. HUANG Dinan, Mr. WANG Tayu, Mr. WU Junhao, Mr. ZHOU Donghui and Mr. CHEN Ran; and the Independent Non-executive Directors of the Company are Ms. LAM Tyng Yih, Elizabeth, Ms. LIU Xiaodan, Mr. WOO Ka Biu, Jackson, Mr. CHEN Jizhong, and Mr. JIANG Xuping.
- Note: The appointment qualifications of Ms. LIANG Hong, Ms. LU Qiaoling, Mr. John Robert DACEY, Mr. ZHOU Donghui, Mr. CHEN Ran, Ms. LIU Xiaodan and Mr. WOO Ka Biu, Jackson are subject to approval by China Banking and Insurance Regulatory Commission.
Persist in the fundamental goal of high-quality development Persist in the core demand of customer-oriented operation Persist in the basic philosophy of operational compliance Persist in the key path of transformational innovation
The Best in customer experience
The Best in business quality
The Best in risk management
Becoming the leader in promoting healthy and steady
development of China's insurance industry
Fast growth of premium income, continuous improvement in combined ratio | ||
99.2% | Premium | |
12.6% | 12.9% | 12.3% Growth |
8.8% |
98.8% | ||
1.7% | 98.4% | |
98.3% | 98.3% COR | |
2016 | 2017 | 2018 | 2019 | 1H2020 |
Note: References to CPIC P/C do not include Anxin Agricultural.
A widening lead in premium growth
CPIC The industry
14.0% | 12.6% | 12.9% | 12.3% |
12.0% | |||
10.0% | 8.8% |
8.0%
6.0%
4.0% 1.7%
2.0%
0.0% | 2017 | 2018 | 2019 | 1H2020 |
2016 |
Note: The industry data above is for reference only.
100.5% | Industry leader in combined ratio | ||||||||
CPIC | The industry | ||||||||
100.0% | 99.8% | ||||||||
99.5% | 99.2% | ||||||||
99.0% | 98.8% | ||||||||
98.5% | 98.4% | 98.3% | 98.3% | ||||||
98.0% | |||||||||
97.5% | 2016 | 2017 | 2018 | 2019 | 1H2020 | ||||
2015 |
Note: The industry data above is for reference only.
1.3% | 25.3% | 29.9% | ||
14.5% | 37.4% | Proportion of | ||
25.0% | non-auto business | |||
14.6% | 74.7% | 70.1% | ||
62.6% | Proportion of | |||
22.8% | auto business | |||
21.7% |
Note: Agricultural insurance is included in non-auto insurance.
Drops in loss ratio with continuous improvement in business quality
68.0% | ||
64.8% | ||
61.2% | 60.2% | |
59.9% | 59.7% | |
2 | 4 | ||||
• | Insurance Financial | 中诚信 | • Operation evaluation A (The Highest) | ||
Strength Rating A1 | • Service evaluation AA (The Highest) | ||||
1 | • | Since 2011 | 3 | • Corporate governance evaluation | |
• | Excellent (The Highest) | ||||
Corporate Credit Rating AAA | |||||
• Issuer Credit Rating and Financial | |||||
• | Since 2014 | ||||
Strength Rating A
- Since 2015
Lead the industry in multiple ratings
• China Insurance Ark Award 2020 | ||
• 2020 | • E-Agricultural Insurance won the 2020 China Insurance Ark Award for | |
China's Top 10 P&C Insurance Companies | Technology Progress | |
• 2018 | China's Insurance Company with Outstanding | • E-Agricultural Insurance won the Potential Project Award of the 2019 |
Contribution in Service Quality Improvement | World Artificial Intelligence Innovation Competition | |
• The Company entered the 2019 China Insurance Industry Technology |
Innovation List
- Entitled as Quality Service Organisation by China Insurance Service Innovation Summit 2020
- 2019 China Inclusive Finance Product Innovation Typical Case Award
- 2019 China Insurance Industry Technology Innovation List, Outstanding Customer Service Insurance Company
- 2017 Innovative Insurance Product Excellence Award
Honors and awards in 5 areas
- National Poverty Alleviation Award, Organisational Innovation Award
- Annual Award for Excellent Social Responsibility Case
Constructing | ||
systematic | ||
transformation to | ||
ensure value-oriented | Promoting | Deepening integrated |
development | transformation to | transformation to |
foster new growth | accelerate | |
engines | development capacity | |
building | ||
1. Transformation design: objective-driving, system designing, content focusing
Weaknesses
& Future trend
Key business operation
sectors
Concretisation
Institutionsand | organisations | Market and products |
Platforms and customers | ||
Operation and service |
Evaluation | Performance |
Talent | Digitalisation Collaboration | Governance | Emerging Business |
Expansion | |||
2. Transformation construction: carry out systematic transformation to generate more value
Customer | Product | Sales platform | Risk | Underwriting | Organisational | Human | Data and | Compliance and | |
Claims service | financial | risk | |||||||
management | innovation and | and | management | and | model | resources | management | management | |
management | management | Reinsurance |
Individual Customers
Corporate Customers
Individual &
Corporate
Customers
Individual | Technology- | Online sales | Risk management | Underwriting risk | Auto claim operation | Online rate indicators | |||||||||||||||
customer | enpowered new | assessment for | |||||||||||||||||||
resource | terminal tools | platform for individual | platform | and promotion mode | |||||||||||||||||
auto insurance | customers | individual customers | |||||||||||||||||||
management | |||||||||||||||||||||
system | |||||||||||||||||||||
Standardization | Underwriting | ||||||||||||||||||||
Digital sales | |||||||||||||||||||||
of Individual | operation platform for | Auto customer service | Sales team building | ||||||||||||||||||
customer | support platform | system | |||||||||||||||||||
resources | individual customers | ||||||||||||||||||||
New sales management | |||||||||||||||||||||
Individual | E-agricultural | ||||||||||||||||||||
model of individual | |||||||||||||||||||||
customer | business | insurance | |||||||||||||||||||
account | |||||||||||||||||||||
Corporate | New products in | Sales terminal tools | Underwriting risk | New claims settlement | |||||||||||||||||
Risk radar | |||||||||||||||||||||
customer | overseas | for corporate | assessment for | model of commercial | |||||||||||||||||
management | markets | business | corporate customers | vehicle | |||||||||||||||||
and insight | |||||||||||||||||||||
Sales support | CPIC | ||||||||||||||||||||
New commercial | Integration mechanism for | Service platform for | |||||||||||||||||||
insurance | platform for | DriverCare | |||||||||||||||||||
corporate business | agricultural reinsurance | corporate customers | |||||||||||||||||||
vehicle | |||||||||||||||||||||
products | |||||||||||||||||||||
New management | |||||||||||||||||||||
Integrated | model for sales of | ||||||||||||||||||||
development model | corporate business |
for agricultural
insurance products
Smart | Party building and | Dynamic HR | ||
team building system | management plan | |||
stores | construction | |||
Comprehensive | ||||
Customer segemented | ||||
business model | implementation plan |
for incentives and
constraints
Improve basic administrative management capabilities
Basic capacity building for business analysis and decision-making
Basic data capacity
building
CPIC Sky Monitor
Risk management
solutions at grassroots
levels
Improve basic risk
management
capabilities
Improve the capacity of 3rd level branches
Covers 10 key sectors in the | Showcases the transformation |
operation of CPIC P/C | |
achievements from user's | |
perspective |
Rebuilds the business model | Multiple techonological |
of CPIC P/C | achievement portfolios |
Promoting transformation
to foster new growth
engines
Constructing systematic transformation to ensure value-oriented development
Deepening integrated
transformation to
accelerate development
capacity building
1. Improve operation of high-quality customers and refine resource allocation to reinforce auto insurance as the foundation of the overall business operation in the process of marketization
- Management: Establish renewal business management mechanism
- Channels: Set up digital direct sales channel
- Products: Set up "Auto+Non-auto"customer-segmented sales mode
Retain high-
• Differentiated pricing in regions
• Enriched pricing parameters and data
- Offer policy-life cycle customer care
- Differentiated value-added services
• Explore the combination of "Products + Services"
- Develop and apply CPIC Credit
- Establish the proactive risk management system- CPIC DriverCare
- Establish the resource allocation mechanism based on the correlation of sales expenses and claim costs
- Technological empowerment in sales, claims settlement and operation to reduce cost and improve efficiency
quality customers
Refine resource
allocation
1. Improve operation of high-quality customers and refine resource allocation to reinforce auto insurance as the foundation of the overall business operation in the process of marketization
Lowering
Price
- Management: Refine the renewal business management mechanism
- Channels: Build up channel integration mechanism
- Products: Improve the integration of "Auto+Non-auto" business model
Reform in both compulsory and commercial sectors
Simultaneously launched nationwide
Increasing protection
• | Customer-oriented pricing |
• | Actuarial and marketized pricing |
mechanism |
- Enhance the application of big data in
pricing
• Promote the proactive risk management system- CPIC DriverCare
Convert challenges into opportunities
Improving
quality
• Establish "4+N" value- |
added service system, |
broaden car owner value chain |
- Upgrade the resource allocation mechanism based on the correlation of
sales expenses and claim costs
• Improve centralized operation with technological empowerment
2. Follow the economic trend, enhance risk management capability to give full play to the non-auto business as the "pillar" of transformation
Closely follow the economic trend
Emerging business areas
Domestic circulation
+
International circulation
- Travel, health care, consumption, education and other key sectors
- Government-sponsoredhealth insurance
- Government-sponsoredliability insurance
- Partners of "Belt and Road Initiative" business
- China International Import Expo, China International Fair for Trade in Services
Optimize the structure of incremental business
2. Follow the trend of economic factors, enhance risk management capability to give full play to the non-auto business as the "pillar" of transformation
Enhance risk management capability
Establish a regular business quality monitoring mechanism
- Business quality review mechanism
- Classified development strategy
Promote two linkages and two
mechanisms
- two linkages
- two mechanisms
Comprehensive Risk Management System
Establish risk
management system
- Whole-processrisk investigation
- Rules + tools
- Data + System
Improve market competitiveness
3. Seize policy opportunities for agricultural insurance, continuously enhance innovation, and position agricultural insurance as the main growth engine in the new cycle
- "Guiding Opinions on Accelerating High-quality Development of Agricultural Insurance" by Ministry of Finance, Ministry of Agriculture and Rural Affairs, CBIRC, National Forestry and
Grassland Administration
Government platform | • | Establishment of Tai An | |
• | The state level | Institute of Agricultural | |
• | The provincial level | • | Insurance |
Major Accounts platform | Agriculture industry | ||
• | Strategic customer system | innovation projects | |
research | |||
• | Breakthrough in acquiring | ||
• | Specialized program | ||
major accounts | |||
research | |||
Seize external policy opportunities
3. Seize policy opportunities for agricultural insurance, continuously enhance innovation, and position agricultural insurance as the main growth engine in the new cycle
- Develop a complete suite of products
- Innovate "Insurance + Futures" and other "Agricultural insurance+" products
- Sales, development and research of products at the same time
- Upgraded E-agricultural insurance from Version 1.0 to 5.0,and released "CPIC E-Agricultural Insurance FAST"
- Full application of 5G, Internet of things, AI, blockchain and other technology
- Livestock insurance cost control −New technology application −Accurate underwriting −Self-assistant claim settlement
- Policy cost model application of agricultural insurance
Continuously enhance internal innovation capability
Constructing systematic transformation to ensure value-oriented development
Deepening integrated
transformation to
accelerate development
capacity building
Promoting transformation
to foster new growth
engines
1. Improve customer-oriented operation to stabilize business operation
Online + offline | One | Accurate renewal plans | |
integration | Integration of Auto and | ||
customer - | |||
Non-auto business | |||
one account | Information | ||
Scene expansion | |||
system | analysis | ||
1. Improve customer-orientedoperation to stabilize business operation
Adjust organisational structure to | |
build a customer-segmented | Regional breakthrough projects |
business model |
- Collection of corporate customer data
- Insights of corporate customer
2. Create new growth drivers with regional breakthroughs
Create the "1+3+N" pattern with three major regions as the centre
Establish an information and resource sharing
01 platform
Create the "1+1+N" pattern with provincial capitals as the centre
Establish a data and technical standard
system02
3. Improve operational efficiencywith technological empowerment
Service | Collaboration | Operating |
efficiency | Efficiency | Returns |
4. Create new momentum with innovative mechanism
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China Pacific Insurance (Group) Co. Ltd. published this content on 23 September 2020 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 23 September 2020 12:39:02 UTC