PING AN OF CHINA(HK:02318) Zhong Guo Jing Ji Wang·2025-11-17 02:09Core Viewpoint - The insurance industry is shifting from optional to mandatory dividend insurance products, becoming a core focus for life insurance companies as they adapt to declining interest rates and economic fluctuations [1][2]. Industry Trends - The sales of dividend insurance have exceeded earlier expectations, indicating a resilient growth in the liability side of insurance companies, with individual channels expected to return to positive growth in new premiums [2]. - The current economic cycle, market interest rates, and investment markets are influencing the product structure of insurance companies, with dividend products being more aligned with industry development [2][3]. - International experiences show that markets like the US, Japan, and the UK have increased the proportion of dividend and investment-linked products during periods of declining interest rates to mitigate risks [2]. Business Strategy - Life insurance companies are focusing on dividend insurance products, primarily including dividend whole life insurance, dividend annuities, and dividend endowment insurance, which provide long-term wealth accumulation and annuity benefits [4]. - Differentiation in the market is driven by investment strategies, capabilities, dividend levels, and additional services offered to customers [4]. - Companies are enhancing their product offerings and training agents to better serve customers and promote dividend insurance [4][5]. Future Outlook - The market for dividend insurance is undergoing structural transformation, with regulatory bodies guiding the industry towards high-quality and sustainable development, favoring companies with strong operational and investment capabilities [6]. - Companies are advised to focus on a customer-oriented product system and leverage their healthcare and pension ecosystems to meet diverse customer needs [5]. Consumer Education - There is an increasing understanding among consumers regarding the principles and realization rates of dividend insurance, although some still hold misconceptions about high demonstration rates equating to high returns [7]. - Consumers are encouraged to evaluate their needs, select appropriate products, and assess the capabilities and historical performance of insurance companies to avoid being misled by short-term high demonstration rates [8].