Huachuang Securities·2025-12-03 08:42Investment Rating - The industry investment rating is "Recommended," indicating an expected increase in the industry index exceeding the benchmark index by more than 5% in the next 3-6 months [26]. Core Insights - The insurance industry has experienced a decline in both property and life insurance premiums, with total original premium income reaching 54,833 billion yuan from January to October 2025, reflecting a year-on-year growth of 8% but a month-on-month decrease of 0.8 percentage points [8][6]. - Life insurance premiums totaled 32,748 billion yuan, with a year-on-year increase of 12% but a month-on-month decline of 0.7 percentage points [8]. - The report highlights that the sales of participating insurance and universal insurance products are expected to perform well due to favorable market conditions [8]. - The total assets of the insurance industry reached 40.6 trillion yuan by the end of October 2025, representing a year-on-year increase of 13% [8]. - The report anticipates that participating insurance will become a key product for the upcoming sales season, driven by the attractiveness of "call options" in the current market environment [8]. Summary by Sections Key Company Profit Forecasts, Valuation, and Investment Ratings - China Pacific Insurance (601601.SH) is rated "Recommended" with an expected EPS of 5.68 yuan for 2025 and a PE ratio of 6.20 [4]. - China Life Insurance (601628.SH) is also rated "Recommended" with an expected EPS of 6.34 yuan for 2025 and a PE ratio of 6.89 [4]. - China Property & Casualty Insurance (02328.HK) is rated "Recommended" with an expected EPS of 2.07 yuan for 2025 and a PE ratio of 7.54 [4]. - China Taiping Insurance (00966.HK) is rated "Recommended" with an expected EPS of 3.00 yuan for 2025 and a PE ratio of 5.28 [4]. Industry Overview - The report indicates that the cumulative premium growth rates for both property and life insurance have declined, with life insurance premiums showing a year-on-year increase of 12% but a month-on-month decrease of 5.2% in October [8]. - The report notes that the health and accident insurance segments have seen growth, but their growth rates have also decreased month-on-month [8]. - The report emphasizes that the market's favorable conditions are expected to enhance the sales of participating insurance products [8]. Asset Changes - By the end of October 2025, the insurance industry had total assets of 40.6 trillion yuan, with life insurance companies holding 35.68 trillion yuan and property insurance companies holding 3.15 trillion yuan [8]. - The net assets of the insurance industry reached 3.81 trillion yuan, reflecting a year-on-year increase of 14.7% [8].