Core Viewpoint - The article discusses the phenomenon of high executive salaries in the insurance industry, particularly focusing on the case of Li Yuanxiang, CEO of AIA Group, whose salary reflects the talent premium amid the industry's strategic transformation and intense competition for talent [1][2][21]. Group 1: Executive Compensation - Li Yuanxiang's annual salary for 2024 is reported to be approximately 137.31 million USD (about 99.39 million RMB), marking a 2.31% increase from 2023 [15]. - This salary is significantly higher than that of domestic peers, such as Ping An's co-CEO Guo Xiaotao at 13.42 million RMB and China Life's chairman at 7 million RMB [15][16]. - The compensation structure includes a substantial portion of performance-based pay, with 80% of Li's salary being variable, aligning his earnings with the company's performance [17]. Group 2: Industry Context and Challenges - The insurance industry is undergoing a transformation, necessitating strategic shifts and talent acquisition to remain competitive [2][21]. - AIA faced significant challenges before Li's appointment, including a decline in new business value growth and limited market presence in mainland China [8][10]. - The company had only 5 branches in mainland China by 2018, covering less than 200 million people, compared to competitors like China Life, which had a much broader reach [10]. Group 3: Strategic Initiatives and Performance - Upon joining AIA, Li implemented three key strategies: "branch reform," technology empowerment, and an "ecosystem" approach to enhance competitiveness [11]. - The number of AIA's branches in mainland China increased from 5 to 11, significantly expanding its market coverage [13]. - By 2024, AIA's new business value reached 4.71 billion USD, a year-on-year increase of 18%, with the mainland market contributing 1.22 billion USD, reflecting a growth rate of 20% [15][20]. Group 4: Financial Performance - AIA's total weighted premium income reached a historical high of 41.40 billion USD in 2024, with a growth rate of 10% [15]. - The net profit for 2024 was reported at 6.84 billion USD, showing an impressive year-on-year growth of 81.62% [17]. - The company's new business value and annualized premium have also seen significant increases since Li's tenure began, indicating successful strategic execution [17][20].