Core Insights - The overall dividend realization rate for participating insurance products has improved significantly in 2024, with many products exceeding 100% realization rates, contrasting with the 2023 average of below 100% [1][2][3] Industry Performance - Major insurance companies have shown notable improvements in their dividend realization rates, with companies like New China Life and Sunshine Life reporting multiple products exceeding 100% [2][3] - The regulatory changes in June 2023 allowed companies to justify higher dividend rates, leading to a rebound in realization rates [1][5] Product Analysis - A significant number of older products still have realization rates between 25% and 50%, primarily due to higher demonstration rates used in older products compared to newer ones [1][3] - The first batch of 2024 dividend realization rates revealed over a hundred products with rates exceeding 100%, indicating a positive trend in the market [3][4] Regulatory Impact - The issuance of the "Opinion Letter" in June 2023 has been pivotal in allowing companies to set higher dividend levels, provided they can justify the rationale [5][6] - The regulatory framework aims to prevent irrational competition and promote stable operations within the industry [5][6] Market Trends - The market for participating insurance products is expanding, with a notable shift towards these products as companies adapt to a low-interest-rate environment [7][8] - The proportion of participating insurance products in new business has surpassed 50%, indicating a strategic pivot by many insurers [8] Sales and Distribution Challenges - Despite the growth in participating insurance products, there are challenges in replacing traditional products, as evidenced by a decline in overall insurance premiums in early 2025 [8][9] - Some sales practices have raised concerns, with reports of agents exaggerating dividend realization rates, leading to potential misrepresentation of product benefits [9]