对友邦保险而言，内地市场是重要程度仅次于香港的“阵地”。AIA (1299.HK) continues to increase its presence in the mainland market. On October 28, AIA's mainland subsidiary AIA Life revealed that Shandong, ...
AIA (1299.HK) continues to increase its presence in the mainland market.
On October 28, AIA's mainland subsidiary AIA Life revealed that two branches in Shandong and Anhui have obtained approval from the local financial regulatory authorities, starting the preparatory work.
For AIA, the mainland market is second in importance only to Hong Kong as a "stronghold".
After the "分改子" restructuring, AIA Life launched the "New Five-Year Plan" in 2023, accelerating the penetration speed into second and third-tier cities to further explore the potential of the mainland market.
In April of that year, Henan branch was approved to open; within the year, AIA Life's Shijiazhuang Central Support Center was upgraded to a branch, while Luzhou Central Support Center and Yichang Central Support Center were approved for establishment.
According to data from the China Banking and Insurance Regulatory Commission, in the first half of 2024, AIA Life had a total of 6 central support centers and 11 marketing services departments approved for opening, with no branch institutions exiting.
In the current situation where insurance companies are drastically shrinking their "capillaries", the strategy of increasing investment against the trend can demonstrate AIA's determination to succeed in the mainland market.
With a replicable operating model, AIA Life Tianjin, Hebei and 5 other new development zone branch offices saw a 44% increase in the first half of the year in new business value, surpassing the annual new premium scale in the mainland market beyond Hong Kong.
The establishment of branches in Shandong and Anhui is a continuation of the development strategy in second and third-tier cities.
Shandong is currently the second most populous province and the third largest economic province in China.
AIA Life stated that the large population and growing middle class point to a strong demand for life insurance, and the economic scale of Shandong also creates a favorable environment for foreign investment.
Anhui also shares similar characteristics.
AIA Life mentioned that Anhui plays a key role in the integrated development plan of the Yangtze River Delta region, with nearly 30% of its population of over 60 million being middle-class consumers.
According to estimates by AIA CEO and President Lee Yuanxiang, after entering Shandong, the company's penetration rate in the mainland life insurance market will exceed 60%; after entering Anhui, the newly expanded areas will increase to 6 since 2019, reaching over 0.1 billion target customers.
AIA Life CEO Zhang Xiaoyu stated that in the future, they will respond to local government efforts to accelerate financial market opening, bringing comprehensive insurance solutions and healthcare services to support the sustainable development of the insurance market.
