Insurance involves large sums of fund and extensive specialist knowledge. As a Chinese translation agency, we keep analyzing the insurance industry to understand the market trend and the our clients’ needs.
In modern insurance industry, insurance intermediary includes: insurance professional intermediary, insurance part-time agent, insurance marketer; And insurance professional intermediary includes insurance agent, insurance broker and insurance estimate person again. An insurance agent, entrusted by the insurer, engages in insurance activities within the scope authorized by the insurance company; Insurance brokers are divided into direct insurance brokers and reinsurance brokers; The insurance assessor stands on an independent stand, makes an objective and fair evaluation of the entrusted items, and provides services for the insurance parties.
Insurance professional intermediary, insurance part-time agent and insurance marketer constitute the three main bodies of insurance intermediary market and play an irreplaceable role in the whole insurance market system.
Analysis of the development status of China’s insurance market
From 2009 to 2014, the size of the national insurance agent market fluctuated around 3 million people. In 2015, the number of insurance agents in China increased by 1.46 million. In 2016, the number of insurance agents increased by 1.86 million. In 2017, the number of insurance agents in China increased by 1.5 million and exceeded 8 million for the first time.
Affected by industrial policies, since 2010, ping an, China life insurance, China Pacific insurance and xinhua insurance have gradually strengthened the development of individual insurance channels. Since 2013, the scale of agents of the above four companies has gradually increased; After the cancellation of the insurance qualification examination, in 2015, the year-on-year growth rate of agents of ping an, China life insurance, China Pacific insurance and xinhua insurance reached 36.9%, 31.8%, 40.1% and 46.1% respectively, with a sharp increase in the growth rate. From 2013 to 2017, the number of insurance agents of ping an, China life insurance, China Pacific insurance and xinhua insurance achieved compound annual growth rates of 25.6%, 24.7%, 30.5% and 14.7% respectively.
From the perspective of macro economy, the economic development of China at the end of the 20th century enabled the automobile to enter the ordinary family, and the automobile insurance sales had a broad market. From 2001 to 2017, the automobile insurance premiums maintained double-digit growth. From the perspective of the sales characteristics of insurance companies, insurance companies appeared many years before professional intermediaries. Large insurance companies have their own sales teams, and automobile insurance is short-term insurance, with a simple sales mode. From the perspective of relevant policies, the automobile insurance agency business is opened to intermediaries before life insurance; From the perspective of business characteristics, the insurance period of auto insurance is more than one year, there is no policy continuation rate, and the business risk of insurance companies selling by intermediary agents is low.
Development of international insurance agency industry
At present, from the perspective of operating costs of individual marketing of insurance companies, the main components include: direct commission, additional commission, fixed assets expense (including rent expense and equipment expense), staff salary, customer service expense and other daily operating expenses. Since the development of the insurance agency industry, a specific business model has been formed. As a whole, the profit level of the global insurance agency industry is relatively stable. In 2010, the market size of global insurance agency industry was us $60.75 billion, which grew to us $101.96 billion in 2017.
Engage us for your insurance translation needs!