Investment Points
Overall: In February, the life insurance premium income of listed insurance companies was +1.19% year-on-year, and the original premium income of property and casualty insurance was +15.99% year-on-year. ) The original premium income totaled 106.2 billion yuan, a year-on-year increase of 1.19%; the property insurance business (PICC + Ping An + CPIC + Taiping) total original premium income of 57.7 billion yuan, a year-on-year increase of 15.99%.
January-February: The life insurance business of listed insurance companies (CPIC Life + Ping An Life + China Life + Xinhua + Taiping Life + PICC Life) accumulated original premium income of 585.1 billion yuan, a year-on-year -0.30%; + Taibao Production + Taiping Production) original premium income totaled 174.8 billion yuan, a year-on-year increase of 12.89%.
Life insurance: CPIC Life had the highest year-on-year increase of +14.85% in February, and PICC Life had the highest year-on-year increase of +26.45% in January-February. ),China Life Insurance34 billion yuan (-3.13% year-on-year),New China Insurance10.5 billion yuan (+11.15% year-on-year), 6.7 billion yuan for Taiping Life (+1.41% year-on-year), and 6.8 billion yuan for PICC Life (+5.69% year-on-year).
January-February: CPIC Life 73.9 billion yuan (+2.34% year-on-year), Ping An Life 128.8 billion yuan (-1.61% year-on-year),China Life Insurance241.2 billion yuan (-5.04% year-on-year),New China Insurance46.4 billion yuan (+5.20% year-on-year), 41.4 billion yuan for Taiping Life (-4.64% year-on-year), and 53.4 billion yuan for PICC Life (+26.45% year-on-year).
Property & Casualty Insurance: In February, CPIC’s production increased by +22.53% year-on-year, and in January-February, CPIC produced the highest year-on-year increase of +15.66%. +17.64%), CPIC Property & Casualty 9.9 billion yuan (+22.53% yoy), and Taiping Property & Casualty 1.7 billion yuan (+14.59% yoy).
January-February: PICC Property & Casualty: RMB 91.8 billion (+13.65% year-on-year), Ping An Property & Casualty: RMB 47.5 billion (+10.97% year-on-year), CPIC Property & Casualty: RMB 31 billion (+15.66% year-on-year), and Taiping Property & Casualty: RMB 4.6 billion (+1.11% YoY).
CPIC and Xinhua performed better in February, Ping An Life and China Life continued to be under pressure, and property insurance recovered slightly more than expected.research, the continued loss of agents is still the main reason for the pressure on Ping An Life and China Life insurance premiums. Property insurance maintained double-digit growth, indicating that the comprehensive reform of auto insurance has less impact on insurance companies.
Investment advice: since the beginning of the yearinsuranceThe sector fell 13.67% over the same periodCSI 300 It fell by 12.46%. We believe that the continued weakness of the life insurance liability side and the increased volatility in the capital market are the main reasons for the decline of the sector. The current spread of the epidemic is slightly higher than expected, which will suppress the marginal improvement of the debt side in the short term. Negative impacts such as the continuous loss of agents, the spread of the epidemic, and weak terminal demand will continue to test the determination of insurance companies to reform their channels.We are still optimistic about ChinainsuranceThe long-term growth space of the industry, the industry’s adherence to the reform route of intensive cultivation rather than rough development will eventually usher in a turning point. The current P/EV valuation of the sector is at a historically low level, which we believe has fully reflected the pessimistic expectations on the debt side.
recommended reformPing AnandChina Pacific Insurance。
Risk warning: The agent shedding exceeded expectations, the spread of the epidemic exceeded expectations, and capital market volatility increased.
(Article source: Joaquinsecurities）