Net profit approaching 10 billion yuan, with nearly 20% of overseas business; this press conference details China's reinsurance company's path of advancement.

Ask AI · How does China’s reinsurance investment resilience drive record-high net profits?

As the “national team” of reinsurance, China Reinsurance (Group) Corporation (hereinafter referred to as “China Re”)'s performance has attracted market attention. Recently, the group delivered a report card that its Chairman, Zhuang Qianzhi, characterized as “reasonable growth in quantity, effective leap in quality”: total combined premiums of 180.37B yuan and net profit attributable to parent company shareholders of 9.72B yuan, both hitting historic highs.

As the spotlight shifts from past achievements to the strategic planning for the “14th Five-Year Plan,” the market is more focused on how this reinsurance group will anchor its “world-class” positioning in the new cycle. From climate change to corporate overseas expansion, from technological innovation to health and elderly care, the rapid evolution of emerging risk landscapes is pushing the reinsurance industry to transform from traditional “risk dispersers” to “risk managers.” In this context, what specific initiatives will China Re undertake? And where will it head?

Performance foundation and future anchors: balancing “stability” and “progress”

On March 31, when Zhuang Qianzhi defined 2025 at China Re’s 2025 performance conference as “reasonable growth in quantity, effective leap in quality,” data served as the best footnote.

According to comparable standards, China Re Group’s total consolidated premiums and net profit attributable to parent shareholders both reached historic highs. Total premiums reached 180.37B yuan, up 1.1% year-on-year; insurance service revenue was 103.09B yuan, up 1.7%; net profit attributable to parent was 9.72B yuan, up 38.4%.

This “gold content” is reflected not only in the leap in profitability but also in the steady strength across various business segments: property reinsurance, life reinsurance, and direct property insurance each contributed 43.4%, 33.1%, and 10.7% of profits, outlining a stable “support structure.”

The investment side plays a key role in this steady narrative. Facing complex environments such as geopolitical conflicts and the accelerated reshaping of global supply chains due to “reciprocal tariffs,” 2025 is seen by industry insiders as a year of “high volatility and uncertainty.” Yet, in this environment, the company’s constructed “investment resilience” has played a role. Li Wei, Investment Director of China Re and Chairman of Reinsurance Asset Management, admitted that in the face of high volatility and uncertainty, the company consistently adheres to prudent asset allocation, focusing on building systemic investment resilience.

He elaborated on the logic behind this: first, promoting the asset allocation logic from “matching assets” to “matching strategies,” strengthening risk hedging among strategies, and consolidating stability and resilience at the allocation level. Second, on the basis of solid domestic and foreign high-quality fixed income holdings, further building an “absolute return strategy group,” which, based on recent performance, effectively dampened portfolio volatility amid market fluctuations, acting as a stabilizer. Third, equity assets directly influence the portfolio’s return elasticity and volatility; optimizing equity allocation is key to building investment resilience.

From the investment performance perspective, in 2025, China Re’s total investment assets reached 462 billion yuan, up 4.1%; total investment income was 18.25B yuan, up 4.9%; net investment income was 14.45B yuan, up 1.4%.

“Benefiting from the rebound of capital markets, total investment income increased significantly; stable growth in per-share dividends indicates solid financial fundamentals,” analyzed Zhu Shaojie, an insurance expert at Shanghai University of International Business and Economics.

On dividend and planning levels, China Re’s Vice President, Chief Actuary, and Chairman of China Re Life, Tian Meipan, gave a “long-distance runner” promise: since its listing in 2015, China Re has maintained a stable dividend policy, paying dividends once a year, with profits distributed in cash not less than 30% of net profit attributable to parent shareholders for that year. Looking ahead, China Re will continue to maintain dividend policy stability, reasonably determine annual profit distribution plans considering regulatory policies, shareholder demands, and operational performance, balancing business development and shareholder dividends, and steadily increasing per-share dividend amounts while continuously improving operational results, striving to bring more and better investment returns to investors.

Facing the “14th Five-Year Plan,” Zhuang Qianzhi signaled multiple efforts. He proposed that the company will aim to build a world-class comprehensive reinsurance group, with the goal that by 2030, the “one body, two wings” development pattern will be more complete, business model transformation and upgrading will achieve significant results; each business segment’s performance will continue to improve, with clearer functional positioning and more effective roles; group governance mechanisms will be more effective, with significant enhancements in global management and digital capabilities; overall, the group will achieve higher-level value creation, with breakthroughs in building a world-class enterprise.

Overseas chessboard: the deep game behind “going global”

Official website shows that China Re is the largest reinsurance premium scale in Asia and the eighth largest globally. For China Re, internationalization is not only a strategic choice but also a natural extension of its core business.

“Reinsurance is China Re’s main business; its operational essence is to disperse risks across regions globally, possessing inherent globalization attributes. Looking at the development history of insurance industries in various countries, reinsurance has always been the pioneer in China’s insurance industry ‘going out’,” Zhuang Qianzhi defined at the performance conference. He used a set of data to outline China Re as “the most internationalized Chinese insurance institution”: by the end of 2025, overseas business premiums will account for 18.2% of the group’s total premiums; the agency network covers 11 countries and regions; business spans over 200 countries and regions; and it has over 1,000 global partners.

This confidence stems from the “advantageous and stable” overseas business. Data shows that in 2025, overseas premiums reached 32.9 billion yuan, more than quadrupling since 2015; overseas underwriting profits increased over nine times compared to 2015, with all overseas platforms achieving underwriting profitability.

However, the road ahead is not without reefs. When asked how to respond to geopolitical risks, Zhuang Qianzhi said that for reinsurers operating globally, geopolitics is an important risk factor that cannot be ignored. China Re will effectively respond to geopolitical risks, coordinating development and security.

Wang Zhongyao, General Manager of China Re Property & Casualty Insurance and Chairman of China Re Life & Annuity, provided specific responses regarding the impact of military conflicts on insurance. Wang said the company has no risk exposure in Iran; the overall direct risk exposure in the Middle East is low, and there will be no substantial impact on the group’s overall claims in the short term. After the conflict erupted, all overseas platforms promptly took necessary underwriting control measures and are prepared to adjust underwriting strategies as the situation develops. Preliminary comprehensive assessments indicate that the current impact is overall controllable.

Looking ahead, internationalization will continue to be a major focus for China Re. Zhuang Qianzhi stated that specific measures include actively promoting the expansion and upgrading of the China “Belt and Road” Reinsurance Community, leading and participating in industry standard-setting, deeply integrating into overseas comprehensive service systems, accelerating industry cooperation and domestic-international collaboration, and fully enhancing the capacity to serve China’s overseas interests.

Insurance and life insurance shifts: from stock to blue ocean breakthroughs

On the property and life insurance fronts, China Re’s management demonstrates keen insight into structural opportunities.

The property insurance segment, especially direct insurance, is undergoing a profound endogenous transformation. Vice President of China Re and Chairman of China Pacific Insurance, Lei Jianming, revealed at the performance conference that the company is actively implementing non-auto insurance “comprehensive governance” policies. He detailed the “two-step” approach: establishing special mechanisms and advancing re-reporting of policy terms. He believes that “comprehensive governance” will help improve non-auto insurance underwriting efficiency, especially in reducing sales costs.

A more forward-looking layout appears in the emerging “blue ocean” of new energy vehicle insurance. As is well known, the accelerated “going out” of Chinese new energy vehicle brands is driven by industry, policy, and market forces. Based on this, Wang Zhongyao painted a vivid scene: as Chinese new energy car brands gain recognition overseas, “where the car goes, the insurance follows” becomes inevitable.

Wang said that the unique features of new energy vehicles, such as the three-electric systems and intelligent connectivity, create a new risk landscape. Overseas insurers generally lack relevant data, leaving a valuable market window for Chinese insurers. Policy-wise, the government strongly supports the global development of new energy vehicles, and the insurance industry’s service to the real economy and Chinese car companies’ “going out” is an essential mission. Market-wise, amid fierce domestic auto insurance competition, the overseas market, especially in developing countries, presents a blue ocean for new energy vehicle insurance, becoming a strategic growth curve for insurers.

Turning to the personal insurance sector, opportunities are equally clear. Tian Meipan described the prospects for commercial medical insurance as “huge.” He believes that as the deepening reform of medical insurance progresses, the integration of basic medical insurance and commercial health insurance will become closer. Commercial medical insurance, as a key pillar of the multi-layered healthcare system, will play an increasingly important role, with products focusing on quality medical needs expected to grow. The company will actively explore new guarantees and risks, build new operations and services, and better support the development of the commercial medical insurance industry.

To this end, China Re Life & Annuity is leveraging industry integration and product development capabilities, continuously tracking the listing of new technologies, drugs, and devices, and including them in coverage responsibilities. Meanwhile, with its data expertise, it actively participates in building industry infrastructure, such as the medical insurance drug coverage payment list, aiming to provide direct insured clients with broader coverage and controllable social risks for innovative drug protection. Tian Meipan revealed that in 2025, under new standards, the insurance service income of guaranteed business was 9.55B yuan, the main source of personal reinsurance income, accounting for 95.2%. Behind this, the company’s self-developed intelligent risk control system and medical insurance anti-fraud platform have helped reduce losses by tens of millions of yuan.

From property insurance’s “comprehensive governance” to new energy vehicle insurance’s “overseas empowerment,” from the steady growth of life insurance guarantees to the forward-looking layout of commercial medical insurance, China Re is deeply involved in and leading the industry’s strategic shift from stock game to emerging blue oceans through its reinsurance expertise. Regarding the opportunities for the reinsurance group to develop the reinsurance market, Zhu Shaojie believes that on one hand, high-quality economic development drives strong reinsurance demand; on the other hand, Chinese enterprises’ overseas expansion and the “Belt and Road” initiative promote the internationalization and expansion of reinsurance business; additionally, aging populations increase demand for pension and health insurance, further boosting life reinsurance. Moreover, the development of insurance for emerging risks (cybersecurity, new energy) also requires reinsurance support.

Beijing Business Daily reporter: Hu Yongxin