The original insurance premium income of the five major A-share listed insurance companies in the first month of 2022 has been fully released. The five companies of China Life Insurance Company Limited(601628) , The People’S Insurance Company (Group) Of China Limited(601319) , Ping An Insurance (Group) Company Of China Ltd(601318) , China Pacific Insurance (Group) Co.Ltd(601601) and New China Life Insurance Company Ltd(601336) achieved a total premium income of 571.961 billion yuan, a year-on-year increase of 1.86%.
The premium growth rate of the five listed insurance companies in the first year showed a four up and one down situation. Among them, The People’S Insurance Company (Group) Of China Limited(601319) premium income achieved double-digit growth, with premium growth taking the lead. In January 2022, China Life Insurance Company Limited(601628) , The People’S Insurance Company (Group) Of China Limited(601319) , Ping An Insurance (Group) Company Of China Ltd(601318) , China Pacific Insurance (Group) Co.Ltd(601601) and New China Life Insurance Company Ltd(601336) realized the original insurance premium income of 207.2 billion yuan, 115.512 billion yuan, 136.486 billion yuan, 76.895 billion yuan and 35.868 billion yuan respectively, with a year-on-year increase of – 5.34%, 17.89%, 1.21%, 2.29% and 3.58% respectively.
From the life insurance business performance disclosed by various companies, the premium growth differentiation is obvious. In January 2022, the premium income of PICC Life Insurance and New China Life Insurance Company Ltd(601336) achieved positive growth year-on-year, with an increase of 30.16% and 3.58% respectively; The premium income of China Life Insurance Company Limited(601628) , Ping An Life Insurance and CPIC life insurance decreased year-on-year by 5.34%, 0.62% and 1.13% respectively.
Haitong Securities Company Limited(600837) researcher sun Ting believes that the year-on-year high growth of new single premium of PICC long-term insurance is mainly driven by single payment business (year-on-year + 137%). It is expected that the growth rate of new single payment in January will still face great pressure, mainly because the preparation time for “a good start” in 2022 is significantly delayed compared with 2021; In the same period of 2021, due to the switching between the old and new definitions of serious diseases, the premium base was high. Since 2021, the manpower scale has continued to shrink, resulting in a good start in 2022, and the manpower base is much lower than that in 2021.
Chen Fu and Liu Qi, researchers of Gf Securities Co.Ltd(000776) , said that the growth rate of life insurance was in line with market expectations, and the comprehensive impact of high base superimposed demand and supply led to overall negative growth. Looking forward to the follow-up, Chen Fu and Liu Qi believe that the base has decreased significantly, especially the base of high-value products. After the superposition agent scale is expected to stabilize, the production capacity is expected to increase to make up for the decline in scale. In addition, due to the impact of comprehensive factors such as stricter Internet insurance supervision, the growth rate is expected to be close to positive growth in the second half of the year.
In terms of property insurance business, the premium income of the three companies has achieved positive growth. In January 2022, PICC Property Insurance, Ping An Property Insurance and CPIC property insurance realized the premium income of original insurance of 60.432 billion yuan, 32.787 billion yuan and 21.011 billion yuan respectively, with a year-on-year increase of 13.78%, 8.21% and 12.67% respectively.
The growth rate of auto insurance premiums continued to pick up, driving the growth of property insurance premiums to the better. According to the announcement disclosed by The People’S Insurance Company (Group) Of China Limited(601319) , in January 2022, its auto insurance premium income was 27.584 billion yuan, a year-on-year increase of 14.5%.
Zhao Yao, a researcher at Guosheng securities, predicts that the higher than expected double-digit premium growth includes the increase in the number of motor vehicles (an increase of 6.2% in 2021), the small increase in the coverage of commercial vehicle insurance and the combined impact of the small rise in the floor price of some single vehicle premiums.
After the Spring Festival, insurance stocks ushered in a wave of rebound, and many brokerage institutions are optimistic about insurance stocks. The research report released by Wang Fangchao and Zhu dingning, analysts of Cinda securities, believes that the current insurance sector is at the bottom of historical valuation. The short-term benefit is the improvement of the epidemic situation, and the increase of agent activity rate has a positive pull on the premium; The strong expectation of the steady growth policy has led to the stabilization and upward movement of interest rates; Real estate risk was mitigated and the investment side of insurance enterprises was improved. Although there is still great pressure on the liability side in the long run, the inflection point needs to be further observed. There is still a good opportunity to repair the debt in the short term, but there is still no good opportunity to stimulate the valuation.
Sun Ting said in the research report that on February 16, 2022, the valuation of the insurance sector was 0.41-0.68 times 2022ep / EV, which was at a historical low, and the industry maintained the rating of “better than the big market”.
