On March 27, China The Pacific Securities Co.Ltd(601099) insurance (Group) Co., Ltd. (Securities abbreviation: China Pacific Insurance (Group) Co.Ltd(601601) ) announced the annual results of 2021. The annual report shows that China Pacific Insurance (Group) Co.Ltd(601601) 601 achieved a net profit attributable to shareholders of the parent company of 26.834 billion yuan in 2021, with a year-on-year increase of 9.2%. The main reason for the increase in net profit attributable to the parent company is the "increase in investment income".
From other main business indicators, in 2021, 601 operating revenue reached 440643 billion yuan, a year-on-year increase of 4.4%; The operating profit attributable to the parent company reached 35.346 billion yuan, a year-on-year increase of 13.5%; The embedded value reached 498309 billion yuan, an increase of 8.5% over the end of the previous year; Assets under management amounted to 2601537 billion yuan, an increase of 6.8% over the end of the previous year; The number of customers was 168393 million, an increase of 13.1% over the end of the previous year.
life insurance: operating profit increased by 9.2% year on year
Life insurance business is one of the core business segments of China Pacific Insurance (Group) Co.Ltd(601601) . In 2021, the global covid-19 epidemic was repeated, the economic situation was complex, and the development of life insurance industry entered a period of deep transformation. Under this background, CPIC life insurance realized an insurance business income of 211685 billion yuan, a year-on-year decrease of 0.1%, of which the original insurance premium income was 209610 billion yuan, a year-on-year increase of 0.6%; The operating profit was 28.265 billion yuan, a year-on-year increase of 9.2%, and the net profit was 18.905 billion yuan, a year-on-year increase of 1.4%.
From the perspective of different business channels, in terms of individual insurance channels, the CG (MDRT level) manpower of CPIC life insurance increased by 170.1% year-on-year in 2021; The agent's monthly per capita insurance business income in the first year was 4638 yuan, a year-on-year increase of 42.3%; Monthly per capita commission income in the first year was 791 yuan, a year-on-year increase of 16.3%; The business income of new insurance period payment of agent channels was 24.761 billion yuan, a year-on-year increase of 11.6%. In terms of Bancassurance channels, CPIC life insurance realized an insurance business income of 7.457 billion yuan, a year-on-year increase of 223.5%, of which the new insurance business income was 6.668 billion yuan, a year-on-year increase of 331.3%. In terms of group insurance channels, in 2021, CPIC life insurance realized an insurance business revenue of 13.514 billion yuan, a year-on-year increase of 19.3%.
Classified by business type, in 2021, the insurance business income of CPIC life insurance mainly came from traditional insurance and dividend insurance. In 2021, CPIC life insurance realized a revenue of 107062 billion yuan from traditional insurance business, with a year-on-year increase of 11.7%, including 48.134 billion yuan from long-term health insurance, with a year-on-year increase of 4.4%; Affected by the marketization of premium rates and the downward factors of interest rates, the income of dividend insurance business was 86.737 billion yuan, a year-on-year decrease of 10.9%.
property insurance: non auto insurance premium increased by 16.9% year on year
From the perspective of property insurance business, in 2021, China Pacific Insurance (Group) Co.Ltd(601601) 601 property insurance and non vehicle insurance business maintained rapid growth. The comprehensive cost rate of CPIC property insurance was 99.1%, up 0.1 percentage points year-on-year. Among them, the comprehensive expense rate was 29.3%, a year-on-year decrease of 8.2 percentage points; The comprehensive payout ratio increased by 69.8 percentage points year-on-year; Insurance business income increased by 3.3% year-on-year to 154611 billion yuan.
Property insurance business is mainly divided into auto insurance business and non auto insurance business. In 2021, affected by the comprehensive reform of auto insurance, CPIC property insurance realized an auto insurance business income of 91.799 billion yuan, a year-on-year decrease of 4.0%; The comprehensive cost ratio was 98.7%, a year-on-year increase of 0.8 percentage points, of which the comprehensive loss ratio was 71.1%, a year-on-year increase of 10.6 percentage points, and the comprehensive expense ratio was 27.6%, a year-on-year decrease of 9.8 percentage points.
In terms of non auto insurance business, CPIC property insurance realized a premium income of 60.844 billion yuan in non auto insurance business in 2021, a year-on-year increase of 16.9%; The comprehensive cost rate was 99.5%, a year-on-year decrease of 2.4 percentage points. Among the main types of insurance, the business in emerging fields such as health insurance, liability insurance and agricultural insurance maintained a rapid growth momentum. Among them, the business income of health insurance was 12.198 billion yuan, a year-on-year increase of 37.3%; The income from liability insurance business was 10.948 billion yuan, a year-on-year increase of 24.6%; The business income of Agricultural Insurance Division was 10.363 billion yuan, a year-on-year increase of 19.8%; The guarantee insurance business income was 7.253 billion yuan, a year-on-year increase of 8.5%.
Investment: the growth rate of net investment assets is 5.4%
On the performance of the investment side, China Pacific Insurance (Group) Co.Ltd(601601) said that in 2021, the company insisted on asset allocation based on the characteristics of insurance liabilities and through the macroeconomic cycle, and the investment performance was stable. The growth rate of net investment assets was 5.4%, with a year-on-year decrease of 2.0 percentage points; The total return on investment was 5.7%, a year-on-year decrease of 0.2 percentage points; The return on net investment was 4.5%, a year-on-year decrease of 0.2 percentage points; Assets under management reached 2601537 billion yuan, an increase of 6.8% over the end of the previous year; Among them, the assets under management of the third party reached 789468 billion yuan, an increase of 0.2% over the end of the previous year.
From the perspective of changes in asset allocation of major categories, China Pacific Insurance (Group) Co.Ltd(601601) 601 fixed income investment accounted for 75.7% in 2021, down 2.6 percentage points from the end of last year; Equity investment accounted for 21.2%, an increase of 2.4 percentage points over the end of the previous year, of which core equity accounted for 11.1%, an increase of 0.9 percentage points over the end of the previous year.
From the perspective of investment concentration, China Pacific Insurance (Group) Co.Ltd(601601) last year, the distribution of investment holding industries was mainly concentrated in the financial industry, transportation, real estate and infrastructure, as well as basic industries such as electric power, heat and gas.
Regarding the specific asset allocation strategy of last year, China Pacific Insurance (Group) Co.Ltd(601601) said that in order to cope with the challenges brought by the continuous decline of market interest rates and the frequent occurrence of credit risk events, the company adhered to the "dumbbell" asset allocation strategy. On the one hand, it strengthened the allocation of long-term interest rate bonds to extend the duration of fixed income assets and strengthen the control of reinvestment risk; On the other hand, appropriately increase the allocation of equity assets including unlisted equity to improve the long-term return on investment. The company continues to be cautious in undertaking credit risks, strengthens credit risk control, and actively responds to and prevents credit risks.
