Six days after Wang Bin was announced to accept the review and investigation of the Central Commission for Discipline Inspection and the State Supervision Commission, the new leader of China Life Insurance Company Limited(601628) group was quickly put in place.
Bai Tao served as secretary of the Party committee of China Life Insurance Company Limited(601628) group. According to the usual practice, Bai Tao will become the new chairman of China Life Insurance Company Limited(601628) group after the procedures of the board of directors, shareholders’ meeting and regulatory approval. He is also the sixth chairman of this Chinese prefix large financial and insurance group since its establishment.
Source: China Life Insurance Company Limited(601628) group
Bai Tao’s arrival is actually a return. From 2014 to 2016, he served as vice president of China Life Insurance Company Limited(601628) group.
At present, the insurance industry is in a situation that has not changed in decades. As the “boss” of the life insurance industry, China Life Insurance Company Limited(601628) under China Life Insurance Company Limited(601628) group has also carried out transformation and Reform in the past two years to the deep water area. The market is concerned about what changes will this veteran’s return bring to China Life Insurance Company Limited(601628) ? What attitude will China Life Insurance Company Limited(601628) under the leadership of the new leader open a new era?
has gone to the reform deep water area
In recent years China Life Insurance Company Limited(601628) , its own reform is resonating with the reform of the insurance industry. Now it has reached the deep-water area of irreversible reform.
This round of reform of life insurance industry mainly focuses on the reform of agent channels. As the core channel contributing nearly 60% of the premium scale of life insurance companies, the agent channel is the basic channel of life insurance companies. However, the haze of “channel anxiety” is gathering above the agent channel from the low production capacity and low income from the perspective of agents to the spread loss and inflated arbitrage from the perspective of insurance companies.
As the “big brother” of life insurance industry, China Life Insurance Company Limited(601628) has always been regarded as the strongest competitor by major peers. Grass snake gray line, volt pulse thousands of miles. Individual life insurance giants have even quietly launched the “Superman plan” – more than China Life Insurance Company Limited(601628) .
the dust in Guanshan has not been washed for the first time, so he drives his horse to whip and hoof again. In order to stabilize the leading position, China Life Insurance Company Limited(601628) launched a series of reforms in recent years. This major innovation aimed at deepening the reform of the operating mechanism has gone deep into all aspects of China Life Insurance Company Limited(601628) operation and development, from institutional management to resource allocation, from sales layout to investment system, from comprehensive finance to scientific and technological application.
How to describe this reform of “revitalizing national longevity”? In the words of an China Life Insurance Company Limited(601628) “old man”, after the reform, cadres can move up and down, provincial and municipal resources flow to the front line, salary is linked to performance value contribution, a stronger sense of science and technology from the front end to the back end, and the vitality of the company to employees is more sufficient!
After several years of reform, the voice of “catching up with and surpassing the national longevity” has gradually decreased. According to the data, in 2020, China Life Insurance Company Limited(601628) premium income exceeded 600 billion yuan, with a year-on-year increase of nearly 8%. This old insurance enterprise radiated new growth vitality. In the first 11 months of last year, China Life Insurance Company Limited(601628) realized a premium income of 593.4 billion yuan, a year-on-year increase of 1.23%.
Challenges remain behind the growing premium report card. On the one hand, China Life Insurance Company Limited(601628) also encountered considerable pressure under the background of challenges faced by the agent channel in the life insurance industry, and the value of new business decreased again and again; On the other hand, in the critical period of “a good start” at the beginning of the year, can the first battle of the business front be fought this year?
Will the strategy change?
All these variables and challenges fall on the new leader Bai Tao.
Bai Tao is a veteran in the financial and insurance industry. Statistics show that he graduated from Renmin University of China majoring in finance and has held important positions in many financial and investment institutions such as ICBC, Guoshou, Huijin, PICC and SDIC.
Bai Tao’s fate with China Life Insurance Company Limited(601628) originated in June 2014. At that time, he was the vice president of China Life Insurance Company Limited(601628) group, in charge of the legal and Resource Integration Department, and then in charge of the strategic planning department.
In October 2016, Bai Tao was transferred to deputy general manager of China Investment Co., Ltd. and general manager and executive director of Huijin Company. Two years later, he returned to the insurance industry again. In July 2018, he served as vice chairman and President of PICC group, during which he completed the great event of PICC group’s return to a shares. In January 2020, he became the chairman of China Development and Investment Group Co., Ltd.
has rich experience in banking, insurance and investment management. Bai Tao is regarded as an all-round comprehensive financial manager and has a good reputation in the industry. Based on this, Bai Tao’s arrival is regarded as a great benefit for China Life Insurance Company Limited(601628) in the industry.
At present, China Life Insurance Company Limited(601628) group has many licenses, such as life insurance, property insurance, insurance asset management, endowment insurance, banking, e-commerce, health industry investment and so on. In 2020, the consolidated operating income of China Life Insurance Company Limited(601628) group was nearly 1 trillion yuan, the consolidated premium income exceeded 750 billion yuan, and the consolidated total assets exceeded 5 trillion yuan.
In the view of insiders, although it has a good hand, in terms of comprehensive finance, China Life Insurance Company Limited(601628) group has not really exerted its energy. “Its subsidiaries have not made good use of the advantage of comprehensive finance.” Industry insiders speak frankly about this.
How to give full play to the advantages of comprehensive finance is precisely where Bai Tao is highly expected by the industry. With the advantages of complete financial licenses, rich long-term funds and excellent financial assets… China Life Insurance Company Limited(601628) group, can it become bigger and stronger in the office of Bai Tao?
“In fact, in the reform of China Life Insurance Company Limited(601628) group in recent years, Guangdong Development Bank, as an important part of Bancassurance coordination, is often included in the overall consideration of comprehensive finance. Therefore, from the perspective of the overall situation of the group and combined with the past experience of the new leader, comprehensive finance is expected to become an important strategic component of Guoshou group in the future.” A person familiar with China Life Insurance Company Limited(601628) said.
For Bai Tao, I\’m afraid the toughest thing right now is the “good start” war of China Life Insurance Company Limited(601628) . According to the third quarterly report of 2021, China Life Insurance Company Limited(601628) personal insurance manpower has fallen below the million mark, with a year-on-year decline of 38%. Affected by this, the value of new business has also decreased by 19.6% year-on-year.
at a time when the scale of personal insurance manpower shrinks and the reform moves to the middle market, how Bai Tao “stabilizes the military heart” and makes a good start in 2022 will be the first hurdle that the returning veteran must pass.
