With the rapid development of China's insurance sector, an
increasing number of insurers are expanding overseas.
Efforts include setting up subsidiary companies, acquiring
international insurance companies, buying properties around the
world and providing insurance services for Chinese companies that
are going global.
China Life, the country's largest insurer, is planning to
launch a subsidiary in Malaysia this year, the company's former
chairman Yang Chao told China Daily on Saturday.
"China Life's overseas expansion will start from
Southeast Asia, targeting overseas Chinese at first," said
Yang, who is also a member of the Chinese People's Political
Consultative Conference National Committee.
In 2014, regulators approved a China Life subsidiary in
Singapore with registered capital of $100 million, the
insurer's first international venture.
"I am also very optimistic about Indonesia. If there are
appropriate opportunities, acquiring a local insurer is a good
choice to enter the market," Yang said.
Insurance companies expanding overseas
China Life also announced it was joining forces with
Singapore-listed Global Logistics Properties to finance the $4.55
billion acquisition and a controlling 66 percent stake in
Industrial Income Trust Inc, a Denver-based industrial real estate
trust in the United States.
The insurer's other headline overseas deals included joining
with Ping An Insurance and global property developer Tishman Speyer
in April last year to launch a $500 million Boston development
project known as "Pier 4". It also co-invested with Qatar
Investment Authority and Songbird Estates to buy "10 Upper
Bank Street" in London's Canary Wharf in 2009.
International real estate service provider JLL forecasts that
Chinese insurance groups will allocate up to $240 billion for real
estate deals outside the country in the years to come. However,
their property holdings still remain small at 1 percent, compared
with their US or European counterparts, which tend to have real
estate allocation targets of 5 to 15 percent.
In November, Anbang Insurance Group Co agreed to buy HRG Group
Inc's Fidelity & Guaranty Life for about $1.6 billion in
cash, expanding investments in the US after closing the purchase of
the Waldorf Astoria hotel in New York for $1.95 billion. The buying
spree since then has also included an office property from the
Blackstone Group and financial companies including Belgian insurer
Fidea NV and South Korea's Tongyang Life Insurance Co.
（Source :China Daily，by Hu Yuanyuan）
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