COVID-19 and China's Insurance Industry
Insurance, with risk management as its core, has a dual mission—safeguarding social stability and managing social risks. With the COVID-19 pandemic still raging, all walks of life have united to overcome the attendant difficulties, and the insurance industry has vowed to leave no stone unturned in preventing the pandemic. We have seen life insurers, property and casualty insurers, insurance intermediaries, internet insurance platforms and other players in the industry take a variety of response measures.
These have included financial donations, donations of medical supplies and equipment, complimentary insurance, the expansion of insurance policies and coverage, upgrading of claims services, proactive troubleshooting for insurance customers, and health management services such as remote diagnosis and treatment. Through these responses, the insurance industry has demonstrated its value as a "shock absorber" and "stabilizer" of social risks.
This report explores the macro impact on the insurance industry and discusses key enablers for insurance companies to build sustainable management system to mitigate against imminent risks and ensure their businesses endure:
- improve online channel management capacity
- improve innovation capacity for product differentiation
- build an agile operating system
- strengthen coordination with healthcare providers
- improve med-tech capability to assist public health system development
The pandemic will not stifle the strong growth momentum of China's insurance market, but it will give insurance practitioners the opportunity to review their business models: How should they optimize business models? How can they diversify their business portfolios? How should they build agile operating systems? How can they speed up their organizational responses to emergencies? By answering these questions, they can turn a crisis into an opportunity and remain prosperous.