The premiums increased by 30%, and the structural adjustment of the business achieved remarkable results.
On March 23, ZhongAn Online (6060.HK, hereinafter referred to as ZhongAn Insurance) officially released its 2019 performance report.
From being listed in 2017 as the most sought-after Hong Kong stock market, after the industry’s competition intensified and growth slowed, ZhongAn’s listing for three years has brought its business adjustment to a new stage.
According to the financial report, ZhongAn Insurance’s total premium income in 2019 will be 14.629 billion yuan, an increase of 30% year-on-year. It will serve 486 million users and have more than 8 billion insurance policies. Among them, the underwriting loss has narrowed and investment income has risen sharply. The insurance business has achieved profitability in 2019. It has risen one place in the nation’s property and casualty insurance market compared to 2018 and is currently ranked 11th.
“2019 is the year that Zhongan Insurance adheres to the deep integration of technology and insurance, and continuously improves its technological, product, and brand power.” said Jiang Xing, CEO of Zhongan Insurance.
Loss continues, but business structure adjustment has achieved significant results
Although 2019 is still in a loss state, Zhongan Online’s underwriting loss in 2019 narrowed to 1.698 billion yuan, a 7.4% year-on-year decrease of 1.835 billion yuan in 2018; while the net loss attributable to mothers narrowed sharply to 454.1 million This figure was 1.743 billion yuan in 2018.
For the reasons, we must first talk about the structural business adjustments that Zhongan launched immediately after its listing. Zhong’an Online has formed six major ecosystems including health, consumer finance, automobiles, daily life consumption, travel, and others. After the listing, Zhongan has always emphasized “quality growth”, and constantly adjusts the business investment of each section to enhance its revenue and robustness of growth.
This year, this adjustment has achieved remarkable results, and its landmark event is the profitability of insurance business. Specific to each business segment, the proportion of Zhongan’s business segments in order from large to small in 2018 is consumer finance (31%), health (25%), and consumer spending (14%). This year has become Health (33%), consumer spending (25%), consumer finance (21%).
What is more eye-catching is the substantial growth of healthy ecological business. This section in 2019 Total total premium income of 4.806 billion yuan, a significant increase of 67.6% over the same period last year, and provide health protection for about 16.7 million people. In addition, ZhongAn also obtained an Internet hospital license in July 2019 and officially launched in December. Using insurance business as a fulcrum, explore the development path of “Internet insurance + medical treatment”. Startups incubated by ZhongAn <