CIRC: The insurance market faces uncertain factors

Xinhua Beijing, April 20 (reporter Jiang Rui, Wang Wenxian) 20th reporter learned from the CIRC, the first quarter of the insurance Supervision Working conference in the analysis of this year after the operation of the industry that the insurance market is still facing the interest rates, exchange rates, capital markets and real estate market changes brought about by the uncertainties.　　The CIRC believes that it is necessary to attach great importance to the impact of macroeconomic policy adjustment on the insurance industry, especially the recent appreciation of the renminbi is expected to increase, should be highly vigilant about the possibility of foreign hot money through the "underground policy" into the domestic arbitrage. The relevant person in charge of the CIRC said that the current macroeconomic situation is generally good, liquidity is abundant, interest rate is low, some insurance companies irrational expansion of the scale of business ideas, some small and medium-sized insurance companies to expand the impulse significantly increased, the insurance market ranked more intense competition.　　In addition, due to the tightening of credit scale, commercial banks to expand intermediary business income, actively promote the development of banking and insurance business, brought about the pressure of structural adjustment.　　On the other hand, with the complexity of external factors, the continuous decline of market income and the rapid growth of premium income, insurance funds face severe challenges such as difficult configuration, small space and high risk, and the difficulty in allocating insurance assets is increasing and the investment income is facing greater pressure. In addition, there are still some problems, such as insurance sticker fee, high handling fee and not strict implementation of the terms and conditions of the non auto insurance business, and the problem of the repeated of bank insurance service fees is not so good, and the problem of malpractice is still outstanding in some fields and regions.　　Sales misleading and loss of compensation and other violations of the interests of the insured has not been cured, claims disputes accounted for the proportion of the total contract disputes more than 70%. The person in charge of the report, from the financial data, the first quarter of the industry operating efficiency significantly improved, comprehensive cost rate and comprehensive cost rate indicators significantly decreased, but should be estimated to adjust the accounting standards, reserve assessment methods of changes in the financial statements of the insurance company to increase the profit significantly. Therefore, we should objectively analyze and judge the improvement of industry benefit, avoid some companies to adopt radical business development strategy.