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    China Daily Website

    Reform of commercial auto insurance sector to see progress

    Updated: 2013-03-19 21:45
    By Hu Yuanyuan ( chinadaily.com.cn)

    The reform of the rates for the commercial auto insurance sector is expected to see material progress in the first half of 2013, with more insurers having a bigger say in policy pricing, said an industry expert on Tuesday.

    Barry Man, partner for the global financial services industry at Deloitte, said the reform will probably begin with an additional insurance rate.

    “The opening-up of additional insurance rates in commercial auto insurance will mark the first step for the insurance rate reform,” said Man. “If the move goes on smoothly, then we can expect bolder moves in the life insurance sector.”

    A number of regulations and detailed rules will be probably released in the first half of 2013, said Man.

    Meanwhile, Man said that some international property and casualty insurance companies are seeking opportunities to take over some poor-performing local non-life insurers to expand their presence in China.

    “Some of the negotiations have been in the pipeline and we are very likely to see one deal inked within 2014,” said Man.

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