|
Allianz Dazhong, a foreign-funded insurer, is pushing forward its regional expansion strategy in China by setting up branch offices nationwide.
Its first branch office, approved by the China Insurance Regulatory Commission (CIRC), will be open in Guangzhou, Guangdong Province offering a promising new line of group business by year's end, said Benno Freiherr von Canstein, general manager of the Allianz Dazhong Life Insurance Co Ltd.
"We are going to be well prepared to expand throughout the nation," Canstein said.
The Shanghai-based company obtained premium revenues of 166 million yuan (US$20 million) last year, up 35 per cent over the previous year.
It expects to maintain the same growth rate this year, ranking fourth in the city's foreign insurers, he said.
"But if our business is confined to Shanghai, we will be unable to compete with foreign and Chinese counterparts in local market," said Hans-Joerg Probst, deputy general manager of the company.
The strategy is part of its Roadmap 2010 which aims at a significant nationwide presence and an established sustainable leading market position in China.
"It's a long way to go, but the groundwork has been prepared during our five years of development in Shanghai," Canstein said.
Probst said Allianz Dazhong has accumulated enough experience to extend its business to other parts of China.
Local insurance insiders said Allianz's strategy has been worked out to match the efforts of the Chinese Government to loosen controls of the business to allow foreign insurers to market their products on the Chinese mainland.
"We will lead other foreign insurers in setting up branch offices in other parts of the country," said Probst.
Allianz's strategy is to take Shanghai, Guangzhou of Guangdong Province, Beijing and Chengdu of Sichuan Province as four regional centres in its nationwide insurance network, he said.
It indicates Allianz's long-term commitment to China which is considered in need of more financial input to meet growing demand.
According to Probst, who is in charge of the job of running branch offices on the Chinese market, the foreign insurer is expected to set up 15 branch offices by 2010.
(China Daily November 15, 2004)
|
