Ping An Insurance posts worst-than-expected decline for 2020

Ping An Insurance (2318), China's largest insurer by market value, expects new business value will return to growth this year, after posting a worst-than-expected decline for 2020.

New business value of its life and health business fell 34.7 percent to 49.58 billion yuan for 2020. It's because the Covid-19 pandemic limited face-to-face sales and more customers tended to buy short-term health insurance, said co-chief executive Jessica Tan Sin-yin. The negative impact will gradually decline this year, she added.

The insurer will not increase agent headcounts in the next three years, instead, it will focus on training existing agents, Tan said.

Ping An has an investment of 54 billion yuan in China Fortune Land Development, which overdue 5.26 billion yuan loan earlier this month, said co-chief executive Xie Yonglin.

Xie said the exposure just a little part of the insurer's 8 trillion yuan investment portfolio. The company is leading a creditor committee about the debt restructuring, he added.

Jason Yao Bo, co-chief executive and chief financial officer, said the company do not have share buyback plans at this moment.