– GWP surpassed RMB 20 billion for the first time, up 21.9% YoY
– Achieved underwriting profit for the first time, profit attributable to parent company owners jumped 110.3% year-on-year
– Technology export revenue grew 42% YoY, fueling digitalization in the global insurance industry
HONG KONG, March 25, 2022 – (ACN Newswire) – ZhongAn Online P&C Insurance Co. Ltd. (“ZhongAn Online” or “ZhongAn” or the “Company”, HKEx: 6060) has released its audited annual report for the year ended December 31, 2021 (“the Reporting Period”). The company has leveraged its strengths in insurance technology and its rich resources connected through its ecosystems to further promote insurance inclusion. The company has provided insurance services to more than 500 million users with a benevolent hand, the number of customers receiving claim payment reached 129 million in 2021.
Adhering to the strategy of “sustainable growth with quality” and technology-driven cost reduction and efficiency improvement, the company printed strong figures in 2021. Gross Written Premium (GWP) reached RMB 20.37 billion, representing a year-on-year increase of 21.9%. The combined ratio improved to 99.6%, marking the first profitable underwriting financial year in its history. Net profit attributable to parent company owners reached RMB 1.16 billion, an increase of 110.3% year-on-year, driven by improved operational efficiency and robust growth in investment income.
Under the “Insurance + Technology” dual-driver growth strategy, ZhongAn has exported its insurance technology capability and advanced Insuretech know-how to insurers and brokers, to fuel digitalization in the insurance industry. insurance worldwide. During the reporting period, ZhongAn’s technology export revenue reached RMB 520 million, a year-on-year increase of 42%, and served 109 customers in the insurance industry.
Insurance segment – healthcare ecosystem and digital lifestyle ecosystem remain top contributors with favorable channel mix shift
The healthcare ecosystem recorded RMB 7.69 billion in GWP, representing a 16% year-on-year increase. The Company provided health protection to approximately 25.86 million insured customers in 2021, the number of individual health insurance paying users reached 18 million, representing a 30% year-on-year increase. ‘other.
To achieve such performance, ZhongAn has maintained its philosophy of health inclusion. ZhongAn has upgraded its flagship product, the Personal Clinic Policy series, by incorporating more than 30 rare disease special drugs for young people and launched exclusive medical protection plans for different customer groups such as chronic patients, women and the elderly. The latest version of personal clinic policy also came with more value-added services, including cancer screening, internet hospital, traditional Chinese medicine, etc.
The company is committed to providing a unique experience of “insurance coverage + medical services” to users by expanding products and services from required medical scenarios such as hospitalized patients and critical illnesses, to cover the daily needs of outpatient and emergency patients, critical illness follow-up treatment, chronic illness treatment, rehabilitation management, elective surgery and other scenarios.
The digital lifestyle ecosystem recorded a GWP of RMB 7.29 billion in 2021, representing a 16% year-on-year increase. As new consumption scenarios evolve, ZhongAn actively explores and launches innovative products by leveraging its resources of more than 300 strategic ecosystem partners and cutting-edge technology to solve customer problems in their daily digital lives.
Riding the wave of e-commerce 2.0, ZhongAn launched a new version of the personalized return shipping policy for live e-commerce platforms such as TikTok and Kuai, and the premium brought by live e-commerce channels accounted for more than 20% of the total return shipping policy in 2021.
Meanwhile, the innovative products featured by pet insurance and phone screen cracking insurance also saw strong growth in 2021. Relying on the layout of the pet O2O ecosystem of company, the pet insurance’s annualized premium exceeded 100 million RMB, representing a year-on-year increase of more than 250%, and its market share was among the best in mainland China . Thanks to its optical character recognition, the company’s insurance against cracking phone screens increased by more than 65% and remained the leading insurer for this product.
Among the total GWP of the digital lifestyle ecosystem, premium income from innovative activities represented by pet insurance, phone screen cracking insurance and accident insurance policy personal accounted for 19% in 2021, an increase of 29% year-on-year.
Additionally, in 2021, ZhongAn continued to develop its proprietary brand and channels. In 2021, the premium for proprietary channels amounted to RMB 3.6 billion, an increase of 66.4% year-on-year. The company was pleased to see such a favorable change in channel mix, with the proprietary channel contributing over 18% of GWP in 2021. The premium per capita contribution of proprietary channels reached 506 RMB, representing an increase of 20 % year over year thanks to robust turnover. cross-selling rates and efforts in proprietary channels.
Technology segment – facilitating the digital transformation of the global insurance industry
As a leading insurance technology company, ZhongAn has continued to explore cutting-edge technology areas such as artificial intelligence, blockchain, cloud computing, big data and life science technology, and used technology to reshape the entire insurance value chain. Last year, the company’s R&D investment reached RMB 1.13 billion, representing a year-on-year increase of 24.5% and 5.5% of total GWP. There were 1,836 engineers and technicians, or 48% of all employees.
ZhongAn has promoted fine operation with Insurtech, constantly improving user experience. The cloud-based distributed core system “Wujieshan” helped ZhongAn issue 7.7 billion insurance policies in 2021, and the number of customers receiving claim payment for the year reached 129 million. Thanks to its technology, the online claims settlement rate exceeds 95%.
At the same time, ZhongAn has also helped insurers around the world in their digital transformation by exporting modular Insuretech products. In 2021, technology export revenue reached RMB 520 million, representing a year-on-year increase of 42%, with the proportion of recurring revenue reaching 48%. ZhongAn served 109 clients in the insurance industry last year, a year-on-year increase of 34 new accounts.
In terms of overseas development, ZhongAn Technology has further expanded its business territory to Japan, Singapore, Malaysia, Indonesia, Vietnam, Thailand, the Philippines and Europe, working with insurance companies like AIA, Muang Thai Life and PFI Mega Life.
ZA Bank, a pioneering advocate of virtual banking in Hong Kong with a one-stop digital financial services platform, also made pleasant progress in 2021. In two years, the number of customers exceeded 500,000, the balance deposits in December 2021 reached HK$7 billion, and the loan balance quadrupled year-on-year to HK$2.5 billion.
In the future, ZhongAn will continue to focus on user needs, leverage technological strength to drive innovation, build and enhance the ZhongAn brand in the eyes of users, constantly practice the inclusion of insurance and create long-term value.
About ZhongAn Online P&C Insurance Co Ltd (stock code: 6060.HK)
ZhongAn Online P&C Insurance Co., Ltd. is one of the leading online-only InsureTech companies in China. Founded in October 2013, the company takes an ecosystem approach and focuses on customers’ lives on the Internet, meeting customers’ diverse protection needs and creating value for them through ecosystem partners and its proprietary platform. ZhongAn Online seamlessly integrates technology into its insurance business and is now exporting its technology to help other businesses accelerate their growth. On September 28, 2017, ZhongAn Online became the first fintech company listed on the HKEx (Ticker: 6060) and since 2018, the company has started to expand its Fintech and InsureTech solutions to various international markets.
For more information, please contact:
ZhongAn Online IR Team
Email: [email protected]
Source: ZhongAn Online P&C Insurance Co Ltd
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