Shares of domestic insurance companies collectively declined. As of the time of writing, China Pacific Insurance (02601) fell by 4.75%, trading at HKD 32.48; PICC Property (01339) dropped by 3.47%, trading at HKD 5.28; and China Life Insurance (02628) decreased by 2.57%, trading at HKD 27.34.
According to Zhitong Finance APP, domestic insurance stocks collectively declined. As of press time, China Pacific Insurance (02601) fell 4.75% to HKD 32.48; PICC Property (01339) dropped 3.47% to HKD 5.28; China Life Insurance (02628) fell 2.57% to HKD 27.34.
Shenwan Hongyuan issued a research report stating that considering the impact of rising geopolitical risks on equity market volatility in the first quarter, coupled with some insurers significantly increasing their equity allocation in the secondary market in the second half of 2025 and higher performance bases for some companies, it is expected that listed insurers’ profits will face short-term pressure in the first quarter. It is forecasted that A-share listed insurers’ net profit attributable to parent companies will decline by 24.7% year-on-year to RMB 63.401 billion in the first quarter.
Guotai Haitong Securities believes that capital market fluctuations in the first quarter of 2026 dragged down listed insurers’ profits from the investment side. However, high growth in bancassurance channels drove better-than-expected new business value in the first quarter. Reduced catastrophic losses and the alignment of premium and claims in non-auto insurance are expected to improve property insurers’ combined ratio. The firm remains optimistic about interest rate stabilization driving valuation recovery in insurance stocks and maintains an ‘Overweight’ rating for the sector.
