HONG KONG, Dec 14 (Bernama-BUSINESS WIRE) — AM Best is maintaining its negative market segment outlook on China’s non-life insurance segment, citing underwriting profitability that is under pressure amid market reform.
A new Best’s Market Segment Report, titled, “Market Segment Outlook: China Non-Life Insurance,” states that pressure on premium growth and underwriting performance due to comprehensive reform of motor insurance; execution risks and negative profitability impact arising from expansion of non-motor lines; and potential rise in impairment losses from fixed income investments are key supporting factors for the negative outlook.