BEIJING-- China Life Insurance Co Ltd, China's largest provider of life insurance, said Tuesday that its net profits for the first half of this year reached 12.96 billion yuan ($2 billion), down 28.1 percent year-on-year.

Fluctuations in the capital market were the major cause of the decrease, the company said in a statement filed with the Shanghai Stock Exchange.

The company's earnings per share for the first six months were 0.46 yuan, down 28.1 percent.

The company's total insurance premiums during the period showed moderate growth, rising 6.1 percent to 194.86 billion yuan.

The company said that its solvency ratio dropped to 164.21 percent as of June 30 this year, down from the 211.99 percent posted at the end of 2010.