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The air travel insurance market, stay or go?

By Song Hongmei (chinadaily.com.cn)
Updated: 2006-10-27 08:45

China receives nearly 80 million travellers by air every year. If each spends 20 yuan (US$2.53) on air travel insurance, the combined air travel insurance premiums would reach 1.6 billion yuan.

It would be logical to expect that insurers that offer air travel insurance plans and consequent coverage would lay claim to this large piece of cake, but this is not always the case.

Statistics from the Shanghai Insurance Association show that only eight of 24 life insurance companies in Shanghai which are involved in the air travel insurance business recorded a premium revenue in this regard during the first seven months of this year. In July, merely three property and casualty insurance companies posted premiums from air travel insurance.

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The full text is available in the October Issue ofChina Insurance.