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China United seeks more capital

(chinadaily.com.cn)
Updated: 2007-08-14 15:01

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China United Property Insurance Company Limited is to introduce new capital from both domestic and foreign investors to ease the solvency pressure ensuing from fast development, said Sun Yuesheng, board director of the insurance firm, according to China Business News.

Sun announced the plan after the China Insurance Regulatory Commission released a circular on issues concerning solvency capability management, demanding insurance firms failing to meet the standards take measures in June and report results to it in July.

Considering its annual premiums of 15 billion yuan, China United needs to find another three billion yuan to meet the standard. Sun said the company will consider the amount of investment needed according to the actual situation.

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