Why is life insurance suddenly so hard to sell?
What should I do if the agent falls off significantly?
Is the sunrise industry suddenly becoming a sunset industry? Where is the future for life insurers?
Recently, China Banking and Insurance News hosted the 2021 China Life Insurance Transformation and Development Summit, inviting leaders of regulators, senior executives of domestic and foreign insurance institutions, professional scholars and other heavy guests to participate. In response to these industry doubts, some observations and insights are provided.
According to the report of Sina Finance, this article has selected a part of the content to share with you:
<h1 class="pgc-h-arrow-right" data-track="11" > Mao Wanyuan: The transformation and upgrading of the life insurance industry has entered a tough period</h1>
Mao Wanyuan, Deputy Director of the Management Committee of the Banking and Insurance Regulatory Commission
Since the outbreak of the new crown epidemic last year, profound changes have taken place in the global economy, society and life, and China's huge insurance market is also facing a more complex and changeable internal and external environment, and has begun to encounter some challenges.
Judging from the situation in the first half of this year, the overall business growth rate has slowed down, several leading insurance companies have obviously felt the pressure of the decline in new single business, and the transformation and upgrading of the industry has entered a tough period.
At the same time, the reality has been put in front of us, the contradiction of the agent channel in the past 30 years has emerged, the most fundamental reason is that the demographic dividend has begun to decrease, the tactics of the sea of people are difficult to sustain, and the transformation is imperative.
In the future, creating a professional and professional sales team and increasing sales capacity are the focus of insurance companies.
<h1 class="pgc-h-arrow-right" data-track="19" > Dingdang: Life insurance is not the transformation and upgrading of sales, but the transformation and upgrading of services</h1>
Ping An Life Chairman Ding Dang
Our transformation is not the transformation and upgrading of sales, but the transformation and upgrading of services. Because everyone is talking about transformation. What is at the heart of the transformation? Is it a transformation of the business model or a transformation of the company's structure?
I think that in the past, the development of the entire life insurance industry, in the past, the life insurance industry was a sales culture, not a service culture, the product system was also a sales system, not a service system, and the company structure was a sales structure, nor a service architecture.
The transformation and upgrading of life insurance is not the transformation and upgrading of sales, but the transformation and upgrading of services, which is based on the insurance industry actively solving social problems and solving the problems existing in the lives of the majority of people, which is the core of the next high-quality development of the insurance industry.
<h1 class="pgc-h-arrow-right" data-track="27" > Li Mingguang: The life insurance industry must pay attention to digital construction</h1>
Chinese Life Insurance Vice President and Chief Actuary Li Mingguang
In the process of promoting high-quality development, life insurance companies should establish an idea and enhance four capabilities.
One idea refers to the need to firmly establish the idea of people-centered development.
The four capabilities refer to the ability to accurately identify and price risks, the ability to reduce risks and manage, the ability to reach and meet customer needs, and the ability to prevent and resolve risks.
For the accurate identification and pricing ability of risks, Li Mingguang stressed that at present, the red ocean and the blue ocean coexist in the life insurance market, and excessive competition coexists with no one, reflecting the lack of confidence in the life insurance industry.
As an industry based on the law of large numbers and data, life insurance must attach importance to digital construction, open up data islands within the company, strive to expand the dimension, depth and breadth of data, and improve accurate risk identification and pricing capabilities.
<h1 class="pgc-h-arrow-right" data-track="36" > Cai Qiang: The life insurance industry will also enter the "second curve" or not</h1>
General Manager of Pacific Life Cai Qiang
After a big cycle, we are going to enter a new cycle, and we want to create a "second curve".
The entire Chinese insurance industry may also have entered the "second curve". The biggest feature of the "second curve" is that it is not broken or standing, which is where every practitioner, especially the management, needs to think further.
So do we rely on the traditional path, or do we build the core model?
China is stuck in the neck of the chip, and what the insurance industry needs to transform is also this "core", not a new skill, but a transformation of technical content. The insurance industry has made great achievements in the initial stage of insurance development from rough operation, but consumers have no longer accepted rough operation.
We must change to a new mode of behavior, excellent increase and excellent education, one-on-one sales, not to increase customers but to serve customers, to raise customers, back-office drive transformation into independent operation, short-term sprint into long-term sustainability.
<h1 class="pgc-h-arrow-right" data-track="46" > Zhang Xiaoyu: The transformation of the life insurance industry is based on the "five key pillars"</h1>
AIA Life CEO Xiaoyu Zhang
The transformation of the life insurance industry has been talked about for a while, and we have talked about a lot of high-quality development, customer-centric, creating excellent marketer channels, professionalization, specialization, and technology.
We have summed up our ideas and experiences, and if we look at them from a framework point of view, these five points are worth noting, which we call the "five key pillars".
The "Five Pillars" refer to the five aspects of the transformation of the life insurance industry:
First, the strategic positioning should be clear;
Second, strategic upgrading should be holistic;
Third, the strategic determination should be strong;
Fourth, continuous innovation is fundamental;
Fifth, a good culture is key.
<h1 class="pgc-h-arrow-right" data-track="58" > Wang Chunlin: The main theme of the future life insurance intermediary market will be professional sales organizations</h1>
Chairman of the Board of Directors of Fanhua Financial Holdings Group
and CEO Wang Chunlin
First of all, the separation of production and marketing will bring structural stock growth opportunities for intermediaries, and it is worth noting that the separation of production and marketing is not a competition and confrontation between insurance companies and insurance intermediaries, but is interdependent and complementary.
Because in a healthy market, there must be more contact points for consumers to have a deep experience, deep feelings, deep perceptions, and a strong desire to buy, which requires more industry practitioners to trigger the market.
Without the power of intermediaries, without huge intermediaries to trigger the market, the growth rate of the entire market is much slower.
At the same time, this will also bring structural increments to the intermediary, now the annual new single stock of 1 trillion, the intermediary originally accounted for 50 billion, the intermediary in the future in the stock will continue to increase.
Secondly, Wang Chunlin also discussed the main service objects of insurance intermediaries in the future. "From an intermediary's point of view, we serve the middle class of more than 400 million people."
Wang Chunlin said that the middle class of more than 400 million people determines the future growth space of the entire Chinese life insurance market, and without a professional and professional team, it is difficult to meet the needs of the mainstream market in the future.
How much do middle-class families rely on critical illness insurance? This is not currently conceivable. The industry calls for professionalization in the future, and professional sales organizations will surely become the main theme of the future life insurance intermediary market.
To this end, Fanhua has established a vision of professional, professional and digital development. Willing to work together with the same industry for common development, the same industry to communicate with Fanhua in the work, learn from the experience, or to use The Fanhua platform, system including product contracts, we are willing to open to the same industry, so that the same industry less detours, common development, common prosperity.
Of course, intermediaries are still very small in the entire industry, so we have a good vision: we hope to add luster to the life insurance industry!
The above content comes from Sina Finance's report on the summit, thank you!