Beijing's new measures supporting ‘insurance connect' scheme may boost Hong Kong insurers' expansion into bay area

the latest tech news, global tech news daily, tech news today, startups, usa tech, asia tech, china tech, eu tech, global tech, in-depth electronics reviews, 24h tech news, 24h tech news, top mobile apps, tech news daily, gaming hardware, big tech news, useful technology tips, expert interviews, reporting on the business of technology, venture capital funding, programing language

Greater Bay Area, new measures announced by Beijing, health claims, establish insurance service centres, bay area is a development zone, promote cross-border mobility, insurance titans in Hong Kong, will serve as a service centre

Hong Kong insurance companies are expected to expand more aggressively into the Greater Bay Area as a result of new measures announced by Beijing to make it easier for mainland policy holders to make claims.

the latest tech news, global tech news daily, tech news today, startups, usa tech, asia tech, china tech, eu tech, global tech, in-depth electronics reviews, 24h tech news, 24h tech news, top mobile apps, tech news daily, gaming hardware, big tech news, useful technology tips, expert interviews, reporting on the business of technology, venture capital funding, programing language

China will for the first time allow the direct settlement of health claims at public hospitals in Shenzhen with Hong Kong and Macau insurers, the National Development and reform Commission and the Ministry of Commerce said on Wednesday.

Regulators should help establish insurance service centres to provide after-sales services to people who have bought insurance products from Hong Kong and Macau, the authorities said.

Global Tech News Daily

The move is expected to enhance the financial connection between cities in one of the most developed regions in China, while giving hope to insurers that had witnessed a slump in mainlanders buying insurance products during the coronavirus pandemic.

“The establishment of capital flow and a market connection system between Shenzhen, Hong Kong and Macau should be facilitated,” the authorities said in a policy document.

Global Tech News Daily

The bay area is a development zone mapped out by Beijing three years ago that aims to promote trade and capital flow among 11 cities in southern China to create an economic powerhouse similar to the bay areas in the US and Japan.

It is an exciting opportunity for insurance companies in the area, said Joanna Wong, partner and Hong Kong insurance leader at Deloitte.

“The initiative strengthens the government’s resolve to promote cross-border mobility and multifaceted development of the [bay area],” she said. “For the insurance industry, the initiative represents an opportunity to drive accelerated expansion into the Greater Bay Area, leveraging digital innovations in mainland China, resulting in improved efficiency and better cross-border customer experience in both jurisdictions.”

Wednesday’s guidance includes a pilot scheme that will allow mainlanders who go to public hospitals in Shenzhen to opt to use drugs imported from overseas, while making health claims with insurers in Hong Kong and Macau.

“This is important because if you want more Hong Kong people to live in mainland cities like Shenzhen, many of them may want to make sure that they are covered by medical or personal accident insurance,” said Chan Kin-por, a lawmaker for the Hong Kong insurance sector.

It will certainly be good news for insurance titans in Hong Kong such as AIA and Prudential that have increased their headcounts aggressively in the bay area, betting on faster business growth there.

The Hong Kong Federation of Insurers, the industry body of 138 local insurers, said it “welcomes” the effort.

Hong Kong insurers currently provide health insurance to about 7 million people and pay over HK$20 billion (US$2.6 billion) in medical claims per year, said Selina Lau, chief executive of the federation.

“These policies are increasingly regional and global in their coverage and so we look forward to further developing this customer proposition to serve the needs of residents in the GBA [bay area scheme],” she said.

Mainland Chinese have been big spenders in Hong Kong’s insurance sector. At the peak, they bought HK$72.68 billion (US$9.4 billion) worth of insurance policies there in 2016, more than a third of all premiums collected in the city.

The sales have declined in recent years after China clamped down on payments for overseas purchases to prevent capital outflow, a situation exacerbated by Covid-19.

Mainlanders bought only HK$470 million of new policies during the January-to-September period of 2021, a 93 per cent slump from the same period a year earlier. Their share was only 0.4 per cent of all premiums sold during the period versus 40 per cent at the peak in 2016, according to data from the Insurance Authority.

There is still a long way to go before the insurance markets of Shenzhen, Hong Kong and Macau are truly connected, Chan said.

“Mainland authorities may want to set up a new entity, with the mainland government owning half of its stake, while Hong Kong insurance companies own the other half,” he said. “But this would be very complicated and indirect for Hong Kong firms, so the discussions are still in progress.”

Shenzhen will serve as a service centre for the “insurance connect” scheme in the bay area, sources have previously told the Post. Authorities are working to locate the centre at Qianhai in Shenzhen, Zhang Lixing, head of the Shenzhen Banking and Insurance Regulatory Bureau, said at a conference in December.

The government would allow insurance companies from Hong Kong and Macau to set up counters in the city to serve their policyholders living in the region.

Additional reporting by Tony Cheung

News Related

OTHER NEWS

Philippe Coutinho's agent has already revealed his thoughts on Liverpool transfer return

jQuery(function(){ if (typeof jwplayer_load == typeof indefined) { var jwplayer_load = 1; jQuery(window).load(function(){ jQuery(".sc_video_shortcode_jwplayer").each(function(){ var _this = $(this); jQuery.get(jQuery(this).attr("url"), function(data, status){ if (typeof data.split("\n") !== typeof undefined) { var src ... Read more »

Araujo taken in ambulance after sickening clash of heads with Barcelona teammate Gavi

Barcelona defender Ronald Araujo was taken off the pitch in an ambulance during their match against Celta Vigo and rushed to hospital. The Uruguayan was involved in a sickening clash ... Read more »

Aston Villa vs Liverpool: Report and player ratings Sadio Mane gives Reds a Premier League title boost

A much-changed Liverpool side came from behind to win at Villa Park to keep the pressure on league leaders Manchester City Read more »

Liverpool vindicated Jurgen Klopp’s risky rotation policy by doing just enough to beat wasteful Aston Villa

Klopp demoted Mo Salah to the bench and Andy Robertson from the squad but Liverpool had enough to reserve to bounce back from Saturday’s disappointment Read more »

Gary Lineker offers solution to Coleen Rooney and Rebekah Vardy 'Wagatha Christie' case

Gary Lineker has offered a funny solution to the “Wagatha Christie” court case between Coleen Rooney and Rebekah Vardy. Coleen is being sued by Rebekah for libel at the High ... Read more »

FIFA chief Gianni Infantino announces plans to create football game to rival EA Sports

FIFA are planning to create their own football video game after it was announced their three-decade partnership with EA Sports is coming to an end. EA Sports have confirmed FIFA ... Read more »

Fabinho injury: Liverpool midfielder suffers suspected hamstring issue ahead of FA Cup final against Chelsea

The Brazilian pulled up as he sprinted after Philippe Coutinho and had to be replaced by Jordan Henderson at Villa Park Read more »

Man Utd youth coach assesses club's "exciting" kids and his own rise ahead of cup final

Justin Cochrane started his coaching career while a teenage player at QPR when he placed an advert in his local paper for juniors to teach. It didn’t make big news ... Read more »

One year on from football's social media blackout - what's changed?

More than one year on from the social media boycott aimed at tackling discrimination and vile abuse online has anything really changed? You'll remember that at the end of April ... Read more »

European transfer news: Real Madrid up stakes for Kylian Mbappe plus Casemiro exit

Real Madrid have long been linked with Paris Saint-Germain striker Kylian Mbappe and despite speculation the France star is set to sign a new contract with the Ligue 1 giants ... Read more »

Sadio Mane's 'childhood dream' comes to light as Liverpool star linked with summer exit

Sadio Mane 's dream destination has come to light amid links of a summer transfer to Bayern Munich. The Liverpool star is yet to sign a new contract with the ... Read more »

Jadon Sancho's Erling Haaland plea falls on deaf ears as he ignores Man Utd star's wishes

jQuery(function(){ if (typeof jwplayer_load == typeof indefined) { var jwplayer_load = 1; jQuery(window).load(function(){ jQuery(".sc_video_shortcode_jwplayer").each(function(){ var _this = $(this); jQuery.get(jQuery(this).attr("url"), function(data, status){ if (typeof data.split("\n") !== typeof undefined) { var src ... Read more »

Edu 'steps up' Arsenal transfer efforts for £17m Scotland star to replace Nuno Tavares

Arsenal have reportedly stepped up their attempts to sign Scotland star Aaron Hickey as a replacement for Nuno Tavares. After laying out the Gunners' transfer plans, technical director Edu is ... Read more »

Newcastle prepare summer transfer cull with as many as 10 stars 'facing axe'

jQuery(function(){ if (typeof jwplayer_load == typeof indefined) { var jwplayer_load = 1; jQuery(window).load(function(){ jQuery(".sc_video_shortcode_jwplayer").each(function(){ var _this = $(this); jQuery.get(jQuery(this).attr("url"), function(data, status){ if (typeof data.split("\n") !== typeof undefined) { var src ... Read more »

5 Man City casualties from Erling Haaland transfer including brand new signing

The sight of Erling Haaland arriving at Manchester City will send tremors of terror throughout the Premier League – and perhaps to his team-mates as well – as the champions ... Read more »

Chelsea ace Antonio Rudiger signs Real Madrid contract with huge release clause

Chelsea defender Antonio Rudiger has now penned a bumper pre-contract agreement with Real Madrid to bring his five-year stint at Stamford Bridge to an end, according to a new report. ... Read more »

Ole Gunnar Solskjaer was spot on about Erling Haaland after revealing thoughts on Man Utd

jQuery(function(){ if (typeof jwplayer_load == typeof indefined) { var jwplayer_load = 1; jQuery(window).load(function(){ jQuery(".sc_video_shortcode_jwplayer").each(function(){ var _this = $(this); jQuery.get(jQuery(this).attr("url"), function(data, status){ if (typeof data.split("\n") !== typeof undefined) { var src ... Read more »

Fifth senior Man Utd figure leaves club as chief strategy officer exits in reshuffle

Manchester United have told their employees chief strategy officer Hemen Tseayo is stepping down from his position. A new era began at Old Trafford in February when Richard Arnold became ... Read more »

7 flops who cost more than Erling Haaland after bargain Man City transfer announced

The capture of Erling Haaland has sent pulses racing amongst Manchester City fans as the Premier League prepares to welcome the Norwegian hot-shot. The champions have agreed a £51million deal ... Read more »

Arsenal desperate to prevent Eddie Nketiah exit with six Premier League rivals keen

jQuery(function(){ if (typeof jwplayer_load == typeof indefined) { var jwplayer_load = 1; jQuery(window).load(function(){ jQuery(".sc_video_shortcode_jwplayer").each(function(){ var _this = $(this); jQuery.get(jQuery(this).attr("url"), function(data, status){ if (typeof data.split("\n") !== typeof undefined) { var src ... Read more »

Pep Guardiola reacts to uproar over Liverpool comments after Jurgen Klopp response

jQuery(function(){ if (typeof jwplayer_load == typeof indefined) { var jwplayer_load = 1; jQuery(window).load(function(){ jQuery(".sc_video_shortcode_jwplayer").each(function(){ var _this = $(this); jQuery.get(jQuery(this).attr("url"), function(data, status){ if (typeof data.split("\n") !== typeof undefined) { var src ... Read more »

Brighton starlet attracting transfer attention days after returning from loan

Highly-rated Brighton goalkeeper Carl Rushworth is back training with the Premier League club after his loan at Walsall ended. Rushworth made 43 appearances for Walsall keeping 11 clean sheets for ... Read more »

Lazio president responds to Man Utd's transfer 'interest' in Sergej Milinkovic-Savic

Lazio president Claudio Lotito insists Sergej Milinkovic-Savic is not for sale amid rumours linking him with both Juventus and Manchester United. The Serbia international, 27, has impressed for Lazio this ... Read more »

Cristiano Ronaldo's seven-year prediction on £30m Arsenal transfer speaks volumes

jQuery(function(){ if (typeof jwplayer_load == typeof indefined) { var jwplayer_load = 1; jQuery(window).load(function(){ jQuery(".sc_video_shortcode_jwplayer").each(function(){ var _this = $(this); jQuery.get(jQuery(this).attr("url"), function(data, status){ if (typeof data.split("\n") !== typeof undefined) { var src ... Read more »

Gary Lineker hits out at Patrice Evra for talking "utter nonsense" about Pep Guardiola

Gary Lineker has responded to Patrice Evra's claim that Pep Guardiola doesn't want any leaders at Manchester City due to his management. The former Manchester United defender believes the Spaniard ... Read more »

Stats show Antonio Conte justified in hitting back at Jurgen Klopp's Liverpool 'excuses'

jQuery(function(){ if (typeof jwplayer_load == typeof indefined) { var jwplayer_load = 1; jQuery(window).load(function(){ jQuery(".sc_video_shortcode_jwplayer").each(function(){ var _this = $(this); jQuery.get(jQuery(this).attr("url"), function(data, status){ if (typeof data.split("\n") !== typeof undefined) { var src ... Read more »

Borussia Dortmund immediately name Erling Haaland replacement amid failed Man Utd attempt

Borussia Dortmund have already replaced Erling Haaland by snapping up RB Salzburg hotshot Karim Adeyemi – despite Manchester United's late attempt to hijack the deal. Dortmund have been braced for ... Read more »

Patrick Vieira selects best players he played with and against during legendary career

Patrick Vieira has named Zinedine Zidane, Dennis Bergkamp and Thierry Henry as the best three players he played with during his illustrious playing career. Vieira, who is now the manager ... Read more »

Ralf Rangnick's 4 most controversial Man Utd remarks as Rio Ferdinand calls him "distasteful"

jQuery(function(){ if (typeof jwplayer_load == typeof indefined) { var jwplayer_load = 1; jQuery(window).load(function(){ jQuery(".sc_video_shortcode_jwplayer").each(function(){ var _this = $(this); jQuery.get(jQuery(this).attr("url"), function(data, status){ if (typeof data.split("\n") !== typeof undefined) { var src ... Read more »

Roy Hodgson responds to angry Watford fan backlash after his "snub" at Crystal Palace

Roy Hodson has apologised to Watford fans for failing to acknowledge them in the dark hour of relegation but insisted: “I didn't snub them deliberately.” As their relegation to the ... Read more »

Jesse Marsch quotes Gandhi, JFK and Mother Teresa in bizarre Leeds survival team talk

It is hardly “we’ll fight them on the beaches” stuff, but Jesse Marsch is using sayings by Gandhi and Mother Teresa to fire up his Leeds players for their relegation ... Read more »

Birmingham could sign ex-Atletico Madrid and Chelsea striker if Maxi Lopez buys club

Former Argentine footballer Maxi Lopez wants to sign free agent Diego Costa if he gets control at Birmingham. Birmingham’s Chinese owners are ready to sell a stake in the club ... Read more »

Jose Mourinho demands "explanation" and "respect" in furious Roma outburst

Jose Mourinho has demanded that Roma receive an “explanation” for decisions that went against them in their bruising 2-0 defeat to Fiorentina on Monday. The Giallorossi, not so fresh from ... Read more »

FA Youth Cup final 2022: Man Utd stars to watch vs Nottingham Forest, from Alejandro Garnacho to Joe Hugill

United take on Nottingham Forest at Old Trafford on Wednesday bidding for a record 11th competition triumph Read more »

Antonio Conte taunts Jurgen Klopp with strong response to Liverpool boss' dig

Antonio Conte has hit back at Jurgen Klopp's analysis of his Tottenham side, insisting that Liverpool were lucky to escape with a point from their weekend meeting at Anfield. Spurs ... Read more »

5 free agents Erik ten Hag could target with Man Utd summer transfer budget in question

jQuery(function(){ if (typeof jwplayer_load == typeof indefined) { var jwplayer_load = 1; jQuery(window).load(function(){ jQuery(".sc_video_shortcode_jwplayer").each(function(){ var _this = $(this); jQuery.get(jQuery(this).attr("url"), function(data, status){ if (typeof data.split("\n") !== typeof undefined) { var src ... Read more »

Man City confirm sensational Erling Haaland transfer to sign Europe's hottest property

Manchester City have announced the stunning capture of Erling Haaland after meeting his release clause at Borussia Dortmund. The Norway international, 21, has arguably been the most sought-after player in ... Read more »

Man Utd 'prepare formal bid' for Portuguese youngster who impressed Bruno Fernandes

Manchester United are reportedly preparing a 'formal proposal' for Sporting Lisbon centre-back Goncalo Inacio. Inacio, who came through Sporting's youth ranks, made his senior breakthrough in the 2020/21 season after ... Read more »

Jack Wilshere in Denmark: How Arsenal hero has fared as he provides vital assist

11 years ago this month, Jack Wilshere was fulfilling media duties for England ahead of the Three Lions Euro 2012 qualifying clash against Switzerland. Not one reporter in the room ... Read more »

Erling Haaland transfer: Man City confirm agreement in principle to sign Borussia Dortmund striker for £64m

City are still finalising terms with Haaland, who passed a medical in Belgium on Monday Read more »