US health insurer Cigna expects China to become its biggest international market
Expanding middle class, ageing society and rise of chronic diseases will fuel growth, says company
US health insurer Cigna sees attractive growth opportunities in Asia, particularly in China, which it expects will become its biggest overseas market through its joint venture with China Merchant Bank, said Jason Sadler, the company’s president of international markets.
Cigna is committed to further deepening its operations in China through its 50-50 joint venture, Cigna & CMB Life Insurance, he said. The company is in the process of expanding into more provinces from 15 currently. The licences for branches of foreign insurers are issued on a province-by-province basis.
International business is the fastest growing part of Cigna’s business portfolio. These markets, which also include India, Hong Kong, Turkey and the Middle East, among others, have overall recorded double-digit revenue and earnings growth for the past seven years. South Korea, where it has been operating for 31 years, is currently its biggest overseas market.
Sadler did not specify a timeline for when he expected China to overtake South Korea as the company’s top international market, but with its “ageing demographic, the continued growth of its middle class and rise of chronic diseases, China is likely to become the largest part of our foreign business”.
