Explainer: How are China’s technology giants mapping out their insurance plans?
Tencent Holdings’ insurer unit is the latest to receive a license, which enables the dominant operator of China’s social network to sell insurance to WeChat’s 900 million users.
A race is underway between Baidu, Alibaba Group Holding and Tecent Holdings - three of China’s largest technology companies - to use their advantages in internet search, big data analysis and online payments to help them sell insurance, as competition for insurtech escalates.
Weimin Insurance, in which Tencent owns 57.8 per cent, received a license from China’s regulator, in a move that allows the operator of China’s dominant social media network to sell insurance policies to more than 900 million users on its WeChat service.
Last month, ZhongAn Online P & C Insurance raised US$1.5 billion in an initial public offer in Hong Kong, making it the city’s largest fintech company. ZhongAn’s shareholders include Alibaba’s chairman Jack Ma Yun, Tencent’s chairman Pony Ma Huateng and Ping An Insurance Group’s chairman Ma Mingzhe. Alibaba owns the South China Morning Post.
Here’s how China’s tech giants are mapping out their insurance plans: