'WHY DO I need insurance?' is a question many people no doubt ask themselves as they are being hounded by an insurance agent across a shopping mall floor.
Insurance is something that often doesn't seem to generate any immediate tangible benefit. However, the concept of insurance - the transference of risk - is nothing new.
The Romans had burial clubs in which members paid an 'insurance premium' to cover their funeral expenses, relieving their families of a financial burden at a difficult time.
The need for insurance was recognised by traders in China as early as 5000BC. As their businesses grew, they used insurance to offset the risks of goods being lost or damaged.
Today, China's insurance market is rapidly expanding for a number of different reasons.
'China's move towards a free-market economy has increased the wealth of many people, and as they become wealthier they have more to protect,' said David Greenfield, a senior client partner specialising in insurance at executive search company Korn/Ferry International.
A rapidly growing economy and the state's gradual pullout from many people's lives has led to a growing need for the private insurance industry to play a more active role in providing cover for personal property, housing, all aspects of commerce, personal pensions and medical needs.