The Research On Variable Annuity Insurance Development In Our Country

As the innovation products of life insurance product, variable annuity insurance,which first appeared in the1950s in America, have become the dominant products inthe life insurance markets of America and Europe. In2011, China InsuranceRegulatory Commission (CIRC) officially launched variable annuity insurance trials.However, a few problems have been exposed during the trials of product sales, suchas the poor sales records, the unpleasant investment income and so on. Not only thehigh threshold of insurance products, the insatiable consumer demand but also thedepressed capital market has contributed to these problems.Under this background, by comparing and analyzing two kinds of variableannuity insurance products, the author finds out the key problems and the causes ofthese problems. And on the basis of these, the author also analyzes the major factorsthat have affected the development of Chinese variable annuity insurance. The authorthinks that four external factors: the tax policy, the capital market, the supervisorydepartment and the customer as well as three internal factors: the pricing problem ofinsurance companies, the application of insurance fund and the sales managementhave limited the development of our variable annuity insurance. Moreover,referencing to the experience of America and Japan’s variable annuity insurance,seven strategies are put forward to develop Chinese variable annuity insurance,including externally working out a tax system which is suitable for the developmentof variable annuity insurance, perfecting the capital market, improving the quality ofsupervision, emphasizing the customer education while internally enhancing price riskmanagement, broadening the channels for insurance funds operation and speeding upthe construction of a contingent of talents for insurance companies.