Shanghai: According to the Shanghai Insurance Regulatory Commission (SIRC), the preparation work of a shipping insurance association is underway.
The association will be led by three major shipping insurance companies in Shanghai, People's Insurance Company of China (PICC), China Pacific Insurance (CPIC) and Ping An Insurance, which have occupied more than 50% of Shanghai’s shipping insurance market.
In January, another two companies Sunshine Insurance and Yong An Insurance have got approvals to set up shipping insurance businesses in Shanghai.
Currently almost all the shipping insurance business from top nation-owned shipping companies are monopolized by PICC, CPIC and Ping An which occupy around 60%, 30% and 10% respectively.
“The establishment of the association will help shipping insurance companies in Shanghai gain more policy support and more interaction with large shipping companies,” said a professional of the industry.
According to statistics from SIRC, for the first 11 months of 2012, total revenue of Shanghai’s shipping insurance reached RMB2.21bn, up 8.88% year-on-year, and it accounts for 41.39% of China’s shipping insurance market. [18/01/13]
