CNinsure, an insurance agency and brokerage company operating in China, has signed a set of definitive agreements with several individual entrepreneurial agents to jointly establish a new insurance agency named Jiangxi Fanhua Insurance Agency, expanding its market presence to Jiangxi Province in central China.
The establishment of Jiangxi Fanhua, will bring CNinsure’s distribution network to 16 provinces.
Jiangxi Fanhua, 70% owned by CNinsure, will focus on life insurance product distribution. It is expected to start operations in September 2008 subject to certain consents, authorizations and other customary conditions. The new insurance agency will be led by two entrepreneurial agents who were both former senior managers of insurance companies.
Yinan Hu, chairman and CEO of CNinsure, said: The establishment of the new joint venture also marks our entry to the 16th province. While others see underdevelopment in Jiangxi’s insurance market, we see significant growth potential. Adding to the growth momentum is the support from the Jiangxi Insurance Regulatory Bureau for the development of the local insurance market.