CNinsure has signed the definitive agreements with several individual entrepreneurial agents to jointly establish two new firms, Jiangsu Fanhua Lianchuang Insurance Agency and Jilin Fanhua Xincheng Insurance Agency, which will expand its market presence to Jiangsu and Jilin provinces in China.
CNinsure will hold 70% and 54% of the equity interests in Chuanglian and Xincheng, respectively, both of which will specialize in life insurance product distribution.
The two companies will start operations in July 2008, subject to certain consents, authorizations and other customary conditions for the establishment of insurance agencies.
Lin Hai and Chen Bojun, two insurance industry veterans, will be in charge of the day-to-day management and business operations of Chuanglian and Xincheng, respectively.