Prudential's life insurance joint venture in China, CITIC Prudential Life, has been awarded two more city licenses, taking its total to ten, the most for any foreign life insurer in the country.
The new licenses will enable CITIC Prudential Life to sell its portfolio of products, which include traditional life/term assurance and unit-linked life policies as well as accident and health products in Nanjing and Shenzhen, which have a combined population of 12 million people.
CITIC Prudential has taken just five years to accumulate its ten operating license. The insurer was awarded its first city license in October 2000. In addition to its city licenses, CITIC Prudential also has a license to sell group life insurance in China. AIG and Manulufe Financial Corporation are Prudential’s closest rivals in terms of city licenses with eight each.
Commenting on the achievement, Mark Norbom, chief executive, Prudential Corporation Asia, said: China is an extremely attractive market with compelling demographics. The two new licenses we have announced give CITIC Prudential a significant geographic lead over other foreign insurers in this growth market.
Our strategy is to continue to expand geographically by acquiring further city licenses and to focus on building scale businesses through product innovation and multi-channel distribution backed up by top quality, cost-efficient servicing.