Stay up all night one night, and start vacationing the next day... Why do insurance salespeople experience changes in their working status like "four seasons in one day"? The answer is easy to guess. With the official announcement that the predetermined interest rate of personal insurance will be reduced to 3%, personal insurance with a predetermined interest rate of 3.5% will be withdrawn from the market by July 31 at the latest. In July this year, related products were removed from the shelves in droves, and the personal insurance industry experienced a once-in-a-year product "big shift"...
What kind of "passionate years" did the life insurance predetermined interest rate fall? Are insurance products still competitive in the era of predetermined interest rate 3.0? How can insurance companies go further when adjusting their "playing style"?
3.0% staged the "final madness"
"My heart skipped a beat at that time. I felt like I was witnessing history just after I entered the industry." Wang Hong (pseudonym), an insurance broker from a leading insurance brokerage company, recalled to a Beijing Business Daily reporter Xuan’s thoughts when the predetermined interest rate for life insurance was lowered to 3.0%.
Zhao Ling (pseudonym), an insurance agent, also feels the same way about the adjustment of predetermined interest rates: "'The wolf is coming' and 'the wolf is coming' were just a premonition at first, but it turned out to be 'the wolf is coming'."
In March this year , the life insurance industry's symposiums will draw the industry's interest rate loss risk into the spotlight, and it is no longer a rumor that the predetermined interest rate of personal insurance products will be reduced. Not long after, in April, the reduction of scheduled interest rates "booted", and the upper limit of scheduled interest rates for general personal insurance was officially announced to be lowered from 3.5% to 3%. The industry, from top to bottom, began to meditate on the deadline for product removal, which is "7·31" "Countdown.
The "3.5% Era" is coming to an end, and agents are vying to become the protagonists. "What is the predetermined interest rate for insurance products? What impact will a reduction have on us?" "If the predetermined interest rate is 3.5% and the interest rate is reduced by 3%, will the price of critical illness insurance increase? Do you want to buy ×× product now?" For a time, related " "Draining posts" dominate the social platform.
Wang Hong, who considers himself a "little transparent" social platform, also experienced the huge traffic volume: "At that time, just posting information about a certain product that had not been taken off the shelves in an article would generate more than 1,000 views. It has increased by 10 times."
According to Zhao Ling, July has entered another peak period of inquiry and transaction volume. She is placing orders every day. It is no longer uncommon to have no time for lunch, even at 11:00 p.m. , still communicating with customers at 12:00.
's huge transaction record has been refreshed again and again because of "crazy" customers. Zhao Ling recalled that her team leader had been in the industry for eight years and only reached the "highest level" for the first time in July this year, that is, the premium volume reached a level that was difficult to match in previous years.
"The end of the 3.5% era" is like a magical meteor shower, coming and going without a trace. Starting from August 1, the volume of inquiries, premium transactions, and even the number of products on sale have all shown a sharp decrease. Wang Hong clearly felt that his customers had dropped sharply at that time. He once believed that before the products with a predetermined interest rate of 3.5% were taken off the shelves, it was equivalent to consuming all the customers for 1-2 years in advance.
"New forces" have quietly taken up their positions.
Life insurance with a predetermined interest rate of 3.5% has become a "disappearing one", which has led to the early release of a lot of potential demand, and the impact is naturally obvious.
"The reduction in insurance predetermined interest rates will have the greatest impact on savings-type or investment-type insurance products." Song Zhanjun, deputy secretary-general of the China Insurance Research Institute at Beijing Technology and Business University, said that the reduction in predetermined interest rates will cause insurance product prices to rise in the short term. The decline in actual yields weakens the competitiveness of insurance products, but in the long run it helps prevent the risk of spread losses and stabilize the operations of insurance companies.
Liu Chunsheng, associate professor at the Central University of Finance and Economics, also said that for the industry, a reduction in predetermined interest rates will reduce consumers' willingness to purchase, thereby affecting insurance companies' premium growth and profits.
data shows that although personal insurance premiums rebounded in November, they are still not full. In November, life insurance premiums of personal insurance companies got rid of negative growth, with premium income of 119.406 billion yuan, reversing from a year-on-year decline of 7.51% in October to a year-on-year increase of 0.36% in November.
However, although premiums are under pressure, it does not mean that insurance products have lost their appeal.On the one hand, the current product shift of some insurance companies is nearing the end. The incremental whole life insurance products of various insurance companies with a predetermined interest rate of 3.0% and the new dividend products with a predetermined interest rate of 2.5% are becoming the new mainstream savings insurance in the market. product.
Specifically, life insurance companies’ focus on transforming into participating insurance has actually been foreshadowed for a long time. Before the deadline for the scheduled interest rate cut, savings products such as participating insurance were regarded as product "successors". Pan Weirong, a senior insurance broker at
, told a reporter from Beijing Business Daily that participating insurance is a long-term insurance plan. The holder can continue to pay premiums and accumulate cash value. As time goes by, the cash value of the policy may increase to achieve his or her ideal goal. , thus becoming a “new force” that has attracted much attention.
On the other hand, bank deposit interest rates have been lowered again recently, which some people in the industry believe is good and will once again stimulate the sales of insurance products.
"Compared with other financial products, the income from life insurance policies is more stable." Pan Weirong said that the advantage of life insurance policies is to lock in long-term yields, which can reduce payment pressure through regular premiums and achieve long-term savings. The predetermined interest rate of the products currently on sale is 3.0%, and the guarantee period is lifetime. While taking into account profitability, it also has a certain degree of flexibility. Partial withdrawal can be made upon maturity, and the policy value will not be affected.
How to find a new "spring"
Further strengthen investment capacity building, reduce risks in operations, and re-examine and reshape the business model... Not only the product side is "renovated", but if you look closely, the reduction in the predetermined interest rate of personal insurance is positive Bring about a new revolution.
Therefore, insurance companies need to adapt to changes in the environment, gradually adapt to the long-term low interest rate market environment, and do a good job in asset and liability management.
Regarding the future development trend of the personal insurance market, Liu Chunsheng believes that in the next step, insurance companies will increase the development of risk protection products, while also expanding health management, pension security and other services to enrich the types of personal insurance products. In addition, in addition to traditional fixed income forms, insurance companies may launch more products linked to investment income, such as participating insurance, universal insurance, etc., to meet the different needs of consumers.
Since the insurance product actually locks in the predetermined interest rate when the contract is established, it will not change with changes in market deposit interest rates, and it has a rigid guarantee and will not suffer losses. Based on this, Song Zhanjun believes that in the subsequent personal insurance market, consumer life insurance will further develop, and insurance companies will pay more attention to the operation of the investment side.
However, for the industry, optimizing business and product structure is not easy.
Therefore, Liu Chunsheng said that when insurance companies adjust their strategies on the product side, aspects they can consider include: in an environment of downward interest rates, insurance companies can increase investment in innovative products and develop more products that meet consumer needs, such as Add health management, pension security and other services to increase the attractiveness of the product. Insurance companies can adjust their product structure according to market demand and their own conditions, increase the development of risk protection products, and reduce their reliance on financial management products to reduce the risk of spread losses.
Song Zhanjun believes that for dividend-paying and universal products, insurance companies can increase investment returns and thereby overall increase product yields. At the same time, insurance companies can also explore consumer products such as term life insurance to give full play to the protection attributes of insurance products.
In the fiercely competitive market, enhancing competitiveness by improving service quality cannot be ignored. Liu Chunsheng said, for example, providing more convenient and efficient claims services and improving customer satisfaction. Insurance companies should also strengthen risk management and improve asset and liability management capabilities to cope with the challenges brought about by market changes.
Beijing Business Daily reporter Hu Yongxin
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