As of now, the semi-annual reports for 2026 from China's five major listed insurers on the A-share market have all been officially released. In the first half of the year, PICC Group (601319.SH), China Life Insurance (601628.SH), New China Life Insurance (601336.SH), Ping An Insurance (601318.SH), and China Pacific Insurance (601601.SH) all achieved double-digit net profit growth. Their combined net profit reached 317.387 billion yuan, a staggering 78.12% year-on-year increase compared to 178.193 billion yuan in the same period of 2025. This translates to a combined average daily profit of approximately 1.754 billion yuan for the five insurers during the period.
Among them, China Life Insurance led the sector with a net profit of 134.489 billion yuan, also tying for the top spot in growth rate with a remarkable 228.6% surge. Furthermore, the total investment returns of the five major insurers were particularly impressive, hitting 641.33 billion yuan in the first six months. This represents an increase of 273.953 billion yuan, or 74.57%, compared to the 367.377 billion yuan recorded in the corresponding period of last year.
Why are profits so high?
Looking at the specific figures, China Life Insurance saw its attributable net profit skyrocket by 228.6% to 134.489 billion yuan, significantly outpacing its peers. This explosive performance was primarily driven by a sharp rise in fair value gains and the full release of equity asset elasticity, placing it at the top of the industry in terms of profit scale. Following in second place on the profit ranking was Ping An Insurance, with an attributable net profit of 92.585 billion yuan, a year-on-year increase of 36.1%. PICC Group reported an attributable net profit of 36.745 billion yuan, up 38% year-on-year. China Pacific Insurance achieved an attributable net profit of 30.775 billion yuan, a growth of 10.4%. Meanwhile, New China Life Insurance saw its attributable net profit soar by 54.0% to 22.793 billion yuan, placing it among the fastest growers, a stellar result attributed to the investment income elasticity from its high equity allocation and rapid growth in regular premium business. In total, the five insurers generated 317.387 billion yuan in net profit in the first half, a sharp 78.12% jump from the previous year.
From a premium income perspective, China Life Insurance recorded total premium income of 536.634 billion yuan, up 2.2% year-on-year. New China Life Insurance saw its original insurance premium income reach 129.57 billion yuan, a growth rate of 6.9%. PICC Group reported original insurance premium income of 458.435 billion yuan. In terms of segmented operations, Ping An Insurance's property and casualty insurance division posted original premium income of 178.751 billion yuan, up 4.0% year-on-year, while its life and health insurance business achieved scale premiums of 418.744 billion yuan. China Pacific Insurance's life insurance scale premiums came in at 190.351 billion yuan, down 1.6%, while its P&C segment grew 1.4% to 114.358 billion yuan in original premiums.
Total investment returns collectively soar past 640 billion yuan
Bolstered by regulatory guidance encouraging long-term insurance capital into the market and a structural rebound in the capital markets during the first half of the year, the five major insurers saw significant gains on the investment front, with many reporting improved investment yield metrics year-on-year. China Life Insurance led the charge with total investment income of 314.504 billion yuan, an increase of 186.998 billion yuan compared to the same period in 2025, representing a growth of 146.66%. Its total investment yield reached 5.58%, up 229 basis points year-on-year. Ping An Insurance was the second insurer to surpass the 100-billion-yuan mark in total investment returns, which jumped 42.3% year-on-year to 136.942 billion yuan. However, its comprehensive investment yield was 2.1%, down 1.0 percentage point year-on-year.
PICC Group also achieved substantial growth in total investment returns, which reached 66.327 billion yuan, a 59.9% year-on-year increase, with a total investment yield of 3.7%, up 1.1 percentage points. China Pacific Insurance generated total investment income of 66.022 billion yuan, up 16.1% year-on-year. Its investment asset scale grew 4.4% from the end of last year to 3.17 trillion yuan, while the total investment yield was 2.4%, a slight increase of 0.1 percentage points. New China Life Insurance saw its total investment income rise by 27.0% to 57.525 billion yuan, with a total investment yield of 6.7%, up 0.8 percentage points year-on-year. In aggregate, the combined investment income for the five insurers totaled 641.33 billion yuan in H1, a growth of 74.57% over the previous year.
During recent earnings conferences, several executives have shared their future investment strategies. Chen Yijiang, President of New China Asset Management, noted that there are currently a number of high-quality, high-yield dividend-yielding targets worthy of allocation and long-term holding by insurance funds. He also highlighted a strong focus on investment opportunities presented by new quality productive forces, with biopharmaceuticals, new materials, and new energy being key allocation areas. Guo Xiaotao, Co-CEO of Ping An Insurance, stated that high-dividend stocks form a solid base for the company, and that it is highly optimistic about the technology sector, with a long-term positive outlook on tech, AI, advanced manufacturing, innovative drugs, and energy-related sectors. Su Gang, Vice President and CFO of China Pacific Insurance, indicated the company will continue to increase its equity allocation ratio in a measured manner. On the tactical front, they will encourage both internal and external managers to select growth-style targets using a "satellite strategy."
Interim dividends exceed 39 billion yuan, with China Pacific Insurance paying its first mid-year dividend
Amid the profit surge, the five major listed insurers have also unveiled their interim dividend plans for 2026, with a combined cash payout exceeding 39 billion yuan to reward shareholders. PICC Group proposes a cash dividend of 0.11 yuan per share (including tax), totaling 4.865 billion yuan, a 46.7% increase compared to its interim dividend in 2025. China Life Insurance plans to distribute 0.358 yuan per share (including tax), with an estimated total dividend of 10.119 billion yuan, up 50.4% year-on-year. Ping An Insurance intends to pay 0.98 yuan per share (including tax), amounting to approximately 17.745 billion yuan, a 3.2% increase, continuing its long-standing stable dividend policy. Notably, China Pacific Insurance is proposing a cash dividend of 0.42 yuan per share (including tax), totaling 4.041 billion yuan. This marks the first time the company has introduced a mid-year dividend plan since its listing. New China Life Insurance plans to distribute 0.73 yuan per share (including tax), with a total dividend of approximately 2.28 billion yuan, an increase of 9% from the same period last year. Since 2024, it has added an interim dividend in addition to its annual payout for three consecutive years.
Commenting on the development, Long Ge, Deputy Director of the Innovation and Risk Management Research Center at the University of International Business and Economics, pointed out that in 2025, four insurers distributed approximately 29.3 billion yuan in interim dividends based on 178.2 billion yuan in net profit. This year, with the five insurers' strong investment performance and significant profit growth, the proposed total interim dividend of over 39 billion yuan sets a new mid-year record. China Pacific Insurance's first-ever interim dividend demonstrates strong commitment, significantly enhancing shareholder value, and is likely to boost investor confidence in the insurance sector. Long Ge also cautioned that this "generous" dividend distribution is primarily due to the warming equity market in the first half of the year, where insurers increased equity allocations and new accounting standards amplified profit elasticity, leading to a surge in total investment income. He stressed this is not a change in core business fundamentals and that such dividend levels, which are reliant on market performance, may not be sustainable or replicable.
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