Pacific Health Insurance Co., Ltd., a Category II subsidiary of China Pacific Insurance (Group) Co., Ltd. (CPIC), released its first-quarter 2026 solvency report, highlighting solid capital adequacy, disciplined liquidity management and continued premium growth.
Solvency Position • Actual capital stood at RMB 4.68 billion, up 2.4% versus the previous quarter, supported by investment income and higher future surplus on in-force policies. • Minimum capital rose 4.1% to RMB 2.18 billion, chiefly reflecting stronger life-insurance and market-risk requirements alongside business expansion. • The core solvency margin ratio was 168%, and the comprehensive solvency margin ratio reached 215%, both comfortably above the 100% regulatory threshold. • Next-quarter projections indicate a slight moderation to 205% on a comprehensive basis, still well above minimum requirements.
Liquidity and Cash-Flow Indicators • Operating cash flow registered an outflow of RMB 224.48 million, mainly due to investment asset allocation, yet liquidity buffers remained ample: the 12-month base-scenario coverage ratio was 105%, while the mandatory 12-month stress-scenario ratio reached 174%. • The comprehensive surrender ratio improved to 0.36%, and the 13-month policy persistency ratio held at 82%. • Cash and other liquidity management tools accounted for 2.50% of the investment portfolio.
Key Operating Metrics • Gross written premiums for the quarter totalled RMB 2.69 billion, up 31.02% year-on-year. • Net profit came in at RMB 59.80 million, translating into a return on equity of 1.62% and a return on assets of 0.52%. • Total assets were RMB 11.69 billion, while net assets reached RMB 3.75 billion. • Investment yield was 1.20%; the comprehensive investment yield, which includes realised and unrealised gains, was 1.64%. • New business value stood at RMB 92.20 million, with a new business margin of 0.60%.
Risk Management and Ratings • The insurer maintained a BBB Integrated Risk Rating for both Q2 and Q3 2025; no major risk events occurred in Q1 2026. • The latest SARMRA assessment (2022) awarded 80.15 points, reflecting balanced performance across infrastructure, market, credit and operational risk categories. • Focus areas for 2026 include refining operational-risk controls, tightening bancassurance concentration management and enhancing claims-processing efficiency.
Ownership Structure CPIC Group remains the controlling shareholder with an 85.05% stake, while CPIC Life holds 14.95%.
Outlook Management has set 2026 risk-management priorities centred on operational-risk regulation, liquidity surveillance and strategic risk oversight. The insurer will continue to calibrate its risk-appetite framework to sustain capital strength and support high-quality premium growth.
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