In the Q1, China United Insurance Service Inc 's corporate clients experienced a reduction by -1.56 % in their costs of revenue, compared to a year ago, sequentially costs of revenue were trimmed by -14.3 %. During the corresponding time, China United Insurance Service Inc recorded a revenue increase by 9.07 % year on year, sequentially revenue fell by -50.53 %. While revenue at the China United Insurance Service Inc 's corporate clients recorded rose by 6.76 % year on year, sequentially revenue fell by -25.44 %.
Customers of China United Insurance Service Inc saw their costs of revenue decrease by -1.56 % in Q1 compare to a year ago, sequentially costs of revenue were trimmed by -14.3 %, for the same period China United Insurance Service Inc recorded revenue increase by 9.07 % year on year, sequentially revenue fell by -50.53 %.
China United Insurance Service Inc's Comment on Sales, Marketing and Customers
Since Law Broker’s establishment in 1991, it has devoted substantial
resources in building up its distribution and service network. Law Broker currently
has 26 sales and service outlets spread across Taiwan (including the headquarters),
among which, 6 are located in the northern region, 14 are located in the central
region, 3 are located in the southern region and 2 are located in the eastern
region.
Law Broker had approximately 451,422 customers, among which approximately 83%
purchased life insurance products and approximately 17% purchased property and
casualty insurance products from Law Broker.
Due to its extensive line of insurance products underwritten by the insurance
companies in Taiwan, Law Broker managed to offer a variety of insurance products
to customers of different ages or professions. However, as an aging population
in Taiwan has gradually become a more recognized social issue, despite relatively
healthy government-sponsored retirement and medical programs, more and more
Taiwanese, especially those with stable financial means and aiming for high-end
retirement and medical treatment, have been focusing on endowment and medical
type of commercial insurance products, while the investment type of insurance
products have been playing a less significant role since the economic downturn.
In addition, from time to time, Law Broker has been, either voluntarily or upon
request of insurance companies, advising insurance companies or providing feedback
on particular types of insurance products before they are put on the market.
This interaction with insurance companies has not only enhanced the close cooperation
between Law Broker and the insurance companies, but also gives it an edge in
understanding the in-depth features of such insurance products for marketing
and distribution purposes.
Law Broker sells automobile insurance and casualty insurance primarily to individual
customers. Law Broker sells liability insurance to institutional customers.
Anhou had 31,207 customers, among which 30,997 purchased life insurance products
and 210 purchased property and casualty insurance products from Anhou.
Anhou sells automobile insurance and individual accident insurance primarily
to individual customers. Anhou sells commercial property insurance to institutional
customers.
Anhou targeted middle class individuals and family members under 50 years age
to be its priority clients, which represents 86.3% of its client base. The revenues
of Anhou are primarily generated from the sale of life insurance products and
we expect the continuous growth in this regard, as more and more customers in
China realized the insufficiency of the mandatory social insurance coverage
and the necessity to supplement it with commercial insurance. With the implementation
of the national one-child policy through the past decades in China, approximately
35% of the insurance policies distributed by Anhou have designated children
under 14 years age as the beneficiary of such policies, Anhou expects the continuous
growth of insurance market of these factors in the near future.
No single customer accounted for more than 3% of the net revenues of CUIS, Law
Broker or Anhou.
Insurance Company Partners
We are selective in terms of choosing insurance companies as our partners. We
take into consideration a variety of factors, such as the reputation and integrity
of the insurance company, the quality and competitiveness of insurance products
offered, the prudence and health of the financial standing of the insurance
company as well as the complexity and efficiency of claim adjustment and settlement.
During years of operation, both Law Broker and Anhou have formed strategic relationships
with numerous insurance companies in Taiwan and China, respectively, Law Broker
had established business relationships with 19 insurance companies in Taiwan
and Anhou had established business relationships with 34insurance companies
in China.
China United Insurance Service Inc’s Comment on Sales, Marketing and Customers
Since Law Broker’s establishment in 1991, it has devoted substantial
resources in building up its distribution and service network. Law Broker currently
has 26 sales and service outlets spread across Taiwan (including the headquarters),
among which, 6 are located in the northern region, 14 are located in the central
region, 3 are located in the southern region and 2 are located in the eastern
region.
Law Broker had approximately 451,422 customers, among which approximately 83%
purchased life insurance products and approximately 17% purchased property and
casualty insurance products from Law Broker.
Due to its extensive line of insurance products underwritten by the insurance
companies in Taiwan, Law Broker managed to offer a variety of insurance products
to customers of different ages or professions. However, as an aging population
in Taiwan has gradually become a more recognized social issue, despite relatively
healthy government-sponsored retirement and medical programs, more and more
Taiwanese, especially those with stable financial means and aiming for high-end
retirement and medical treatment, have been focusing on endowment and medical
type of commercial insurance products, while the investment type of insurance
products have been playing a less significant role since the economic downturn.
In addition, from time to time, Law Broker has been, either voluntarily or upon
request of insurance companies, advising insurance companies or providing feedback
on particular types of insurance products before they are put on the market.
This interaction with insurance companies has not only enhanced the close cooperation
between Law Broker and the insurance companies, but also gives it an edge in
understanding the in-depth features of such insurance products for marketing
and distribution purposes.
Law Broker sells automobile insurance and casualty insurance primarily to individual
customers. Law Broker sells liability insurance to institutional customers.
Anhou had 31,207 customers, among which 30,997 purchased life insurance products
and 210 purchased property and casualty insurance products from Anhou.
Anhou sells automobile insurance and individual accident insurance primarily
to individual customers. Anhou sells commercial property insurance to institutional
customers.
Anhou targeted middle class individuals and family members under 50 years age
to be its priority clients, which represents 86.3% of its client base. The revenues
of Anhou are primarily generated from the sale of life insurance products and
we expect the continuous growth in this regard, as more and more customers in
China realized the insufficiency of the mandatory social insurance coverage
and the necessity to supplement it with commercial insurance. With the implementation
of the national one-child policy through the past decades in China, approximately
35% of the insurance policies distributed by Anhou have designated children
under 14 years age as the beneficiary of such policies, Anhou expects the continuous
growth of insurance market of these factors in the near future.
No single customer accounted for more than 3% of the net revenues of CUIS, Law
Broker or Anhou.
Insurance Company Partners
We are selective in terms of choosing insurance companies as our partners. We
take into consideration a variety of factors, such as the reputation and integrity
of the insurance company, the quality and competitiveness of insurance products
offered, the prudence and health of the financial standing of the insurance
company as well as the complexity and efficiency of claim adjustment and settlement.
During years of operation, both Law Broker and Anhou have formed strategic relationships
with numerous insurance companies in Taiwan and China, respectively, Law Broker
had established business relationships with 19 insurance companies in Taiwan
and Anhou had established business relationships with 34insurance companies
in China.
Sources:
China United Insurance Service Inc’s official press releases and regulatory filings; CSIMarket.com’s market research; and the financial filings and press releases of other companies cited in this report.
Updated on:
Focus of this report: China United Insurance Service Inc’s corporate clients.
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