Two of China’s biggest insurance companies have launched their own insurtech subsidiaries at the end of February, amidst of a push for greater adoption of fintech in the Chinese financial sector.
On 22 February China Pacific Insurance Company (CPIC) announced the formal establishment of CPIC Tech (太保科技) – a fully owned subsidiary with registered capital of 700 million yuan.
The following day CPIC Tech announced that it planned a capital increase of 355 million yuan, with CPIC contributing 135 million yuan, Zhejiang Jinrong Kong (浙江金融控股) a further 200 million yuan, and Zhejiang Xingke Keji Fazhan (浙江兴科科技发展投资) 20 million yuan.
CPIC said to state-owned media that CPIC Tech will focus on tech infrastructure and open tech platforms, building upon its existing blockchain and risk control platforms.
CPIC is not the only insurance giant in China to launch its own fintech subsidiary, with the People’s Insurance Company of China (PICC) announcing the establishment of PICC Tech Company (人保科技公司) on 25 February.