Insurance may recover next year on rebounding demand

As economic uncertainties brought by the COVID-19 pandemic gradually ease, the Chinese insurance industry is expected to see a "significant recovery" next year with people's demand for insurance products rebounding, analysts said.

Consumption of necessities and high-end luxury products among Chinese people has already seen a recovery, but consumer discretionary products, a category that includes insurance, are still struggling, said Chen Fu, chief analyst for the non-banking financial sector at GF Securities.

Chen said the middle-income group is a major part of consumers of health and critical illness insurance products. They are also the group most affected by the public health crisis.