Ping An Insurance, mainland China's largest insurer by market capitalization and second-largest by premium volumes, is expanding technology investments in blockchain, artificial intelligence, cloud co
Ping An Insurance, mainland China's largest insurer by market capitalization and second-largest by premium volumes, is expanding technology investments in blockchain, artificial intelligence, cloud computing, and related areas as part of a major fintech drive.
The company held an investor meeting in Shenzhen in early October on its "Core Finance" strategy. Jason Yao, group chief financial officer and chief actuary, presented the company's technology direction. Ping An intends to broaden its "Finance + Technology" approach and expand into "Finance + Ecosystem" territory.
Yao told investors the company would build on five technologies. "AI, blockchain, cloud, big data, and security will lower our costs, improve efficiency, enhance customer experience, and bolster our risk controls," he said.
The Finance + Technology platform centers on "pan financial assets," combining insurance, banking services, and investment management. The company also runs a Finance + Ecosystem platform focused on health. This division provides five service categories: financial services, healthcare, automotive services, real estate services, and smart city initiatives.
Blockchain is central to Ping An's technology plans. In August, the company partnered with the Hong Kong Monetary Authority to develop an international trade finance system using blockchain. Ping An operates with 179 million customers and 485 million digital users.
Ping An Technology, a wholly owned subsidiary, serves as the operational backbone for the group's insurance, banking, and investment operations and as an internal incubator. Lufax Holding, one spinoff from the subsidiary, operates a peer-to-peer lending platform. Good Doctor, also called Ping An Healthcare and Technology, runs the country's largest online medical platform. The firm also operates a mobile app for hospital appointment booking.
Good Doctor listed in Hong Kong in April, raising US$1.12 billion. The company generated 10.8 billion yuan, or US$1.5 billion, in net profit during 2017. Lufax Holding achieved profitability for the first time in 2017 and plans to list on Hong Kong exchange this year at a valuation potentially reaching US$60 billion.
Ping An announced earlier this year plans to allocate up to US$15.8 billion toward fintech development over the next decade.
