The Developments and Future Prospects of Insurance Industry in China

During the past three decades, the insurance industry has developed from a virtually nonexistent industry to a large, open industry. This fast growing economy coupled with the largest population in the world, rising personal income, and economic system reform could not only explain the rapid growth of China's insurance industry, but also foretell the increasing importance of China's insurance market in the future .This paper provides an analysis of the generic development of China's insurance industry from 1980 under the context of China's economic reform and opening up and its future prospects. First we simply cover the development of insurance industry in china during the period of 1980-2003.and we divide it into three stages: (1)resumption and restoration, (2) market-oriented reform, and (3) opening up and rapid growth. Then we forecast its future trends. Finally, presents the conclusion.