ZhongAn Online P & C Insurance Co., Ltd.

In the first half of 2026, gross written premiums were CNY 16.558 billion, roughly flat year over year, while insurance service revenue was CNY 16.989 billion, up 12.9% year over year. Combined operating ratio improved to 95.5%, underwriting profit rose 17.8% to CNY 773 million, and total investment income from insurance assets was CNY 1.596 billion, up 150% year over year. Net profit attributable to owners of the parent was RMB 1.55 billion, up 132.2% year over year. ZA Bank posted HKD 578 million of net revenue, up 26.6%, and net profit of HKD 71 million, about 1.5x the prior-year period. Looking ahead, management said auto insurance growth should recover quarter on quarter in the second half, while consumer finance will be further scaled back; no formal full-year guidance was given.

The CEO framed the period as evidence that ZhongAn’s strategy is working: technology-driven insurance, quality over scale, and broader use of AI across the full insurance lifecycle. He highlighted growth in health, pet, and auto, but also said the company is deliberately managing consumer finance down in a riskier external environment. His tone was confident and constructive, especially on AI, health service infrastructure, and the long-term potential of new segments like exotic pet insurance and enterprise health coverage.

The CFO focused on the financial bridge behind the results: domestic P&C GWP was CNY 16.558 billion, down 0.6%, but insurance service revenue rose to CNY 16.989 billion under HKFRS 17. He cited a 95.5% combined operating ratio, an overall loss ratio of 56.9%, and total investment income of CNY 1.596 billion versus CNY 639 million a year earlier; annualized investment return improved from 3.3% to 7.8%, and net investment yield rose from 2.1% to 4%. On capital, he said the comprehensive solvency margin ratio was 287.7% and the core solvency margin ratio was 279.3%, both up quarter on quarter. He also noted the equity and equity-fund allocation rose from 9% at end-2025 to 13% in June 2026, though later management said they aim to keep equities around 8% to 8.5% going forward.

Analysts pressed on the health insurance service model, ZA Bank’s next phase, investment allocation, auto growth slowing to 4.2%, pet insurance strategy, consumer finance runoff, underwriting profit growth, and whether AI would raise expenses. Management said health is moving beyond claims into health management and recovery, with chronic disease coverage, broader service layers, and enterprise health insurance becoming a fast-growing area. On ZA Bank, management said the next step is to expand investment products, AUM, and noninterest income after launching IPO subscriptions and Wealth Management Connect. On auto, they said the slowdown was temporary, driven by slower NEV growth and a deliberate focus on higher-quality customers; on consumer finance, they said they will keep shrinking exposure and balances to manage risk.