China's insurance industry solvent: regulator
BEIJING - China's insurance industry has kept its risks under control, with a sound solvency ratio, said the country's insurance regulator.
The industry's comprehensive solvency adequacy ratio stood at 238 percent at the end of the first quarter, well above the 100 percent requirement, said China Insurance Regulatory Commission in an online statement released Tuesday.
Core solvency adequacy ratio stood at 221 percent, also above the 50 percent requirement, indicating sufficient core capital of companies to meet their obligations.
The risks in the industry is "controllable in general," but authorities should not underestimate risks arising from particular areas, the statement said.
China's financial regulators have recently strengthened oversight and issued stiffer punishments to remedy shortcomings and promote efficiency.
The insurance regulator will place further emphasis on the importance of risk control, and strengthen the sector's role of supporting the real economy, according to the statement.
