Shenzhen-based Hua An has become the first private non-life insurance company in China. A company spokeswoman said that the China Insurance Regulatory Commission had approved the transfer of 59 per cent of shares from state to private enterprises, leaving 83 per cent of the firm in private hands. This is divided among nine private companies, and the largest single shareholding of 20 per cent is held by Chuang Shiji.
The restructuring plan was submitted last August but consideration was delayed during a police investigation that involved Li Guangrong, chairman of Te Hua Investment and designated chairman of the restructured Hua An. His position in the company was later changed to vice chairman.
Hua An was established in 1996 and has offered property, credit and agriculture insurance. It has a strong branch network in south and southeast China and last year received approval to extend its network into eastern and northern regions. International Finance News has reported that the company lost Yn70m on car insurance in 2002.