Moody's sees big China insurance market

Moody's Investors Service predicted strong growth prospects for China's insurance sector, buoyed by a strong economy, product expansion enabled by deregulation and the entrance of foreign insurers which will pressure domestic players to move up to global standards. Moody's report on life, property and casualty segments said good companies would focus on product differentiation, alternative distribution channels and improved service. It predicted auto and health insurance would be big businesses thanks to regulatory changes that allow insurers to write short-term accident and health insurance policies. The agency said growth in private vehicle ownership would boost related insurance demand.