Research On The Investment-linked Life Insurance Of China And The Strategy Of Its Development

The investment -linked life insurance is a kind of new style assurance that is based on the traditional life assurance, which could provide protection and investment, and plays an important role in the world assurance market. Recent years, as the rapid development of our national economy, the income of the urban residents has been increasing. The demand of the protection and investment is growing, and the investment-linked life assurance is becoming significant. Entering the 21 century, the prosperous capacity market speeds up the development of the investment-linked life insurance of our country. In 2007, the premium of the unit-linked life insurance Increased month by month, reaching 367% positive growth throughout the year,the premium of the Universal Life Insurance was up to 84.57 billion, mounting 113.4% than that in the same period last year; the premium of the participating life insurance was 222.1billion, increasing 5%, occupies 49% in the Chinese life insurance. But, the investment-linked life assurance started late in our country, and it was born from a immature circumstance. So, there are a lot of problems in it, if these problems can not be settled in time, they will affect the development of the investment-linked life assurance, and increase the risk of the investors, and then, hinder the healthy development of our assurance industry.The paper generalizes the basic theory of the implication of the investment-linked life insurance, the catalog, and the characteristics, and introduces the background and present situation at home and aboard. Later, it describes the characteristics and the advantages and disadvantages of the three kinds investment-linked life insurance in detail, unit-linked life insurance, universal life insurance, participating life insurance. At last, as for the problems of the investment-linked life insurance of our country, the paper proposes the strategy. There are three parts in this paper:The chapter one is the summery of the investment-linked insurance. The section one is the implication and catalog of it. One hand, according to some implications of other scholars, the author concludes the meaning the investment-linked life insurance. It is a general name of the traditional life insurance, on the premise of some protection function that is owned by the traditional life insurance, by the innovation or reconstruction, and it owns the investment function, which means the reward rate of the responsibility reserve of the warranty has nothing to do with the interest,but connects with the application effect of the insurance capacity, and the risk and benefit are undertook by the investor or the investor and the insurance company. Then, the author analyzes the general characteristics of the investment-linked life insurance: firstly, protection and investment; secondly, the protection is variable; thirdly, the benefit and the risk coexist. On the other hand, the author concludes the catalog of the investment-linked life insurance: unit-linked life insurance, universal life insurance, participating life insurance. The section two analyzes the similarities and differences between the investment-linked life insurance, the traditional life insurance, and other finance products. Firstly, the paper points that the similarities between the investment-linked life insurance and the traditional life insurance: they both have the function of protection, and take the living or death as the assurance object, and when the insurance accident occurs, the insurance company pays the fixed assurance amount according to the contract. Later, the paper analyzes the differences between the investment-linked life insurance and the traditional life insurance on the pay policy, the assurance amount, the cumulative style of the cash value of the warranty, the investment method, the risk undertaken, the information announcing degree, the option. Then, the author analyzes the similarities and differences between the investment-linked life insurance, the deposit, the bond, and the stock investment found. The section three introduces the background the present situation of the investment-linked life insurance at home and abroad.The chapter two is the analysis of the characteristics and advantage of the investment-linked life insurance. The main characteristics of the unit-linked life insurance includes: firstly, the independent investment account; secondly, fees and benefit variable; thirdly, investors take on all the risk and benefit. The paper analyzes its advantages and disadvantages. Then, the main characteristics of the universal life insurance includes: firstly, fees and insurance amount variable,; secondly, the insurance company and the investors undertake the risk and benefits together. The chapter three is the problems and the strategy of the development of the investment-linked life insurance. The section one is the problems of development of the investment-linked life insurance. Firstly, the inadequate protection, most of the investment-linked life insurance of our country cannot provide the enough protection function and amount, and cannot supply the investors the sufficient protection; secondly, the insufficient information announcing, such as announced not timely and not full; thirdly, the investment ways of the insurance capacity is limited, most put on the investment products which have the stable benefit; fourthly, the relative policies lagged, the policies such as differed tax and exemption of dividend tax have not been unveil; the fifthly, the misleading activity in the sales, exaggerate the investment benefits, make the cancellation of insurance in the late period. The section two is the strategy. Firstly, strengthen the protection ability, increasing the catalog and amount of the insurance; secondly, strengthen the information announcing and the quality of the insurance agents; thirdly, widen the investment ways,and enhance the controlling of the risk, though the regulation of the insurance capacity investment has been loosen, we should reinforce the risk prevention and controlling; fourthly, strengthen the policy regulation and fostering:Establish the special regulation policy which includes stock and insurance regulation, and put forward the tax preference policies. Perfect our investment-linked life insurance by the methods above.