Hang Seng Insurance

Hang Seng Insurance
Company typePrivate
IndustryInsurance & Financial Services
FoundedJanuary 15, 1965 (1965-01-15)
ProductsInsurance
OwnerHang Seng Bank
Websitehangseng.com/zh-hk/personal/insurance-mpf

Hang Seng Insurance Company Limited traces its origins back to 1965 and is Hong Kong first insurance company specialising in "bancassurance". It is a wholly owned subsidiary of Hang Seng Bank.[1] The company primarily offers a diversified range of personal insurance products, including accident, health, and life insurance, to individual and corporate customers through Hang Seng Bank online and offline channels in Hong Kong.[2] Leveraging Hang Seng Bank extensive local marketing network, Hang Seng Insurance has become one of the major insurance providers in the Hong Kong market.[3]

As of the first quarter of 2025, Hang Seng Insurance market share in new direct individual life insurance business has risen from third place in 2024 to second place, making it the second largest life insurance company in Hong Kong by market share (the largest being HSBC Insurance, also part of the Hang Seng Bank ultimately group).

History

  • 15 January 1965 – Hang Seng Bank, together with three other major Chinese banks in Hong Kong — Bank of East Asia, Wing Lung Bank (later acquired by China Merchants Bank), and Wing Hang Bank (later acquired by Singapore OCBC) — and other social elites jointly established Associated Bankers Insurance Company Limited, with a registered capital of HKD 10 million and paid-up capital of HKD 5 million. Ho Sin Hang served as chairman. The company officially commenced business on 16 March 1965.[4] It was Hong Kong first insurance company specialising in "bancassurance", focusing on general insurance business such as fire, water, and accident insurance for bank clients.
  • 5 August 1985 – Hang Seng Bank purchased shares of Associated Bankers Insurance from minority shareholders for HKD 110 million, increasing its shareholding from 21.5% to 68.8%, to strengthen business ties between Hang Seng Bank and Associated Bankers Insurance.[5]
  • 1992 – Hang Seng Bank continued to hold approximately 68.83% equity interest in Associated Bankers Insurance.[6]
  • 19 February 1993 – Hang Seng Bank proposed to acquire all the remaining 2,623,624 ordinary shares of Associated Bankers Insurance not yet held by it at a price of HKD 171.65 per share, for a total consideration of approximately HKD 450.3 million. The aim was to make Associated Bankers Insurance a wholly owned subsidiary. This offer involved interests held by certain directors, including eight Hang Seng Bank directors collectively holding 11.7% of Associated Bankers Insurance shares, and two directors of Associated Bankers Insurance holding 0.2%. Hang Cheong Investment Limited (not part of the group) also held 13.1% of the shares.[6]
  • 6 March 1993 – Associated Bankers Insurance became a wholly owned subsidiary of Hang Seng Bank, and on 13 March 1996 it was renamed Hang Seng Insurance Company Limited.[3]
  • 1995 – Hang Seng Insurance and HSBC Insurance jointly established Hang Seng Life Limited to develop life insurance business for the Hang Seng Bank Group.
  • 25 September 2007 – Hang Seng Insurance acquired the 50% stake held by HSBC Insurance (Asia Pacific) in Hang Seng Life for approximately HKD 2.4 billion, thereby gaining full ownership and making it a wholly owned subsidiary. Prior to this, Hang Seng Insurance and HSBC Insurance each held half of Hang Seng Life shares.[7]
  • 7 March 2012 – Hang Seng Bank announced the sale of its general insurance subsidiary — Hang Seng General Insurance (Hong Kong) (formerly Bankers Alliance Insurance, a member of Associated Bankers Insurance) — to Australian insurer QBE Insurance Group (QBE) for approximately US$420 million. The company was subsequently renamed QBE Insurance (Hong Kong) (and later in 2024 transferred to QBE Hongkong & Shanghai Insurance),[8] and a 10-year exclusive general insurance distribution agreement was signed with QBE Group.[9] In July 2023, following the expiry of the distribution agreement with QBE, Hang Seng Bank signed a new exclusive 15-year general insurance distribution agreement with Chubb.[10]

Performance

Performance of Hang Seng Insurance (2022–2024)
Notes：
a）All figures are presented in millions of Hong Kong dollars for comparison purposes.
b）In response to the adoption of International Financial Reporting Standard 17 "Insurance Contracts" (IFRS 17) in 2023, certain 2022 figures have been restated accordingly.
c）"Insurance service revenue" and "premium income" are two distinct accounting concepts. Following the implementation of IFRS 17, "insurance service revenue" in insurers’ financial statements has replaced the traditional "premium income." The primary difference is that "insurance service revenue" excludes the savings component embedded in premiums and allocates revenue over the period during which insurance services are provided, whereas "premium income" is recognised immediately upon premium receipt. This change enables financial reports to more accurately reflect revenue earned from providing insurance services rather than merely cash inflows.
d）As Hang Seng Bank does not disclose separate financial statements for Hang Seng Insurance, an accurate figure for its net profit cannot be determined. Regarding pre-tax profit, due to the absence of detailed information on other operating income and expenses, a complete adjustment cannot be made; therefore, the related figures are for reference only.
e）The asset size only reflects the assets reported on the “Balance sheet of insurance manufacturing subsidiary by type of contract” of the insurance product subsidiaries, primarily including items directly related to insurance contracts, such as investment assets corresponding to policy liabilities, insurance contract assets, and reinsurance assets. These constitute a significant component of the insurer's total assets. However, this disclosure does not cover non-contractual assets such as office equipment, owner-occupied properties, cash balances, and receivables. Therefore, this portion of asset size should be regarded as part of the insurer's total assets rather than its complete total asset base.
Year Insurance service revenuec Pre-tax profit (appr.)d Asset size (appr.)e
Related Change Related Change Related Change
2024[11] 3,377 15.92% 2,875 19.09% 207,490 11.95%
2023[12] 2,913 5.31% 2,414 2.64% 185,338 4.52%
2022b[12] 2,766 - 2,352 - 177,327 -

See also

References

  1. ^ "About Hang Seng Insurance Services - Hang Seng Bank". www.hangseng.com (in Traditional Chinese). Retrieved 2025-08-05.
  2. ^ "Hang Seng Insurance Company Profile: Commitments & Mandates | PitchBook". pitchbook.com. Retrieved 2025-08-05.
  3. ^ a b "Hang Seng Insurance Introduces Fortune Life Deferred Annuity Life Insurance Plan with Enhanced Benefit to Support Stable Retirement" (PDF). www.hangseng.com (in Traditional Chinese). Retrieved 2025-08-05.
  4. ^ "Associated Bankers Insurance Company Grand Opening Tomorrow". Wah Kiu Yat Po. 1965-03-15. p. 10.
  5. ^ "Hang Seng Spends HKD 110 Million to Increase Stake in Associated Bankers Insurance". Ta Kung Pao (Hong Kong). 1985-08-06.
  6. ^ a b "HSBC Holdings plc Annual Report and Accounts 1992" (PDF). Retrieved 2025-08-07.
  7. ^ "Hang Seng 2007 Annual Report" (PDF). www.hangseng.com. Retrieved 2025-08-05.
  8. ^ "About QBE Insurance │ QBE Insurance Hong Kong". QBE HK (in Chinese (Hong Kong)). Retrieved 2025-08-05.
  9. ^ "QBE pays over 1.5 billion to acquire Hang Seng General Insurance - Wen Wei Po". paper.wenweipo.com. Retrieved 2025-08-05.
  10. ^ "Hang Seng Bank and Chubb reach 15-year exclusive partnership effective July". www.singtaousa.com (in Chinese). 2023-03-27. Retrieved 2025-08-05.
  11. ^ "Hang Seng Bank 2024 Annual Report" (PDF). www.hangseng.com. Retrieved 2025-08-06.
  12. ^ a b "Hang Seng Bank 2023 ANNUAL REPORT" (PDF). www.hangseng.com. Retrieved 2025-08-06.
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