Commercial Pension Insurance

The Chinese Government said on July 4 that it will speed up the development of commercial pension insurance. By 2020, a well-regulated commercial pension insurance system will provide support for commercial pension plans of individuals and families, as well as employee pensions, according to a State Council guideline.

The guideline outlines four tasks, including innovative insurance products and services, and ensuring the sound and safe operation of commercial pension insurance funds. Insurers should offer personalized services to individuals and households, as well as annuity programs for employers, it said.

It encourages commercial insurers to provide support for the pension system and take part in investment and management of basic pension funds and the national social security fund. “Commercial pension insurance, just like social security, is a lifeline for ordinary people,” Chinese Premier Li Keqiang said at a State Council Executive Meeting.