The analyst rating from BofA Securities is based on the expectation that, despite current pressures on China's insurance industry net profit, there is potential for improvement in product structure and sales performance, particularly for dividend-paying critical illness products. The report anticipates that after interest rate cuts in September 2025, sales of these dividend products will improve, leading to increased profit margins and positive growth in first-year premiums. This optimistic outlook for future sales and profitability has led BofA Securities to rate several insurers, including CHINA LIFE and PICC P&C, as "Buy."
