Overseas insurance companies are welcome to take part in the pension business to improve the sector's overall management and expertise, the industry watchdog said yesterday.

"Chinese insurers should bring their foreign counterparts, especially those strong in the pension business," said Wu Dingfu, chairman of China Insurance Regulatory Commission (CIRC) at a conference. 

Since insurance companies' strength is actuarial science, investment and account management, they should play a bigger role in annuity business, he said. At present there are three professional pension firms: Ping An, Taiping and China Life.

The special interest in the industry reflects the rapid growth liability insurance - a record 24.3 percent in 2006, with premiums exceeding 5.6 billion yuan.

"We are quickening the pace of the compulsory liability insurance pilot project in coal, tourism and public places," Wu said. Last year's total premium was 564.1 billion yuan, 14.4 percent more than in 2005.

(China Daily January 22, 2007)