The Financial Regulatory Authority has approved the dissolution.

【Lead-in】Anda Insurance Approved to Dissolve

On February 5, the official website of the Financial Regulatory Authority disclosed that Anda Insurance Co., Ltd. (hereinafter referred to as Anda Insurance) was officially approved to dissolve on December 9, 2024.

The Financial Regulatory Authority requires Anda Insurance to stop all business activities immediately after receiving the approval document, and to return the license within 15 working days and handle related procedures in accordance with relevant laws and regulations.

Property and Liability Insurance Business Merges into Huatai P&C

Earlier, the China Banking and Insurance Regulatory Commission approved in December 2022 that Huatai Property and Liability Insurance Co., Ltd. (hereinafter referred to as Huatai P&C) would take over Anda Insurance's overall insurance business and corresponding assets and liabilities. The Commission also required the Company to protect the legitimate rights and interests of insurance consumers during the insurance business transfer process and ensure the compliance and smooth progress of the insurance business transfer.

In December 2024, Anda Insurance released a liquidation announcement, stating that Anda Insurance's liquidation committee was officially established on December 26, 2024, and the Company entered the dissolution liquidation process on the same day.

According to the information, Anda Group is the world's largest publicly traded property and liability insurance company and one of the largest commercial insurance companies in the United States. Anda Group established its first representative office in China in 1994 and its Shanghai Branch in 2000, which was later approved to be transformed into a wholly-owned subsidiary.

Before dissolution, Anda Insurance mainly provided insurance products in the Chinese market, including property insurance, liability insurance, shipping insurance, and financial liability insurance.

Dissolved to Meet Regulatory Requirements

Industry insiders believe that Anda Insurance's dissolution is mainly due to the relevant regulations that "the same company cannot be the controlling shareholder of two insurance companies."

According to the information, Huatai P&C, which was approved to take over Anda Insurance's business, is a subsidiary of Huatai Insurance Group. Huatai Insurance Group is a comprehensive financial insurance group that integrates property and liability insurance, life insurance, asset management, and fund management, with a registered capital of RMB4.022 billion.

Anda Group began to gradually invest in Huatai Insurance Group in 2002 and increased its holding in Huatai Insurance Group to 46.2% in June 2020, exceeding one-third and becoming the controlling shareholder of Huatai Insurance Group.

According to the third paragraph of the "Insurance Company Shareholding Management Regulations" released in 2018, investors and their affiliates and those acting in concert can only become the controlling shareholders of one insurance company engaged in the same business. Investors who are insurance companies shall not invest in insurance companies engaged in the same business.