Asset management business of insurance companies

An insurance asset management company is a financial institution that specializes in managing insurance funds. The main business is to manage the insurance funds entrusted by insurance companies, with the goal of maintaining and increasing the value of insurance funds. Insurance asset management companies are generally established by insurance companies or their controlling shareholders.

After accepting the entrustment, an insurance asset management company may manage and use the insurance funds of shareholders or the funds of insurance companies controlled by shareholders, and may also manage and use its own funds. However, the use of insurance funds shall not exceed the provisions of the Insurance Law, and shall be limited to bank deposits, buying and selling government bonds, financial bonds and other forms stipulated by the State Council. Moreover, the asset management company shall not promise not to lose the entrusted funds or guarantee the minimum income, shall not use the entrusted insurance funds to seek benefits for a third party other than the client, and shall not manipulate funds from different sources for transactions.

Further reading: How to buy insurance, which is good, and teach you how to avoid these "pits" of insurance.