CICC: Policies will promote the stable development of the insurance industry and lay a solid foundation for achieving high-quality development.

Zhongjin released a research report stating that the China Banking and Insurance Regulatory Commission has issued the "Asset Liability Management Measures for Insurance Companies (Draft for Solicitation of Comments)", which is planned to be implemented from July 1, 2026, marking a new stage in industry asset liability management regulation. The bank believes that the "Measures" have constructed a complete regulatory loop covering governance structure, quantitative indicators, management processes, and coordination mechanisms, promoting the industry's operational logic to shift from scale-oriented to long-term stable operation, laying a solid foundation for industry risk management and achieving high-quality development. The report points out that the "Measures" aim to implement the spirit of the new "State Ten Rules" for the insurance industry, strengthen the linkage between asset and liability management supervision, solve the current issues of asset-liability management disconnection and unclear policies and procedures in the industry, and prepare for the industry's comprehensive transition to the new accounting standards in 2026. The bank stated that the "Measures" set a regulatory range for the effective duration gap of life insurance companies, requiring the comprehensive investment income coverage ratio and net investment income coverage ratio to be not less than 100%. For property insurance companies, the focus is on the solvency ratio, income coverage ratio, and liquidity coverage ratio under stress scenarios. Furthermore, in terms of governance structure, the "Measures" specify the management responsibilities of insurance company boards of directors, senior management, and functional departments, and require the establishment of an independent asset liability management department. In terms of processes, a management loop is established from asset liability analysis, business planning and product development, asset allocation and major investments, to stress testing and retrospective analysis.