A new round of insurance reserved interest rate reductions has begun, with the joint venture company Tongfang Global Life Insurance firing the first shot in the market, launching a new dividend insurance product with a reserved interest rate of 1.5%.

A new round of adjustments to insurance product reserved interest rates has begun. According to exclusive insider information, the joint venture insurance company Tongfang Global Life has recently launched two new dividend insurance products, with the reserved interest rate for these new products reduced by 50 basis points from the current market cap of 2% to 1.5%. Industry experts told the Caixin reporters that the tiered reduction of reserved interest rates seems to compress the short-term competitiveness of products, but it actually promotes the establishment of a more sustainable development model in the industry, which helps to boost the allocation space of insurance capital equity positions. Furthermore, when insurance companies no longer rely solely on high interest rates as their unique selling point, real competition will shift to risk management capability, asset allocation level, and ecological service value. (Caixin News)