JPMorgan stated that PICC (01339.HK) and CICC (02328.HK) announced the distribution of interim dividends this year. PICC is an enterprise directly owned by the Chinese government, with the Ministry of Finance holding 60.84% and the State Council Social Security Fund holding 12.68%. The bank believes that adopting similar steps by China Life Insurance is reasonable.

The bank pointed out that the faster-than-expected recovery of life insurance business, strengthened capital management policies, and recovery of product profit margins will offset the potential risk of falling interest rates, and is expected to act as a short-term catalyst for the distribution of interim dividends by mainland insurance companies. Ping An Insurance's A share and H share (02318.HK), as well as China Life Insurance's H share (02628.HK) are the bank's top picks for "shareholding" in mainland insurance companies.

The bank estimates that the average dividend yield for mainland insurance companies listed in Hong Kong this year will reach 6.4 basis points. However, except for Ping An Insurance, there are no other mainland insurance companies that provide detailed guidance on shareholder returns in the next three years. The bank believes that the guidance would pose potential upside risks to the interim performance announcement of mainland insurance companies.