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HSBC Life
Insurance company From Wikipedia, the free encyclopedia
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HSBC Life is the insurance business brand under HSBC Holdings, launched in 2018 as a new brand jointly adopted by all insurance entities under the HSBC Group.[2] At present, the core entity of HSBC Life is HSBC Insurance (Asia-Pacific) Holdings Limited, which serves as the regional headquarters for the Group’s insurance business in Asia. It is a wholly owned subsidiary of The Hongkong and Shanghai Banking Corporation Limited (HSBC Hong Kong) and is ultimately controlled by the parent company, HSBC Group.
HSBC Insurance (Asia-Pacific) is headquartered at HSBC Centre in Tai Kok Tsui. Its principal operating subsidiaries (including those held directly or indirectly) include: HSBC Life (International), incorporated in Bermuda but operating in Hong Kong; HSBC Life (Singapore), incorporated in Singapore; and HSBC Life Insurance, incorporated in Shanghai, China.
Since 2022, HSBC Life has consistently ranked first in Hong Kong in terms of market share for new direct individual life business (life insurance), holding 21.53% of the market in the first quarter of 2025.[3]
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History
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The history of the HSBC Group involvement in the insurance business dates back to the 19th century, when it collaborated with Straits Insurance and Singapore Insurance in Singapore, maintaining an active presence in the Far East maritime trade market. However, HSBC formal entry into the insurance market as a group occurred in the 1970s. On 24 April 1970, HSBC established its first insurance company in Hong Kong—T K M (Far East)—where T stands for Trade, K for Credit, and M for Marine. This company was specifically dedicated to Trade credit insurance and Marine insurance.
However, Far East Insurance was not HSBC initial entry into Hong Kong insurance market. The pivotal turning point for HSBC substantive involvement in the Hong Kong insurance market can be traced back to 12 April 1965, when it acquired a 51% stake in Hang Seng Bank. Notably, just three months prior to this acquisition, on 15 January 1965, Hang Seng Bank, together with three other major Chinese-owned banks in Hong Kong, jointly established Associated Bankers Insurance—the predecessor of Hang Seng Insurance—becoming the first general insurance company in Hong Kong specializing in bancassurance. Through its stake in Hang Seng Bank, HSBC indirectly entered Hong Kong insurance market for the first time.
As for when HSBC directly established a "comprehensive insurance business" in Hong Kong, it can be traced back to the establishment of Carlingford Insurance on 25 February 1977, whose predecessors were Malayan & China Assurance and Wardley Insurance — the name “Wardley” being traceable to HSBC beginnings in Hong Kong at Wardley House, as well as the investment banking subsidiary “Wardley” established in 1972.
1990s
In 1991, HSBC Group UK insurance brokerage subsidiary Gibbs Hartley Cooper and Norwich Union Group jointly established a 50% owned joint venture, aiming to expand the UK household and motor insurance business. In the same year, Antony Gibbs Benefit Consultants acquired a pensions consultancy, and Gibbs Hartley Cooper acquired a retail insurance brokerage portfolio, driving intermediary insurance profits within the Group to a record high. In July, the Group established HongkongBank Insurance Services to strengthen insurance agency business for corporate and retail banking customers in the Asia-Pacific region.[4]
In 1992, Gibbs Hartley Cooper acquired a UK commercial risk insurance portfolio, expanding its brokerage footprint; it also launched insurance agency operations in Australia and New Zealand to broaden regional coverage. In the same year, the Group implemented a strategic adjustment: divesting its 49% stake in a specialist reinsurance company in Bermuda and its wholly owned Lloyds Survey Agency in Chile, and terminating its insurance agency operations in Brunei (based on profitability considerations). At the end of the year, HSBC Insurance headquarters was relocated to London, and HSBC Insurance Holdings was established to coordinate global insurance activities and cost allocation, with plans to include — from 1993 onwards — the insurance business of Midland Bank, which became a member of HSBC Group in 1992, within its management scope;[5] in 2021, due to Group business restructuring and internal resource integration arrangements, the company gradually ceased related activities from 2021 and no longer charged or allocated costs to other entities within the Group[6], and ceased operations on 24 June 2024[7].
In 1993, Gibbs Hartley Cooper acquired two small UK insurance brokerage firms, with integration expected to show results in 1994; its Singapore subsidiary Gibbs Insurance Brokers Singapore also acquired a peer institution, consolidating its regional market position.[8]
In 1994, the Group signed an agreement to acquire Hong Kong-based Lombard Insurance, enhancing its market share in the highly competitive underwriting sector; it also acquired, for HKD 220 million, the Lombard Insurance stake held by Continental Insurance Corporation, strengthening its Hong Kong non-life business and expanding into the Singapore market; its Lloyds insurance brokerage subsidiary also purchased a six per cent stake in Hogg Group (later sold at a profit of GBP 4 million), although a full acquisition attempt was unsuccessful.[9]
In 1995, Midland Bank launched Midland Direct, a telephone-based household insurance brand; the Group also acquired motor insurer Corinthian from its Lloyds insurance brokerage subsidiary and merged it into HSBC Insurance (Ireland), a non-life underwriting operation formerly known as Griffin Insurance. In the same year, the Lloyds brokerage business, formerly Gibbs Hartley Cooper and then HSBC Gibbs, acquired Holmwoods, gaining a profitable school insurance brokerage portfolio.[10]
Also in 1995, most of HSBC Group insurance entities adopted the HSBC brand, such as the major Asian company Carlingford Insurance, which was renamed HSBC Insurance; in October 2000 it was further renamed HSBC Insurance (Asia)[11]. By the end of 1995, Midland Bank acquired the remaining 20 per cent stake in Midland Life from major UK insurer Commercial Union, achieving full ownership.[10]
In 1996, HSBC Gibbs sold Premium Credit and acquired Glasgow-based broker Hutchison & Craft; HSBC Gibbs also formed a joint venture with Midland Bank named Midland Business Insurance Direct to expand commercial insurance; in the same year, HSBC Insurance launched health insurance products in Hong Kong such as MediSurance.[12]; on April 25 of the same year, T K M (Far East) becoming as HSBC Insurance (Asia-Pacific) to coordinate HSBC insurance business in the Asia-Pacific region.
In 1997, HSBC Insurance formed strategic partnerships in the Asia-Pacific region with Royal & Sun Alliance (non-life) and American International Assurance (life) to extend services to previously uncovered markets; in the same year, HSBC USA predecessor, Marine Midland, acquired by HSBC Group in 1980, launched new life products to strengthen its regional market. Also in the same year, acquisitions in Brazil and Argentina significantly enhanced the Group non-life underwriting business, providing scale benefits, counter-cyclical income streams and improved reinsurance negotiating power.[13]
In 1999, HSBC began distributing motor and other personal insurance products via the Internet, paving the way for future growth[14]; to mark the 25th anniversary of HSBC Insurance, the head office relocated to HSBC Centre in Hong Kong.
2000s
In 2003, HSBC Insurance (Asia-Pacific) announced the acquisition of 100 per cent of Keppel Insurance for approximately SGD 154 million[15]; upon completion, the general insurance business of HSBC Insurance (Asia) Singapore Branch will be merged into Keppel Insurance and subsequently rebranded as HSBC Insurance (Singapore), marking HSBC first significant step toward expanding its market presence in Singapore insurance sector.
In 2006, HSBC obtained approval to operate Takaful in Malaysia. Reports indicated that HSBC Insurance (Asia-Pacific) partnered with Jerneh Asia Berhad and Malaysia Employees Provident Fund (EPF) to form the joint venture HSBC Amanah Takaful (Malaysia) Sdn Bhd, specialising in Islamic life insurance, with HSBC Insurance (Asia-Pacific) holding approximately 49 per cent[16]; in March 2019, HSBC Insurance (Asia-Pacific) sold its 49 per cent stake in the Takaful business to FWD Insurance, which later became the largest shareholder.[17]
In 2009, HSBC launched its life insurance operations in Mainland China. An announcement in June revealed that HSBC Insurance (Asia-Pacific) wholly owned Hong Kong subsidiary HSBC Insurance (Asia) and Beijing National Trust each held 50 per cent in the newly established HSBC Life Insurance in Shanghai, with registered capital of RMB 500 million, commencing operations in the third quarter under CEPA arrangements.[15] This represented a significant step in entering Mainland China life insurance market.
2010s
On 7 March 2012, as part of its strategic transformation, HSBC Group sold the general insurance operations of HSBC Insurance (Asia) and HSBC Insurance (Singapore) together with the Mexican operations (HSBC Seguros, S.A. de C.V., not owned by HSBC Insurance Asia-Pacific) to AXA Group. The deal included a ten-year exclusive bancassurance agreement granting AXA exclusive rights to distribute general insurance products through HSBC in Hong Kong (excluding Hang Seng Bank customers) and other Asian markets. AXA paid approximately USD 494 million for the transaction.[18]
On 20 December 2012, HSBC Insurance (Asia-Pacific) signed an agreement with Sumitomo Life Insurance Company to sell its entire 18 per cent stake in Vietnam insurer Bao Viet for approximately USD 340 million.[19]
On 29 April 2013, HSBC Insurance (Asia-Pacific) sold its 50 per cent minus one shareholding in Hana HSBC Life Insurance to Hana Financial Group Inc., as part of the Group business streamlining strategy.[20]
2020s - present
On 26 July 2021, HSBC moved to re-enter the Macau life insurance market. Previously, due to Group strategy, HSBC in Macau had ceased accepting new policies, effectively putting its life insurance licence into “dormant” status[21].
On 16 August 2021, HSBC Insurance (Asia-Pacific) announced the acquisition of 100 per cent of AXA Insurance Pte Ltd in Singapore for USD 575 million to expand its Singapore insurance and wealth management operations; AXA Singapore was the eighth-largest life insurer and fifth-largest general insurer in the market[22]. The transaction completed in February 2022 with a final consideration of approximately USD 529 million[23], with plans to merge AXA Singapore with HSBC existing Singapore insurance operations.
On 14 December 2021, HSBC Group, through its wholly owned subsidiary Arcadia Financial Services (Asia), registered in both Hong Kong and Mainland China, completed the full acquisition of Beijing Fanghe Wanjin Insurance Brokers. The company was renamed HSBC Insurance Brokerage on 16 June 2022. On 11 November the same year, its parent company Arcadia Financial Services (Asia) was renamed HSBC Insurance Brokers Greater China, marking the Group formal entry into Mainland China insurance brokerage market.[24]
On 30 December 2021, following regulatory changes in China effective 1 January 2020, including the revised Regulations on the Administration of Foreign-funded Insurance Companies and the Notice on Removing the Foreign Ownership Cap in Insurance Companies, HSBC Insurance (Asia), a wholly owned Hong Kong subsidiary of HSBC Insurance (Asia-Pacific), received approval from the Shanghai office of the China Banking and Insurance Regulatory Commission to acquire the remaining 50 per cent stake in HSBC Life Insurance (HSBC Life China) from partner National Trust, making it a wholly owned subsidiary.[25]
On 1 February 2023, under section 119(1)(a) of the Insurance Act 1966 and pursuant to the transfer scheme approved by the Monetary Authority of Singapore on 4 November 2022 and the High Court of Singapore on 17 January 2023, all operations of HSBC Insurance (Singapore) and AXA Singapore were formally merged and transferred to the newly established HSBC Life (Singapore)[26], with the transaction consideration equivalent to the total assets and liabilities as valued under MAS regulatory reporting standards on 1 February 2023.[27]
On 29 February 2024, HSBC Insurance announced that a USD 250 million (approximately HKD 2 billion) life policy issued in Hong Kong earlier in the year had been recognised by Guinness World Records on 20 February as the world highest-value life insurance policy[28].
On 20 December 2024, HSBC Continental Europe signed a memorandum of understanding to sell its French life insurance business HSBC Assurances Vie (France) to French mutual insurance group Matmut, with completion expected in the second half of 2025[29][30].
On 2 February 2025, HSBC received regulatory approval to set up a captive insurance company in Hong Kong named Wayfoong (Asia), to consolidate and diversify insurable risks and provide reinsurance for HSBC relevant risks in the Asian market[31] — the name “Wayfoong” is the Cantonese romanisation of HSBC and has been used multiple times in the Group history, such as the Wayfoong Gold service launched in 1981[32].
On 3 July 2025, HSBC Bank in the UK announced it had signed an agreement to sell its UK life insurance business HSBC Life (UK) to UK life and pensions company Chesnara, with completion expected in early 2026.[33]
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Operations
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HSBC Insurance business model differs from traditional insurance companies, with its sales channels primarily relying on HSBC Bank network (bancassurance), especially in Hong Kong, where customers must be retail banking users of HSBC Hong Kong. This strategy closely links its insurance business with banking operations, and performance is often influenced by the group market trends in the retail banking sector. If the group adjusts or scales down its retail operations in a certain region, the insurance business may also be adjusted accordingly.
Asia
HSBC Insurance business in Asia is coordinated by HSBC Insurance (Asia-Pacific) Holdings Limited, whose direct subsidiaries include HSBC Insurance (Asia) and HSBC Life (Singapore). Additionally, in 2007 HSBC partnered with Canara Bank and Oriental Bank of Commerce to establish the joint venture Canara HSBC Life Insurance in India, with HSBC holding approximately 26% equity[34].
In 2021, under the "Pivot to Asia" strategic guidance, the group readjusted resource allocation as part of responding to slowed growth and profit pressures in European and American markets[35]. The strategy aims to redeploy capital and resources to Asia, which contributes most of the group profits. According to the strategy report announced in February that year, HSBC plans to invest about USD 6 billion in Asia to drive growth in wealth management and personal banking[36], with insurance business as a key component of this sector.
A landmark event in advancing this strategy was the acquisition of AXA Singapore for USD 575 million[37], alongside increased investment in the Mainland China market. These initiatives further strengthened HSBC momentum in Asian insurance business development, especially through active expansion and product innovation in the Hong Kong and Macau markets.
Hong Kong and Macau
HSBC Insurance initially operated general insurance in Hong Kong and Macau via HSBC Insurance (Asia), formerly Carlingford Insurance. After selling the general insurance business to AXA Group in 2012, its focus shifted to life insurance, continuing operations in the Hong Kong market through a Bermuda-registered subsidiary. Currently, HSBC Insurance (Asia) primarily manages insurance legal entities in the Greater China region, directly holding all local subsidiaries.
In Hong Kong and Macau, HSBC Life (International) is the principal underwriting company[38], tracing back to a Carlingford Insurance member, Carlingford Swire Assurance (Bermuda), established in 1981[39] and renamed to its current name in 1992. Leveraging HSBC Bank sales network, the company holds a leading position in the Hong Kong life insurance market. According to the Insurance Authority of Hong Kong, by new business premium, HSBC Insurance has ranked first in Hong Kong for multiple consecutive years since 2022. In the first half of 2022, its market share in new business reached 23.6%[40]. It maintained the lead subsequently, with a 18.9% market share for new business in 2023[41], and recorded over HKD 20 billion new business premium in Q1 2025, expanding its market share to 21.5%[42], demonstrating stable market performance and competitiveness.
In Macau, HSBC Life (International) conducts business through its Macau branch and is regulated by the Monetary Authority of Macau[43]. After a relatively quiet decade in Macau, HSBC restarted and vigorously developed its Macau insurance business from 2021[44]. To support business expansion, HSBC opened its first standalone "HSBC Insurance Planning Centre" in Macau commercial centre in August 2023, serving local and Greater Bay Area clients. This development is seen as a significant step in strengthening the group Greater Bay Area business layout[45].
Other businesses and partners
HSBC Life (International) maintains close cooperation with the Mandatory Provident Fund (a Hong Kong mandatory provident fund scheme) schemes sponsored by HSBC Bank and Hang Seng Bank. The guaranteed funds under HSBC Mandatory Provident Fund – SuperTrust Plus and Hang Seng Mandatory Provident Fund – SuperTrust Plus are approved pooled investment funds constituted by insurance policies, provided by HSBC Life (International).
Additionally, on 1 November 2024, HSBC Life (International) established a new medical insurance partnership with Hang Seng Bank, collaborating to design and sell Voluntary Health Insurance Scheme (VHIS) products through Hang Seng Bank, further expanding cooperation in health insurance.
Mainland China
In Mainland China, HSBC Insurance primarily offers various insurance products, including life, health, and accident insurance, through its wholly owned subsidiary HSBC Life Insurance under HSBC Insurance (Asia). The company has registered capital of RMB 2.676 billion, headquartered in Shanghai Free Trade Zone. Its service regions currently include Beijing, Shanghai, Tianjin, Guangdong (including Shenzhen), Zhejiang, Sichuan, and Jiangsu, subject to territorial business permits.
To advance the "Greater Wealth Management" strategy, HSBC officially launched HSBC Insurance Brokerage in June 2022, headquartered in Beijing with branches in multiple locations[46]. The company focuses on providing integrated insurance and wealth solutions to individual and corporate clients, collaborating synergistically with HSBC Life Insurance to expand market share in key regions such as the Yangtze River Delta.
A major milestone in business development was HSBC Insurance Brokerage announcement in September 2023 that its securities investment fund sales qualification was officially approved by the Beijing Regulatory Bureau of the China Securities Regulatory Commission (CSRC). This made HSBC Insurance Brokerage the first wealth management institution in Mainland China holding dual licenses for insurance brokerage and fund sales[47]. The qualification supports promoting an integrated "insurance + funds" wealth management model, enhancing service diversity and flexibility. In early August 2025, HSBC continued to strengthen capital injection into HSBC Insurance Brokerage, increasing its registered capital from approximately RMB 2.23 billion to about RMB 2.52 billion[48].
In 2024, HSBC Insurance in Mainland China recorded a net profit of RMB 195 million, ending years of losses[49]. This was mainly due to a series of capital injections and transformation measures initiated after the group completed full ownership of HSBC Life Insurance in 2021. From 2022 to 2025, the group implemented three consecutive capital increase plans: RMB 635 million injected in June 2022[50], RMB 654 million in March 2023[51], and RMB 362 million in February 2025[52], cumulatively totaling RMB 1.651 billion, raising registered capital to RMB 2.676 billion. Capital injection drove rapid business scale expansion, with premium income rising from RMB 3.725 billion in 2022 to RMB 13.089 billion in 2024, more than tripling. Meanwhile, the company promoted sales channel diversification, reducing bancassurance dependence to 65.97%, and through product structure optimization achieved a shift from investment period to profitability period, with a core solvency ratio improving to 193.02% in 2024, further strengthening financial soundness[49].
Singapore
In Singapore, HSBC Insurance mainly provides services through HSBC Life (Singapore). Before merging AXA Singapore, HSBC Insurance (Singapore) business focused primarily on savings and wealth accumulation products, while AXA had strong competitiveness in health insurance.
After completing acquisition and integration of AXA Singapore, HSBC Life Insurance market position in Singapore improved. According to information published at the time of acquisition, the merged company is expected to become the seventh largest life insurer and the fourth largest personal health insurance provider in Singapore by annualized new premiums[53]. This integration helped expand HSBC local market scale and diversify its distribution channels, covering bancassurance, insurance agent networks, and independent financial advisor firms (FAs)[54].
HSBC strategy in Singapore focuses on leveraging its "bank + insurance" synergy to provide integrated solutions covering wealth protection, accumulation, and inheritance. Besides servicing the local market, HSBC also actively expands high-net-worth client business leveraging its Asian regional brand influence, particularly valuing Singapore status as a major wealth management hub in Asia and globally.
India
HSBC Insurance participates in the Indian life insurance market through its 26% equity stake in the joint venture Canara HSBC Life Insurance. In this joint venture structure, HSBC serves not only as a capital and brand partner but also leverages its global insurance expertise to assist in technology support, risk management, and product design. Canara HSBC Life Insurance mainly sells life insurance products via bancassurance through the extensive branch networks of its banking partners nationwide, covering a broad customer base.
In April 2025, Canara HSBC Life Insurance submitted a draft red herring prospectus (DRHP) for its initial public offering (IPO) to the Securities and Exchange Board of India (SEBI) and obtained approval from the Insurance Regulatory and Development Authority of India (IRDAI) in July the same year[55]. The market generally expects the company to list between September and October 2025. The IPO will be an Offer for Sale (OFS), meaning no new shares will be issued; instead, existing shareholders will sell part of their holdings[55]. The three major shareholders—Canara Bank, Punjab National Bank, and HSBC Insurance (Asia-Pacific)—plan to participate in this share sale. Although shareholding ratios post-listing are not finalized, the public offering will enhance transparency and liquidity and unlock partial investment value for existing shareholders.
Comparison of asian markets
Other markets
Apart from the Asian market, HSBC Insurance also operates insurance businesses in the United Kingdom, France, and Malta, but these businesses have been gradually announced for sale. In contrast, HSBC continues to maintain insurance operations in Mexico and the United States; however, their market scale is relatively limited and far less significant compared to the Group’s business scale and importance in Asia.
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References
External links
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