Ping An of China's new premiums drop by nearly 40% in May, which leads investors to call for a rank and yank system for management
On July 12, Ping An responded to a number of investors’ questions on the investor interaction platform, involving sensitive issues such as the decline in premiums of new insurance policies and management KPIs. Some investors questioned that Ping An’s new insurance policies continued to decline year-on-year, down by 40% in May. Is there no KPI indicator for management? Ping An has strict assessment standards for agents. Why not a rank and yank system for management too?
Ping An responded that the cumulative new business premium income of life insurance and health insurance from January to May has increased year-on-year, but the monthly changes were affected by multiple factors such as business rhythm, operating environment, and base. In addition, Ping An stated that the company’s evaluation mechanism for management covers economic efficiency indicators and risk compliance indicators. It sets clear annual accountability goals for managers by combining business planning and risk compliance requirements, and conducts accountability assessment and comprehensive evaluation twice a year. The results are closely linked to management’s long-term and short-term rewards, and serve as an important reference for their appointment and promotion.
Source: AI Finance
https://www.reddit.com/r/StockMarket/comments/ojztg7/ping_an_of_chinas_new_premiums_drop_by_nearly_40/
