Listed insurance firms posted markedly better operating results in the first half of 2026, largely propelled by investment earnings. According to financial data, the five major A-share insurers—China Life Insurance, Ping An Insurance, PICC, China Pacific Insurance, and New China Life Insurance—collectively generated 1.66 trillion yuan in operating revenue, up roughly 24.45% year-on-year. Their combined net profit attributable to shareholders reached 317.87 billion yuan, a surge of 78.12%, translating to an average daily profit of 1.75 billion yuan.

A recovering equity market that sharply improved investment performance was the primary engine behind these profit gains. In the first half of 2026, the aggregate total investment income for the five insurers hit 641.32 billion yuan, a year-on-year increase of 74.6%. By the end of June 2026, their combined investment assets stood at 21.63 trillion yuan, up 4.5% from the start of the year. Notably, allocations to stocks and equity funds reached 2.82 trillion yuan and 1.22 trillion yuan, respectively, increasing by 303.9 billion yuan and 186.8 billion yuan over the period. Combined, these two categories totaled 4.04 trillion yuan, representing approximately 18.7% of total investment assets.

Backed by a solid operational base, the five major insurers for the first time collectively introduced interim dividend plans, with total payouts surpassing 39 billion yuan.

Daily Profit of 1.75 Billion and First-Ever Collective Interim Dividends

In the first half of 2026, China Life Insurance, Ping An Insurance, PICC, China Pacific Insurance, and New China Life Insurance recorded revenues of 434.3 billion yuan, 575.1 billion yuan, 355.1 billion yuan, 212.1 billion yuan, and 83.26 billion yuan, marking growth of 81.54%, 15.01%, 9.6%, 5.8%, and 18.87%, respectively. Their attributable net profits were 134.5 billion yuan, 92.59 billion yuan, 36.75 billion yuan, 30.78 billion yuan, and 22.79 billion yuan, reflecting increases of 228.6%, 36.1%, 38.5%, 10.4%, and 54%.

Overall, the five combined for 1.66 trillion yuan in total revenue (up 24.45%) and 317.87 billion yuan in net profit (up 78.12%), which equates to earning 1.75 billion yuan per day. Looking at quarterly trends, the sector displayed a pattern of initial weakness followed by recovery. In Q1 2026, results diverged notably, with combined net profits of 69.88 billion yuan, down 17% year-on-year. China Life Insurance, Ping An Insurance, and PICC saw profits fall 32.3%, 7.4%, and 31.4%, while China Pacific Insurance and New China Life Insurance posted gains of 4.3% and 10.5%.

As the equity market warmed, investment gains were released forcefully in Q2. The five insurers booked 247.5 billion yuan in combined quarterly net profit, up a remarkable 163.3% year-on-year. China Life Insurance led with a single-quarter profit of 114.98 billion yuan, soaring 848%. Ping An Insurance, China Pacific Insurance, PICC, and New China Life Insurance logged 67.56 billion yuan, 20.73 billion yuan, 27.93 billion yuan, and 16.29 billion yuan, representing year-on-year growth of 64.7%, 13.6%, 104.2%, and 82.7%.

This sustained high growth and improving fundamentals provided a strong basis for shareholder returns. For the first time, all five insurers launched interim dividend schemes, upgrading their payout cadence from an annual single distribution to a semi-annual plus annual structure. The specific plans see China Life Insurance, Ping An Insurance, PICC, and New China Life Insurance distribute 3.6 yuan, 9.8 yuan, 1.1 yuan, and 7.3 yuan per 10 shares, representing increases of 50.4%, 3.2%, 46.7%, and 9%, with payout ratios of 7.5%, 21.1%, 13.2%, and 10%. China Pacific Insurance joined for the first time, proposing 4.2 yuan per 10 shares for a 19.1% payout ratio. These dividends translate to 10.12 billion yuan, 17.75 billion yuan, 4.87 billion yuan, 2.28 billion yuan, and 4.04 billion yuan, exceeding 39 billion yuan in total.

Combined Stock and Equity Fund Investments Exceed 4 Trillion Yuan

Throughout the year, the improving equity market, which fueled better investment results, served as the core driver of elevated profits. During the January-to-June period, total investment income for China Life Insurance, Ping An Insurance, PICC, China Pacific Insurance, and New China Life Insurance reached 314.5 billion yuan, 136.94 billion yuan, 66.33 billion yuan, 66.02 billion yuan, and 57.53 billion yuan, up 146.7%, 42.3%, 59.9%, 16.1%, and 27%. Their combined total was 641.32 billion yuan, a 74.6% rise.

According to research by Guosen Securities, investment income—defined as interest plus investment gains plus fair value changes minus credit impairment—amounted to 112.9 billion yuan, 92.16 billion yuan, 36.3 billion yuan, 33.63 billion yuan, and 46.86 billion yuan for the five, respectively. Investment profit contributions were 77%, 56%, 55%, 42%, and 65%, with an average of 59%. At the end of June 2026, the insurers' investment assets were valued at 7.95 trillion yuan, 6.61 trillion yuan, 2 trillion yuan, 3.17 trillion yuan, and 1.9 trillion yuan, totaling 21.63 trillion yuan—up 4.5% from the beginning of the year.

Asset allocation data highlights a clear tilt toward equities. By mid-2026, stock investments for the five companies were 1.04 trillion yuan, 963.89 billion yuan, 194.59 billion yuan, 371.3 billion yuan, and 250.09 billion yuan, constituting 13.06%, 14.6%, 9.7%, 11.7%, and 13.2% of their respective investment assets. The combined stock holdings of 2.82 trillion yuan grew by 303.9 billion yuan, or 12.09%, from the start of the year. Simultaneously, their equity fund investments stood at 484.4 billion yuan, 317.98 billion yuan, 114.12 billion yuan, 71.04 billion yuan, and 235.71 billion yuan, representing 6.1%, 4.8%, 5.7%, 2.2%, and 12.4% of assets. In aggregate, equity funds reached 1.22 trillion yuan, an increase of 186.86 billion yuan, or over 18%.

Thus, the combined scale of stock and equity fund investments hit 4.04 trillion yuan, approximately 18.7% of total assets. Despite the high elasticity of investment income, steady underwriting remains the bedrock of these insurers' operations. In the first half, the five posted insurance service revenues of 112.53 billion yuan, 279.26 billion yuan, 286.87 billion yuan, 141.82 billion yuan, and 26.44 billion yuan, growing 5.3%, 0.5%, 2.4%, 1%, and 6.8%. Guosen Securities data shows underwriting profits of 42.08 billion yuan, 57.48 billion yuan, 35.93 billion yuan, 24.23 billion yuan, and 10.87 billion yuan, with contribution rates of 26%, 44%, 53%, 67%, and 41%, averaging 40%. This stable underwriting profit provides a safety cushion for navigating capital market volatility, sustaining equity allocations, and maintaining regular dividend payouts.