With the pension insurance company group life insurance market to competition, many life insurance companies began to worry about the market prospects for development. According to informed sources, the insurance company in the low-price competition in the bidding process have obtain a high percentage of sales middleman costs, has seriously affected the operational effectiveness of the group insurance business. In addition to the international financial crisis, the competition forcing some companies to reduce employee benefits investment, leading to sluggish group insurance market.
Group health insurance for low-price competition and make ends meet, group accident insurance fee is too high and suffered due to profit decline, which makes the insurance companies in developing the group insurance market, because of fear but not from the start.
In fact, Shanghai has, by signing a self-insurance, the way the Convention to contain vicious competition. At present, the Shanghai bank and insurance business vehicle insurance business intermediary fee payments have been standardized.