China Life Insurance Co Ltd: Governance Reform, AI Innovation and a New Wave of养老 Services
China Life Insurance Co Ltd (股票代码 601628.SH / 2628.HK) announced a series of strategic moves in the last week of 2025 that underscore its ambition to modernise governance, strengthen its technology capabilities, and deepen its footprint in the rapidly growing Chinese养老 market.
1. Governance streamlining – the abolition of the board of supervisors
At the first extraordinary shareholders’ meeting held on 25 September 2025, the company resolved to discontinue the board of supervisors and to amend its Articles of Association accordingly. The National Financial Supervision and Administration Office (NFSA) approved the amendment on 24 December 2025 (approval reference 金复〔2025〕752号).
Under the new articles, China Life will now operate with a single supervisory board that will combine the functions of the former board of supervisors and the board of directors. This restructuring is expected to reduce administrative overhead, accelerate decision‑making, and align the company’s governance model with best practices in the global insurance sector. The company’s board chair and chief executive officer will retain the authority to appoint independent directors, thereby preserving a robust oversight mechanism.
2. Harnessing artificial intelligence – the inaugural AI‑model competition
In a bid to embed AI at the core of its underwriting and claims processes, China Life launched its first AI‑model competition on 25 December 2025 at the company’s science‑and‑technology park. The event gathered leading data scientists, industry specialists, and academic partners to develop large‑scale language models tailored to the Chinese insurance landscape.
The competition’s objective was to create AI systems capable of simulating complex real‑world scenarios, from fraud detection to personalized product recommendation. By integrating the winning models into its product‑development pipeline, China Life aims to reduce underwriting cycle time by up to 30 % and improve customer experience through more accurate risk profiling.
3. Expanding the养老 ecosystem – a new community in Beijing
China Life has intensified its investment in养老 (senior‑living) services, following a broader industry trend of insurers venturing into “全景养老” (whole‑scene养老). In late December 2025, the company inaugurated the 国寿嘉园 – 北京乐境 community in Chaoyang District, a mixed‑use facility featuring residential units, a wellness centre, and an on‑site medical clinic.
The community, which opened on 25 December 2025, is part of China Life’s “333战略” (三年、三十年、三百年), which envisions a multi‑tier养老 network ranging from high‑end luxury apartments to community‑based care hubs. The company’s Chief Operating Officer, Li Wenshan, emphasized that the new site will serve as a pilot for “轻重结合” investment models, blending large‑scale real‑estate development with lighter, service‑oriented offerings such as home‑based care and digital health platforms.
4. Broader industry context
China Life’s moves come amid a wave of insurer‑led initiatives to embed technology and social‑service diversification. Across the market, firms are deploying AI to streamline underwriting, launching insurance‑backed pension plans, and investing in community‑based养老 facilities that combine housing, health, and leisure services.
The company’s decision to eliminate the board of supervisors is also reflective of a broader regulatory trend in China, where the NFSA and the State Administration of Market Regulation have encouraged simplification of corporate governance structures to foster agility without compromising oversight.
5. Financial snapshot
- Market Capitalisation: HKD 1.3 trillion
- Close (25 Dec 2025): HKD 47.51
- 52‑Week High: HKD 46.94 (24 Dec 2025)
- 52‑Week Low: HKD 12.38 (8 Apr 2025)
- P/E Ratio: 4.27
The company’s valuation remains modest relative to its peer group, a reflection of both the conservative nature of the life‑insurance business and the expectation of growth from its new initiatives in AI and养老.
6. Looking ahead
With governance streamlined, a new AI‑enabled product suite, and a growing network of养老 communities, China Life is positioning itself to capture value from China’s ageing population and from the digital transformation of the insurance industry. The company’s leadership will likely focus on:
- Deploying AI models across underwriting, claims, and customer service channels.
- Expanding the养老 portfolio beyond Beijing to other Tier‑1 and Tier‑2 cities.
- Maintaining robust governance while accelerating decision cycles to stay ahead of competitors.
These steps signal a strategic pivot from a traditional insurance model to a multi‑faceted financial‑services provider, capable of delivering both risk protection and long‑term wealth and wellbeing solutions to Chinese consumers.
