Juejin “Second Growth Curve”: Ping An China’s Fu Xin Details a Three-Step Strategy for Medical Care and Elderly Care

Ask AI · How can medical and elderly care become Ping An’s second growth curve?

In China Ping An’s strategic ecosystem, medical and elderly care, as a strategic ecosystem alongside comprehensive finance, has become an important part of its narrative structure. This was further emphasized in the 2025 annual report.

Jiangxi Business Daily reporters found that “medical and elderly care” appears throughout China Ping An’s 2025 annual report, mentioned 65 times; the related strategic discussion spans 12 pages, doubling from 2024.

“Medical and elderly care services are accelerating to become Ping An’s second growth curve,” China Ping An stated in the annual report.

How to understand the “second growth curve”? Recently, Ping An’s Vice President and Chief Financial Officer Fu Xin told Yicai that China Ping An’s medical and elderly care strategic development is divided into three stages, currently in the critical period of the second stage. It is expected that in the next two to three years, it will enter the third stage, capable of independently generating light-capital consumption income.

“Three-step” Medical and Elderly Care Strategy

Rising living standards and advances in medical technology have significantly extended the national life expectancy. China is accelerating into an “age of longevity.” According to data from the National Bureau of Statistics, by the end of 2025, the elderly population aged 60 and above in China will reach 320 million; data from the National Health Commission shows that the average life expectancy of Chinese residents in 2025 is 79.25 years. Accompanying this, comprehensive, multi-layered, high-quality medical, health, and elderly care services are becoming an urgent and rigid demand for residents.

“Residents’ wealth and health needs are not independent but complement each other throughout the entire lifecycle,” Fu Xin pointed out the underlying logic of China Ping An’s focus on the medical and elderly care ecosystem. In her view, this is a “long-term, snowballing” track — it meets the social needs under an aging population and can also feedback into the core financial business through ecological synergy.

Fu Xin told reporters that China Ping An’s medical and health strategy is divided into three stages: Stage 1.0 focuses on “service capability coverage and standard establishment,” connecting and standardizing tertiary hospitals, top 100 hospitals, physical examination, and elderly care institutions. “In this stage, its economic value contribution is not very obvious.”

Stage 2.0 is the “key period for empowering core businesses,” enhancing customer stickiness and value contribution through medical and elderly care services. “We are currently in this stage,” Fu Xin said. During this period, there is a significant correlation between customers using medical and elderly care services and their premium profitability.

Annual report data shows that in 2025, China Ping An’s customer retention rate for services within the medical and elderly care ecosystem reached 93%; customers with medical health, home-based elderly care, and high-quality elderly care rights saw new life insurance policies increase by 1.5, 5.2, and 23.4 times respectively; the renewal rate of customers using medical and elderly care services increased by 4 percentage points.

“Stage 3.0 is actually what everyone is more looking forward to. In this stage, we hope the medical and elderly care ecosystem can independently generate light-capital consumption income,” Fu Xin said.

In Fu Xin’s view, the prototype of this stage has already appeared within China Ping An — in 2025, China Ping An’s Peking University Medical Group earned 5.7 billion yuan, and Ping An Good Doctor earned 5.5 billion yuan, totaling over 11 billion yuan. “Although this proportion is still small compared to Ping An’s trillion-level revenue scale, it has shown growth potential,” Fu Xin said.

“We expect the next 2-3 years to be the explosive phase of the medical and elderly care strategy from 2.0 to 3.0, with internal goals to see explosive results by 2028, at which point specific figures will be disclosed.”

Profitability of New Energy Vehicle Insurance to Continue Slight Optimization

Unlike the long cycle of the medical and elderly care ecosystem, the new energy vehicle insurance sector, which has attracted much attention in property insurance, faces more urgent industry-wide challenges.

On March 31, data from the China Actuaries Association and China Banking and Insurance Regulatory Commission showed that by 2025, China’s insurance industry will have underwritten 43.58 million new energy vehicles, with corresponding premium income of 190 billion yuan, providing risk coverage of 159 trillion yuan. Meanwhile, industry underwriting losses reached 5.6 billion yuan, a decrease of 100 million yuan from the previous year, with the combined cost ratio decreasing by 1.3 percentage points year-on-year.

Although there is still some distance from industry-wide profitability in new energy vehicle insurance, leading insurers have already reached the turning point for profitability.

China Ping An disclosed in its 2025 annual report that the entire year’s new energy vehicle insurance business achieved underwriting profit. China Pacific Insurance executives also stated at the earnings release that household new energy vehicle insurance has entered a stable profit zone.

“Making money in new energy vehicle insurance is not ‘brainstorming,’ but about quantifying and modeling every risk factor,” Fu Xin explained when asked by Yicai. The company’s core profit model is based on establishing a “vehicle, road, and person” three-factor pricing system. “For the ‘vehicle’ factor, we cautiously enter the field of new energy commercial vehicles, and build a database of ‘zero-to-claim’ ratios for different models, considering parts prices, repair costs, and vehicle value, prioritizing profitable high-quality models and avoiding combinations with expensive parts and high claim risks; for the ‘person’ factor, we deeply analyze driver behavior, accident records, and credit ratings to accurately identify high-quality and high-risk customers; for the ‘road’ factor, we incorporate LBS geographic data to analyze driving areas and road conditions.”

Looking ahead at the profitability trend of new energy vehicle insurance, Fu Xin believes it will enter a “steady optimization period.” “As actuarial data accumulates and risk control models improve, the comprehensive cost ratio of new energy vehicle insurance will continue to slightly improve, with slight declines in claims and expense ratios, steadily increasing profitability,” she said.

(This article is from Yicai)