Shanghai “Hu Hui Bao” faces payout pressure, and some coverage responsibilities will be tightened in 2026

** Caixin.com ** In recent years, Huimin Bao products have quickly become a phenomenon in the insurance industry due to their ultra-low prices and low entry barriers for policyholders. On May 25th, the 2026 Shanghai Huimin Bao "Hu Hui Bao" officially launched enrollment. It has been disclosed that during its first five years of operation, "Hu Hui Bao" has covered over 33 million insured person-times, with total payouts exceeding 3 billion yuan as of the end of April 2025.

Since its launch in 2021, "Hu Hui Bao" has always been the largest domestic Huimin Bao project in terms of insured scale. It is underwritten by Taiping Life Insurance’s chief underwriter and jointly insured by multiple insurance companies. Caixin has learned from industry insiders that the 2025 "Hu Hui Bao" may face certain payout pressures. As of now, before the end of the insurance year and with the coverage period still ongoing until June 30th, the project's payout rate has already reached 96%. If additional costs such as channels and operations are further included, its overall cost ratio is very likely to exceed 100%, which means that the premiums collected that year are insufficient to cover payouts and operational costs, potentially resulting in underwriting losses.