China Healthcare

China is now seen as a major international market for health insurance. This fact has brought a steady stream of insurance corporations from across the world to Beijing and Shanghai , to take advantage of the increasing wealth and rising profit potential.

The complex cultural environment facing these corporations on their arrival, has resulted in a Many of these companies have no history of working in China and have encountered a myriad of difficulties stemming from the cultural confusion. The difficulties that foreign corporations are having in the Chinese market are readily viewable in the nation's insurance industry which is, for the most part, dominated by Chinese insurance companies.

Currently, China has 135 insurance companies working in and around the country, however foreign corporations and investment only account for 7% of the total Chinese insurance market. This is despite the fact that over 47 insurance organizations located in China are funded by foreign owned entities. Clearly, despite the eagerness of foreign companies to enter the Chinese insurance market they are having significant trouble achieving growth. There have been some exceptions to this trend though. Royal and Sun Alliance, who have a history in China dating back to 1853, have become one of the most successful foreign insurers on the mainland.