The chairman of the China Insurance Regulatory Commission, Wu Dingfu, has also called on insurers to directly or indirectly invest in the capital market. And to do so as long-term investors, helping to boost consumption and stabilize exports.

The chairman of the China Insurance Regulatory Commission, Wu Dingfu, has also called on insurers to directly or indirectly invest in the capital market.

Wu says 15 percent of insurance funds could be invested in the stock market. Currently, insurance funds have only an eight percent investment in the markets. Wu also proposed that insurance companies expand insurance coverage to include agriculture insurance, as well as insurance on cars and homes. And also include short-term export credit market insurance and individual and collective pension insurance.

Insurers are also encouraged to invest in infrastructure construction relating to transportation, telecommunications and energy, as well as for rural areas. And to do so by buying state bonds, financial bonds and corporate bonds.

(CCTV December 16, 2008)