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Report Description
The Board of Directors of this Company and all its directors warrant that this Report is
free of any fraud, misleading representation or major omission, and that they shall be
jointly and severally liable for the truthfulness, accuracy and completeness of the
contents hereof.
Period Scope: From January 2015 to December 2015; some information is updated to
the latest actual and feasible date prior to the release of this Report.
Organization Scope: China Life Insurance Company Limited and its branch
organizations.
Release Cycle: Once a year and it will be simultaneously released with the Company’s
annual report. The previous report was released in March 2015.
Compilation Basis: It follows the guidelines of Shanghai Stock Exchange for preparing
the Report on Corporate Fulfillment of Social Responsibility and the “Guiding Opinions
of CIRC on Fulfillment of Corporate Social Responsibility by the Insurance Industry”,
and refers to the Sustainability Reporting Guidelines, Version G3.1 released by Global
Reporting Initiative (GRI).
Related Contents: Refer to the Company’s annual report and internal control evaluation
report simultaneously released.
Information Source: The Company’s internal statistics and public reporting.
Access to Report: Shanghai Stock Exchange www.sse.com.cn
China Life Insurance Company Limited www.e-chinalife.com
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Table of Contents
Message from the Chairman ...................................................................................................... 5
Company Profile ......................................................................................................................... 9
Social Responsibility Strategy and Management ................................................................... 12
Part I Shareholder Responsibility ........................................................................................ 15
I. Realizing Assets Accretion and Steady Return on Investment .............................. 15
II. Continuously Upgrading the Level of Corporate Governance .............................. 16
III. Constantly Reinforcing Internal Control and Risk Management .......................... 18
(I) Pushing Ahead the Construction of Risk Management System ...................... 18
(II) Strengthening Compliance and Operation Management ............................... 18
(III) Building up the Internal Control Awareness of All Employees.................... 19
(IV) Doing Well in Anti-Money Laundering ....................................................... 19
(V) Laying Emphasis on Combating Corruption and Upholding Integrity ......... 20
(VI) Implementing Effective Supervision over Internal Audit ............................ 21
Part II Client Responsibility ................................................................................................. 21
I. Improving Service Quality and Efficiency ................................................................. 21
(I) Enriching Value-Added Services and Increasing Policy Value ....................... 21
(II) Claim Settlement and Payment ..................................................................... 22
(III) Protection of Consumers’ Rights and Interests ............................................ 26
(IV) Optimizing High-End Services and Improving Client Experience .............. 28
(V) Building of Service Abilities ......................................................................... 29
II. Carrying Out Business in Good Faith ....................................................................... 33
III. Carrying on Product Innovation Based on Client Demand ...................................... 34
IV. Electronic Services ................................................................................................... 36
V. Key Performance Indicators for Client Responsibility .............................................. 37
Part III Employee Responsibility ............................................................................................ 38
I. Protecting Employees’ Rights and Interests ............................................................... 38
(I) Remuneration and Benefit .............................................................................. 38
(II) Health and Safety .......................................................................................... 39
(III) Protecting Employees’ Rights and Interests ................................................. 40
II. Caring for Employees’ Growth ................................................................................. 41
(I) Training ........................................................................................................... 41
(II) Work Shift and Exchange .............................................................................. 45
(III) Diversified Promotion Channels .................................................................. 46
III. Fostering Harmonious Working Atmosphere ........................................................... 47
(I) Improving the Sites of Employee Activities and Carrying out Colorful Cultural
and Sports Activities ............................................................................................... 47
(II) Enriching the Helping Activities of the Company and Passing on the Warmth of
the Collective .......................................................................................................... 49
IV. Key Indicators for Employee Responsibility ........................................................... 50
Part IV Partner and Industry Responsibility ......................................................................... 52
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I. Expanding Insurance Business and Serving the Needs of People’s Livelihood ......... 52
(I) Policy-Based Medical Handling Business ...................................................... 52
(II) Major Disease Insurance Business for Urban and Rural Residents............... 53
(III) Petty Insurance ............................................................................................. 54
(IV) Accident Insurance Business for Family Planning Households ................... 54
(V) Accident Insurance for Old People ................................................................ 55
II. Providing Insurance Protection and Career Development Opportunities for
University-Graduate Village Officials ............................................................................... 55
III. Responsible Investment ........................................................................................... 57
IV. Suppliers ................................................................................................................... 58
V. Salespersons and Intermediaries ................................................................................ 59
VI. Win-Win Strategic Cooperative Partnership ............................................................ 59
VII. Supporting Research and Cooperation in the Industry ........................................... 60
Part V Environment and Society ............................................................................................. 61
I. Environmental Protection ........................................................................................... 61
II. Serving Community .................................................................................................. 62
III. Public-Good Donations ............................................................................................ 64
(I) Assisting and Bringing up Orphans in All-Directional Manner ...................... 65
(II) Supporting Educational Cause ...................................................................... 67
(III) Assisting Poverty-Stricken Areas and the Vulnerable Groups ..................... 69
(IV) Showing Loving Care for Families Having Lost Their Single Child........... 70
IV. Volunteer Activities .................................................................................................. 71
GRI Index .................................................................................................................................. 73
Feedback on the Report ............................................................................................................ 78
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Message from the Chairman
“Fulfilling ourselves to benefit others and fulfilling others’ wishes to achieve our
success”. In 2015, under the guidance of the corporate culture and values of the “two
fulfillments”, China Life implemented the guideline of “seizing opportunities, taking
initiative, progressing in stability, and achieving innovative development”, forged ahead,
and achieved speedy, coordinated and balanced development thanks to the high
efficiency brought by our scale and structure. We joined hands with our stakeholders in
bringing the 12th
Five-Year Plan of China Life to a satisfactory end.
The 12th
Five-Year Plan is a period when we responded successfully to the complicated
situation by uniting as one from top down and working hard; a period when we summed
up the experience in following the operational norms of life insurance and using the idea
of “Five Focuses” to seek consensus and promote the adjustment and transition of the
Company; a period when the Company witnessed continuous enhancement of its
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comprehensive strength and social influence, implemented the innovation-driven
development strategy, accumulated strong momentum and laid a solid foundation for
building a first-rate life insurance company of the world; a period when the Company
worked harmoniously with its stakeholders, continuously improved the mode of
sustainable development that ensures both its own growth and its social contributions,
thereby winning more and more extensive respect and recognition.
Over the past five years, we achieved a marked increase in the comprehensive
strength of the Company and brought satisfactory returns to the investors by
overcoming difficulties and working hard to expand business. The sales team
members of the Company for personal insurance channels reached 979,000, 1.4 times
the size in 2010. The Company has continuously increased its total assets so that it is
now the only insurance company with more than CNY2 trillion worth of total assets in
China. Over the past five years, we realized over CNY100 billion of net profits in
accumulation and a two-digit compound annual growth rate in shareholders’ equity. We
have always maintained the solvency above solvency adequacy class II prescribed by
CIRC and kept the corporate credit rating at the same level as the sovereign rating of
China. The Company leads all listed life insurance companies in the world in terms of
market value, and its business management is highly recognized by the capital market.
In 2015, the Company won the title “China Listed Companies Most Respected by
Investors” and “Hong Kong Corporate Governance Excellence Award”.
Over the past five years, we blazed new trails, forged ahead, made remarkable
achievements in the innovation-driven development and provided clients with
constantly enhancing consumption experience. We explored the establishment of an
innovative management mechanism and client service mechanism and achieved notable
results in product innovation by developing, upgrading and transforming some 270
products, including 22 products or portfolio programs that won 28 awards in the
insurance industry, with the products such as cancer insurance, “Xin Ru Yi” and “Xin
Fu Nian” leading the market. We vigorously promoted the construction of a
“technology-oriented China Life”, commissioned Shanghai Data Center that reaches the
highest international standard (T4 standard), effectuated the flattening of our nationwide
network and completed the construction of three operation platforms for preservation,
claim settlement, collection of premium/payment, and made breakthrough in the
application of mobile Internet represented by e-insurance, e-account, e-shop, Cloud
Assistant, Cloud Desktop and Cloud Signs. In 2015, the Company went into
cooperation with the International SOS to launch our global emergency assistance
services and saw further enhancement of service efficiency and quality. The findings of
client survey showed that the overall client satisfaction and loyalty of the Company
registered a year-on-year rise of 1.2 and 4.8 percentage points respectively.
Over the past five years, we have remained people-oriented, placed emphasis on
the grassroots and continuously improved our HR system, thus creating an
excellent growth environment for the employees. We have set up an education and
training system with the characteristics of China Life and completed and put into
operation the research institutes in Shanghai and Chengdu. Each year, we launched
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nearly 50,000 training classes of all types on a corporate-wide basis, with the number of
participants reaching more than 4.5 million person-times. The Company has achieved
the transition “from sporadic to systematic” education and training and promoted the
quality enhancement of its workforce. We created job rotation and exchange
opportunities for the employees, provided them with diversified promotion passages,
carried out a wide range of cultural and sports activities and launched the initiatives of
helping needy employees to form a warm and harmonious team atmosphere. Reflecting
the continuous efforts we made to strengthen the grassroots and implement the policy of
streamlining administration, decentralizing power and giving priority to the grassroots,
we have cumulatively recruited 10,447 university graduates and university-graduate
village officials into the companies at or below prefecture level, completed 360 business
and office housing projects for the grassroots organizations, renovated or improved
2,881 workplaces and set up 290 up-to-standard staff homes. In 2015, the Company
held the first session of its Second Congress of Employees in Beijing to encourage the
employees to take part in democratic management and safeguard their legitimate rights
and interests, thereby basically forming a situation of healthy climate and a team with
soaring morale.
Over the past five years, we served the general economic and social development
and contributed our bit to the improvement of people’s livelihood. In the three years
since the debut of critical illness insurance, the Company has served nearly 400 million
urban and rural residents. Meanwhile, we have cumulatively provided over 300 items of
transactional services for more than 50 million people and realized the wide coverage of
inclusive business, e.g. petty insurance. We filled the gaps in the insurance history of
China through provision of insurance products designed for servicemen, armed police
and police officers and offered insurance products for special groups of the population,
such as the old and members in families implementing birth control, benefitting over 10
million people. We went all out in providing claim settlement and follow-up services to
address major natural disasters and emergencies, such as Yushu earthquake, Zhouqu
mudslide and Tianjin Port explosion, and actively fulfill our insurance responsibility
and humanitarian duties. The Company enthusiastically participated in public welfare
activities and cumulatively donated more than CNY180 million through China Life
Charity Foundation, which was used to support some 1000 orphans and aid the
construction of 129 schools and public health centers (stations). In 2015, the Company
donated an additional CNY36 million to the related authorities through China Life
Charity Foundation, which was used for a number of poverty alleviation projects,
including the project of supporting orphans from the earthquakes that hit Wenchuan and
Yushu, winning favorable comments from all walks of life.
The 13th
Five-Year Plan period is an important opportunity period for China Life to
speed up its development. Under the economic new normal, the insurance industry is
faced with an exceptional opportunity. We will set the right strategic direction, fully
strengthen the building of the Party, persist in focusing on transformation and upgrading
as the mainline, rely on innovation-driven development as the general strategy, follow
the business guideline of “stressing value, strengthening the workforce, optimizing
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structure, stabilizing growth, and preventing risks”, commit ourselves to providing
quality China Life services to the general public, and strive to build a first-rate life
insurance company in the world that benefits its shareholders, satisfies its clients, makes
its employees happy, and pursues win-win outcome with its partners and stakeholders!
Chairman Yang Mingsheng
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Company Profile
China Life Insurance Company Limited (the “Company” or “China Life”) is the
largest life insurance company in China. It is headquartered in Beijing and has a
registered capital of CNY28.265 billion. The Company was listed in New York and
Hong Kong respectively on December 17 and 18, 2003 and was listed on the domestic
A shares market on January 9, 2007. As of December 31, 2015, China Life Insurance
Company Limited and its subsidiaries have total assets of CNY2,448.315 billion,
ranking No.1 in the domestic life insurance industry. The Company has won the trust
from the widest range of customers for its long history, solid financial strength,
industry-leading competitiveness and worldwide reputable brand. It has always
dominated in the domestic life insurance market.
The Company provides both individuals and groups with life insurance, annuity, health
and accident insurance products which cover survival, pension, disease, medical care,
death and disability, and comprehensively meets the needs for insurance protection,
investment and wealth management in the field of personal insurance. As at the end of
this Report period, China Life had 20,936 branches and subsidiaries, 97,607 employees
and 979,000 salespersons nationwide, and had about 216 million effective long-term
individual and group life insurance policies, annuity contracts and long-term health
insurance policies. The Company also provides policies and services of accident
insurance and short-term health insurance for individuals and groups.
The Headquarters Building
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The honors we won in 2015 mainly include:
Appraisal Event Recognition and Honor Awarding Institution
Forbes “Global 2000
Listed Companies” list
2015
China Life ranks No.37 Forbes magazine
Fortune Chinese Version
“Chinese Top 500 List
2015”
China Life ranks No.13 Fortune
Chinese Version
Selection for “2015 Hong
Kong Corporate
Governance Excellence
Award”
Hong Kong Corporate
Governance Excellence Award
The Chamber of Hong Kong Listed
Companies (CHKLC) and the
Center for Corporate Governance
and Financial Policy (CCGFP) of
Hong Kong Baptist University
The 13th China Financial
Billboard 2015
The Most Trusted Life
Insurance Company in 2015
www.hexun.com and China Stock
Exchange Executive Council
(SEEC)
The Gold Medal List of
Chinese Financial
Institutions 2015
Golden Dragon Award 2015:
Best Listed Insurance Company
of the Year
Financial Times
The 2nd Edition Value
Rankings of Chinese
Listed Companies 2015
Chinese Listed Company of the
Year Award 2015
www.sina.com,
www.xinhuanet.com, www.ce.cn,
China Reforms Daily, and Value
Line magazine
The 6th “Golden Tripod
Award” by National
Business Daily
Golden Tripod Award 2015:
Insurance Company with the
Strongest Comprehensive
Strength of the Year
National Business Daily
BrandZ Top 100 Most
Valuable Global Brands
2015
China Life ranks No.62 Millward Brown
2015 Rankings of Asian
Insurance Industry
Competitiveness
Asian Life Insurance Company
of the Year 2015
21st Century Business Herald,
Finance Research Center of 21st
Century Research Institute
2015 China Listed
Companies Most
Respected by Investors
2015 China Top 100 Listed
Companies Most Respected by
Investors
China Association for Public
Companies (CAPCO), China
Securities Investors Protection
Fund (SIPF), Shanghai Stock
Exchange, Shenzhen Stock
Exchange, Asset Management
Association of China (AMAC) and
Securities Times
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2015 Global Contact
Center Awards Program
Global Call Center of the Year
Award 2015
The International Customer
Management Institute (ICMI)
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Social Responsibility Strategy and Management
Our social responsibility concept is in the same strain with our “double fulfilling”
corporate culture, and the core concept of “fulfilling ourselves to benefit others and
fulfilling others’ wishes to achieve our success” contains the following six fundamental
relationships:
“Double fulfilling” relationship between enterprise and clients: mutual trust and
common achievement.
“Double fulfilling” relationship between enterprise and employees and salespersons:
mutual dependence and growing together.
“Double fulfilling” relationship between enterprise and shareholders: interdependence
and common development.
“Double fulfilling” relationship between enterprise and industry: mutual reliance and
common prosperity.
“Double fulfilling” relationship between enterprise and society: mutual support and
common progress.
“Double fulfilling” relationship between enterprise and nation: mutual support and
together making dream come true.
To truly incorporate our social responsibility concept and strategy into our operation
management system, we continued to improve “China Life Social Responsibility
Indicators Management System” in 2015 and incorporated certain core management
indicators into the Company’s performance assessment system.
Case: China Life Social Responsibility Indicators Management System
To genuinely incorporate our social responsibility concept and strategy into the Company’s
operation management system, in 2014, we cooperated with the professional social
responsibility research and consulting institutions, completed the “social responsibility
management improvement” program, and introduced the China Life Social Responsibility
Indicator Management System consisting of 9 level-one indicators, 35 level-two indicators and
119 level-three indicators. We designated special management departments, clarified their
respective management responsibilities, and proposed improvement plans for indicators
showing weak performance.
We are highly concerned about the expectations of our stakeholders, constantly refine
our communication mechanism to increase stakeholders’ involvement, and actively
respond to the stakeholders and improve our work to live up to their expectations.
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Stakeholders Stakeholders’
Expectations
Ways of
Communication with
Stakeholders
Measures for Response to
Stakeholders’ Expectations
State
Abide by various
laws and regulations
and related policies;
increase employment
opportunities; pay
taxes according to
law; and achieve
steady development
Participate in relevant
meetings and forums;
study relevant policies
and laws and regulations;
provide reporting
documents.
Respond to national
economic and financial
policies; support public
welfare and charity
activities; pay taxes
according to law; and
actively create employment
opportunities.
Regulatory
Body
Operate in
compliance with rules
and regulations;
guard against risks;
safeguard fair
competition
environment; make
positive contributions
to the overall
development of the
industry.
Participate in various
meetings and research
projects of regulatory
bodies; provide reporting
documents; furnish
special reports; support
regulatory bodies to
investigate and carry out
stakeholders survey.
Operate according to law and
in good faith; submit
information in a timely and
accurate manner; render
support to and cooperate
with regulatory bodies;
actively participate in
formulating industry
standards and norms.
Shareholder
Constantly improve
the Company’s value;
achieve reasonable
earnings; disclosure
information in a
timely, accurate and
comprehensive
manner.
Communicate via
shareholders’ meetings,
regular reports,
roadshows, investors’
visits, news conferences,
analyst meetings, media
reports, and “Global
Open Day” event;
arrange investors and
analysts to conduct
investigation at our
branch organizations and
carry out stakeholders
survey.
Implement strict risk control;
constantly improve corporate
governance structure and
upgrade governance level;
constantly enhance investor
relations management; and
constantly increase
transparency in information
disclosure.
Client
Good-faith and
high-quality services;
abundant insurance
products; and
protection of the
clients’ rights and
interests.
Return visits to clients;
short messages via
“China Life Messenger”;
unique client service
activities; client
satisfaction survey;
product explanation
meetings; and handling of
Constantly improve service
quality and efficiency; push
ahead continuous product
innovation; and raise the
level of client satisfaction.
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clients’ complaints.
Employee
Stable employment;
good remuneration
and welfare; active
communication
mechanism; and
sound development
prospect.
Employees’ congress;
trade union organization;
employees’ symposium;
President’s mailbox; and
employees satisfaction
survey.
Pay attention to employees’
health and safety; hold
various entertainment and
sports activities; protect the
trade union’s rights and
interests in carrying out
democratic management;
provide job opportunities and
skills training; establish the
mechanism for work shift
and two-way choice of posts;
and establish a fair
promotion system and
incentive mechanism.
Community
Effectively utilize
community resources;
promote local
economic
development;
participate in
community
public-good
activities; and help
vulnerable groups.
Hold the “China Life
Lecture Hall” lectures;
publicize financial
knowledge; provide
community services by
the Company’s
volunteers; and visit the
schools constructed with
China Life’s donations.
Be concerned about and
support local economic and
community development;
unfold mutual benefit
cooperation with local
governments and
communities; conduct
financial education;
participate in volunteer
activities; and carry out
charity donations through
China Life Charity
Foundation.
Partner
Good faith and
mutual benefit,
cooperation and
win-win results.
Conduct informal
day-to-day
communication; enter
into cooperation
agreements; hold
salespersons’ morning
meetings, symposiums,
special investigations and
lectures; and conduct
stakeholders survey.
Share resources and
complement each other with
their respective advantages;
take innovative steps in the
field and modes of
cooperation; maintain good
cooperative relationship; and
care for the salespersons’
physical and psychological
health and growth.
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Part I Shareholder Responsibility
I. Realizing Assets Accretion and Steady Return on Investment
Our Company has adhered to the corporate cultural concept of “fulfilling ourselves to
benefit others and fulfilling others’ wishes to achieve our success”, actively explored the
road of scientific development with the characteristics of China Life, vigorously
implemented the innovation-driven development strategy, and made efforts to realize
value preservation and accretion of State-owned assets and maximize shareholders’
interests.
In 2015, faced with complex business environment and fierce competition in the
financial and insurance markets, under the guidance of the strategic direction of the
Group Company, i.e. “seizing opportunities, taking initiative, progressing in stability,
achieving innovative development”, we vigorously carried out the “Five Focuses”
development strategy and followed the business guideline of “stressing value,
strengthening the workforce, optimizing structure, stabilizing growth, preventing risks”.
We made steady progress in business development, notably optimized the business
structure, remarkably increased the value of new business operations, and maintained
our leading position in the life insurance market.
During this Report period, the operating income of our Company was CNY511.367
billion, a year-on-year growth of 14.7%; as at the end of the Report period, our total
assets reached CNY2448.315 billion, an increase of 9.0% from the end of 2014. During
the Report period, the net profits attributable to the shareholders of the parent company
were CNY34.699 billion, a year-on-year growth of 7.7%; and the EPS (basic and
diluted) was CNY1.22, a year-on-year growth of 7.1%.
In 2015, our Company earned CNY362.301 billion of insurance premiums, a
year-on-year growth of 9.8%, and had a market share of 23%.
In 2015, our Company distributed a total dividend of CNY11.871 billion, providing the
investors with continuous return on investment.
In 2015, faced with the complex and volatile domestic and foreign economic situation
and environment of the capital market, the Company responded actively, focused on
strengthening the capability of asset allocation, continuously promoted the
diversification of portfolio and avenues. In investment management, a management
architecture has gradually taken shape, which is based on the asset allocation that
reflects the core value and operation characteristics of life insurance, relies on
diversified and market-oriented investment means, features the active allocation and
coordinated deployment by clients as well as the organization and implementation by
investment managers. In terms of investment portfolio, we have appropriately increased
the risk exposure of equity assets and intensified the allocation of alternative assets, e.g.
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other financial products and unlisted equities. Meanwhile, we promoted overseas
investment in all varieties and made breakthroughs both in the open market and the field
of alternative investment. As at the end of this Report period, the investment assets of
our Company reached CNY2,287.800 billion, an increase of 8.9% from the end of 2014.
During the Report period, our rate of return on net investment was 4.3% and the rate of
return on total investment was 6.24%.
Table for Main Financial Data in 2013-2015
Unit: CNY million
2013 2014 2015
Operating
income 423,613 445,773 511,367
Total assets 1,972,941 2,246,567 2,448,315
Investment assets 1,848,744 2,100,954 2,287,800
Net profits
attributable to
shareholders of
parent company
24,765 32,211 34,699
EPS (basic and
diluted) (CNY) 0.88 1.14 1.22
II. Continuously Upgrading the Level of Corporate Governance
As a company triple-listed in New York, Hong Kong and Shanghai, we have taken it as
our core goal to set up a corporate governance system featuring reasonable structure,
sound mechanism, rigid rules and efficient operation, constantly pushed ahead the
construction of corporate governance, strictly performed information disclosure
obligations, continuously increased corporate transparency, actively served the vast
number of investors, and thus shaped the corporate governance system with our own
unique characteristics. The Company’s corporate governance structure is as follows:
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In 2015, our Company conscientiously performed all the corporate governance
procedures in strict accordance with the requirements of relevant laws, regulations,
regulatory provisions and the articles of association and rules of procedure. The general
meeting of shareholders deliberated the reports of the Board of Directors and the Board
of Supervisors and the proposals such as profit distribution plan. The Company
arranged network voting to provide convenience for small and medium shareholders to
participate in the voting and effectively protected the rights and interests of shareholders,
particularly the small and medium ones. The Board of Directors operated efficiently and
made decisions scientifically, and its special committees performed important duties and
effectively played professional roles in the Company’s internal financial control and
audit, nomination and remuneration, strategy and investment, risk management and
other important aspects. The Board of Supervisors actively performed its powers and
duties. The supervisors attended the general meeting of shareholders and the meetings
of the Board of Supervisors, attended the meetings of the Board of Directors as
nonvoting delegates, and based on their division of labor, attended the meetings of the
special committees of the Board of Directors as nonvoting delegates and
conscientiously performed their function of supervision.
Our Company has strictly followed the regulatory provisions of the listing exchanges,
constantly enhanced the building of our information disclosure system, and conducted
training and learning with respect to regulatory rules, in particular revisions and updates
of such regulatory rules made from time to time, in order to ensure lawful disclosure of
information; continuously upgraded the quality and transparency of information
disclosure, pushed forward the innovation on regular reports, fully considered the
information needs of shareholders and investors, actively studied and improved the way
of disclosing core information, enriched and deepened the contents of disclosure, and
improved the readability of regular reports; and continuously strengthened the
communication with capital market and actively and prudently announced the
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Company’s business result forecast and other important matters to ensure that the
corporate information can be made available to the shareholders and investors in a
timely, accurate and complete manner.
Our Company has won social recognition for its efforts to continuously upgrade its
corporate governance practices, enhance the transparency of information disclosure and
constantly improve investor relations. It won “2015 China Top 100 Listed Companies
Most Respected by Investors” honors given by China Association for Public Companies
(CAPCO). In the “Hong Kong Corporate Governance Excellence Awards 2015” jointly
organized by the Chamber of Hong Kong Listed Companies (CHKLC) and the Center
for Corporate Governance and Financial Policy (CCGFP) of Hong Kong Baptist
University, China Life won the Hong Kong Corporate Governance Excellence Award in
the category for Hang Seng Index constituent companies and was the only H-share
insurance company gaining such honor.
III. Constantly Reinforcing Internal Control and Risk Management
As a large financial enterprise, the importance of steady development has already
surpassed the enterprise itself and become a big issue that has a bearing on the overall
situation of industrial and economic development. In 2015, the Company continued to
follow the regulatory requirements, kept close watch on our risk-bearing bottom line,
worked hard to strike a balance between capital, scale, risks and earnings. We combed
through the major business processes to screen out the potential risks existing in the
everyday business management of the Company, track and redress the prominent
problems and maintain the sustainable and healthy development of the Company.
(I) Pushing Ahead the Construction of Risk Management System
In light of the relevant regulatory requirements of CIRC regarding implementation of
China Risk Oriented Solvency System (C-ROSS), the Company amended its
“Regulations on Total Risk Management” and the “Measures for Management of Risk
Appetite System” to further strengthen its risk control and standardize its efforts in the
regard. We formulated the “Measures for Management of Investment Risks” to ensure
the safety, profitability and liquidity of our assets, standardize our investment behaviors,
and prevent and defuse investment risks.
In accordance with the “Internal Control --- Integrated Framework (2013)” issued by the
Committee of Sponsoring Organizations of the Treadway Commission (i.e. COSO), the
Company conducted benchmarking conversion of its internal control system and
aligned it with the international internal control framework through such steps as studies
and preparations, drafting of plans and benchmarking conversion to meet the regulatory
requirements of the place where it is listed.
(II) Strengthening Compliance and Operation Management
In 2015, the Company organized the special inspection of “two enhancements and two
containments” as required by CIRC. The inspection covered corporate governance,
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business operations, utilization of funds, financial management, solvency management,
protection of consumers’ rights and interests, security of information system and case
control. The Company drew up self-check plans and manuscripts and launched the
full-scale self-check involving the organizations at the four levels of the head office,
provinces, cities and counties. We made plans to carry out onsite supervision and
random inspection of lower-level companies, submitted inspection reports in a timely
manner and accepted onsite inspections by CIRC. Through this special inspection, the
companies at all levels thoroughly sorted out the business processes, made
comprehensive verification of the risks existing in their business management and
corrected the existing problems, thereby leading to further improvement in the
implementation of the Company’s systems.
Besides, we closely monitor and evaluate the laws and regulations promulgated from
time to time by the external regulatory authorities to provide support for the law-based
operations and management of the Company; launched multi-level and
multi-dimensional compliance publicity and training in light of the reality of the
Company to help and push the employees and marketing staff to build up a solid
business idea of operating according to law; held training classes in legal compliance
practice and the capability of responding to lawsuit for the legal personnel of the
branches, with focus on courses such as “Compliance Risk Management of Insurance
Companies and Analysis of the Key Points of Audit” and “A Look at the Corporate
Lawsuit Management Practice and Relevant Issues”, effectively improving the quality
of the legal compliance staff, including their understanding of relevant laws, regulations
and line system as well as their skills of responding to cases.
(III) Building up the Internal Control Awareness of All Employees
The Company amended its “2015 Implementation Manual of Internal Control”,
formulated the “Plan for Implementation of Internal Control Standard in 2015” and
continuously conducted the implementation of its internal control standard. We issued
the “Implementation Manual for Internal Control Standard” to every post; held the
publicity and training meetings thereof in the functional departments and grassroots
units. The Company organized trainings and tests on internal control knowledge and
incorporated such trainings and tests in the employees’ standard training system as a
compulsory requirement for all employees, thus causing all employees to consciously
get involved in the work of internal control management and enhance their awareness
about internal control. Additionally, the Company amended the “Measures for
Management of Internal Control” in light of the internal control management practices
in the recent three years to further meet the external regulatory requirements and
strengthen the internal applicability of the system.
(IV) Doing Well in Anti-Money Laundering
In 2015, our Company actively performed the anti-money laundering duties and
implemented the regulatory requirements. We revised the Measures for Management of
Anti-Money Laundering Work, the Measure for Risk Assessment of Laundering and
Terrorist Financing and Classified Management of Clients, and the Rules on
Management of Anti-Money Laundering Work in Relation to Identification of Client’s
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Identity and Preservation of Client’s Identity Data and Trading Records in an attempt to
further improve the Company’s internal control system for anti-money laundering
according to the regulatory requirements and our actual conditions. The Company made
endeavors to do a good job in identifying client’s identity, preserving their identity data
and trading records, classifying their money laundering risk grades, and reporting
large-amount and suspicious transactions. The Company actively conducted anti-money
laundering publicity activities via WeChat and other on-line means.
(V) Laying Emphasis on Combating Corruption and Upholding Integrity
In 2015, our Company widely conducted the education on combating corruption and
upholding integrity; strictly supervised the implementation of the CPC Central
Committee’s eight-point code to cut bureaucracy and maintain close ties with the people;
resolutely corrected the “four problematic leadership styles”; and conducted the ideal,
belief and tenet education themed “For the People, Be Practical and Upright”
corporate-wide among the Party members and cadres. We publicized positive models
and circulated notices of negative cases by leveraging the website of the Company and
the display boards in workplaces; invited experts to give lectures and organized visits to
the exemplary sites of incorruption to further intensify the consciousness about aim and
sense of discipline among Party members and cadres. We conducted supervision and
inspection, including all-round self-check and self-correction of the implementation of
the Eight Rules of the CPC Central Committee that cover office occupancy, business
cars, extravagance and waste, consumption using public funds, ensuring full reach
without any exceptions. We carried out examinations and inspection tours that centered
on the implementation of the Eight Rules, and upheld the requirements of “Four
Endeavors” with focus on improving the conduct of the Party and building a clean
government. The Company has included in the essential content of supervision and
inspection problems in the appointment or removal of cadres, intervention in centralized
procurement, consumption using public funds and other matters that have drawn strong
complaints from the general employees, broadened the channels and avenues of
discovering problems, went to the grassroots and field to discover problems, valued the
method of finding out about problems from the cadres who have resigned from leading
position, general employees and marketing staff, persisted in the thorough investigation
into the problems of “Four Malpractices” and violation of the Eight Rules, named the
wrongdoers in notices for all the problems verified through investigations, and used
pre-appointment talks and reminding talks to urge and alert those concerned in order to
put them always on guard.
The Discipline Inspection Committee of the Company intensified its corporate-wide
efforts to conduct direct investigations into major cases and important complaint letters,
provided more guidance to the branches in respect of the cases and complaint letters that
they were responsible for verifying, and standardized the management of cases and
complaint letters. It has persisted in the timely notification of typical cases as a means
of warning education, and adopted the approaches of case-by-case summing up and
regular analysis of cases. It has provided the related departments with suggestions on
improvement of systems and regulations in the form of supervisory proposal to stop up
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the loopholes in business management, and communicated the results of the cases
handled by the Company on a corporate-wide basis to remind the business units at all
levels to pay attention to similar risks and facilitating the normalized monitoring of the
risk points.
(VI) Implementing Effective Supervision over Internal Audit
In 2015, the internal audit department of the Company persisted in using risks as
orientation and value as objective, made innovations in methods, widened the scope of
audit and solidly carried out audits. In the year, it completed 11 audit projects. To make
full use of the audit results and explore and improve the working mechanism of the
Company for correcting the problems found in audit, we conducted the screening of
audit risks on a corporate-wide basis, strengthened the integrated risk control
mechanism featuring “investigation, correction and prevention”, enhanced the level of
risk prevention within the Company. While making a good job of the audit projects, we
cooperated with the National Audit Office in its audit by making active communications
and timely response, thus ensuring the smooth progress of the audit team from the
National Audit Office in its audit of the Company.
Part II Client Responsibility
I. Improving Service Quality and Efficiency
Our Company adheres to the professional and sincere client service concept and relies
on our nationwide urban and rural service network to commit ourselves to make our
clients enjoy high-quality, all-dimensional and in-depth considerate services.
(I) Enriching Value-Added Services and Increasing Policy Value
In 2007, our Company began to launch the “China Life 1+N” services, that is, multiple
services for each client, including multiple policy services and a variety of value-added
services. In 2015, the Company formally teamed up with the International SOS to
launch its global emergency assistance services, the scope of which effectively covers
70 million long-term policy holders, to provide the clients at various levels with
emergency rescue, health advice, VIP care and other value-added services of different
content at different levels. Meanwhile, we continued to conduct “China Life 1+N”
value-added services by centering on the five segments, i.e. “Good Health Helper”,
“China Life Lecture Hall”, “China Life Special Offer”, “China Life Messenger” and
“Unique Client Service Activities’.
1. Good Health Helper: Providing high-end clients with such services as health
experience, medical instruction, outpatient instruction and appointment register.
2. China Life Lecture Hall: Providing the clients with a series of lectures on health
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care, investment and wealth management, common sense of life, children education
and safety education.
3. China Life Special Offer: We have over 7,000 engaged service merchants
scattering all over the country, covering every aspect of life, including “medicine”,
“food”, “housing”, “travelling”, “playing” and “necessities”, to provide the clients
with a rich variety of discounts, rewards and comprehensive and considerate
services at special offers.
4. China Life Messenger: Sending various kinds of short messages on health care,
festival greetings, wealth management information and policy services to all the
clients to keep them informed of their policy status at all times.
5. Unique Client Service Activities: Providing the clients with unique client service
activities including June 16 China Life Client Festival, a series of client service
activities themed “Joining Hands with China Life with Focus on Filial Duties and
Benefaction”, and the fifth children’s drawing event.
(II) Claim Settlement and Payment
Centered on the clients and based on professional claim settlement, our Company
adheres to the principle of “active, timely, accurate and reasonable” claim settlement,
cares for the clients’ experience, aims to enrich the service contents and strives to
realize “convenient, rapid and transparent settlement”.
1. Further Pushing Ahead the Construction of Systems and Mechanisms to
Continuously Upgrade Service Quality of Claim Settlement
In 2015, the Company strictly honored its service commitment, kept on optimizing the
claim settlement process, strengthened the building of mechanism, improved and
innovated service initiatives, claim settlement commitments and emergency
compensation. Relying on information technology, we applied a new claim settlement
operation platform that fully supports the establishment of a smart claim settlement
mechanism, experimented with direct payment for claim settlement, further improved
the efficiency of claim settlement, increased service transparency and enhanced the
services for insurance policies. In 2015, the rate of claim settlement within 5 days
corporate-wide was 98.48%, a year-on-year increase of 4.48%. According to the client
satisfaction survey conducted by a third-party survey institution, our claim settlement
services have continuously received favorable comments. In 2015, China Life received
a mark of 8.7 in the clients’ satisfaction with the Company’s claim settlement services.
Measures for Upgrading Service Quality of Claim Settlement in 2015
Pushing ahead the
construction of
intelligent claim
Completed the all-round promotion of smart claim settlement. The
Company refined and summed up the simple manual operation of claim
settlement, formed the operation rule system, established the intelligent
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settlement
mechanism
mechanism and through the measures such as outsourcing of simple
operations, realized the whole-process automatic handling of the accepted
cases. By popularizing and operating such mechanism, we shortened the
time for claim settlement, harmonized the operation standards, enhanced
the settlement transparency, provided clients with the functions of
inquiring about and printing the details of adjustment, enabling the clients
to understand the detailed process of compensation.
Implementing
whole-process
smart adjustment
and unified the
regional adjustment
standard
Extensively collected the special liabilities for group insurance,
substantially optimized the contract setting functions of the system,
completed the setting of liabilities of 2,329 card-book combinations and
1.97 million group insurance policies on a corporate-wide basis, realizing
the smart adjustment and risk judgment of medical insurance
compensation cases in the order of magnitude of million. The
standardized smart adjustment rules led to unified adjustment standard
and enhanced service experience of clients.
Setting up the
outsourcing mode
of claim settlement
Corporate-wide, a total of 24 branches have outsourced the input of claim
settlement cases, with the number of cases reaching 636,400 in the year.
The “smart claim settlement + outsourcing” mode has been used to
effectively shorten the time for claim settlement.
Successfully
experimenting with
the direct payment
of claim settlement
On the basis of smart claim settlement, experiment was made to link up
internal and external data so that a client will receive compensation
immediately after being released from hospital. We provide the “4-no”
claim settlement service, meaning “no application, no presence at the
counter, no information and no wait”.
Completing the
development of
WeChat claim
settlement
Six major functions were created, i.e. individual case reporting, batch
reporting, inquiry about claim settlement, service consulting, operation
demonstration, instructions for claim settlement. Through a handheld
smart device, a client or salesperson can log onto the WeChat self-service
claim settlement for case reporting, upload the photographed information
and inquire about the progress of claim settlement. Through WeChat
claim settlement, the Company can quickly respond to the report and
application of clients and make rapid compensation for petty
compensation cases of low risks.
2. Promoting Mobile Claim Settlement to Meet the Demand of Rural Consumers
for Claim Settlement
To address the difficulty and long time in receiving the claim settlement service of rural
outlets, the Company experimented with mobile claim settlement service in 2015 in six
provinces, including Sichuan and Guangdong, through Internet applications. Firstly, the
process became independent of intermediary so that all compensation cases go through
the 4G rural network and whole-process imaging for direct flow to the back office for
treatment to link up seamlessly with smart claim settlement and close low-risk
compensation cases on a real-time basis. Secondly, timeliness was improved effectively.
Take Sichuan Branch for example. It now takes only two days to complete the process
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from acceptance of claim at an outlet to payment of compensation, shortening the
service duration by 15 days. Thirdly, clients’ experience was enhanced. In addition to
improved timeliness, rural clients need no longer to submit application information at
various counters and can enjoy more convenient service. During the experiment made
by Sichuan Branch, 20% clients were interviewed randomly and showed 100%
acceptance thereof, proving the great convenience made available to clients.
3. Timely Responding to Major Emergencies and Constantly Improving
Emergency Management Mechanism
In 2015, confronted with 18 tier-1 emergent and major accidents including the stampede
event in Shanghai, the plane crash of TransAsia Airways in Taiwan, the sinking of
cruise ship Oriental Star on the Yangtze River, and the massive explosion in Tianjin, the
Company adhered to the principle of unified leadership, level-to-level responsibility,
timely response, adequate measures and reinforced cooperation, and launched the
emergency response mechanism from the very first moment. Through the joint action of
Head Office and branches, we actively cooperated with the government to carry on the
rescue and relief work, opened the green channel for rapid claim settlement and went
deep into the forefront to provide high-quality and efficient settlement services, thus
making positive contributions to protect the production and livelihood of the people
affected by dangers and disasters. In this process, we also accumulated extensive
experience in dealing with major sudden events, constantly improved the mechanism
and process for dealing with such events, enriched the contents of the emergency plan,
enhanced the scientificity and operability of the emergency plan, and upgraded the
ability of rapid response to claim settlement and the capability of flexible handling and
information sharing.
Case 1: Claim settlement for “6·1” sunken
Oriental Star
On June 1, 2015, the passenger liner “Oriental
Star” capsized and sunk in Hubei Province. On
the day the accident occurred, the Company
activated its plan for class-1 major emergency
and started to provide claim settlement services.
During the handling of the accident, the Company responded actively to the work requirements
posed by the State Council and CIRC and set up a special workgroup of claim settlement
headed by President Lin Dairen as leader and Vice President Xu Hengping as deputy leader,
which made all-round arrangements for client identification, consolation of victims’ family
members and payment of claims.
1. Effective organization and joint action
On the morning of June 1, the Company set up a special workgroup immediately after learning
about the accident, with the Head Office as command center, Hubei Provincial Branch as onsite
service center and other provincial branches as service outlets of claim settlement. The
Company established a joint action working mechanism involving multiple provinces, put staff
members on 24-hour duty and launched client identification. Under the arrangement of the
Head Office, Hubei Provincial Branch set up its own workgroup in the early morning and sent
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it to the scene to cooperate with the local government in the onsite rescue and claim settlement
service.
2. Quick response and timely verification
On June 2, the Company issued the Notice on the Claim Settlement Service for the Shipwreck
Accident of “Oriental Star”, which clarified the work requirements for claim settlement,
released 17 commitments in respect of claim settlement service and made arrangements for
client identification. The branches at all levels worked closely in joint action, defied the
difficulties, collected passenger information through various channels, including the media, and
promptly carried out the verification of underwriting information. On the afternoon of the day,
72 passengers were identified as our clients and reported to CIRC.
3. Reliance on the government and provision of active services
In the early morning of June 2, the claim settlement workgroup of the Company arrived at the
scene of the accident for claim settlement. During the handling of the accident, we approached
the local government on our own initiative, obeyed its deployment and took an active part in
disaster relief and consolation of clients. Under the arrangement of the government, the
Company undertook the reception of the family members of four passengers from Zhenjiang,
Jiangsu Province. The Company promptly set up a client consolation workgroup, which
received the members carefully, gave them mental comfort, provided onsite accompaniment
and assisted them in the identification of the victims. When they left, the members came to our
Jianli Branch in Hubei Province with a silk banner and letter of gratitude.
4. Formulation of plan and optimization of measures
As required by the CIRC meeting, the Company issued on June 15 the Guiding Opinions on
Further Improving the Claim Settlement Service for the Capsizing and Sinking Accident of the
Cruise Ship “Oriental Star” (the “Opinions”) and drew up a working plan to make unified
arrangements for the subsequent handling of claim settlement. The Opinions required all
branches to verify client information again on the basis of the list provided by CIRC, further
optimized the service initiatives, and set out 15 items of claim settlement services in 4
categories for implementation by the related branches earnestly in order to ensure the smooth
going of the claim settlement work.
The Company strictly met the “4 persistences” requirements posed by Vice Chairman Huang
Hong of CIRC for the claim settlement service, i.e. “persist in humanistic care, persist in
enterprise spirit, persist in giving foremost consideration to the overall situation, persist in
professional operations”, and conscientiously completed the claim settlement work under the
tenet of making all compensations for claims within the scope of contract liability and making
all possible ex-gratia payments.
Case 2: Claim settlement for “8·12” explosion accident in Tianjin
On the evening of August 12, 2015, an explosion devastated the dangerous goods warehouse of
Ruihai Company in Binhai New District, Tianjin. After the accident, the Head Office and
Tianjin Branch went into joint action effectively and quickly launched claim settlement service.
1. Making resolute decisions to rapidly launch emergency plan for claim settlement.
Faced with the unexpected disaster, the whole Company responded rapidly. President Lin
Dairen and Vice President Xu Hengping gave instructions at the first moment, demanding the
rapid settlement of claims to bring into full play the protection role of insurance. The Company
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launched the emergency plan in the early morning on the very next day of the accident and set
up a claim settlement working group, which arrived at the disaster area to comprehensively
carry out disaster relief and claim settlement service work.
2. Taking swift action to highlight China Life’s claim settlement service brand
The Company braced up from top down, acted quickly, overcame difficulties and set some
records of the industry, winning high recognition from the local government departments,
different social circles, news media and the general public. Firstly, we established the working
mechanism for the joint action of the Head Office and branches, set up a claim settlement
workgroup, and provided immediate guidance for the branches in identification of clients,
consolation of family members and payment for claim settlement. On the second day of the
disaster, 16 surveyors together with 9 survey cars were sent to the scene and 12 hospitals for
investigation and field identification, obtaining some 600 pieces of information from the injured
and laying a solid foundation for the claim settlement service. Secondly, we became the first to
open a green passage, released our “10 Commitments Regarding Claim Settlement Service for
the 8.12 Tianjin Explosion” to handle special cases with special methods, rolled out 24-hour
claim settlement service, took a number of service measures, e.g. reduction or remittance of
death information, cancellation of disability observation period and extension of the duration of
insurance liability, and promptly built a fast passage of claim settlement to ensure that every
organ within the Company would provide timely and quality service for the clients. Thirdly, we
became the first to honor the commitment to the death benefit payment for the police officers
and firefighters who lost their lives in the disaster relief efforts.
3. Emergency relief effort demonstrating China Life’s social responsibility
After the occurrence of the disaster, the Company shouldered both its insurance liability and its
social responsibility and quickly contacted the disaster-stricken enterprises to find out about
their needs and provide assistance. We also prepared materials to meet the actual needs of some
of these enterprises. In Binhai New District, our employees and sales teams quickly threw
themselves into the services on the site of the accident in the capacity of volunteers. At the
critical moments of the disaster relief efforts, some 100 volunteers worked hard continuously in
hospitals and on relocation sites, including some employees and sales partners who donated
money, goods and blood. They provided the relocation sites with water, drugs, clothes and cool
mats, fully exhibiting the love-sowing spirit of life insurance practitioners and their readiness to
assume liability in face of catastrophic disasters.
Shortcomings and Improvement Plan
Although the Company ranks in the front of the industry in terms of time efficiency of
claim settlement services, it still has room for further improvement. In 2016, the
Company will focus on the three levels of specialization, individualization and mobile
service, use high-tech means and new thinking mode to create new services, steadily
boost the direct payment for claim settlement and mobile service, continuously optimize
smart claim settlement, enhance the technological content of claim settlement service,
and provide the clients with more convenient, rapid and transparent claim settlement
services in a bid to further improve client satisfaction.
(III) Protection of Consumers’ Rights and Interests
We have established the working mechanism for the protection of consumers’ rights and
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interests, constantly optimized various management measures and intensified
assessment and supervision to actively protect the lawful rights and interests of
insurance consumers.
1. Actively Safeguarding Consumers’ Lawful Rights and Interests and Organizing
Various Activities
During the period of “March 15” in 2015, the Company organized publicity activities on
a corporate-wide basis. By holding contests aimed at popularizing insurance knowledge,
implementation of the General Manager Reception Day and offering consulting services
to our clients, we held 1,707 such publicity and consulting activities of various kinds
and 950 activities during General Manager Reception Day, and received 3,346 clients.
With the help of various value-added service activities, clients’ symposiums, China Life
Lecture Hall, and new media like WeChat and Weibo we widely publicized the
insurance knowledge and strengthened the education on insurance consumers.
2. Strengthening the workforce and improving complaint handling mechanism and
standard
In 2015, to further improve the quality of client complaint management, intensify the
complaint reception and handling ability and professional skills of the Company’s
service windows and strengthening the workforce, the Company revised its “Complaint
Management Measures”, drew up the “Provisional Measures for Handling Client
Complaints and Serious Emergency” and compiled the “Working Manual for Handling
Client Complaints”, providing the field service personnel of the whole Company with
standardized guidance in business operations and services. We also launched a
corporate-wide self-check in relation to the establishment of the system for handling
insurance consumption, the control over complaint handling and the regulations-based
handling of complaints and held special video conferences to intensify the supervision
of the rectification made by the institutions at all levels. In 2015, we accepted 7,000
client complaints corporate-wide, chalking up a year-on-year drop of 14%, with no
systematic risks.
3. Continuously Upgrading the Company’s Service Quality and Conducting Client
Satisfaction Survey
In 2015, we continued to work with third-party professional investigation organizations
in carrying out client service satisfaction surveys. The content of the survey focused on
clients’ experiences at the service outlets of the Company and included six
questionnaires on general service, claim settlement service, insurance policy service,
client service management center, VIP value-added service and complaint service
respectively. In 2015, the overall satisfaction score was 8.8 points, which was 1.15%
higher than the previous year and marked the fourth consecutive year of rise.
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Shortcomings and Improvement Plan
The ability of complaint management and control needs to be further strengthened, and
the quality and efficiency of complaint handling still need to be further upgraded.
(IV) Optimizing High-End Services and Improving Client Experience
It has been the goal of our Company to make unremitting efforts to provide VIP clients
with high-quality, all-dimensional and in-depth services. We have established the
differentiated service system and constantly innovated on the service contents and
upgraded service quality, striving to provide the clients with convenient and noble
service experience.
In 2015, the Company provided VIP clients with two types of services: basic service
and value-added service related to insurance policies. The former includes the counter
priority for VIP clients (including the reception room and green passage for VIP clients)
and priority calls; the latter includes international travel assistance, global medical
assistance, 12-hour health
hotline, global private
concierge privilege, free
high-end health check,
preferences from engaged
merchants, birthday
(holiday) blessing, special
activities for VIP clients
and donation of VIP special
issues. In addition, some branches provide VIP clients with bank safe, gift accident
insurance, appointment with doctors and guided consultation with doctors.
Case: Global Emergency Assistance and VIP Care Service of China Life
In 2015, the Company adhered to the service idea of “good faith, client foremost” in creating a
platform of global emergency assistance and VIP care service for all clients. Starting from June,
the platform provided the clients of China Life with a series of considerate services, including
medical assistance in global travel, health management and private concierge privilege.
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For the clients of China Life who go on business often, professional healthcare and timely
emergency assistance are particularly important. When they run
into an accident or fall ill away from home, the global travel
medical assistance service provided by the VIP care service team
of China Life can span territory, time and the boundaries of mind
to put up a protective umbrella of life in the moment of crisis and
provide timely and effective help as if the clients had a doctor
beside them.
The VIP care service team of China Life has the most
comprehensive life care experience, the resources of the most
considerate home services and the high-end experience resources
in the world. The professional teams around the globe go all out to
create unique experience for clients, e.g. customized travel, hotel,
food, purchase of luxuries, studying abroad and entertainment
shows, in a bid to satisfy the full array of individualized needs of clients and support their
indefatigable pursuit of a quality life.
Furthermore, the Company provides clients with 12-hour domestic health hotline service
through experienced doctors who answer any questions raised by clients and their family
members and provide them with the most considerate care.
Shortcomings and Improvement Plan
The nationwide VIP client service standards need to be made consistent and resources
need to be further integrated. In 2016, our Company will, by strengthening the overall
management and control around the country, further unify the service standards for
high-end clients, highlight the rapidness and convenience of basic policy services and
optimize the value and attractiveness of value-added services.
(V) Building of Service Abilities
Our Company’s client service centers and 95519 call centers across the country are the
forefront windows serving the clients and the backing system and the information
system are the support and guarantee for service ability. To enable our clients to enjoy
the most excellent service experience, we have persistently upgraded the service ability
of these two centers and enhanced the background service support ability of the backing
system and the information system.
1. Upgrading the Management of Client Service Centers
Our Company has more than 2,700 client service centers and over 27,000 clerks
nationwide. In 2015, we followed the “client-oriented” service tenet and worked hard to
address the “headaches” in counter service and inter-provincial service. Firstly, we
promoted the “Gui Mian Tong” system, which enabled us to achieve the “4 universals”
in inter-provincial services (i.e. the universal inquiry, universal acceptance, universal
handling, universal receipt/payment for the inter-provincial business of personal
long-term insurance policy) , break territorial restriction, develop inter-provincial
service workflows and business rules, support non-local acceptance of business,
conveniently handle multiple services and policies concurrently and provide service at
30
any offline outlet across the country. By December 11, the number of business
transactions accepted through the “Gui Mian Tong” service system reached 76,930 in
the whole country. The system runs stably and provides users with satisfactory
experience. Secondly, the deployment of comprehensive teller system drew to a
consummate close to fully enable “one-stop” service. We broke the limitations of job
processes and spent three years completing the all-round deployment of the service
mode of comprehensive teller system and realized “one-stop” service at 2,578 counters
across the country (1,074 completed within the year). This has effectively upgraded the
efficiencies of employees engaged in counter service, and significantly improved the
clients’ experience at our counters. According to the findings of third-party surveys, the
satisfaction of counter clients reached 9.2 points, up 5.7% from the previous year.
2. Continuously Doing Well in 95519 Call Center Services
At the very beginning of the construction of 95519 telephone service centers, our
Company has laid down the principles of “high starting-point, high-standard and
high-efficiency”. In 2015, the Company committed itself to building a next-generation
multimedia client contact center, worked hard to realize business operations that support
the full access of all service channels to remote smart service, and meet the expectations
and needs of the clients in a digitalized age. To achieve the change to the “smart
operation” management mode, we completed the all-round promotion of the 95519
inquiry platform to allocate 95519 resources on a space and time-specific basis in order
to enhance the resources utilization rate and improve service. We explored the use of
Internet to innovate services and gradually began to use the “WeChat call-back” system
for new policies. By the end of 2015, eight branches already started or were preparing to
start this service. In Shanxi and Shenzhen, the rate of “WeChat call-back” for new
policies of personal insurance had
reached 90.46% and 72.1% and the
rate of successful call-back during the
hesitation period of new policies
reached 99.99% and 99.18%
respectively. “WeChat call-back” won
the title of Top 10 “Golden Ideas” for
Innovation awarded by the Federation
of Youths of National Financial
Industry. In 2015, China Life’s 95519
won the “China’s Client Contact Center of the Year Award” for the 12th consecutive
year and the “Global Call Center of the Year Award” for the third time, becoming a
brand of excellent service of China Life.
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Case: China Life successfully holds “Good Voice of China Life” service competition
In 2015, the Company launched the 95519 “Good
Voice of China Life” activity of enhancing the
skills of client service representatives under the
theme of “new concept, star-class service, heartfelt
experience, new image”. The activity used the
innovative mode of “competition in lieu of
training” and involved the participation of some
2,100 employees corporate-wide. The knowledge
points covered include underwriting, claim
settlement, acceptance of insurance, new policies
of the Company and supervisory regulations. Through the activity, the 95519 team improved
their skills, filled their gaps of knowledge and enhanced the sense of honor and cohesiveness of
client service representatives.
3. Pushing Ahead the Construction of the Information System and Backup System
The quality and efficient services of the foreground require the support of a powerful
information system. Our construction of the information system in 2015 followed the
overall objective of “one center and one network”. Starting with the sales services
oriented toward clients, we leveraged mobile Internet elements to integrate the existing
applications and further drove “outside-in” the transformation of background operations
to becoming Internet-based.
Making integrated design of information processing, transmission and delivery
modes based on the IT layout of “large background + small foreground” to
accelerate the steps toward mobile Internet. At the basic level, we used Internet
service as breakthrough to further promote the “3 clouds + 1 network” (Cloud Assistant,
Cloud Desktop, Cloud Signs + interconnected network) and push on the construction of
an ecosphere by the Company under Internet conditions. At the level of application, we
further improved the “e-series” (including e-insurance, e-account, e-shop, e-counter,
e-classroom) by focusing on the business development of the Company as foundation
and on client experience as a testing standard, promoted nationwide online/offline
services and “family doctor” programs, and effectuated the whole-process electronic
sales service mode.
Realizing the innovation of intensive operation mode. Firstly, we decided on the
mode of provincial-level centralized operation and continuously enriched the means of
32
handling so that the mode now accounts for 70.1% of the operations on a
corporate-wide basis, substantially strengthening the capability of centralized handling.
Secondly, we promoted inter-provincial centralization and completed the centralized
inter-provincial handling of relevant business in the four branches of Tibet, Ningxia,
Ningbo and Hainan. The more gave full play to the scale effect, resulted in the notable
enhance of operation efficiency, improved operation standardization by 58.62% and
operation timeliness by 12.85% compared with what they used to be before the
centralization. Thirdly, we strongly promoted operation automation and achieved a rate
of automatic business examination and approval of 73.1% on a corporate-wide basis.
4. Improving the Ability of Notification Services
The Company annually provides the clients with various timely and considerate
notification services. Such service items cover the whole insurance service process of
underwriting, security, collection and payment of premiums and claim settlement,
enabling the clients to be informed of the business handling progress at any time and
any place and easily grasp the status of insurance policies. In 2015, we continued to
perfect the client contact system, added the notification service items, optimized the
working process of notification services, strengthened the construction of notification
service teams, continuously promoted the constant perfection of the client notification
service system and enhanced the service abilities of the notification service channels.
Notification service has become the third client contact window following the counters
and 95519 hotline, through which the Company actively provides services. It provided
100 short message and email service items for the clients nationwide, successfully sent
nearly 800 million service short messages all year round, and sent over 51.11 million
service emails.
5. Promoting Panoramic Client Insight and Continuously Improving the Insurance
Purchasing Experience of Clients
In 2015, we issued the “Measures for Management of Client Information” to place
client information under all-round management, boost the creation of a unified
360-degree view of clients, help our service personnel to better understand the clients
and provide support for the Company in performing personalized client service, thereby
enhancing the experience of clients. Meanwhile, the new-generation “Yin Bao Tong”
system (phase 1) that we developed formally went live. Its functions have changed
significantly from the old system which is based on products and insurance policies to
the new system which is based on client accounts, management of insurance funds and
transformation toward a variety of portfolios. The new system will provide support for
our effort to improve the clients’ experience in purchasing insurance.
Shortcomings and Improvement Plan
In 2016, we will implement the construction of the new-generation application system
for the background support to further improve the convenience and interactivity of the
information system. We will also further expand the notification service channels and
through the new electronic service platforms such as website and WeChat, provide the
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clients with environment-friendly and highly efficient notification services. The 95519
Call Center will accelerate the construction of a next-generation full-media contact
center to upgrade service efficiency and improve customer experience.
II. Carrying Out Business in Good Faith
Our Company has always laid emphasis on the building of the salespersons’ good-faith
and compliance culture. Since the launch of the salespersons’ professional ethics and
good-faith compliance education themed “I Will Be the First to Practise Good-Faith”,
we have constructed the “7-one” long-term mechanism centered on “one good-faith
song, one good-faith oath, one Code of Conduct, one good-faith wall, five minutes one
day, one examination each year, one summit meeting each year”.
1. Concentrating on Institutional Improvement and Improving Credit
Management
In 2015, the Company revised and improved its “Administrative Measures of China Life
Insurance Company Limited for Credit Quality of Personal Insurance Salespersons” to
further expand the coverage of credit quality management, strengthen the credit quality
improvement of the contingent of personal insurance salespersons, standardize the
classified management of credit quality, give full play to the motivation and constraint
functions of classified management, and ensure the sustainable and healthy
development of the contingent.
2. Bringing the Benchmarking Role into Play and Encouraging Good Faith in
Business Operations
In 2015, the Company organized the selection of “Role Models of Good Faith Service”
and “Best Salespersons” on a corporate-wide basis to mobilize the initiative and
enthusiasm of the salespersons and sales teams to conduct business in good faith and in
compliance with laws and regulations. The 36 branches throughout the country spread
the information on the activity of finding the best insurance salespersons of China
through the Company’s Intranet sales support section, the official WeChat platforms of
provincial companies and the life circle of China Life to facilitate the activity and set off
an upsurge of “everyone looking for the best figure, everyone learning from the best
deeds, everyone practicing the best spirit” through extensive mobilization and
level-by-level recommendation, leading to the selection of a number of “Best Insurance
Salespersons of China” who are honest, dedicated, compassionate and
moral-advocating.
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3. Compliance in Business Operations and Eradication of Sales Misguidance
According to the arrangement of CIRC, the Company carried out the special inspection
under the theme of “two enhancements, two containments”, which involved the
self-check and self-correction of the sales misguidance by the salespersons, including
290,000 publicity materials, 60000 sales acts, 380,000 underwriting materials. The
organizations at all levels made timely rectifications to address the problems found in
the inspection and set up a long-term mechanism of preventing and controlling sales
risks to avoid the recurrence of similar problems from the source.
4. Guiding the Sales Team of Bancassurance Channel to Carry out Business in
Compliance
To meet the management thinking of the regulatory authority of “deregulating the front
end and regulating the rear end”, the Company strengthened the screening of employees
and improved professional training to effectively prevent sales misguidance and protect
the interests of its clients. In 2015, the Company promulgated the “Measures for
Management of Bancassurance Planners” and the “Measures for Management of
Bancassurance Client Managers”, which expressly state that “good conduct” is a basic
condition for signing contracts with salespersons. The Company included the status of
“doing business in good faith” as one of the essential conditions for employment or
dismissal of Bancassurance salespersons, prescribed that no contract may be signed
with anyone who has “bad record or unethical business behaviors during employment”,
and called for demotion or dismissal of the salespersons who have violated the
good-faith business and practice disciplines.
Shortcomings and Improvement Plan
Good faith and compliance are essential requirements for insurance salespersons. In
2016, the Company will continue to expand the coverage of good faith motivation for
personal insurance salespersons, improve the mechanism for supervision and inspection
of business compliance, step up the effort to publicize and develop the culture of good
faith and compliance, enhance their sense of responsibility and sense of honor. For the
salespersons of agencies, the Company will further strengthen good-faith education and
business training for the healthy development of agency business under the precondition
of compliance.
III. Carrying on Product Innovation Based on Client Demand
Our Company persists in being market-oriented and centered on client demand. We
have explored various kinds of product innovations, including product operation model
innovation, product mix innovation and product channel innovation as well as
innovations in the building of sales teams and the access to client resources, all of which
have won the affirmation of the clients.
Against the background of the age of mobile Internet, to meet the more diversified and
individualized insurance needs of clients, the Company transformed the existing product
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development methods in 2015 from channel-driven method to the method driven by the
needs of clients. Meanwhile, by relying on the edges of the Company in service
resources, we increased the integration of value-added services for which clients have
demand with our insurance products to make all-round product innovations.
To boost the transformation and upgrading of our product development mode and
establish the innovative product R&D mechanism oriented toward the needs of clients,
the Company set up product contact points in Jiangsu, Guangdong, Shanghai and
Shenzhen to analyze and summarize market demand through the grassroots product
contact points, know about the new demand of clients more efficiently, and simplify the
communication mechanism between these contact points and the Head Office. As a
result, we improved the speed of the Company’s vertical response to market demand,
achieved more efficient product innovation based on the needs of clients, catered for the
quick life tempo in this age of mobile Internet, and provided an information platform for
the Company so that it can supply better products and services to its clients.
Additionally, the product development departments of various channels under the
Company also made a wide range of product innovations by focusing on the needs of its
clients.
Case: Product developed to meet the particular needs of clients: Insurance for particular
diseases
To better meet the individualized needs of clients, the Company made a series of product
innovations in the development of critical disease products by focusing on the needs of clients
for particular critical diseases. Against the background of the all-inclusive coverage of existing
products for diseases, we developed products for particular critical diseases to meet the clients
of different market segments.
In 2015, the Company developed four insurance products against particular diseases for
particular groups, i.e. males, females, the old and kids (including China Life insurance against
particular diseases for males, China Life insurance against particular diseases for females,
China Life insurance against particular diseases for the old, China Life insurance against
particular diseases for kids). The four products are intended to insure against the particular
critical diseases characteristic of the client groups in different market segments, meet the
different insurance needs of different genders and age levels, cover the long-tail demand not
satisfied by the existing products, enhance product individuality and protect the clients of
various groups more completely against serious diseases, winning extensive recognition among
clients.
Furthermore, considering the other needs than the economic security needs of the clients of
critical disease insurance, and by relying upon the platform advantages of its service resources,
the Company packed “China Life Insurance against Particular Diseases for Females (A)” for
the market segment of females with the gene screening of BGI-Shenzhen and a variety of other
special healthcare services, including physical checkup, for marketing to clients in the form of a
benefit plan. These packages blend the needs of clients into our service items, provide clients
with both economic compensation and quality healthcare service, assist them in disease
prevention, and help protect their health.
Shortcomings and Improvement Plan
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The product contact points of the branches are still at the early stage of establishment
and the innovative product R&D mechanism has yet to be improved through practices.
Despite our efforts in product development and innovations made so far in response to
the needs of clients in various market segments, the Company has been unable to
conduct in-depth product and service innovations for every market segment due to
limited service resources. The Company needs to further upgrade its technologies in
product development and cooperate more extensively with high-level international
providers of service resources.
IV. Electronic Services
In recent years, through the comprehensive use of Internet and other electronic means,
our Company has provided convenient services to meet the insurance demand of the
general public. Meanwhile, we have continuously improved the online service quality
and strived to bring the best e-service
experience to our clients.
In 2015, the Company developed emerging
modes of sales and services, e.g. sales based
on the Internet and WeChat, to integrate the
online sales via e-business with traditional
offline sales via sales teams, accelerate the
development of online inclusive insurance
business and continuously improve the
quality of online services in a bid to enable
the clients to receive the best experience in
electronic service.
Forming the service capability based on mobile Internet and platform-based
services to ensure future leading position. On June 26, the Company formally
released its first Internet product “e-Account”, which has achieved the online/offline
interconnection of five key business scenarios, including the borrowing/repayment
under insurance policies, claim settlement and case reporting, and cumulatively
completed over 300,000 borrowings. We have simplified user operations and added
login-free functions to ensure smoother experience of users. The system owns more
than 4.13 million registered users and has bond 15.6 million policies. Additionally, we
have taken structural optimization measures, e.g. cluster expansion, thereby enabling the
system to run more stably and remain 99% available in 7×24 hours.
Optimizing the sales platform on the official website of the Company to enrich
Internet-based insurance products. The Company has developed and rolled out
“China Life Xin E Endowment Insurance (Universal)” and “China Life Insurance
against Particular Diseases for Females (A)” that are suitable for sales on the Internet,
thus further enriching the product lines for online sales. In the meantime, we actively
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expedited our cooperation with third-party online sales platforms to make it more
convenient for clients to purchase insurance online.
Expanding mobile Internet business platform and enriching the services for clients.
The number of fans of the official WeChat public account of the Company has topped
500,000. In 2015, we launched various promotional activities on this platform,
including “Shooting at the Basket for Love”, Spring Festival marketing of “Five-Yuan
Inclusive” accident insurance and “11.11” online shopping carnival, and enriched the
services for clients with initiatives such as inquiry about dividends, change of insurance
policies and appointment with service network, receiving favorable comments from
clients. We also encouraged salespersons to provide clients with product information
through WeChat, effect online sales and bring convenience to clients.
Shortcomings and Improvement Plan
Compared with the increasingly diversified and individualized needs of clients for
electronic services, the Company needs to respond in a more rapid and all-round manner.
In 2016, we plan to continue to roll out new insurance products that meet the needs of
clients, make fast upgrading of the existing products for online sales, further optimize
online sale process and improve the handling efficiency of the platform with an
objective to continuously enhance clients’ purchasing experience.
V. Key Performance Indicators for Client Responsibility
Indicator Name 2015 2014 2013 Indicator Definition
Manual call
completing rate 90.05% 87.56% 92.33%
The percentage between the telephone traffic
received by the life insurance skill group of
95519 Call Service Center and the manual
labor amount applied by such group.
Rate of return
visits to new
policies
100% 99.98% 100%
The coverage rate of 95519 Call Service
Center’s implementation of return visits to
new policies
Success rate of
return visits to
new policies
99.98% 99.83% 99.20%
Efficiency of 95519 Call Service Center’s
implementation of return visits to new policies
Complaint
settlement rate
within 9 days 100% 96.05% 98.92%
The proportion of the number of complaint
cases which are actually settled within 9
natural days against the number of all
complaint cases within the monitoring period.
Claim settlement
rate within 5 days 98.48% 96.72% 95.53%
The proportion of the claim settlement cases
which take 5 natural days or less from
acceptance of application to the completion of
approval within the monitoring period
Client service
satisfaction 8.8 8.7 8.5
The clients’ satisfaction with the Company’s
overall services, including the clients’
evaluation of the Company’s sales services
and operation services.
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Part III Employee Responsibility
The progress and growth of employees constitute the foundation and guarantee for the
Company’s constant development and the concern point we value the most. The
Company has taken the growth and development of the employees as one of its main
responsibilities. The Company persists in putting people first and strives to provide
employees with good job opportunities, where employees are free from anxiety, have
development space, enjoy market prestige and have professional value. The Company
has established a perfect set of management mechanisms for absorbing, cultivating,
using and inspiring talents, built up sound career development channels and a stage for
showing personal value, and fostered an inclusive and harmonious working
environment. The Company strives to protect the rights and interests of its employees,
promote their growth and motivate their sense of belonging and happiness.
I. Protecting Employees’ Rights and Interests
(I) Remuneration and Benefit
Our Company has implemented a job-based performance incentive system with
reference to the market conditions and established a remuneration incentive system with
internal fairness and external competitiveness, bringing into full play the incentive and
restriction role of remuneration. Meanwhile, we have constantly optimized the
employee welfare and benefit plan to ensure that, in addition to the statutory welfare as
stipulated by the State, including basic pension insurance, basic medical insurance,
maternity insurance, unemployment insurance, work injury insurance and housing
provident fund, all employees are entitled to an abundant welfare package including
enterprise annuity, supplementary medical insurance and regular physical examination
as provided for in the Company’s Guidelines for Welfare Management.
In 2015, the Company increased the remuneration of qualified employees according to
the optimized remuneration system for the Head Office and its direct subordinate
organizations, and appropriately increased the salary of some low-ranking employees by
taking into account market salary level, changes in internal and external environment
and other factors. We also clearly specified the measures to increase remuneration
incentives for the employees recruited from colleges and universities for the R&D and
data center of the organizations directly under the Head Office and provide more
favorable remuneration guarantee for the growth and development of undergraduate
students. Meanwhile, the Company continued to vigorously promote the overall
implementation of the Guiding Opinions on Comprehensively Implementing the Policy
of Favoring Grassroots Units in Remuneration and increased the salary resources for
the grassroots units. This has helped to improve the income of grassroots employees,
reduce the income gap between superior and subordinate companies, establish the joint
mechanism for the income of executives and employees, optimize the way of deciding
employees’ wages and fulfill equal work for equal pay for grassroots employees.
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The Company established a fairly adequate welfare system for the employees. In
addition to the mandated benefits as stipulated by the State, the Company also offered
the employees six categories of benefit items, namely, work support, housing security,
medical and risk protection, living, children security and old-age security. Besides the
cash benefit, the aforesaid benefit items also included the non-currency items such as
paid vacation and regular physical examination to fully reflect the Company’s
humanistic care for the employees. Moreover, the Company also set up the enterprise
annuity as long-term incentive and this formed the second pillar of the employee
pension security system.
(II) Health and Safety
The Company laid great stress on promoting the balance between the employees’ work
and life. While bringing into full play the employees’ personal ability, the Company
elaborately created good working environment for the health and safety of employees.
The Company attached importance on protecting the employees’ rights to rest and
vacation and actively implemented the national laws and regulations concerning labor
time, annual vacation, labor protection and family planning.
Actively creating conditions and encouraging employees to scientifically arrange
for rest and vacation. In addition to the national legal holidays and public holidays, the
employees could also apply to take annual paid leave, sick leave, work injury leave,
personal leave, marriage leave, funeral leave, pregnancy leave, maternity leave, nursing
leave, family planning leave, home leave, journey leave and leave for public affairs.
Taking measures to encourage annual leave and ensuring employees to apply for
annual leave. This included giving priority to annual leave applications, no restriction
on applying for leave by different times, and strict control over not taking annual leave
on business.
Protecting the leave entitlement of female employees and their physical and mental
health. The female employees of the Company enjoy pregnancy leave, maternity leave
(including miscarriage leave) and nursing leave according to law. In 2015, the Trade
Union of the Company made it a priority to promote the efforts and follow up the status
in providing female employees with protection during “4 periods”, arranging regular
checkup for them and setting up breast-feeding rooms by companies at all levels. Under
the theme of “Working Healthily and
Living Happily” of China Financial Trade
Union, we took into account the
characteristics of workplace females and
carried out a wide range of activities
corporate-wide to promote their physical
and mental health, such as health lectures,
sports & fitness, leisure events and
psychological counseling. The Female
Employee Committee of the Trade Union
40
of the Company organized video lecture entitled “Care for Women’s Health” for the
female employees corporate-wide, where Professor Zhang Lijia, director of
Reproductive Medicine Center of the Obstetrics & Gynecology of Beijing Chaoyang
Hospital affiliated to the Capital Medical University, explained the prevention and
treatment of common diseases for female employees.
(III) Protecting Employees’ Rights and Interests
Encouraging employees to take part in democratic management. In 2015, the
Company held the first session of its Second Workers’ Congress attended by 157 staff
representatives from organizations at all levels, all lines and all posts of the Company.
The attendees put forth 86 proposals that covered the planning of development strategy,
business development, operation management, improvement of corporate culture,
reinforcement of the workforce, and protection of the rights and interests of the
employees of the Company. Noticeable achievements were also made corporate-wide in
improving the Workers’ Congress system. In 2015, 31 of the provincial-level companies
held Workers’ Congress meetings, accounting for 79% of the total, while 93% of the
prefectural-level companies held Workers’ Congress meetings.
Case: First Session of the Second Workers’ Congress of the Company
On April 9~10, 2015, the
Company held the first
session of its Second
Workers’ Congress in
Beijing. At the congress, the
attendees heard, reviewed
and approved the “Report
on the Business
Management and
Development of the
Company” made by
President Lin Dairen, the
“Report on the Financial
and Budgetary Management of the Company” made by Vice President Yang Zheng, and the
“Report on the Candidates of the Employee Representative Supervisors of the Fifth Board of
Supervisors of the Company”. They voted for and adopted the “Resolution of the First Session
of the Second Workers’ Congress of China Life Insurance Company Limited”. They heard the
“Report on Corporate-Wide Education and Training of Employees” and “Explanations about
the Revision of the Administrative Measures for the Education and Training of Employees”
made by the Department of Education and Training, the “Report on Solicitation and Handling
of Proposals at the First Session of the Second Workers’ Congress of the Company”, the
“Report on Implementation of the Proposals of the Third Session of the First Workers’ Congress
of the Company” made by the Democratic Management Team of the Workers’ Congress and a
series of proposals regarding the operations and development of the Company. During the
session, the representatives earnestly fulfilled their duties and advanced many proposals and
opinions on the management, reform and development of the Company, which fully reflected
the wisdom of the employees and their warmth and sense of responsibility in taking an active
part in the construction of the Company.
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Intensifying the performance of contract to safeguard the legitimate rights and
interests of female employees. In November 2012, the Company put all the female
employees under its jurisdiction under the coverage of collective contract to safeguard
their legitimate rights and interests and protect their safety and health in work. By the
end of November 2015, the Company had, on a corporate-wide basis, completed the
renewal of a special collective contract for protection of the rights and interests of all its
female employees, with the trade unions at all levels supervising the performance
thereof to ensure the implementation of the protective measures contained therein.
Maintaining the rights of female employees to take part in the democratic
management of the Company. The Trade Union of the Company requires that the
representatives of female employees should take up an appropriate proportion at the
Workers’ Congress of the companies at all levels, and that the measures and activities
involving the protection of the rights and interests of female employees should be
included into the plan of the Workers’ Congress, and that the proposals involving the
protection thereof should be tracked to ensure 100% implementation.
II. Caring for Employees’ Growth
Our Company has been highly concerned about and always committed to creating good
working environment and equal and diverse career development opportunities, and
adhered to the talent concept of “putting people first and combining integrity with
professional competence” to care for the whole process of the employees’ career
development. In the training, we focused on meeting the Company’s dual needs for the
innovative development and growth of the employees, and provided comprehensive,
systematic and targeted support for improving the employees’ qualities.
(I) Training
1. Further Improving the Day-to-Day Training System for Employees
The infrastructure for education and training has been constantly improved. The
Company has equipped 4,446 education and training management personnel, 3,247
in-service full-time lecturers and over 45,180 part-time lecturers. In 2015, Chengdu
Insurance Research Institute was officially put into use, the construction of Beijing
Insurance Institute and provincial training centers and urban training workplaces was
being pushed ahead in an orderly
manner, and many pieces of
courseware won the outside
awards, making the teaching
resources more sufficient.
Employee training has been
constantly intensified. In 2015,
the Company held 1,734
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classroom training sessions of various kinds with a cumulative trainee number of
116,837 person-times, and held 2,770 various online training sessions in which the
number of learners reached 883,199 person-times. Meanwhile, in light of job demand,
we selected and sent various professional backbones and management cadres at all
levels to participate in over 100 sessions of special external training. In the orientation
of training, we laid more stress on the enhancement of employees’ job skills and the
effective support for the Company’s operation and management performance. In
addition, while pushing forward the tiered and classified training of employees at
different levels, the Company initially erected a system of brand courses that meet its
needs for basic knowledge and skills, intensified the training of grassroots and field
employees, adjusted training orientation in keeping with market competition and
development needs.
Online training platform has
been further improved. The
functions of China Life
e-Learning Online Training
System has been continuously
improved and its operation
efficiency and stability have
been further enhanced. In 2015,
the click volume of online
learning courses reached over 1,650,361, and 508,499 persons participated in the online
tests. IT-based management is enabled for the whole
training process, which has achieved real integration and
sharing of training resources and provided strong technical
support for both training and management.
The construction of the mobile learning system has
been smoothly launched. In 2015, we completed the
development of cloud-based classrooms and launched the
promotion of mobile learning applications. With the
gradual improvement of the mobile learning system, we
will further enrich the ways of employee training and
improve the training effect.
Case 1: Training of the young and middle-aged cadres of
the Company
In 2015, to accelerate the enhancement of the capability of the branches in key cities for market
expansion and sustainable development, the Company optimized the structure of training
resources allocation and focused on strengthening their ability to innovate operation
management mode and solve the difficulties in development. The Company provided
systematic training for the principals of the branches in 88 key cities.
43
Case 2: Lecture Theater of China Life
The Company actively explored the
transformation and innovation of staff
training. In 2015, the Head Office launched a
series of lectures entitled “Lecture Theatre of
China Life” and vested the lectures with new
content by making adequate use of the
internal and external resources of the
Company to carefully arrange a series of
topics involving the macro economy, policies
of the industry, political situation, hot-spot
and current affairs and professional analysis,
with due considerations given to the knowledge expansion of the employees and improvement
of the training culture of the Company, thereby enabling the lectures to be full of vigor and
vitality. In the year, 20 lectures were held with an aggregate number of 5,156 participants. In a
number of training sessions, the registration quota (in hundreds) was snapped up in merely half
an hour after the sign-up started. These lectures have become a display window of our staff
training brand and are highly spoken of by the employees.
Shortcomings and Improvement Plan
The supportive role of training in enhancing the quality and skills of the employees
needs to be further strengthened and there is need for further innovation in the means
and manner of training. In 2016, the Company will continue to focus on improving the
performance of its employees and the training methods, promoting new training
techniques and enhancing training results to provide strong support for the growth of its
pool of talents.
2. Strengthening the Cultivation of Specialized Talents
Pushing Forward and Implementing the “Program for Fostering Leading and
Reserve Talents in Professional Fields”. To speed up the fostering of core talents
playing an exemplary role and having a leading position in the professional fields, the
Company drew up the “Program for Fostering Leading and Reserve Talents in
Professional Fields” for 10 specialties, including human resources, financial
management, IT and risk management. Under the guideline of “specialty-specific
selection, intensification of professional training, enhancement of professional
competence and development of professional talents”, the Company aims to spend 10
years of time fostering around 1,000 young and middle-aged expert leaders and
high-caliber professionals. In 2015, the education and training of 261 candidates were
completed as part of the leading talent cultivation project.
Case: Fostering Leading and Reserve Talents in Professional Fields
Program Objective
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To meet the urgent requirements of the Company for talent development in its professionalized
and meticulous management and accelerate the training of core talents playing an exemplary
role and having a leading position in the professional fields, the Company will train a number
of high-quality and inter-disciplinary professional talents proficient in the business of various
professional fields, adept at management and equipped with strategic thinking for its branch
organizations, at a scale of about 300 trainees every three years. These leading talents will play
a leading and proliferating role in their respective professional fields and help accelerate the
all-round upgrading of the overall quality of our pool of professionals.
Program Initiatives
The cultivation cycle for every batch of leading (reserve) talents is 3 years. The everyday
training activities are based on the 10 professional lines specified by the Head Office and occur
in three stages of knowledge expansion, competence enhancement and application &
improvement. During the cultivation period, the Company will, in the principles of embracing
aptitude-based teaching and integrating learning with application, adopt such training methods
as combining centralized training with on-job learning and practice and combining classroom
teaching with applied researches. The program participants will have the opportunity to
improve their comprehensive quality in an all-round manner via learning, researches, practices
and exchanges.
Promoting the mode of base training
for the “top leader” of county
sub-branches. In 2015, the Company
selected 100 managers of county/district
sub-branches in 2 batches for training at
our training base and held a symposium in
Jiangdu, Jiangsu Province summarizing
the results of training provided on the
platform of such training bases.
Vigorously promoting “Young Talent” cultivation program. Under the
“Implementation Plan of China Life for Cultivation of Young Talents”, the Company
45
continued to provide quality resources for cultivating outstanding talents in 2015
through such measures as intensified selection, centralized training, dual-tutor system,
job rotation and “survival of the fittest”. In the year, we selected 363 young talents and
successfully held 6 training sessions for them.
(II) Work Shift and Exchange
We believe that the work shift and exchange mechanism can help the employees to have
different employment records and accumulate more work experience. Through such
mechanism, the employees can be shifted to the posts in which they are more interested
and which are more competitive, and they can get the feeling of freshness and challenge
in their work. This mechanism is one of the effective means of motivating employees
and inspiring the vitality of the employee team.
Work shift and exchange involving Head Office employees
In 2015, the Company continued to provide the Head Office employees with the
trans-departmental work shift opportunities in various ways. During this year, there
were nearly 40 employees from the Head Office going to the new posts through internal
recruitment and free choice. We also reinforced the internal and external exchanges of
the Head Office employees and sent certain cadres to serve a temporary post at local
government departments in Beijing, Guangxi, Tianjin and Guizhou. For the
management personnel who lacked the grassroots work experience, we helped them to
know about the actual conditions of the grassroots units and enrich their management
experience by sending them to grassroots branches for exchange and tempering by
stages and in groups. In 2015, we selected and sent nearly 30 exchange cadres.
Job rotation and exchanges of senior management personnel
According to the needs of cadres’ growth and actual job duties, the Company promoted
the job rotation and exchanges of senior executives in 2015 and exchanged the office of
two “top leaders” of provincial-level branches and 27 deputies. The approach further
increased the experience of the executives and helped broaden the field of vision,
enhance competence and strengthen their ability to cope with complicated market
competition.
Job rotation and exchanges of new employees
The Company issued the “Measures for Management of New Employees” and the
“Guide to Training of University Graduate Employees” to coordinate the job rotation
and exchange of nationwide new recruits. For the new employees who have been
assigned to a post, at least one job rotation must take place within three years in
principle. Job rotation is divided into three cycles of 3 months, 6 months and 1 year, and
follows the guiding principle of professional line first and administrative processes
second. For the reserve talents of management and sales, the breadth and difficulty
involved in the posts will be increased gradually starting from their first post as they
rotate to more extensive posts. For the professional reserve talents, job rotation will
occur within relatively consistent professional lines or the processes involved based on
46
the professional skills they already have. For some outstanding university graduate
employees selected to work at our provincial or city-level companies, a system has been
established for their job rotation to grassroots units. This has helped to form a positive
talent cultivation and circulation system whereby university graduate employees
assigned to grassroots units will temper themselves and grow and have opportunities to
get promoted on a selective basis to the branch companies at or above prefectural-level
or to county-level sub-branches, while the outstanding employees from the latter will be
exchanged to grassroots units to take office.
Case: Pre-trip meeting for Head Office cadres on job rotation to grassroots units
On November 5, 2015, the
Company held a pre-trip
meeting for the Head
Office cadres designated
for job rotation to
grassroots units, which
summed up the experience
gained from the first batch
of exchanged cadres and
briefed the cadres to be
exchanged on the policies and purpose of such exchange. President Lin Dairen was present and
delivered an important speech on behalf of the President Office. Since 2014, the Head Office
has clarified the talent cultivation guideline of enriching the cadres’ experience in grassroots
work and formulated the policy of regularly selecting cadres for exchanges to grassroots
branches to lay a strong foundation for tempering the contingent of cadres through grassroots
work and facilitating the growth of employees. By December 2015, over 60% of the cadres at
or above manager level in the Head Office had obtained grassroots work experience. The job
exchange program has achieved excellent results.
(III) Diversified Promotion Channels
As a professional life insurance company, we need a large quantity of the forefront
talents who have extensive managerial experience and the professional talents who have
the professional spirit, are good at analysis, know about management and are capable of
innovation. The Company attached great importance to the development of the forefront
management and professional talents at the Company and established for them the
diversified career development channels to encourage them to make constant
accumulations and innovations on the different professional lines of the Company.
47
Making definite the career development plan for new employees. The Company has
established three career development channels respectively for professional executives,
management personnel and professional technicians. Among them, the career
development goal of the employees on the line of sales management is to become
mid-level and high-level professional executives; the employees on the lines of general
administration and business management can either choose the management position
development channel based on their work performance and management ability or
choose the professional technician development channel based on their professional
technical ability. These three channels can be shifted between adjacent tiers so as to
realize “career development without barriers and diversified channel shift”.
Career Development Channels for New Employees (dash stands for tier)
Widening the career development channel for the executives of branch companies.
To motivate the operation management personnel, who have long worked at the
forefront and made outstanding contributions, to pay more attention to their long-term
planning and value enhancement, in 2014, the Company launched the building of the
business director team, further widened the growth channel for executives of branch
companies and further gave priority to the grassroots and sales units in the selection and
use of personnel. In 2015, the Company newly promoted seven business directors.
III. Fostering Harmonious Working Atmosphere
(I) Improving the Sites of Employee Activities and Carrying out Colorful Cultural
and Sports Activities
Construction of staff homes. Since 2013 when the Trade Union of the Head Office
48
drew up the “2013-2015 Plan for Construction of Up-to-Standards Staff Homes”, the
initiative has gone on effectively on a corporate-wide basis and the number of
up-to-standards staff homes reached 25 in provincial-level companies, registering a rate
of 69.4%; 203 in prefectural-level companies, registering a rate of 66%; and 132 in
county-level sub-branches under provincial-level companies, registering a rate of
48.4%.
Case: Constantly improving activity sites and facilities of the staff homes at our branch
companies
Based on the requirements for cultural and sports facilities
set out in the “Plan for Construction of Up-to-Standard Staff
Homes” issued by the Head Office, the trade unions at all
levels corporate-wide have substantiated and normalized the
construction of activity sites and staff reading rooms in the
office buildings of the branches as staff homes and upgraded
the facilities of staff homes to ensure that all hardware facilities meet the standard. The trade
union of Quzhou Branch in Zhejiang Province vacated sites in the office building to set up a
reading room, a multifunctional activity room and a fitness center, and purchased ping-pong
tables, running machines, spinning and fitness equipment. Fuzhou Branch set up a
multifunctional hall for both training and recreation, which included a stage and a gym room of
50m2 equipped with fitness machines, running machines, a ping-pong table and other exercise
devices. Shanghai Branch cooperated with Shanghai Library, which regularly updates the books
in the reading room of the branch and set up mobile library vans at all floors of its office
building to provide the employees with convenient reading.
49
In 2015, the Head Office organized a
hiking event entitled “A Happy Heart
and A Heathy Walk”. President Lin
Dairen, Trade Union Chairman Miao
Ping and nearly 180 members of 19
teams from various departments of the
Head Office took part in the
competitions of 10km and 5km. In
addition, 14 clubs of soccer, basketball,
tennis, badminton, table tennis, billiards, photography, dancing, music, yoga, Taiji
boxing, aerobics, bridge and chorus as well as the calligraphy society organized regular
activities in which more than 10,000 persons participated.
According to the overall requirements of
the Trade Union of the Company, the
trade unions of local branches held novel
and diversified cultural and sports
activities, which have the following
characteristics: 1. Regular activities. The
provincial companies and the branches in
major cities organize weekly sports
exercises of employees through the
creation of cultural and sports clubs; 2.
Diversified forms. In addition to the
clubs, there are also multi-sport events,
special games, festival celebrations and
group activities. The trade union of
Fujian Provincial Branch launched the
theme education activity of “Ethics
Forum” in the whole province. Putian
Branch carried out the “Ethics Forum”
activities under the themes of “Taking pleasure in helping others”, “Preserving vigor
and passing on positive energy”, “Remembering the history and heroes”. The Trade
Union of Jinzhong Branch in Shanxi Province holds a New Year gala each year, with the
employees performing programs that were all created by themselves, enriching their life.
The Trade Union of Erdos Branch in Inner Mongolia held a basketball competition in
Dongsheng Region, which was participated by 8 teams from the sub-branches,
marketing service departments and the departments of the branch, creating a platform
for the employees to anneal themselves.
(II) Enriching the Helping Activities of the Company and Passing on the Warmth
of the Collective
Level-by-level assistance and help for needy employees. The Trade Union of the
Head Office set up a level-by-level assistance and help system, which made full use of
50
the assistance funds of the trade unions at all levels and helped the employees in
difficulty caused by different scenarios. In 2015, the Trade Union of the Head Office
continued to improve the level-by-level management and assistance of needy employees.
Firstly, at the beginning of the year, the leaders of the Company went to the grassroots
as part of their daily jobs to continue the activity of “warmth from China Life to your
home” during the two festivals. Secondly, the files of impoverished employees were
supplemented and improved at the level of the Head Office and grant funds were
allocated to these employees and financially distressed single-parent female employees.
Thirdly, explorations were made at establishing a staff mutual aid program under the
unified arrangement of the Trade Union of the Group.
Help for female employees as an expression of warm care. The Company has set up
the mechanism for providing daily help to the female employees in difficulties. Starting
from 2014, the Company set up a level-by-level help system and built and improved the
files for needy employees at the three levels of the Group, the Head Office and the
provincial companies. The female employees who suffer from diseases or who are
single parents or exceptionally poor will receive consolation from the organizations
during holidays and at other times on a regular basis. During the New Year’s Day
holiday and the Spring Festival of 2015, the Trade Union of the Head Office paid
consolation subsidies to the exceptionally poor female employees at the level of the
Head Office.
Case: “Sisters Hand in Hand” --- Pair-up help for needy female employees
To stay close to the field and serve the grassroots units, the trade unions at all levels
corporate-wide arranged the female leaders or female model workers to pair up with needy
female employees in their respective organizations and provide psychological assistance to the
latter as volunteers. They may play the role of a “considerate sister” so that they can promptly
find out about what the latter think, want and need, continuously provide them with mental care,
assist them in solving the actual difficulties in life and work, and join hands with them in tiding
over the difficulties.
IV. Key Indicators for Employee Responsibility
Name of
Indicator
2015 2014 2013 Definition of Indicator
Total workforce 97,607 101,972 99,230
Size of employees for internal
work
Age of employees ≤35
43.09%
≤35
46.6%
≤35
46.5%
Employees’ age structure
Gender of
employees
Female
57.34%
Female
57.5%
Female
56.9%
Measurement of labor-related
human rights policy
Coverage of new
employee
orientation training
95.23% 94.19% 97.85% Coverage of newly admitted
employees in pre-job training
Employee training 87.97% 87.88% 85.45% Coverage of employees in
51
coverage training
Advanced
executive training
coverage
97.28% 97.17% 97.33% Coverage of advanced
executives in training
Average hours of
employee training
30.01 h 24.46 h 34.33 h
Average hours spent by each
hierarchy in various training
Number of
full-time and
part-time lecturers
3,247
full-time
lecturers;
45,180
part-time
lecturers
2,485
full-time
lecturers;
35,956
part-time
lecturers
1,700
full-time
lecturers;
35,000
part-time
lecturers
Number of full-time and
part-time lecturers
Number of
textbooks and
coursewares
developed
Textbook:
21
Courseware:
264
Online
courseware:
712
Textbook:
20
Courseware:
264
Online
courseware:
34
Textbook:
18
Courseware:
167
Online
courseware:
56
Cumulative number of
textbooks and courseware
developed at the end of the
statistics period
Number of online
learning
participants
1,650,361 1,432,192 3,931,146
Total number of participants in
online learning through China
Life e-Learning System during
the year
Number of online
test participants 508,499 160,633 255,594
Total number of employees
participating in online tests
through China Life e-Learning
System during the year
Notes: The “average hours of employee training” used in the calculation was based on the
accumulated actual hours, i.e. all the hours spent by the employees in learning through face-to-face
teaching and online courses.
52
Part IV Partner and Industry Responsibility
While fulfilling its own development, the Company has continuously expanded its
insurance business, satisfied the needs of people’s livelihood, constantly improved its
CSR performance in its procurement and investment processes, pursued common
growth with our partners, actively participated in underwriting major events, gradually
expanded the coverage of insurance services, and strived to make greater contributions
to the development of the industry.
I. Expanding Insurance Business and Serving the Needs of People’s
Livelihood
As the domestic life insurance company with the most organizations and outlets, it is
duty-bound to draw upon its own experience and professional strengths to continuously
expand the insurance business and serve the needs of people’s livelihood. Our Company
has taken the lead in domestically carrying out such policy-based businesses as NCMS
(New Rural Cooperative Medical System), NSEIS (New Rural Social Endowment
Insurance System) and major disease insurance and gained successful experience in
NCMS modes of Xinxiang, Luoyang, Panyu and Zhengzhou and in NSEIS modes of
Deyang and Yixing. The pioneering mode of petty insurance was praised by the
international insurance industry as a “Chinese sample” and became the first study case
of Harvard Business School for the Chinese insurance industry.
(I) Policy-Based Medical Handling Business
Since 2003, our Company has actively participated in the deepening of national medical
and health system reform and the improvement of the construction of social medical
security system, carried out the policy-based medical handling businesses such as new
rural cooperative medical system, basic medical insurance for urban residents, basic
medical insurance for urban employees and urban and rural medical assistance, and
successively explored some typical influential experience such as “Xinxiang Mode”,
“Luoyang Mode” and “Zhengzhou Mode”. The Company has been the forerunner and
pioneer of commercial insurance in the medical service handling field and played an
active role in promoting the transformation of government functions and in improving
people’s livelihood and social harmony. In 2015, the Company added more than 70
medical handling service items in 17 provincial-level branches, which covered over 24
million people. Currently, the Company operates over 300 items of medical handling
services across the country, which involve over CNY6 billion of entrusted management
funds each year and serve over 50 million people, enabling the Company to lead the
industry.
Case: Henan Branch creating the “15-min circle of insurance services”
Henan Branch implemented the project of “one village, one room and one specialist” to
accelerate the formation of the team of service specialists for policy-related insurance business
53
and created a “15-min circle of insurance services” so that urban and rural residents can enjoy
better and faster insurance services without having to travel far away.
(II) Major Disease Insurance Business for Urban and Rural Residents
To improve the construction of the
multi-tiered medical insurance system, in
the process of stepping from the fulfillment
of “medical care available for the sick” to
the solution of “becoming poor and
returning to poverty due to diseases”, the
State ushered in the “major disease
insurance” as a supplementary medical
insurance for “NCMS” and urban
residents’ medical insurance. It is a
significant livelihood and heart-winning
project, aiming to further improve the public social security services. Relying on our
managerial experience accumulated in policy-based medical handling business and
commercial health insurance business, China Life actively participated in the major
disease business and incorporated such insurance into our overall development plan. By
drawing upon our professional ability and experience, and with our outlets widespread
in both urban and rural areas, we were able to provide the insured with services to the
satisfaction of the government and bring benefit to the general public.
In 2015, the Company took part in the bidding for
critical disease insurance in various places and added
over 60 new projects undertaken through 21
provincial-level branches, increasing the number of
bid-winning population by more than 60 million. By
the end of 2015, the Company teamed up with the
governments of more than 200 cities through 31
provincial-level branches to carry out more than 200
critical disease insurance projects that served nearly
400 million urban and rural residents and provided
one-stop claim settlement service for critical disease
insurance in nearly 18,000 hospitals. In the three
years since the critical disease insurance debuted in
2012, the Company has cumulatively paid critical
disease insurance compensation for more than 4
million people, raising the proportion of reimbursement by more than 10 percentage
points on the basis of basic medical insurance.
Case 1: Jiangsu Mode
On the basis of undertaking critical disease insurance and other medical insurance business,
Jiangsu Provincial Branch cooperates with the local Health and Family Planning Commission
in vigorously promoting the referral service for the insurance participants. Currently, it has
54
resident healthcare service teams in 10 hospitals at or above city level to provide services like
medical guidance, assistance in hospitalization, visit to inpatients and assistance in settlement,
forming a resident service network and realizing the integration of referral service for patients
of critical diseases. It has now served some 30,000 patients and provided referral service for
nearly 3,000 inpatients for transfer to other hospitals.
Case 2: Jiangmen Mode
By leveraging the platform for the critical disease
insurance in Jiangmen city, Guangdong Branch
started community General Practice (GP) service
and provided 10 preventive health services and 7
self-service health checks for prevention of
disease. While making an investigation tour in
Jiangmen, President Miao Jianmin of China Life
Insurance (Group) Company commented that “the
Jiangmen mode has set an example of mutual-trust cooperation among governments, social
security departments, public health authorities, hospitals and the commercial insurance
company”. (Caption: President Miao Jianmin offers guidance on critical disease insurance
business during his investigation tour in Jiangmen.)
(III) Petty Insurance
Our Company has actively responded to the call of the Central Government for serving
agriculture, farmer and countryside, promoted the inclusive goal of the personal
insurance business for serving the broadest masses of the people, helped the poor
groups to break away from the vicious circle of “becoming poor and returning to
poverty due to diseases and disasters”, actively carried out the personal petty insurance,
constantly deepened the innovative practice in petty insurance and expanded the
coverage of petty insurance to alleviate the impact of accidents, diseases and other risks
on low-income families. In 2015, our Company continued to steadily promote the
development of petty insurance business and underwrote petty insurance for 89.677
million applicants, an increase of 7.8% over the previous year.
Case: Taking an active part in piloting financial poverty alleviation and making
innovations in this regard
To innovate the mechanism for financial poverty alleviation, improve the level of protection
against risks available for people in poverty-stricken areas, and help them shake off poverty, the
Company has, starting from 2015, drawn up plans for financial poverty alleviation in response
to the working requirements imposed by the State Council Leading Group Office of Poverty
Alleviation and Development (LGOP), and started pilot petty insurance cooperation projects in
certain counties in the five provinces of Sichuan, Hunan, Guangxi, Anhui and Guizhou in a bid
to help alleviate poverty, including selection of pilot units in cooperation with LGOP and
proactive participation in the design of the pilot schemes. Currently, the pilot work is underway.
(IV) Accident Insurance Business for Family Planning Households
To strengthen the risk-resisting ability of households that practice family planning (“FP
households”), particularly those needy ones, and to promote the building of harmonious
55
families, in 2008, our Company cooperated with China Family Planning Association in
launching a series of accident insurance products for household practicing family
planning. Over the past 7 years, we have underwritten this insurance for over 13 million
households, with the coverage of population constantly expanding. In 2015, to better
serve the great number of FP households, our Company made efforts to innovate its
service ways, vigorously popularized the “FP insurance service card”, explored and
introduced new modes of policy issuance, such as the Internet-based issuance of
policies, and improved the efficiency of FP insurance services. With the constant
popularization of FP insurance, its role in protecting FP households has been
increasingly reinforced, and it has benefited more and more FP households. In addition,
the Company continued to donate another CNY10 million in 2015 for use in the
program of helping the needy families practising birth control, benefiting 130,000
people in families bereft of their only child and 63 pilot areas across the country.
(V) Accident Insurance for Old People
In light of increasingly serious situtation of population aging tendency and notable
shortage of social insurance for the old people, the Company has since 2010 actively
cooperated with the Senior Citizens’ Work Committee at different places in promoting
commercial accident insurance for the old people, bringing into full play the risk
protection and economic compensation mechanism of commercial insurance, and made
many attempts in establishing the personal risk protection mechanism for the old people.
In 2015, the old age insurance of the Company benefited more than 20 million people
throughout the country.
II. Providing Insurance Protection and Career Development
Opportunities for University-Graduate Village Officials
To make full use of our own strength to support the Party and the Government’s policy
of encouraging college graduates to take office in the countryside, our Company has
vigorously pushed forward the work of insurance for university-graduate village
officials (“UGVO”) and provided such village officials with major disease and personal
accident comprehensive insurance. By the end of 2015, our Company had underwritten
insurance for 120,106 university-graduate village officials, accounting for 70.13% of all
such officials eligible, and we accepted a total of 36 claim cases involving personal
accident, medical emergencies, critical illness and death, and paid an estimated
indemnity of CNY7,447,750.
The Company believes that we are duty-bound to absorb the UGVOs whose term of
office in the countryside has expired, as part of our effort in actively fulfilling our
corporate social responsibility. Under the great support and guidance from the
Organization Department of the CPC Central Committee and the Group Company, the
Company launched a special recruitment and cultivation program in 2010 to absorb
UGVOs whose term of office has expired to serve in our grassroots units. Currently, we
have cumulatively absorbed more than one thousand such village officials and through
56
the special cultivation program, we are committed to fostering them into grassroots
management backbones. In their career design, we have focused on operation
management; and in the arrangement of their posts, we have given them a higher
starting point. We have adopted a level-by-level selection and appointment method and
will make exceptions in promoting those with outstanding performance. Our efforts
have been fully affirmed by the Central Organization Department, CIRC and the local
Ministry of Organization departments.
In 2015, we further improved the policies regarding the recruitment and training of
UGVOs who have completed their term of office in villages so that they have a clear
vision of their career prospects after joining China Life. The Company aims to retain
them through career development opportunities with practical and achievable goals.
Broadening the recruitment channel. In 2015, in addition to the special recruitment
programs for UGVOs, we opened a special passage for UGVOs in campus recruitment,
marking them out in the resumes submitted and giving them preferential treatment in
appraisal of individual qualifications. Five provincial-level branches, including Jiangsu,
Hebei and Guangdong, launched special recruitment programs for UGVOs and were
expected to recruit 39.
Providing income protection. For UGVOs recruited by grassroots companies, we have
implemented a mechanism for providing income protection during the initial stage of
their employment with China Life. In the first two years after employment, every
UGVO will receive CNY500/month of grassroots allowance from the Head Office.
Meanwhile, provincial-level branches are required to introduce complementing policies
and formulate a special subsidy plan.
Intensifying training. To accelerate the training of employees who are former UGVOs,
the Company set up a multi-level and wide-coverage training mode to give them
multi-dimensional training that includes induction training, job rotation, mentoring and
young talent cultivation so that they can change their role as soon as possible, adapt to
the working environment of the Company and ensure ideal man-and-job matching.
Case 1: Income protection policy of
Hebei Provincial Branch for UGVOs
During the two-year protection period,
each newly recruited UGVO will, in
addition to the CNY500/month of
allowance granted by the Head Office,
be given a target salary which is 30%
higher than the salary they received
when they served as village officials.
For UGVOs who have received the
annual performance review, their annual performance salary will be paid at the rate of 120% if
they do excellently, or 110% if they do well in annual review, or at the rate of 100% if they pass
the annual review.
57
Case 2: Talent development policy of Henan
Provincial Branch for UGVOs
Henan Branch holds at least two training classes each
year for UGVOs and their tutors, including “Training
Class of Tutors of New Employees” and “1+1 Training
Class for UGVOs on Secondment”, to clarify the career
development plan of “China Life employees - group
trainings - lecturers - team managers” for the UGVO
employees. So far, 60 UGVOs have become grassroots
team managers and nearly 20 have grown into members
of the leading body of county-level sub-branches or departmental deputy of city-level branches.
III. Responsible Investment
In line with the national strategy, the Company gives play to the long-term investment
advantages of insurance funds to support people’s livelihood projects and key national
projects, such as major infrastructure, transformation of shantytowns and the
urbanization drive, takes part in the reform toward the hybrid ownership of State-owned
enterprises, and works hard to build China Life’s value chain themed “Big Health and
Big Pension”. In 2015, the Company continued to strengthen the various tasks of social
responsibility investment and particularly, further expanded the scope of investment in
the fields that have a bearing on national economy and the people’s livelihood. The
projects in which we have invested covered the national key fields such as water
conservancy construction, communication and transportation, energy and power,
construction of affordable houses, and finance and insurance, and we have played an
important role in supporting the construction of national key projects and providing
protection for the people’s livelihood.
Investing in the Fields Having a Bearing on People’s Livelihood
In 2015, the Company resolutely supported the national strategy for construction of key
infrastructure and emerging industries, actively invested in the National Railway
Development Fund and the National Integrated Circuit Industry Investment Fund, which
serve as investment vehicles for funding railway construction projects in central and
western parts of China and IC-related industries. Meanwhile, the Company responded to
the requirements of the Central Government for the financial industry to serve the real
economy and went all out to support the shantytown renovation projects undertaken by
local governments. Some of these projects have been successfully launched in Beijing.
Participating in the Mixed Ownership Reform of State-owned Enterprises
In 2015, the Company made successful investment in the Postal Savings Bank of China,
becoming its largest domestic strategic investor and the only insurance institution
shareholder. Meanwhile, we continued to grasp the investment value resulting from the
reform of State-owned enterprises, focus on the potential investment opportunities in
new economic fields, such as the Internet and Internet+, to push on the transformation
and upgrading of economic structure with the investment of insurance funds.
58
Gradually Creating the “Big Health and Big Pension” Industrial Value Chain of
China Life
In 2015, the Company accelerated its entry into the “big health” industry chain. The Big
Health Fund of China Life was approved by CIRC, marking the substantial entry of the
Company into the professional field of healthcare and genetic testing. In the meantime,
we made active explorations at the business mode of “insurance + medical care” to
complement each other with the advantages in brand, resources and platform
construction and integrate advantageous medical resources with the primary business of
insurance in a number of fields.
On December 31, 2015, the Company won the bid for a land plot in Haitang Bay, Sanya.
The successful bid for this land plot along China’s national coast marks a big step
forward for China Life in forming its strategic layout of old-age communities featuring
“3 locations along one line with green environment all year round”, and in fulfilling its
commitment to provide clients with high-quality medical, leisure and health
preservation services in the future.
IV. Suppliers
The Company has always taken the fulfillment of social responsibility as the basic
requirement for procurement and in the process of procurement, we have strictly
observed the national bidding laws and regulations and the Company’s centralized
procurement system rules to ensure that the workflows are legal and compliant and the
procurement information is open and transparent.
Our Company has successively formulated the Measures for Management of
Centralized Procurement Reviewers, the Measures for Management of Centralized
Procurement and the (Tentative) Measures for Management of Suppliers to strictly
control supplier qualifications and require that the products we choose are
environment-friendly and energy-efficient and the suppliers we select have good credit
standing and sound financial and accounting reporting rules, and be free from bad
records in tax payment or social security funds contribution according to law.
To make the management of centralized procurement more standard and efficient and
improve the work efficiency thereof, the Company developed a centralized electronic
procurement system in 2012 and became the first to realize green “e-procurement” in
the insurance industry. Such electronic system can not only help the Company to
standardize the procurement procedures and finally realize paperless operations, but
also facilitate understanding from all dimensions of the corporate-wide procurement
activities and the supervision and control of CSR fulfillment status in the procurement
process.
In 2015, the Company revised the Measures for Management of Centralized
Procurement and the Regulations on Management of Centralized Procurement
Workflows to ensure compliance of the procurement process and standardize the
59
management of suppliers under central procurement. We also drew up and issued the
Centralized Procurement Catalogue and Procurement Authority.
V. Salespersons and Intermediaries
As of December 2015, the sales team members of the Company for personal insurance
channels reached 979,000. We have always taken salespersons as our most important
business partners and strived to protect their rights and interests, care for their growth
and train and supervise them to fulfill social responsibility.
Providing product support. The Company developed the relevant products targeted at
the social hotspots and strengthened training related to product discussion, packing and
development to enhance the salespersons’ product cognition. In 2015, the Company
introduced the collector’s edition of new Ruixin, Health Pack and Ru Yi Sui Xing
products in a bid to strengthen the self-developing capability of its workforce and
enhance the ability of its salespersons to describe products.
Optimizing the training mode. By pushing ahead such training method as
“mold-pressing training”, the Company effectively enhanced the salespersons’ selling
and service skills.
Building up the exchange platform. By holding the annual “Elite Summit” and “Elite
Forum” and summing up experience, we refined and shared the experience of elite
salespersons corporate-wide to reproduce their skills and build up the benchmark.
Optimizing the financial security system. In 2015, we revised the “Administrative
Measures for Insurance Salespersons” and the “Security System of Insurance
Salespersons”. The former optimized the standard for payment of allowances for rookie
salespersons and extend the time for payment thereof, and the latter expanded the
coverage of salespersons in terms of endowment benefit and increased the amount of
benefit under accidental and medical insurance.
In the cooperation with banking and postal agencies, the Company has urged its partners
to fulfill their social responsibility and abide by laws. To address the loopholes found in
the inspection of the relevant agreement for cooperation in insurance agency business
by local regulatory authorities in 2015, the Bancassurance Department of the Head
Office improved and supplemented the cooperation agreement with the head offices of
the relevant and major cooperation channels by adding such terms as “Management of
Authenticity of Client Information” and “Anti-Money Laundering”.
VI. Win-Win Strategic Cooperative Partnership
Under the guidance of the Company’s overall development strategy, we have actively
and widely unfolded external cooperation. From the angles of sharing resources and
complementing each other’s advantages, we have mainly selected the large enterprises
and institutions with good social images and similar social responsibility concept to
establish long-term strategic cooperative partnership so as to accomplish win-win
60
cooperation and common development.
In 2015, we brought the social management functions of insurance into play through
external cooperation to provide consumers with more diversified and complete financial
insurance services. We went into cooperation with the government of Changsha city in
Hunan, Shunfeng Express and China Unicom Hunan Branch and signed a strategic
cooperation agreement with the Postal Savings Bank of China. At the same time, we
continued to promote the in-depth cooperation with China Post, China Telecom, China
Unicom and Xinhuanet to jointly carry out the public-good programs by virtue of their
strengths and brand images in their respective field.
VII. Supporting Research and Cooperation in the Industry
In 2015, the Company took an active part in the project of compiling the third life table
of the insurance industry, which has great significance for the development of the
industry and the national economy. As the leader unit of the project team, the Company
led the major companies of the industry in completing the tasks of various stages of the
project, including formulation of the data plan, construction of data platform, collection,
processing and analysis of data, compilation of life table. Sparing no efforts in
contributing data, manpower, actuarial techniques and analysis experience, we reported
134 products that covered all the main products of the Company and submitted the data
of 130 million insurance policies, accounting for about 40% of the project. Furthermore,
we developed and utilized the technology of text analysis of death causes in claim
settlement and selflessly shared the precious experience and actuary techniques we have
accumulated with our counterparts, contributing our bit to the successful completion of
the third life table.
The Company actively involved itself in the building of China Risk Oriented Solvency
System (C-ROSS), closely followed the development trend of international solvency
monitoring, organized the compilation of the transitory period report and took part in
the discussions, feedback and quantitative testing of related projects, making positive
contributions for the reform of the major regulatory systems of the industry.
Moreover, we also took part in the research project “Clients of Life Insurance Industry”
organized by CIRC. As a core member of the project team, we defined, counted,
classified and described the characteristics of the valid clients of the industry for the
first time from the perspective of the industry, collected, analyzed and sorted out the
data reflecting the existing client capacity of the industry, the demand characteristics of
clients, their ages and features of their regional distribution, forecasted the future
development potentials of the clients of the industry. The purpose is to guide the product
design direction and tenet of the industry on the basis of existing characteristics of
clients and their demand and enrich the content of the services for them. The relevant
research conclusions and forward-looking proposals have been recognized and praised
by the regulatory authority.
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Part V Environment and Society
I. Environmental Protection
We have actively responded to the national call for energy efficiency and emissions
reduction (EEER), called on all employees to take actions in support of energy
efficiency and environmental protection, and strived to reduce energy consumption and
carbon emissions in operations by saving energy, reducing waste, optimizing process
and using new environmental protection materials.
In 2015, the Company formulated and issued the “Temporary Measures for
Management of Energy Saving and Emission Reduction” to further standardize
corporate-wide energy-using acts and require all branch and subsidiary
organizations to report the fulfillment of environmental responsibility indexes to the
Head Office regularly each year, establish the mechanism of collecting and
counting environmental responsibility information, standardize their use, repair and
scrapping of the measuring devices of water, electricity, gas and heat.
In 2015, we mobilized all employees to take actions in support of energy efficiency and
environmental protection. We required all employees to begin with trivial things: save
energy, reduce waste, turn off light when leaving, save water and put to an end the
practices of “ever-burning lamp” and “ever-running water”; try to use electronic
documents and advocate printing on both sides to save paper; carry water glasses with
them to reduce the drinking of bottled water; cherish grain to keep down the “waste on
the tongue tip”; and when organizing meetings and trainings, paste and hang fewer
slogans and banners, place fewer flowers and green plants, give out no office stationery
and reduce the paper materials to consciously practice the diligent and thrifty style of
office work and actively foster the corporate culture of saving by everybody in all
respects. We also strived to reduce energy consumption and carbon emissions by
optimizing process, creating innovative technology and using new environmental
protection materials. We cut down costs and expenses by reducing meetings and events,
downsizing the meetings and reducing the quantity of paper documents. We fully
carried out office automation. For all meetings of the Board of Directors, the Board of
Supervisors and the special committees, the Company has adopted electronic meeting
agendas and remote review of agendas, remote handling of meeting affairs and remote
query of meeting files, and tried to reduce the use of paper publicity materials and paper
cups in order to sharply cut down the consumption of paper materials. By setting up the
R&D Center and the Data Center, the Company established the centralized operation
service system and realized centralized R&D and maintenance, and standardized
services, with the daily average online users exceeding 100,000 persons and daily
handling of batch operations exceeding 100 million, thus greatly reducing carbon
emissions while improving efficiency. We use our best efforts to minimize the use of
62
paper promotion materials and effectively cut the consumption of paper caused by
paper checks, correspondence and insurance policies by using new electronic
delivery means such as electronic insurance policies, WeChat, official website and
APP. In 2015, we developed 203 types of short-term electronic insurance policies
and applied the electronic policies of student insurance to 37.24 million people,
accounting for 50% of the total student insurances. We further expanded the
application of electronic invoices. Take Beijing Branch for example, in 2015, 1.16
million electronic invoices were issued, accounting for as high as 79.4% of the total
invoices.
With regard to the management of the Head Office building, we established the
energy-efficiency management system, rolled out numerous management measures,
such as control over when to switch on and off the lightings and inspection tours on
energy efficiency, adopted technical measures such as elimination of low-efficiency
lighting products, renovation of air conditioners and renovation of the
building-controlling system; the Head Office, while ensuring energy supply for all work
assignments, strictly controlled the total amount of energy consumption to fulfill the
energy-saving management responsibility.
II. Serving Community
On the basis of
successfully holding the
national children drawing
event for four consecutive
years from 2011 to 2014,
China Life and CFLAC
Fine Arts Center jointly
held the fifth national
children drawing event in
2015 with the theme
“Joining Hands with
China Life with Focus on
Filial Duties and Benefaction” to facilitate the development of children’s art education
and to promote cultural development and the construction of spiritual civilization. The
number of persons having signed up for
the event reached 1.5 million, and a total
of 130 of them won the National Excellent
Works Award, 270 won the National
Selected Works Award and 31 instructors
were appraised as Excellent Children Art
Instructors. On November 28, 2015, the
national excellent works exhibition and
the prize-giving ceremony were held in
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Guangzhou and over 150 award-winning works were exhibited to the public. The
award-winning works from across the country were also compiled as books and
published by the CFLAC Press.
We have encouraged and supported the employees and salespersons of branch
organizations at all levels to actively participate in the local community construction
and strive to repay the society through such activities as poverty alleviation, subsidizing
students and environmental protection. The following are a summary of the activities by
some of our branch companies:
Fujian Provincial Branch: On the
Mother’s Day in 2015, Fujian
Provincial Branch donated
CNY500,000 to the provincial
Women’s Federation for use in its
activity entitled “Looking for Most
Beautiful Families in Fujian Province”,
which selected 100 “Most Beautiful
Families” to spread the culture of filial
piety and harmonious atmosphere to every family of the province. The provincial
branch also donated an aggregate of CNY215,000 in two years running to Xinggui
Village, Xiaochi Town in Xinluo District of Longyan City for use in improving the
living and leisure environment of villagers and construction of infrastructure.
Anhui Provincial Branch: On the Double Ninth Festival in 2015, Manager Liu
Xiaoling of Dingyuan Sub-branch led the employees to greet the seniors without family
in Cangzhen Nursing Home, Dingyuan County. The team carefully prepared thermal
underwear, living goods, food and other easements for every senior, chatted with them
and combed their hair.
Jiangsu Provincial Branch: Suzhou Branch takes an active part in local old-age
undertakings and donated CNY20,000 to Suzhou Red Sunset Health Club to support the
event “Our Holiday ● Double Ninth Festival --- the 9th
Culture Week of Suzhou for the
Old” and carry forward the traditional virtue of “respect and love for the old” of the
Chinese nation. Taizhou Branch donated 48 TV sets and 2 computers to Taizhou
Welfare Center for use in the “Smart Special Care Room” that would soon be
commissioned to provide support and wellbeing for the happy late life of the old under
“special care”.
Shandong Provincial Branch:
Xinzhou Branch launched the public
good activity of “green silk ribbon”,
which saw the participation of a large
number of managerial personnel,
employees and marketing partners and
raised some CNY100,000 of funds,
sending care and warmth of China
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Life to more than 10 gerocomiums, students of the schools in impoverished
mountainous regions and needy employees in Xinzhou.
III. Public-Good Donations
We have persistently committed ourselves to public-good activities such as disaster
relief, subsidy for students and poverty alleviation through China Life Charity
Foundation and the branches and subsidiaries in different places. Since 2003, our
Company has cumulatively donated more than CNY400 million in funds, made
donations funding the construction of 69 schools and 97 health centers (stations),
trained 300 rural doctors from all over the country and provided medical assistance for
more than 100 poverty-stricken patients of major diseases. In 2015, our Company
continued to grant donations of CNY30 million and the Foundation externally donated
more than CNY36 million for the whole year. The donations were used mainly to
support a number of poverty alleviation projects, e.g. purchase of ambulances for
poverty-stricken areas, “screening of 2 cancers” and critical disease insurance for the
females in poverty-stricken areas, continued upbringing of the children orphaned in
catastrophic disasters like the earthquakes that ruined Wenchuan and Yushu, the 7th
China Life Loving Care Summer Camp and other public good initiatives.
2015 Important Public-Good Activities of China Life Charity Foundation
April 2015
Donated CNY1 million to China Women Development Foundation for use in
providing needy females with critical disease insurance against “two
cancers”.
April 2015
Donated CNY2 million to Hubei Provincial Health and Family Planning
Commission for use in providing insurance against critical diseases and
accidents for the families bereft of their only child.
May 2015
The project of assisting the reconstruction and supporting the orphans in
earthquake-hit Ludian area was formally established and CNY10 million was
allocated to the project for use in the reconstruction of 23 grassroots medical
institutions in Ludian County and Qiaojia County. CNY183,600 was
allocated to support 18 kids orphaned by the earthquake in Ludian from
August 2014 to December 2015.
May 2015
Donated CNY8 million to China Family Planning Association for the
assistance of the families losing only child and other maternity care projects
in 48 pilot areas nationwide.
August 2015 Held the 7
th China Life Loving Care Summer Camp activity attended by 39
representatives of orphans.
August 2015 Donated CNY2 million worth of ambulances to part of the poverty-stricken
areas in Heilongjiang Province.
August 2015
Donated CNY10.1 million as poverty alleviation funds to Yunxi County in
Hubei and Tiandeng County and Longzhou County in Guangxi, the counties
assigned to China Life Group for poverty alleviation.
65
August 2015 Donated CNY551,340 to the “Basketball Season of Yao Foundation Hope
Primary Schools” to support the activity.
August 2015
Donated CNY2 million to China Police Martyrs and Heroes Foundation for
use in setting up “China Life Rescue Fund” to help the police officers who
are disabled, critically ill and very poor.
Case: About China Life Charity Foundation
To carry out the public-good programs more professionally and sustainably, on June 16, 2007,
our Company initiated and founded Guoshou Charity Foundation --- the first non-public
foundation in the domestic financial industry registered with the Ministry of Civil Affairs. The
purpose of the Foundation is to “support public-good charity programs and promote social
harmony and development”. The scope of subsidization includes: carry out charity activities of
helping the poor, alleviating poverty, relieving disaster and assisting the disabled, help the
social vulnerable groups to improve survival conditions and improve development ability;
subsidize and reward individuals and organizations that have made outstanding contributions in
promoting medical and health development and in carrying forward the good social customs;
and subsidize environmental protection and development of the educational cause. In March
2010, upon the approval of the Ministry of Civil Affairs, Guoshou Charity Foundation was
renamed as China Life Charity Foundation.
Since its founding, China Life Charity Foundation has externally donated over CNY180 million
and successively launched public-good programs such as health new village project and
program for bringing up orphans from Wenchuan Earthquake, Yushu Earthquake and Zhouqu
Mudslide; sponsored public-good activities such as China Life Loving Care Summer Camp,
Photo Exhibition of Wenchuan Earthquake Orphans, and “Relaying Loving Care and Setting
Sail Dreams --- Making the Dreams of Earthquake Orphans Come True”; and timely
participated in the donations for grave disasters such as low temperature, sleet and frost in the
south, Wenchuan Earthquake, Typhoon Morakot in Taiwan, Yushu Earthquake, Zhouqu
Mudslide and Ya’an Earthquake. All these activities have well benefited the society and
received wide social recognition.
(I) Assisting and Bringing up Orphans in All-Directional Manner
Since the occurrence of Wenchuan Earthquake in 2008, our Company has continuously
carried out the project of “assisting and bringing up orphans resulted from serious
disasters” through China Life Charity Foundation. We have provided long-term living
support for the 1,101 orphans caused by the disasters such as Wenchuan Earthquake,
Yushu Earthquake, Zhouqu Mudslide and Ludian Earthquake. We have also helped
orphans from the disaster-stricken areas to maintain their physical and psychological
health through activities such as one-on-one support by China Life employee volunteers
and the annual loving care summer camp.
During August 11 to 16, 2015, the seventh session of China Life Loving Care Summer
Camp was successfully held in Nanchang and Ji’an of Jiangxi Province. Accompanied
by the China Life volunteers, 39 representatives of the orphans from the
disaster-stricken areas of Sichuan, Yushu of Qinghai and Zhouqu of Gansu went on a
66
sightseeing of Jinggang Mountains, August 1 Nanchang Uprising Memorial Museum
and Tengwang Pavilion, and had a get-together with the China Life volunteers. In the
activities, the children broadened their vision, increased knowledge and experienced the
care and warmth from the whole society.
Case: About the project of assisting and bringing up orphans
After the occurrence of Wenchuan Earthquake on May 12, 2008, to enable all the children who
had lost their parents in the earthquake to grow healthily, China Life solemnly announced on
May 14 that it would fully bear the basic living allowances for these orphans till they reach the
age of 18 through China Life Charity Foundation. On November 11, 2008, the Ministry of Civil
Affairs and China Life Charity Foundation officially signed the cooperation agreement on the
“China Life Project of Assisting and Bringing up Wenchuan Earthquake Orphans” in Beijing.
The Foundation continued to rear the kids orphaned by Yushu earthquake and Zhouqu mudslide
in 2010 and, in 2014, began to rear the orphans from earthquake-hit Ludian area. As of
December 2015, China Life Charity Foundation has borne the monthly basic living allowances
of CNY600 for each of the aforesaid 1,101 orphans. The allowances were paid to these orphans
through entrusted Ministry of Civil Affairs offices from December 2008, April 2010, August
2010 and August 2014 respectively until each orphan grows to the age of 18 or the day of being
adopted. For the past seven years, under the guidance and support from the Ministry of Civil
Affairs, China Life Charity Foundation has honored its promise to the children and the society,
conscientiously performed its obligations and paid total allowances of CNY31,157,400.
In May 2009, to show long-term and on-going care for the orphans in living and spirit, the
Foundation launched the “Loving Care Act of Assisting and Bringing up Orphans” program,
including one-to-one support between China Life volunteers and the orphans and the annual
event of loving care summer camp. Through organizing regular and consolation visits and
holding summer camps, the program aims to learn about and follow up on their lives and
growth to as to ensure that they can complete their studies without worries and that they can
feel the warmth of the big social family and grow healthily and happily. So far, seven sessions
of Loving Care Summer Camp have been successfully held in Beijing, Shanghai, Xi’an, Dalian,
Xiamen, Shenzhen and Jiangxi, and 284 orphans from the disaster-stricken areas of Wenchuan,
Yushu and Zhouqu, under the accompany of China Life volunteers, have spent time in the
summer camp where they can broaden vision, obtain knowledge and have fun.
67
(II) Supporting Educational Cause
The Company has persistently put in manpower, material and financial resources to
commit itself to the activities of subsidizing students and supporting teaching, and we
have donated funds for the construction of 69 primary and secondary schools around the
country. In 2015, China Life Charity Foundation donated CNY551,340 to the “Yao
Fund” of China Youth Development Foundation, for purchasing basketball stands and
other sports facilities to be distributed to the schools participating in the “2015 Yao
Fund Basketball Season of Hope Primary Schools”.
Distribution Map of the Schools Donated by China Life
The branches and subsidiaries of Our Company in different places have also actively
particpated in supporting the local eduation-supporting cause. The following are a brief
introduction of the activies by some of our branch companies:
Anhui Provincial Branch: On November 17, 2015, Chuzhou Branch joined the
Women’s Federation of the city in launching the pair-up care activity for stay-at-home
children entitled “share happy sunshine and grow healthily in happiness”. The branch
donated schoolbags, motivational books, stationery cases and food to the 31
representatives of such children on site and provided 60 children with stay-at-home
children insurance with an insured amount of CNY75,000 each, totaling CNY4.5
million, to pass on the care of China Life.
Case: Chuzhou Branch: Activity of “10-One” care for stay-at-home children
Under the principles of “honesty, sincerity, true love and true action”, Chuzhou Branch enables
68
the stay-at-home children to experience the harmony of the big social family through the
activity of “10-one” care for them, i.e.: 1. One insurance for their security. The Company will
take out accidental and medical insurance for 100 such kids to give them more security; 2. One
schoolbag to assist them in their studies. The branch will purchase 100 schoolbags to cause
them to focus more on their studies; 3. One new clothe. The care for 100 such kids is also
mirrored by the purchase of 1 new clothe for everyone of them before the arrival of winter to
enable them to feel the warmth of love; 4. One phone call that keeps them company in their
growth. The caregiver of each kid will place a phone call each week out of concern for their
healthy growth; 5. One book for intellectual progress. One book will be given to each of the
kids for them to grow in studies; 6. One game for them to enjoy happiness. One group game
activity is organized each year for the kids to feel the affection and happiness; 7. One dinner
party, which is organized every half a year for the kids to experience the warmth of family and
affection; 8. One knowledge-gaining visit. Each year, the kids will pay one visit to the branch as
an eye-opening experience; 9. One horizon-broadening outing. Each year, the volunteers will
take the kids on an outing to let them see the wonderful world outside; 10. One get-together for
more friendship. Before the Spring Festival of each year, the Company will hold a get-together
for the kids to experience the harmony of the big social family.
Fujian Provincial Branch: In June 2015, Fuzhou Branch donated CNY300,000 to
Fuzhou Population Welfare Foundation for use in the joint activities of “Golden
Autumn Student Aid” and “Warmth for Needy Families”. Its trade union joined the
Moral Education Center of the Offices Working Committee of the provincial
Department of Education in carrying out the activity of book donation and student aid
for 5 years running and was awarded the honorary title of “Model Unit” by the
provincial education authorities together with a plaque of honor. In 2015, the branch
donated a total of CNY1,113,600 to China Next Generation Education Foundation,
Population Welfare Foundation, Family Planning Association and the charity
federations in various places and organized nearly 2000 employees and clients to take
part in the donation of goods and money.
Sichuan Provincial Branch: In 2015,
Sichuan Branch carried out the summer
camp activity under the theme “Love &
Home” for the growth of stay-at-home
children. A total of 40 children from
needy families took part in the 5-day
event in Kongping Township in Yucheng
District of Ya’an City, which was
designed to help the children learn to
establish and develop equal, united, friendly and mutual-aid interpersonal relations and
provide them with a happy and meaningful life in their summer holiday.
Shanxi Provincial Branch: On August 18, Yangquan Branch donated CNY100,000 to
help those high school graduates who are excellent in both character and learning but
from needy families fulfill their dreams about university. Besides, during the entrance
examinations of high schools and universities each year, the branch will provide free
drinking water for the students and their parents in the examination venues throughout
the city.
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Shaanxi Provincial Branch: Hanzhong Branch took an active part in the activity of
“2015 Charitable Trip into Qinling, Shaanxi to Aid Needy Students” and donated some
10,691 books, 2,000 winter clothes and 150 pairs of winter shoes to the students of
Xinminsi Middle School in Hantai District and the pupils of the Central Primary School
of Huaishuguan Township, Yang County.
(III) Assisting Poverty-Stricken Areas and the Vulnerable Groups
It is our Company’s proud tradition to actively carry out activities of helping the needy
and spreading loving care in light of the actual conditions of the poverty-stricken areas.
We have organized and implemented various forms of donations and assistance
activities for poverty-stricken areas through China Life Charity Foundation and
nationwide service networks.
In 2015, the Company donated, through China Life Charity Foundation, CNY1 million
to China Women Development Foundation for use in providing needy females with
critical disease insurance against “two cancers”, CNY2 million worth of ambulances to
the poverty-stricken areas in Heilongjiang Province and CNY10.1 million as poverty
alleviation funds to Yunxi County in Hubei Province and Tiandeng County and
Longzhou County in Guangxi Zhuang Autonomous Region, the counties assigned to
China Life Group for poverty alleviation. It took part in 10 local major poverty
alleviation projects and helped poverty alleviation through the following 5 means:
poverty alleviation via petty insurance, poverty alleviation via education, poverty
alleviation via supporting unique industries, support for frontier trade, and poverty
alleviation via public-good programs.
Supported
Areas
Donated
Funds
Use of Funds
Yunxi
County of
Hubei
CNY3.5
million
The project of petty insurance for the poor; the project of
performance guarantee insurance for mortgage loan; the bridge
and road project for the Central Kindergarten of Dianzi Township;
the sports ground construction project of Wudingping Primary
School in Guanyin Township; the project of building Taizhanzi
Bridge for the second villagers group of Tizi Village in
Chengguan Township; the project of building Lijiadayuan Bridge
for Shitahe Village in Ma’an Township; the project of building
Long’an Bridge on Liangcha River in Liulang Township; the
project of building a service center for the Party members and
masses of Youshuigou Village in Anjia Township; the project of
constructing the Central Welfare Home in Tumen Township; the
project of constructing the Central Welfare Home in Huaishulin
Township; the project of expanding the Central Welfare Home in
Hejia Township.
Tiandeng
County of
Guangxi
CNY3.3
million
The project of petty insurance against harm for migrant workers;
the project of infrastructure construction and pitaya planting
industry of Nanling Village in Tuokan Township; the project of
constructing the pepper park of the Modern Characteristic
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Agriculture (Core) Demonstration Zone.
Longzhou
County of
Guangxi CNY3.3
million
The project of petty insurance against accident for villagers; the
project of Gaoneitun ecological agriculture of Wude Village in
Wude Township; the project of mulberry growing and sericulture
of Kejia Village in Wude Township; the bee-keeping project of
Binying Village in Binqiao Township.
Our branches and subsidiaries in different places have also actively participated in the
local poverty alleviation work, and the following are a brief introduction of the activities
organized and undertaken by some of our branch companies:
Fujian Provincial Branch: In 2015, the Company launched the public welfare activity
of “Filial Piety First” and donated CNY19,000 worth of edible oil to the needy families
of 50 “Spring Bud girls” in Luoyuan. In the year, the organizations of the province at all
levels donated CNY1,577,600 to the family planning households with financial
difficulties, households receiving minimum subsistence allowances and the needy
families of “Spring Bud girls”.
Gansu Provincial Branch: Over the years, the branch organized multiple discussions
and made scientific plans to really help the designated villages for poverty alleviation.
On the basis of the CNY2,013,000 of assistance funds donated cumulatively in the
previous three years, it further strengthened the effort in 2015 by injecting
CNY917,4000 to assist in the transformation of old villages, industrial development,
purchase of agricultural materials and provide grant-in-aid for the students in technical
secondary schools and universities.
Sichuan Provincial Branch: On February 5, the eve of the Spring Festival, Deputy
General Manager Xiu Bin of Sichuan Provincial Branch again came to visit Gaojiagou
Village, the designated target of aid of the branch. The branch donated about
CNY100,000 to the village for use in building a cultural square and offering relief to the
needy families before the festival and provided risk insurance with a total insured
amount of CNY2 million for the villagers.
(IV) Showing Loving Care for Families Having Lost Their Single Child
Currently, the parents of the first generation of single children are gradually turning old,
and the social problems of such parents, caused by death of single children due to
illness, natural disasters or other reasons, such as problems concerning pension, medical
treatment, living care and expression of appeals, are emerging and increasingly
attracting the attention of the general public. To improve the life quality and living
environment of the loss-of-single-child families, China Life Charity Foundation has,
commencing from 2013, donated CNY8 million each year to China Family Planning
Association for maternity care projects including the assistance of the
loss-of-single-child families in 48 pilot areas nationwide. This has deepened the pilot
scope and exploration of the assistance projects of China Family Planning Association
for the special FP families. After nearly two years’ practice and exploration and in light
71
of the actual conditions, different local governments have rolled out a series of
assistance measures in forms of economic subsidy, living support, psychological
counseling and pension care, and trained a number of social workers familiar with the
skills of psychological counseling and grief counseling. Most of the target groups have
walked out of the haze of losing single child and once again integrated themselves into
the community and society. Such measures have produced good social effect. In 2015,
the Foundation continued to donate CNY8 million to the “Project of Exploring Special
Family Assistance Modes” of China Family Planning Association. Centering on helping
solve the difficulties of special FP families, it innovated on the mode of social services,
promoted the establishment of the social support system for caring for the special FP
families, and improved the life quality and living environment of the special FP
families.
Our branches in all places also actively supported the local families bereft of their only
child, including Yunnan Provincial Branch that donated CNY2.7 million to the local
Association of Family Planning, Guangdong Provincial Branch that donated CNY1.5
million, Guizhou Provincial Branch that donated CNY1 million (allocated pro rata in 5
years of time) and Shandong Provincial Branch that donated CNY131,600, which were
used to support “Maternity Care Initiative” and other public welfare programs.
IV. Volunteer Activities
The Company founded China Life Volunteers Association in December 2008, which
aims to encourage employees and salespersons to provide the society with volunteer
services by organizing and guiding corporate-wide volunteer service activities. In recent
years, we have continuously pushed ahead the China Life volunteer programs and
achieved significant results. The branches and subsidiaries in different places have set
up branch offices of the Association and in light of the local actual conditions, actively
participated in the volunteer services such as environmental protection, helping the
weak and the disabled, giving relief aid to the needy, community construction and
large-scale activities. The volunteer spirit has become an important part of the
Company’s corporate culture.
In the course of organizing the seventh session of China Life Loving Care Summer
Camp, the Head Office drew up a volunteers work scheme to guide the branch
companies to do well in the organization of summer camps volunteers. The scheme
covered such contents as volunteer selection standards, recruitment process and work
duties as well as volunteer management and the safety instructions and emergency plan
for summer camps. The branch companies of Jiangxi, Sichuan and Gansu respectively
dispatched leaders and volunteers to participate in the daily management of the campers
and directly take care of the children. Their earnest fulfillment of duties reflected their
high sense of responsibility and excellent volunteerism.
In light of the local actual conditions, the branches and subsidiaries held a series of
colorful volunteer activities.
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Hebei Provincial Branch: On June 7 ~ 8, 2015, Hebei Provincial Branch mobilized the
volunteers within its subordinate organizations across the province to take actions and
provide help for both the students taking the university entrance examination and their
parents. They put up sunshades and placed seats before the gates of major examination
venues to provide a temporary rest place for the parents waiting anxiously outside. They
also issued free bottled water for the students and parents and prepared examination
articles, e.g. pencils and erasers, for the examinees just in case. Such service points set
up by the Company in Hebei Province exceeded 70 and were manned by nearly 600
volunteers, who made available all types of services to the examinees and their parents.
Tianjin Branch: On the morning of August 13, 2015, after hearing about the 8.12
devastating explosion, some 100 volunteers of China Life living in Binhai and nearby
places spontaneously formed a team to support the frontline rescue work. Split into
batches, they went to the hospitals accepting the injured people to assist in registering
the information thereof, appeasing them, issuing materials, help the injured persons
without accompaniment of family members to receive timely and proper treatment, lend
a hand in change of clothes and delivery of meals for those who were so seriously
injured as to be unable to take care of themselves in daily life. Meanwhile, Tianjin
Branch set up a help station in Taida No. 2 Primary School to find out about the needs
of the police officers, the injured people
and the citizens relocated to the
settlement places for living materials.
Its volunteers joined their counterparts
from all walks of life in giving out
masks, clothes, water, food, toilet paper,
tents, chemical protective clothing and
other badly-needed supplies. They
worked hard to provide adequate
backup support for the rescuers fighting
at the forefront and provide basic life
support for the injured people and the
citizens.
Fujian Provincial Branch: In 2015, the trade union of the branch company paired up
with Tangbian Community in Wenquan Sub-district, Gulou District of Fuzhou City
under the theme of “creating a civilized unit and building a harmonious society” to
provide diversified volunteer services and jointly construct a civilized community.
73
GRI Index
Sequence
of
Indicator
Content of Indicator Degree of
Disclosure Page
Strategy and Analysis
1.1
Statement from the most senior
decision-maker of the organization about the
relevance of sustainability to the organization
and its strategy.
Full 5
1.2 Description of key impacts, risks, and
opportunities. Partial 7, 14
Organizational Profile
2.1 Name of the organization. Full 1
2.2 Primary brands, products, and/or services. Full 8
2.3
Operational structure of the organization,
including main departments, operating
companies, subsidiaries and joint venture
enterprises.
Partial
8
2.4 Location of organization’s headquarters. Full 8
2.5
Number of countries where the organization
operates, and names of countries with either
major operations or that are specifically
relevant to the sustainability issues covered
in the Report.
Full 8
2.6 Nature of ownership and legal form. Partial 8
2.7
Markets served (including geographic
breakdown, sectors served, and types of
customers/beneficiaries).
Partial
8
2.8 Scale of reporting organization. Full 8
2.9
Significant changes during the reporting
period regarding size, structure, or
ownership.
Partial
8
2.10 Awards received in the reporting period. Partial 9
Report Parameters
3.1 Reporting period (e.g., fiscal/calendar year)
for information provided. Full 2
3.2 Date of most recent previous report (if any) Full 2
74
3.3 Reporting cycle (for example, annually or
biennially). Full 2
3.4 Contact person for questions regarding the
Report or its contents. Full 2
3.5 Process for defining report content. Full 2
3.6
Boundary of the Report (e.g., countries,
divisions, subsidiaries, leased facilities, joint
ventures, suppliers). For details, see GRI
Border Regulations.
Full 2
3.7 State any specific limitations on the scope or
boundary of the Report. Full 2
3.8
Basis for reporting on joint ventures,
subsidiaries, leased facilities, outsourced
operations, and other entities that can
significantly affect comparability from
period to period and/or between
organizations.
Undisclosed
3.9
Data measurement techniques and the bases
of calculations, including the assumptions
and methods on which various estimations
are based for preparing indicators and other
information.
Undisclosed
3.10
Explanation of the effect of any
re-statements of information provided in
earlier reports, and the reasons for such
re-statement (such as merger/acquisition,
changes in benchmark year/period, changes
in business nature and measurement
method).
Undisclosed
3.11
Significant changes from previous reporting
periods in the scope, boundary, or
measurement methods applied in the Report.
Undisclosed
3.12 Table identifying the location of the Standard
Disclosures in the Report. Full 58
3.13 Policy and current practice with regard to
seeking external assurance for the Report. Undisclosed
Governance, Commitments and Stakeholders Engagement
4.1
Governance structure of the organization,
including committees under the highest
governance body responsible for specific
tasks, such as setting strategy or
organizational oversight.
Full 13
4.2 Indicate whether the Chair of the highest Undisclosed
75
governance body is also an executive officer.
4.3
For organizations that have a unitary board
structure, state the number and gender of
members of the highest governance body that
are independent and/or non-executive
members.
Undisclosed
4.4
Mechanisms for shareholders and employees
to provide recommendations or direction to
the highest governance body.
Full 10, 31
4.5
Linkage between compensation for members
of the highest governance body, senior
managers, and executives (including
departure arrangements), and the
organization’s performance (including social
and environmental performance).
Undisclosed
4.6
Processes in place for the highest governance
body to ensure conflicts of interest are
avoided.
Partial 14
4.7
Process for determining the composition,
qualifications, and expertise of the members
of the highest governance body and its
committees, including any consideration of
gender and other indicators of diversity.
Undisclosed
4.8
Internally developed statements of mission
or values, codes of conduct, and principles
relevant to economic, environmental, and
social performance and the status of their
implementation.
Partial 9, 11
4.9
Procedures of the highest governance body
for overseeing the organization’s
identification and management of economic,
environmental, and social performance,
including relevant risks and opportunities,
and adherence or compliance with
internationally agreed standards, codes of
conduct, and principles.
Partial 13
4.10
Processes for evaluating the highest
governance body’s own performance,
particularly with respect to economic,
environmental, and social performance.
Undisclosed
4.11
Explanation of whether and how the
precautionary approach or principle is
addressed by the organization.
Partial 14, 16
4.12 Externally developed economic,
environmental, and social charters, Undisclosed
76
principles, or other initiatives which the
organization subscribes to or endorses.
4.13
Memberships in associations (such as
industry associations) and/or national/
international advocacy organizations in
which the organization:
Has positions in governance bodies;
Participates in projects or committees;
Provides substantive funding beyond routine
membership dues, or
Views membership as strategic.
This refers primarily to memberships
maintained at the organizational level.
Undisclosed
4.14 List of stakeholder groups engaged by the
organization. Full 10
4.15 Basis for identification and selection of
stakeholders with whom to engage. Partial 10
4.16
Approaches to stakeholder engagement,
including frequency of engagement by type
and by stakeholder group.
Partial 10
4.17
Key topics and concerns that have been
raised through stakeholder engagement, and
how the organization has responded to those
key topics and concerns, including through
its reporting.
Full 10
Economic Performance Indicators
EC1
Direct economic value generated and
distributed, including revenues, operating
costs, employee compensation, donations
and other community investments, retained
earnings, and payments to capital providers
and governments.
Partial 11, 50
EC2 Coverage of the organization’s defined
benefit plan obligations. Partial 30
EC3
Range of ratios of standard entry level wage
compared to local minimum wage at
significant locations of operation.
Undisclosed
EC4
Development and impact of infrastructure
investments and services provided primarily
for public benefit through commercial,
in-kind, or pro bono engagement.
Partial 12, 41, 44
EC5 Understanding and describing significant
indirect economic impacts, including the Partial 14
77
extent of impacts.
Environmental Performance Indicators
EN1 Initiatives to reduce indirect energy
consumption and reductions achieved. Partial 48
Labor Practices and Decent Work Performance Indicators
LA1 Total workforce by employment type,
employment contract, region and gender. Partial 39
LA2 Percentage of employees covered by
collective bargaining agreements. Undisclosed
LA3
Education, training, counseling, prevention,
and risk-control programs in place to assist
workforce members, their families, or
community members regarding serious
diseases.
Partial 31, 39
LA4
Programs for skills management and lifelong
learning that support the continued
employability of employees and assist them
in managing career outcomes.
Full 32, 33, 35
Product Responsibility Performance Indicators
PR1
Practices related to customer satisfaction,
including results of surveys measuring
customer satisfaction.
Full 21
PR2
Programs for adherence to laws, standards,
and voluntary codes related to marketing
communications, including advertising,
promotion, and sponsorship.
Partial 26
78
Feedback on the Report
Thank you for reading this Report. We sincerely welcome any opinions and
suggestions you may offer on this Report:
- What is your overall comment on this Report?
- What is your comment on our performance of social responsibility?
- What other information do you hope us to provide?
- What public-good activities do you hope us to get involved in the most?
- What suggestions do you have on our performance of social responsibility?
Contact Information:
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Email: zhaoxiaomei@e-chinalife.com
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Postal Code: 100033
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