Insurance stocks showed a collective rebound. At the time of writing, NCI (01336) rose 3.25% to HK$49.56; CHINA LIFE (02628) gained 2.77% to HK$29.72; CPIC (02601) increased 1.18% to HK$35.54; and PICC P&C (02328) was up 1.01% to HK$14.93.

The National Financial Regulatory Administration released key regulatory data for the banking and insurance sectors in the first quarter of 2026. By the end of Q1 2026, the total assets of insurance companies and insurance asset management companies reached 42.5 trillion yuan, representing a 2.8% growth from the beginning of the year. Furthermore, the insurance industry generated premium income of 2.31 trillion yuan in Q1 2026, a year-on-year increase of 6.2%.

CSC Financial noted in a research report that the shift of deposits and "anti-involution" policies are expected to drive continued rapid growth on the liability side. The recovery in the equity market since April is anticipated to enhance profits, with current valuations offering a high margin of safety. Huaxi Securities added that demand in the insurance market remains robust due to deposit migration, and the transition to participating insurance will help alleviate pressure from interest spread losses, indicating a positive industry outlook. Currently, active funds remain underweight on the insurance sector.