Zhong Hong Life Insurance Company, which was set up in 1996 by Manulife International Company of Canada and Sinochem of China, opened its first branch on November 26 in Guangzhou, capital of China's prosperous Guangdong Province.

Raymond Chan, general manager of Zhong Hong, said it had applied to the China Insurance Regulatory Commission to establish another branch in Beijing.

Insurance experts in Shanghai and Guangzhou predict the joint venture will look for another city in central or western China forits third branch office.

They attributed the expansion to China's efforts to honor its commitment to greater market access upon joining the World Trade Organization.

Victor Apps, chairman of the board of Zhong Hong, said China occupied a very important position in Manulife's Asia and Pacific business strategy.

The chairman said Asia and Pacific accounted for 30 percent of the Canadian company's global insurance premiums.

Zhong Hong reported total insurance premiums of nearly 300 million yuan (40 million US dollars) with 250 employees and 3,000 agents and nearly 150,000 clients.

It also recorded 48 percent year-on-year growth in life insurance premiums during the first three quarters of this year.

(Xinhua News Agency December 3, 2002)