Document and Entity Information
Document and Entity Information | 12 Months Ended |
Dec. 31, 2017shares | |
Document Information [Line Items] | |
Document Type | 20-F |
Amendment Flag | false |
Document Period End Date | Dec. 31, 2017 |
Document Fiscal Year Focus | 2,017 |
Document Fiscal Period Focus | FY |
Trading Symbol | LFC |
Entity Registrant Name | CHINA LIFE INSURANCE CO LTD |
Entity Central Index Key | 1,268,896 |
Current Fiscal Year End Date | --12-31 |
Entity Well-known Seasoned Issuer | Yes |
Entity Current Reporting Status | Yes |
Entity Filer Category | Large Accelerated Filer |
H shares [member] | |
Document Information [Line Items] | |
Entity Common Stock, Shares Outstanding | 7,441,175,000 |
A shares [member] | |
Document Information [Line Items] | |
Entity Common Stock, Shares Outstanding | 20,823,530,000 |
Consolidated Statement of Finan
Consolidated Statement of Financial Position - CNY (¥) ¥ in Millions | Dec. 31, 2017 | Dec. 31, 2016 | ||
ASSETS | ||||
Property, plant and equipment | ¥ 42,707 | ¥ 30,389 | ||
Investment properties | 3,064 | 1,191 | ||
Investments in associates and joint ventures | 161,472 | 119,766 | ||
Held-to-maturity securities | [1] | 717,037 | 594,730 | |
Loans | [2] | 383,504 | 226,573 | |
Term deposits | 449,400 | 538,325 | ||
Statutory deposits - restricted | 6,333 | 6,333 | ||
Available-for-sale securities | 810,734 | 766,423 | ||
Securities at fair value through profit or loss | 136,809 | 209,124 | ||
Securities purchased under agreements to resell | 36,185 | 43,538 | ||
Accrued investment income | 50,641 | 55,945 | ||
Premiums receivable | 14,121 | 13,421 | ||
Reinsurance assets | 3,046 | 2,134 | ||
Other assets | 33,952 | 22,013 | ||
Cash and cash equivalents | 48,586 | 67,046 | ||
Total | 2,897,591 | 2,696,951 | ||
Liabilities | ||||
Insurance contracts | 2,025,133 | 1,847,986 | ||
Investment contracts | [2] | 232,500 | 195,706 | |
Policyholder dividends payable | 83,910 | 87,725 | ||
Interest-bearing loans and borrowings | 18,794 | 16,170 | ||
Bonds payable | 37,998 | [2] | ||
Financial liabilities at fair value through profit or loss | 2,529 | 2,031 | ||
Securities sold under agreements to repurchase | 87,309 | 81,088 | ||
Annuity and other insurance balances payable | 44,820 | 39,038 | ||
Premiums received in advance | 18,505 | 35,252 | ||
Other liabilities | 47,430 | 36,836 | ||
Deferred tax liabilities | 4,871 | 7,768 | ||
Current income tax liabilities | 6,198 | 1,214 | ||
Statutory insurance fund | 282 | 491 | ||
Total | 2,572,281 | 2,389,303 | ||
Equity | ||||
Share capital | 28,265 | 28,265 | ||
Other equity instruments | 7,791 | 7,791 | ||
Reserves | 145,675 | 145,007 | ||
Retained earnings | 139,202 | 122,558 | ||
Attributable to equity holders of the Company | 320,933 | 303,621 | ||
Non-controlling interests | 4,377 | 4,027 | ||
Total equity | 325,310 | 307,648 | ||
Total liabilities and equity | ¥ 2,897,591 | ¥ 2,696,951 | ||
[1] | The fair value of held-to-maturity securities is determined by reference with other debt securities which are measured by fair value. Please refer to Note 4.3. The fair value of held-to-maturity securities under Level 1 was RMB55,137 million and that under Level 2 was 637,847 million as at 31 December 2017 (as at 31 December 2016: Level 1 RMB76,299 million and Level 2 RMB542,853 million). | |||
[2] | Investment contracts at fair value through profit or loss have quoted prices in active markets, and therefore, their fair value was classified as Level 1. The fair value of policy loans approximated its carrying value. The fair values of other loans, investment contracts at amortised cost and bonds payable were determined using valuation techniques, with consideration of the present value of expected cash flows arising from contracts using a risk-adjusted discount rate, allowing for the risk-free rate available on the valuation date, credit risk and risk margin associated with the future cash flows. The fair values of other loans and investment contracts at amortised cost, and bonds payable were classified as Level 3. |
Consolidated Statement of Compr
Consolidated Statement of Comprehensive Income - CNY (¥) ¥ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Revenues | |||
Gross written premiums | ¥ 511,966 | ¥ 430,498 | ¥ 363,971 |
Less: premiums ceded to reinsurers | (3,661) | (1,758) | (978) |
Net written premiums | 508,305 | 428,740 | 362,993 |
Net change in unearned premium reserves | (1,395) | (2,510) | (692) |
Net premiums earned | 506,910 | 426,230 | 362,301 |
Investment income | 122,727 | 109,147 | 97,582 |
Net realised gains on financial assets | 42 | 6,038 | 32,297 |
Net fair value gains/ (losses) through profit or loss | 6,183 | (7,094) | 10,209 |
Other income | 7,493 | 6,460 | 5,060 |
Total revenues | 643,355 | 540,781 | 507,449 |
BENEFITS, CLAIMS AND EXPENSES | |||
Insurance benefits and claims expenses - Life insurance death and other benefits | (259,708) | (253,157) | (221,701) |
Insurance benefits and claims expenses - Accident and health claims and claim adjustment expenses | (33,818) | (27,269) | (21,009) |
Insurance benefits and claims expenses - Increase in insurance contract liabilities | (172,517) | (126,619) | (109,509) |
Investment contract benefits | (8,076) | (5,316) | (2,264) |
Policyholder dividends resulting from participation in profits | (21,871) | (15,883) | (33,491) |
Underwriting and policy acquisition costs | (64,789) | (52,022) | (35,569) |
Finance costs | (4,601) | (4,767) | (4,320) |
Administrative expenses | (35,953) | (31,854) | (27,458) |
Other expenses | (6,426) | (4,859) | (7,428) |
Statutory insurance fund contribution | (1,068) | (1,048) | (743) |
Total benefits, claims and expenses | (608,827) | (522,794) | (463,492) |
Share of profit of associates and joint ventures, net | 7,143 | 5,855 | 1,974 |
Profit before income tax | 41,671 | 23,842 | 45,931 |
Income tax | (8,919) | (4,257) | (10,744) |
Net Profit/(loss) | 32,752 | 19,585 | 35,187 |
Attributable to: | |||
Equity holders of the Company | 32,253 | 19,127 | 34,699 |
Non-controlling interests | 499 | 458 | 488 |
Net Profit/(loss) | ¥ 32,752 | ¥ 19,585 | ¥ 35,187 |
Basic and diluted earnings per share | ¥ 1.13 | ¥ 0.66 | ¥ 1.22 |
Other comprehensive income that may be reclassified to profit or loss in subsequent periods: | |||
Fair value gains/(losses) on available-for-sale securities | ¥ (15,003) | ¥ (44,509) | ¥ 54,080 |
Amount transferred to net profit from other comprehensive income | (42) | (6,038) | (32,297) |
Portion of fair value changes on available-for-sale securities attributable to participating policyholders | 5,605 | 17,372 | (12,767) |
Share of other comprehensive income of associates and joint ventures under the equity method | 20 | (864) | 353 |
Exchange differences on translating foreign operations | (865) | 21 | 10 |
Income tax relating to components of other comprehensive income | 2,359 | 8,242 | (2,242) |
Other comprehensive income that may be reclassified to profit or loss in subsequent periods | (7,926) | (25,776) | 7,137 |
Other comprehensive income that will not be reclassified to profit or loss in subsequent periods | 0 | 0 | 0 |
Other comprehensive income for the year, net of tax | (7,926) | (25,776) | 7,137 |
Total comprehensive income for the year, net of tax | 24,826 | (6,191) | 42,324 |
Attributable to: | |||
Equity holders of the Company | 24,341 | (6,647) | 41,775 |
Non-controlling interests | 485 | 456 | 549 |
Total comprehensive income for the year, net of tax | ¥ 24,826 | ¥ (6,191) | ¥ 42,324 |
Consolidated Statement of Chang
Consolidated Statement of Changes in Equity - CNY (¥) ¥ in Millions | Total | Share capital [member] | Other equity instruments [member] | Reserves [member] | Retained earnings [member] | Non-controlling interests [member] |
Beginning balance at Dec. 31, 2014 | ¥ 287,331 | ¥ 28,265 | ¥ 145,919 | ¥ 109,937 | ¥ 3,210 | |
Net Profit/(loss) | 35,187 | 34,699 | 488 | |||
Other comprehensive income | 7,137 | 7,076 | 61 | |||
Total comprehensive income | 42,324 | 7,076 | 34,699 | 549 | ||
Transactions with owners | ||||||
Capital paid in by non-controlling interests | 80 | 80 | ||||
Capital paid in by other equity instruments holders | 7,791 | ¥ 7,791 | ||||
Appropriation to reserves (Note 35) | 10,090 | (10,090) | ||||
Dividends paid (Note 31) | (11,491) | (11,491) | ||||
Dividends to non-controlling interests | (117) | (117) | ||||
Others | 296 | 296 | ||||
Total transactions with owners | (3,441) | 7,791 | 10,386 | (21,581) | (37) | |
Ending balance at Dec. 31, 2015 | 326,214 | 28,265 | 7,791 | 163,381 | 123,055 | 3,722 |
Net Profit/(loss) | 19,585 | 19,127 | 458 | |||
Other comprehensive income | (25,776) | (25,774) | (2) | |||
Total comprehensive income | (6,191) | (25,774) | 19,127 | 456 | ||
Transactions with owners | ||||||
Appropriation to reserves (Note 35) | 7,367 | (7,367) | ||||
Dividends paid (Note 31) | (12,257) | (12,257) | ||||
Dividends to non-controlling interests | (151) | (151) | ||||
Others | 33 | 33 | ||||
Total transactions with owners | (12,375) | 7,400 | (19,624) | (151) | ||
Ending balance at Dec. 31, 2016 | 307,648 | 28,265 | 7,791 | 145,007 | 122,558 | 4,027 |
Net Profit/(loss) | 32,752 | 32,253 | 499 | |||
Other comprehensive income | (7,926) | (7,912) | (14) | |||
Total comprehensive income | 24,826 | (7,912) | 32,253 | 485 | ||
Transactions with owners | ||||||
Appropriation to reserves (Note 35) | 8,445 | (8,445) | ||||
Dividends paid (Note 31) | (7,164) | (7,164) | ||||
Dividends to non-controlling interests | (135) | (135) | ||||
Others | 135 | 135 | ||||
Total transactions with owners | (7,164) | 8,580 | (15,609) | (135) | ||
Ending balance at Dec. 31, 2017 | ¥ 325,310 | ¥ 28,265 | ¥ 7,791 | ¥ 145,675 | ¥ 139,202 | ¥ 4,377 |
Consolidated Statement of Cash
Consolidated Statement of Cash Flows ¥ in Millions, $ in Millions | 12 Months Ended | ||
Dec. 31, 2017CNY (¥) | Dec. 31, 2016CNY (¥) | Dec. 31, 2015CNY (¥) | |
CASH FLOWS FROM OPERATING ACTIVITIES | |||
Profit before income tax | ¥ 41,671 | ¥ 23,842 | ¥ 45,931 |
Adjustments for: | |||
Investment income | (122,727) | (109,147) | (97,582) |
Net realised and unrealised (gains)/losses on financial assets | (6,225) | 1,056 | (42,506) |
Insurance contracts | 176,148 | 131,354 | 112,142 |
Depreciation and amortisation | 2,240 | 2,083 | 2,036 |
Foreign exchange (gains)/losses | (52) | (582) | (812) |
Share of profit of associates and joint ventures, net | (7,143) | (5,855) | (1,974) |
Changes in operating assets and liabilities: | |||
Securities at fair value through profit or loss | 76,378 | (76,318) | (100,089) |
Financial liabilities at fair value through profit or loss | 931 | 1,539 | 403 |
Receivables and payables | 38,967 | 124,466 | 70,482 |
Income tax paid | (4,473) | (9,331) | (8,380) |
Interest received-securities at fair value through profit or loss | 4,497 | 5,465 | 1,225 |
Dividends received-securities at fair value through profit or loss | 778 | 526 | 313 |
Net cash inflows/(outflows) from operating activities | 200,990 | 89,098 | (18,811) |
CASH FLOWS FROM INVESTING ACTIVITIES | |||
Disposals of debt investments | 30,540 | 10,447 | 11,546 |
Maturities of debt investments | 142,845 | 50,101 | 41,806 |
Disposals of equity investments | 506,306 | 508,476 | 400,451 |
Disposals of property, plant and equipment | 103 | 114 | 199 |
Debt investments | (516,051) | (173,628) | (53,340) |
Equity investments | (500,737) | (537,012) | (522,787) |
Purchases of property, plant and equipment | (9,619) | (5,310) | (8,384) |
Capital contribution to associates and joint ventures | (37,304) | (65,158) | (766) |
Decrease/(increase) in term deposits, net | 92,148 | 37,515 | 124,838 |
Decrease/(increase) in securities purchased under agreements to resell, net | 6,981 | (22,035) | (9,602) |
Interest received | 98,012 | 78,891 | 81,688 |
Dividends received | 29,014 | 20,390 | 8,828 |
Decrease/(increase) in policy loans, net | (15,515) | (7,483) | (11,305) |
Cash paid/(received) related to other investing activities | (399) | (11) | 3,875 |
Net cash inflows/(outflows) from investing activities | (173,676) | (104,703) | 67,047 |
CASH FLOWS FROM FINANCING ACTIVITIES | |||
Increase/(decrease) in securities sold under agreements to repurchase, net | 6,228 | 49,999 | (13,757) |
Cash received from issuing other equity instruments | 0 | 0 | 7,791 |
Interest paid | (5,671) | (4,891) | (4,471) |
Dividends paid to equity holders of the Company | (7,164) | (12,257) | (11,491) |
Dividends paid to non-controlling interests | (135) | (151) | (117) |
Cash received from borrowings | 3,121 | 13,831 | 0 |
Capital injected into subsidiaries by non-controlling interests | 4,034 | 2,939 | 2,630 |
Cash repaid to lenders | (38,000) | (30,000) | 0 |
Cash paid related to other financing activities | (8,008) | (13,200) | 0 |
Net cash inflows/(outflows) from financing activities | (45,595) | 6,270 | (19,415) |
Foreign exchange gains/(losses) on cash and cash equivalents | (179) | 285 | 241 |
Net decrease in cash and cash equivalents | (18,460) | (9,050) | 29,062 |
Cash and cash equivalents, Beginning of the year | 67,046 | 76,096 | 47,034 |
Cash and cash equivalents, End of the year | 48,586 | 67,046 | 76,096 |
Analysis of balances of cash and cash equivalents | |||
Cash at banks and in hand | 47,444 | 64,364 | 74,135 |
Short-term bank deposits | ¥ 1,142 | ¥ 2,682 | ¥ 1,961 |
Organization and Principal Acti
Organization and Principal Activities | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Organization and Principal Activities | 1 ORGANIZATION AND PRINCIPAL ACTIVITIES China Life Insurance Company Limited (the “Company”) was established in the People’s Republic of China (“China” or the “PRC”) on 30 June 2003 as a joint stock company with limited liability as part of a group restructuring of China Life Insurance (Group) Company (“CLIC”, formerly China Life Insurance Company) and its subsidiaries (the “Restructuring”). The Company and its subsidiaries are hereinafter collectively referred to as the “Group”. The Group’s principal activities are the writing of life, health, accident and other types of personal insurance business; reinsurance business for personal insurance business; fund management business permitted by national laws and regulations or approved by the State Council of the People’s Republic of China, etc. The Company is a joint stock company incorporated in the PRC with limited liability. The address of its registered office is 16 Financial Street, Xicheng District, Beijing, the PRC. The Company is listed on the New York Stock Exchange, the Stock Exchange of Hong Kong Limited, and the Shanghai Stock Exchange. These consolidated financial statements are presented in millions of Renminbi (“RMB million”) unless otherwise stated. These consolidated financial statements have been approved and authorised for issue by the Board of Directors on 22 March 2018. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Summary of Significant Accounting Policies | 2 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The principal accounting policies applied in the preparation of these consolidated financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated. 2.1 Basis of preparation The Group has prepared these consolidated financial statements in accordance with International Financial Reporting Standards (“IFRSs”), amendments to IFRSs and interpretations issued by the International Accounting Standards Board (“IASB”). These consolidated financial statements also comply with the applicable disclosure provisions of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited (the “Listing Rules”) and the applicable disclosure requirements of the Hong Kong Companies Ordinance. The Group has prepared the consolidated financial statements under the historical cost convention, except for financial assets and liabilities at fair value through profit or loss, available-for-sale 2.1.1 New accounting standards and amendments adopted by the Group for the first time for the financial year beginning on 1 January 2017 Standards/Amendments Content Effective for annual periods IAS 7 Amendments Disclosure Initiative 1 January 2017 IAS 12 Amendments Recognition of Deferred Tax Assets for Unrealised Losses 1 January 2017 IFRS 12 Amendments included in Annual Improvements to IFRSs 2014-2016 Cycle Disclosure of Interests in Other Entities 1 January 2017 IAS 7 Amendments – Disclosure Initiative Amendments to IAS 7 Statement of Cash Flows non-cash IAS 12 Amendments – Recognition of Deferred Tax Assets for Unrealised Losses Amendments to IAS 12 clarify that an entity, when assessing whether taxable profits will be available against which it can utilise a deductible temporary difference, needs to consider whether tax law restricts the sources of taxable profits against which it may make deductions on the reversal of that deductible temporary difference. Furthermore, the amendments provide guidance on how an entity should determine future taxable profits and explain the circumstances in which taxable profit may include the recovery of some assets for more than their carrying amount. The Group applied the amendments retrospectively. However, their application has no impact on the Group’s financial position and performance, as the accounting treatment of the Group for the previous period was consistent with the clarification in these amendments. IFRS 12 Amendments – Disclosure of Interests in Other Entities Amendments to IFRS 12 clarify that the disclosure requirements in IFRS 12, other than those disclosure requirements in paragraphs B10 to B16 of IFRS 12, apply to an entity’s interest in a subsidiary, a joint venture or an associate, or a portion of its interest in a joint venture or an associate that is classified as held for sale or included in a disposal group classified as held for sale. The amendments have had no impact on the Group’s consolidated financial statements as the Group has no interest in a subsidiary, a joint venture or an associate that is classified as held for sale. 2.1.2 New accounting standards and amendments that are not yet effective and have not been early adopted by the Group for the financial year beginning on 1 January 2017 Standards/Amendments Content Effective for annual period IFRS 2 Amendments Classification and Measurement of Share-based Payment Transactions 1 January 2018 IFRS 9 Financial Instruments 1 January 2018 IFRS 4 Amendments Applying IFRS 9 Financial Instruments with IFRS 4 Insurance Contracts 1 January 2018 IFRS 15 Revenue from Contracts with Customers 1 January 2018 IFRS 15 Amendments Clarifications to IFRS 15 Revenue from Contracts with Customers 1 January 2018 IAS 40 Amendments Transfers of Investment Property 1 January 2018 IFRS 16 Leases 1 January 2019 IFRS 17 Insurance Contracts 1 January 2021 IFRS 10 and IAS 28 Amendments Sale or Contribution of Assets between an Investor and its Associate or Joint Venture No mandatory effective date yet determined but available for adoption The Group has not early adopted any standard, interpretation or amendment that has been issued but is not yet effective. IFRS 2 Amendments – Classification and Measurement of Share-based Payment Transactions In June 2016, the IASB issued amendments to IFRS 2 Share-based Payment IFRS 9 – Financial Instruments In July 2014, the IASB issued the final version of IFRS 9, bringing together all phases of the financial instruments project to replace IAS 39 and all previous versions of IFRS 9. The standard introduces new requirements for classification and measurement, impairment, and hedge accounting. IFRS 9 is effective for annual periods beginning on or after 1 January 2018, with early adoption permitted. Based on the current assessment, the Group expects the adoption of IFRS 9 will have a material impact on the Group’s consolidated financial statements. Classification and measurement IFRS 9 requires that the Group classifies debt instruments based on the combined effect of application of business model (hold to collect contractual cash flows, hold to collect contractual cash flows and sell financial assets or other business models) and contractual cash flow characteristics (sole payments of principal and interest on the principal amount outstanding or not). Debt instruments not giving rise to cash flows that are sole payments of principal and interest on the principal amount outstanding would be measured at fair value through profit and loss. Other debt instruments giving rise to cash flows that are sole payments of principal and interest on the principal amount outstanding would be measured at amortised cost, fair value through other comprehensive income (“FVOCI”) or fair value through profit or loss (“FVTPL”), based on their respective business model. The Group is in the process of analysing the contractual cash flow characteristics of financial assets and assessing the application of the business model. Equity instruments would generally be measured at fair value through profit or loss unless the Group elects to measure at FVOCI for certain equity investments not held for trading. This will result in unrealised gains and losses on equity instruments currently classified as available-for-sale Impairment IFRS 9 replaces the “incurred loss” model with the “expected credit loss” model which is designed to include forward-looking information. The Group is in the process of developing and testing the key models required under IFRS 9 and analysing the impact on the expected loss provision; the Group believed the provision for debt instruments of the Group under the “expected credit loss” model would be larger than that under the previous “incurred loss” model. Hedge accounting The Group does not apply the hedge accounting currently, so the new hedge accounting model under IFRS 9 has no impact on the Group’s consolidated financial statements. IFRS 4 Amendments – Applying IFRS 9 Financial Instruments with IFRS 4 Insurance Contracts Amendments to IFRS 4 address issues arising from the different effective dates of IFRS 9 and IFRS 17. The amendments introduce two alternative options that allow entities issuing contracts within the scope of IFRS 4 for the adoption of IFRS 9, notably a temporary exemption and an overlay approach. The temporary exemption enables eligible entities to defer the implementation date of IFRS 9 until the effective date of IFRS 17. The amendments clarify that an insurer may apply the temporary exemption from IFRS 9 if: (i) it has not previously applied any version of IFRS 9, other than only the requirements for the presentation of gains and losses on financial liabilities designated as FVTPL; and (ii) its activities are predominantly connected with insurance on its annual reporting date that immediately precedes 1 April 2016. The overlay approach allows entities applying IFRS 9 from 2018 onwards to remove from profit or loss the effects arising from the adoption of IFRS 9 and reclassify the amounts to OCI for designated financial assets. An entity can apply the temporary exemption from IFRS 9 for annual periods beginning on or after 1 January 2018, or apply the overlay approach when it applies IFRS 9 for the first time. During 2016, the Group performed an assessment of the amendments and reached the conclusion that its activities are predominantly connected with insurance as at 31 December 2015. There had been no significant change in the activities of the Group since then that requires reassessment, and the Group considered that it continues to meet the criteria of applying the temporary exemption. The Group decides to apply the temporary exemption from IFRS 9 and, therefore, continue to apply IAS 39 to its financial assets and liabilities in its reporting period starting on 1 January 2018. IFRS 15 – Revenue from Contracts with Customers and IFRS 15 Amendments IFRS 15, issued in May 2014, establishes a new five-step model to account for revenue arising from contracts with customers. Under IFRS 15, revenue is recognised at an amount that reflects the consideration to which an entity expects to be entitled in exchange for transferring goods or services to a customer. The principles in IFRS 15 provide a more structured approach for measuring and recognising revenue. The standard also introduces extensive qualitative and quantitative disclosure requirements, including disaggregation of total revenue, information about performance obligations, changes in contract asset and liability account balances between periods and key judgements and estimates. The standard will supersede all current revenue recognition requirements under IFRSs. Either a full retrospective application or a modified retrospective adoption is required on the initial application of the standard. In April 2016, the IASB issued amendments to IFRS 15 to address the implementation issues on identifying performance obligations, application guidance on principal-versus-agent consideration, licences of intellectual property, and transition. The amendments are also intended to help ensure a more consistent application when entities adopt IFRS 15 and decrease the cost and complexity of applying the standard. IFRS 15 and the amendments are effective for annual periods beginning on or after 1 January 2018, and early adoption is permitted. The Group will adopt IFRS 15 from 1 January 2018 and plans to adopt the modified retrospective approach. Given insurance contracts are scoped out of IFRS 15, the main impact of the new standard is on the accounting treatment of income from administrative and investment management services. The Group does not expect any significant impact on the Group’s consolidated financial statement. IAS 40 Amendments – Transfers of Investment Property Amendments to IAS 40, issued in December 2016, clarify when an entity should transfer property, including property under construction or development into, or out of investment property. The amendments state that a change in use occurs when the property meets, or ceases to meet, the definition of investment property and there is evidence of the change in use. A mere change in management’s intentions for the use of a property does not provide evidence of a change in use. The amendments are to be applied prospectively, and shall be applied to the changes that occurred, during or after the financial year when it applies amendments for the first time. An entity should reassess the classification of property held at the date that it first applies the amendments and, if applicable, reclassify property to reflect the conditions that exist at that date. Retrospective application is only permitted if it is possible without the use of hindsight. The Group expects to adopt the amendments from 1 January 2018. The amendments are not expected to have any significant impact on the Group’s consolidated financial statements. IFRS 16 – Leases IFRS 16 was issued in January 2016 and it replaces IAS 17 Leases Determining whether an Arrangement contains a Lease Operating Leases-Incentives SIC-27 Evaluating the Substance of Transactions Involving the Legal Form of a Lease on-balance low-value right-of-use right-of-use right-of-use right-of-use right-of-use IFRS 17 – Insurance Contracts In May 2017, the IASB issued IFRS 17 Insurance Contracts Insurance Contracts In contrast to the requirements in IFRS 4, which are largely based on grandfathering previous local accounting policies for measurement purposes, IFRS 17 provides a comprehensive model (the general model) for insurance contracts, supplemented by the variable fee approach for contracts with direct participation features and the premium allocation approach mainly for short-duration which typically applies to certain non-life The main features of the new accounting model for insurance contracts are, as follows: • The fulfilment cash flows including the expected present value of future cash flows and explicit risk adjustment, remeasured every reporting period; • A Contractual Service Margin (CSM) represents the unearned profitability of the insurance contracts and is recognised in profit or loss over the coverage period; • Certain changes in the expected present value of future cash flows are adjusted against the CSM and thereby recognised in profit or loss over the remaining coverage period; • The effect of changes in discount rates will be reported in either profit or loss or other comprehensive income, determined by an accounting policy choice; • The recognition of insurance revenue and insurance service expenses in the statement of comprehensive income based on the concept of services provided during the period; • Amounts that the policyholder will always receive, regardless of whether an insured event happens (non-distinct • Insurance services results are presented separately from the insurance finance income or expense; • Extensive disclosures to provide information on the recognised amounts from insurance contracts and the nature and extent of risks arising from these contracts. IFRS 17 is effective for annual reporting periods beginning on or after 1 January 2021, with comparative figures required. Early application is permitted, provided the entity also applies IFRS 9 and IFRS 15 on or before the date it first applies IFRS 17. Retrospective application is required. However, if full retrospective application for a group of insurance contracts is impracticable, then the entity is required to choose either a modified retrospective approach or a fair value approach. The Group is currently assessing the impact of the standard upon adoption. IFRS 10 and IAS 28 Amendments – Sale or Contribution of Assets between an Investor and its Associate or Joint Venture Amendments to IFRS 10 and IAS 28 address an inconsistency between the requirements in IFRS 10 and IAS 28 in dealing with the sale or contribution of assets between an investor and its associate or joint venture. The amendments require a full recognition of a gain or loss when the sale or contribution of assets between an investor and its associate or joint venture constitutes a business. For a transaction involving assets that do not constitute a business, a gain or loss resulting from the transaction is recognised in the investor’s profit or loss only to the extent of the unrelated investor’s interest in that associate or joint venture. The amendments are to be applied prospectively. The previous mandatory effective date of amendments to IFRS 10 and IAS 28 was removed and a new mandatory effective date will be determined after the completion of a broader review of accounting for associates and joint ventures. However, the amendments are available for adoption now. In addition, besides the amendments to IFRS 12, which are effective for annual periods beginning on or after 1 January 2017, the Annual Improvements 2014-2016 Cycle Annual Improvements 2015-2017 Cycle 2.2 Consolidation The consolidated financial statements include the financial statements of the Company and its subsidiaries for the year ended 31 December 2017. Subsidiaries are those entities which are controlled by the Group (including the structured entities controlled by the Group). Control is achieved when the Group is exposed, or has rights, to variable returns from its involvement with the investee and has the ability to affect those returns through its power over the investee. Specifically, the Group controls an investee if and only if the Group has: • power over the investee (i.e., existing rights that give it the current ability to direct the relevant activities of the investee); • exposure, or rights, to variable returns from its involvement with the investee; and • the ability to use its power over the investee to affect its returns. When the Group has less than a majority of the voting or similar rights of an investee, the Group considers all relevant facts and circumstances in assessing whether it has power over an investee, including: • the contractual arrangement with the other vote holders of the investee; • rights arising from other contractual arrangements; and • the Group’s voting rights and potential voting rights. The Group re-assesses Profit or loss and each component of OCI are attributed to the equity holders of the Company and to the non-controlling non-controlling A change in the ownership interest of a subsidiary, without a loss of control, is accounted for as an equity transaction. If the Group loses control over a subsidiary, it: • derecognises the assets (including goodwill) and liabilities of the subsidiary; • derecognises the carrying amount of any non-controlling • derecognises the cumulative translation differences recorded in equity; • recognises the fair value of the consideration received; • recognises the fair value of any investment retained; • recognises any surplus or deficit in profit or loss; and • reclassifies the Group’s share of components previously recognised in OCI to profit or loss or retained earnings, as appropriate, as if the Group had directly disposed of the related assets or liabilities The Group uses the acquisition method of accounting to account for business combinations. The consideration transferred for the acquisition of a subsidiary is the fair value of the assets transferred, the liabilities incurred and the equity interest issued by the Group. The consideration transferred includes the fair value of any asset or liability resulting from a contingent consideration arrangement. Acquisition-related costs are expensed as incurred. Identifiable assets acquired, and liabilities and contingent liabilities assumed in a business combination are measured initially at their fair value at the acquisition date. On an acquisition-by-acquisition non-controlling non-controlling The excess of the aggregate of the consideration transferred, the fair value of any non-controlling re-assesses re-assessment The investments in subsidiaries are accounted for only in the Company’s statement of financial position at cost less impairment. Cost is adjusted to reflect changes in consideration arising from contingent consideration amendments. Cost also includes direct attributable costs of investment. The results of subsidiaries are accounted for by the Company on the basis of dividends received and receivable. Transactions with non-controlling The Group treats transactions with non-controlling non-controlling non-controlling When the Group ceases to have control or significant influence, any retained interest in the entity is re-measured to its fair value, with the change in carrying amount recognised in profit or loss. The fair value is the initial carrying amount for the purposes of subsequently accounting for the retained interest as an associate, joint venture or financial asset. In addition, any amounts previously recognised in OCI in respect of that entity are accounted for as if the Group had directly disposed of the related assets or liabilities. This may mean that amounts previously recognised in OCI are reclassified to profit or loss. If the ownership interest in an associate is reduced but significant influence is retained, only a proportionate share of the amounts previously recognised in OCI is reclassified to profit or loss as appropriate. 2.3 Associates and joint ventures Associates are entities over which the Group has significant influence, generally accompanying a shareholding of between 20% and 50% of the voting rights of the investee. Significant influence is the power to participate in the financial and operating policy decisions of the investee, but is not control or joint control over those policies. Joint ventures are the type of joint arrangements whereby the parties that have joint control of the arrangement have rights to the net assets of the joint venture. Joint control is the contractually agreed sharing of control of an arrangement, which exists only when decisions about the relevant activities require the unanimous consent of the parties sharing control. Investments in associates and joint ventures are accounted for using the equity method of accounting and are initially recognised at cost. The Group’s share of post-acquisition profit or loss of its associates and joint ventures is recognised in net profit, and its share of post-acquisition movements in OCI is recognised in the consolidated statement of comprehensive income. The cumulative post-acquisition movements are adjusted against the carrying amount of the investment. When the Group’s share of losses in an associate or joint venture equals or exceeds its interest in the associate or joint venture, including any other unsecured receivables, the Group does not recognise further losses unless it has obligations to make payments on behalf of the associate or joint venture. Unrealised gains on transactions between the Group and its associates or joint ventures are eliminated to the extent of the Group’s interests in the associates or joint ventures. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred. Associates and joint ventures’ accounting policies have been changed where necessary to ensure consistency with the policies adopted by the Group. Goodwill represents the excess of the cost of an acquisition over the fair value of the Group’s share of the net identifiable assets of acquired associates or joint ventures at the date of acquisition. Goodwill on acquisitions of associates and joint ventures is included in investments in associates and joint ventures and is tested annually for impairment as part of the overall balance. Impairment losses on goodwill are not reversed. Gains or losses on the disposal of an entity take into consideration the carrying amount of goodwill relating to the entity sold. The Group determines at each reporting date whether there is any objective evidence that the investments in associates and joint ventures are impaired. If this is the case, an impairment loss is recognised for the amount by which the investment’s carrying amount exceeds its recoverable amount. The recoverable amount is the higher of the investment’s fair value less costs of disposal and value in use. The impairment of investments in the associates and joint ventures is reviewed for possible reversal at each reporting date. The investments in associates and joint ventures are stated at cost less impairment in the Company’s statement of financial position. The results of associates and joint ventures are accounted for by the Company on the basis of dividends received and receivable. 2.4 Segment reporting The Group’s operating segments are presented in a manner consistent with the internal management reporting provided to the operating decision maker - president office for deciding how to allocate resources and for assessing performance. Operating segment refers to the segment within the Group that satisfies the following conditions: i) the segment generates income and incurs costs from daily operating activities; ii) management evaluates the operating results of the segment to make resource allocation decision and to evaluate the business performance; and iii) the Group can obtain relevant financial information of the segment, including financial condition, operating results, cash flows and other financial performance indicators. 2.5 Foreign currency translation The Company’s functional currency is RMB. Each entity in the Group determines its own functional currency and items included in the financial statements of each entity are measured using that functional currency. The reporting currency of the consolidated financial statements of the Group is RMB. Transactions in foreign currencies are translated at the exchange rates ruling at the transaction dates. Monetary assets and liabilities denominated in foreign currencies are translated at the exchange rates ruling at the end of the reporting period. Exchange differences arising in these cases are recognised in net profit. 2.6 Property, plant and equipment Property, plant and equipment, are stated at historical costs less accumulated depreciation and any accumulated impairment losses, except for those acquired prior to 30 June 2003, which are stated at deemed cost less accumulated depreciation and any accumulated impairment losses. The historical costs of property, plant and equipment comprise its purchase price, including import duties and non-refundable Depreciation Depreciation is computed on a straight-line basis to write down the cost of each asset to its residual value over its estimated useful lives as follows: Estimated useful lives Buildings 15 to 35 years Office equipment, furniture and fixtures 3 to 11 years Motor vehicles 4 to 8 years Leasehold improvements Over the shorter of the remaining term of the lease and the useful lives The residual values, depreciation method and useful lives are reviewed periodically to ensure that the method and period of depreciation are consistent with the expected pattern of economic benefits from items of property, plant and equipment. Assets under construction mainly represent buildings under construction, which are stated at cost less any impairment losses and are not depreciated, except for those acquired prior to 30 June 2003, which are stated at deemed cost less any accumulated impairment losses. Cost comprises the direct costs of construction and capitalised borrowing costs on related borrowed funds during the period of construction. Assets under construction are reclassified to the appropriate category of property, plant and equipment, investment properties or other assets when completed and ready for use. Impairment and gains or losses on disposals Property, plant and equipment are reviewed for impairment losses whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. An impairment loss is recognised in net profit for the amount by which the carrying amount of the asset exceeds its recoverable amount, which is the higher of an asset’s net selling price and value in use. The gain or loss on disposal of an item of property, plant and equipment is the difference between the net sales proceeds and the carrying amount of the relevant asset, and is recognised in net profit. 2.7 Investment properties Investment properties are interests in land and buildings that are held to earn rental income and/or for capital appreciation, rather than for the supply of services or for administrative purposes. Investment properties are measured initially at cost, including transaction costs. Subsequent to initial recognition, investment properties are stated at cost less accumulated depreciation and any impairment loss. Depreciation is computed on the straight-line basis over the estimated useful lives. The estimated useful lives of investment properties are 15 to 35 years. Overseas investment properties that are held by the Group in the form of property ownership, equity investment, or other forms, have expected useful lives not longer than 50 years, determined based on the usage in their locations. The useful lives and depreciation method are reviewed periodically to ensure that the method and period of depreciation are consistent with the expected pattern of economic benefits from the individual investment properties. An investment property is derecognised when either it has been disposed of or when the investment property is permanently withdrawn from use and no future economic benefit is expected from its disposal. Any gains or losses on the retirement or disposal of an investment property are recognised in the statement of comprehensive income in the year of retirement or disposal. A transfer to, or from, an investment property is made when, and only when, there is evidence of a change in use. 2.8 Financial assets 2.8.a Classification The Group classifies its financial assets into the following categories: securities at fair value through profit or loss, held-to-maturity available-for-sale (i) Securities at fair value through profit or loss This category has two sub-categories: (ii) Held-to-maturity Held-to-maturity non-derivative available-for-sale (iii) Loans and receivables Loans and receivables are non-derivative available-for-sale. (iv) Available-for-sale Available-for-sale non-derivative 2.8.b Recognition and measurement Purchase and sale of investments are recognised on the trade date, when the Group commits to purchase or sell assets. Investments are initially recognised at fair value plus, in the case of all financial assets not carried at fair value through profit or loss, transaction costs that are directly attributable to their acquisition. Investments are derecognised when the rights to receive cash flows from the investments have expired or when they have been transferred and the Group has also transferred substantially all risks and rewards of ownership. Securities at fair value through profit or loss and available-for-sale Held-to-maturity available-for-sale available-for-sale available-for-sale Term deposits primarily represent traditional bank deposits which have fixed maturity dates and are stated at amortised cost. Loans are carried at amortised cost, net of allowance for impairment. The Group purchases securities under agreements to resell substantially identical securities. These agreements are classified as secured loans and are recorded at amortised cost, i.e., their costs plus accrued interests at the end of the reporting period, which approximates fair value. The amounts advanced under these agreements are reflected as assets in the consolidated statement of financial position. The Group does not take physical possession of securities purchased under agreements to resell. Sale or transfer of the securities is not permitted by the respective clearing house on which they are registered while the lended money is outstanding. In the event of default by the counterparty, the Group has the right to the underlying securities held by the clearing house. 2.8.c Impairment of financial assets other than securities at fair value through profit or loss Financial assets other than those accounted for as at fair value through profit or loss are adjusted for impairment, where there are declines in value that are considered to be impairment. In evaluating whether a decline in value is an impairment for these financial assets, the Group considers several factors including, but not limited to, the following: • significant financial difficulty of the issuer or debtor; • a breach of contract, such as a default or delinquency in payments; • it becomes probable that the issuer or debtor will enter into bankruptcy or other financial reorganisation; and • the disappearance of an active market for that financial asset because of financial difficulties. In evaluating whether a decline in value is impairment for equity securities, the Group also considers the extent or the duration of the decline. The quantitative factors include the following: • the market price of the equity securities was more than 50% below their cost at the reporting date; • the market price of the equity securities was more than 20% below their cost for a period of at least six months at the reporting date; and • the market price of the equity securities was below their cost for a period of more than one year (including one year) at the reporting date. When the decline in value is considered impairment, held-to-maturity available-for-sale 2.9 Fair value measurement The Group measures financial instruments, such as securities at fair value t |
Critical Accounting Estimates a
Critical Accounting Estimates and Judgements | 12 Months Ended |
Dec. 31, 2017 | |
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Critical Accounting Estimates and Judgements | 3 CRITICAL ACCOUNTING ESTIMATES AND JUDGEMENTS The Group makes estimates and assumptions that affect the reported amounts of assets and liabilities. Estimates and judgements are continually evaluated and based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. The Group exercises significant judgement in making appropriate assumptions. Areas susceptible to changes in critical estimates and judgements, which affect the carrying value of assets and liabilities, are set out below. It is possible that actual results may be different from the estimates and judgements referred to below. 3.1 Estimate of future benefit payments and premiums arising from long-term insurance contracts The determination of the liabilities under long-term insurance contracts is based on estimates of future benefit payments, premiums and relevant expenses made by the Group and the margins. Assumptions about mortality rates, morbidity rates, lapse rates, discount rates, and expense assumptions are made based on the most recent historical analysis and current and future economic conditions. The liability uncertainty arising from uncertain future benefit payments, premiums and relevant expenses is reflected in the risk margin. The residual margin relating to the long-term insurance contracts is amortised over the expected life of the contracts, based on the assumptions (mortality rates, morbidity rates, lapse rates, discount rates, and expenses assumption) that are determined at inception of the contracts and remain unchanged for the duration of the contracts. The judgements exercised in the valuation of insurance contract liabilities (including contracts with DPF) affect the amounts recognised in the consolidated financial statements as insurance contract benefits and insurance contract liabilities. The impact of the various assumptions and their changes are described in Note 14. 3.2 Financial instruments The Group’s principal investments are debt securities, equity securities, term deposits and loans. The critical estimates and judgements are those associated with the recognition of impairment and the measurement of fair value. The Group considers a wide range of factors in the impairment assessment as described in Note 2.8.c. Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. When the fair values of financial assets and liabilities recorded in the consolidated statement of financial position cannot be measured based on quoted prices in active markets, their fair value is measured using valuation techniques which require a degree of judgements. The methods and assumptions used by the Group in measuring the fair value of financial instruments are as follows: • debt securities: fair values are generally based upon current bid prices. Where current bid prices are not readily available, fair values are estimated using either prices observed in recent transactions, values obtained from current bid prices of comparable investments or valuation techniques when the market is not active. • equity securities: fair values are generally based upon current bid prices. Where current bid prices are not readily available, fair values are estimated using either prices observed in recent transactions or commonly used market pricing models. Equity securities, for which fair values cannot be measured reliably, are recognised at cost less impairment. • securities purchased under agreements to resell, policy loans, term deposits, interest-bearing loans and borrowings, and securities sold under agreements to repurchase: the carrying amounts of these assets in the consolidated statement of financial position approximate fair value. • fair value of other loans are obtained from valuation techniques. For the description of valuation techniques, please refer to Note 4.3. Using different valuation techniques and parameter assumptions may lead to some differences of fair value estimations. 3.3 Impairment of investments in associates and joint ventures The Group assesses whether there are any indicators of impairment for investments in associates and joint ventures at the end of each reporting period. Investments in associates and joint ventures are tested for impairment when there are indicators that the carrying amounts may not be recoverable. An impairment exists when the carrying value of investments in associates and joint ventures exceeds its recoverable amount, which is the higher of its fair value less costs of disposal and its value in use. The calculation of the fair value less costs of disposal is based on available data from binding sales transactions in an arm’s length transaction of similar assets or observable market prices less incremental costs for disposing of investments in associates and joint ventures. When value in use calculations are undertaken, the Group must estimate the expected future cash flows from investments in associates and joint ventures and choose a suitable discount rate in order to calculate the present value of those cash flows. 3.4 Income tax The Group is subject to income tax in numerous jurisdictions. During the normal course of business, certain transactions and activities for which the ultimate tax determination is uncertain, the Group needs to exercise significant judgement when determining the income tax. If the final settlement results of the tax matters are different from the amounts recorded, these differences will impact the final income tax expense and deferred tax for the period. 3.5 Determination of control over investee The Group applies its judgement to determine whether the control indicators set out in Note 2.2 indicate that the Group controls structured entities such as funds and asset management products. The Group issues certain structured entities (e.g. funds and asset management plans), and acts as a manager for such entities according to the contracts. In addition, the Group may be exposed to variability of returns as a result of holding shares of the structured entities. Determining whether the Group controls such structured entities usually focuses on the assessment of the aggregate economic interests of the Group in the entities (including any carried interests and expected management fees) and the decision-making rights on the entity. As at 31 December 2017, the Group has consolidated some fund products issued and managed by the Company’s subsidiary, China Life AMP Asset Management Company (“CL AMP”), some debt investment schemes issued and managed by the Company’s subsidiary, China Life Asset Management Company Limited (“CL AMC”) and some trust schemes and debt investment schemes issued and managed by third parties in the consolidated financial statements. |
Risk Management
Risk Management | 12 Months Ended |
Dec. 31, 2017 | |
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Risk Management | 4 RISK MANAGEMENT Risk management is carried out by the Company’s Risk Management Committee under policies approved by the Company’s Board of Directors. The Group issues contracts that transfer insurance risk or financial risk or both. This section summarises these risks and the way the Group manages them. 4.1 Insurance risk 4.1.1 Types of insurance risks The risk under any one insurance contract is the possibility that an insured event occurs and the uncertainty about the amount of the resulting claim. By the very nature of an insurance contract, this risk is random and therefore unpredictable. For a portfolio of insurance contracts where the theory of probability is applied to the pricing and provisioning, the principal risk that the Group faces under its insurance contracts is that the actual claims and benefit payments are less favourable than the underlying assumptions used in establishing the insurance liabilities. This occurs when the frequency or severity of claims and benefits exceeds the estimates. Insurance events are random, and the actual number of claims and the amount of benefits paid will vary each year from estimates established using statistical techniques. Experience shows that the larger the portfolio of similar insurance contracts, the smaller the relative variability of the expected outcome will be. In addition, a more diversified portfolio is less likely to be affected across the board by a change in any subset of the portfolio. The Group has developed its insurance underwriting strategy to diversify the types of insurance risks accepted and within each of these categories to achieve a sufficiently large population to reduce the variability of the expected outcome. The Group manages insurance risk through underwriting strategies, reinsurance arrangements and claims handling. The Group manages insurance risks through two types of reinsurance agreements, ceding on a quota share basis or a surplus basis, to cover insurance liability risk. Reinsurance contracts cover almost all products, which contain risk liabilities. The products reinsured include: life insurance, accident and health insurance or death, disability, accident, illness and assistance in terms of product category or function, respectively. These reinsurance agreements spread insured risk to a certain extent and reduce the effect of potential losses to the Group. However, the Group’s direct insurance liabilities to the policyholder are not eliminated because of the credit risk associated with the failure of reinsurance companies to fulfil their responsibilities. 4.1.2 Concentration of insurance risks All insurance operations of the Group are located in the PRC. There are no significant differences among the regions where the Group underwrites insurance contracts. The table below presents the Group’s major products of long-term insurance contracts: Product name For the year ended 31 December 2017 % 2016 % Premiums of long-term insurance contracts New Xin Feng Endowment (Type A) (a) 59,636 12.83 % 38,059 9.75 % Xin Fu Ying Jia Annuity (b) 40,588 8.73 % 1,626 0.42 % Kang Ning Whole Life (c) 21,435 4.61 % 22,420 5.74 % Hong Ying Participating Endowment (d) 3,019 0.65 % 4,968 1.27 % Hong Tai Endowment (e) 166 0.04 % 203 0.05 % Others (f) 340,054 73.14 % 323,162 82.77 % Total 464,898 100.00 % 390,438 100.00 % Insurance benefits of long-term insurance contracts New Xin Feng Endowment (Type A) (a) 78 0.05 % 67 0.04 % Xin Fu Ying Jia Annuity (b) 7,956 4.79 % 277 0.15 % Kang Ning Whole Life (c) 4,197 2.52 % 3,949 2.20 % Hong Ying Participating Endowment (d) 49,796 29.96 % 73,261 40.72 % Hong Tai Endowment (e) 41,271 24.83 % 25,093 13.95 % Others (f) 62,926 37.85 % 77,255 42.94 % Total 166,224 100.00 % 179,902 100.00 % As at 31 December 2017 As at 31 December 2016 RMB million % RMB million % Liabilities of long-term insurance contracts New Xin Feng Endowment (Type A) (a) 69,280 3.47 % 43,794 2.40 % Xin Fu Ying Jia Annuity (b) 19,771 0.99 % 987 0.05 % Kang Ning Whole Life (c) 268,708 13.44 % 244,112 13.37 % Hong Ying Participating Endowment (d) 70,506 3.53 % 117,946 6.46 % Hong Tai Endowment (e) 16,730 0.84 % 57,356 3.14 % Others (f) 1,554,071 77.73 % 1,361,761 74.58 % Total 1,999,066 100.00 % 1,825,956 100.00 % (a) New Xin Feng is an endowment insurance contract with single premium. Its insured period is 5 years. This product is applicable to healthy policyholders between 18-year-old 70-year-old. (b) Xin Fu Ying Jia Annuity is an annuity insurance contract with the options for regular premium of 3 years, 5 years or 10 years. Its insured period extends from the effective date of Xin Fu Ying Jia Annuity to the corresponding date when policyholders reach the age of 88. This product is applicable to healthy policyholders between 28-day-old 70-year-old. 88-year-old, (c) Kang Ning is a whole life insurance contract with the options for single premium or regular premium of 10 years or 20 years. This product is applicable to healthy policyholders under 70-year-old. (d) Hong Ying is a participating endowment insurance contract with the options for single premium or regular premium of 3 years, 5 years or 10 years. Its insured period can be 6 years, 10 years or 15 years. This product is applicable to healthy policyholders between 30-day-old 70-year-old. (e) Hong Tai is long-term individual participating endowment insurance contract with options for single premium or regular premium of 10 years, designed for healthy policyholders of age between 30-day-old 75-year-old. (f) Others consist of various long-term insurance contracts with no significant concentration. 4.1.3 Sensitivity analysis Sensitivity analysis of long-term insurance contracts Liabilities for long-term insurance contracts and liabilities unbundled from universal life insurance contracts and unit-linked insurance contracts with insurance risk are calculated based on the assumptions on mortality rates, morbidity rates, lapse rates and discount rates. Changes in insurance contract reserve assumptions reflect the Company’s actual operating results and changes in its expectation of future events. The Company considers the potential impact of future risk factors on its operating results and incorporates such potential impact in the determination of assumptions. Holding all other variables constant, if mortality rates and morbidity rates were to increase or decrease from the current best estimate by 10%, pre-tax Holding all other variables constant, if lapse rates were to increase or decrease from the current best estimate by 10%, pre-tax Holding all other variables constant, if the discount rates were 50 basis points higher or lower than the current best estimate, pre-tax Sensitivity analysis of short-term insurance contracts The assumptions of reserves for claims and claim adjustment expenses may be affected by other variables such as claims payment of short-term insurance contracts, which may result in the synchronous changes to reserves for claims and claim adjustment expenses. Holding all other variables constant, if claim ratios are 100 basis points higher or lower than the current assumption, pre-tax The following table indicates the claim development for short-term insurance contracts without taking into account the impacts of ceded business: Short-term insurance contracts (accident year) Estimated claims expenses 2013 2014 2015 2016 2017 Total Year end 11,476 16,499 20,497 27,120 33,926 1 year later 11,872 17,265 21,427 27,303 2 years later 11,775 16,726 21,422 3 years later 11,775 16,726 4 years later 11,775 Estimated accumulated claims expenses 11,775 16,726 21,422 27,303 33,926 111,152 Accumulated claims expenses paid (11,775 ) (16,726 ) (21,422 ) (26,047 ) (21,404 ) (97,374 ) Unpaid claims expenses — — — 1,256 12,522 13,778 The following table indicates the claim development for short-term insurance contracts taking into account the impacts of ceded business: Short-term insurance contracts (accident year) Estimated claims expenses 2013 2014 2015 2016 2017 Total Year end 11,331 16,379 20,359 26,897 33,700 1 year later 11,743 17,127 21,262 27,107 2 years later 11,645 16,589 21,259 3 years later 11,645 16,589 4 years later 11,645 Estimated accumulated claims expenses 11,645 16,589 21,259 27,107 33,700 110,300 Accumulated claims expenses paid (11,645 ) (16,589 ) (21,259 ) (25,860 ) (21,273 ) (96,626 ) Unpaid claims expenses — — — 1,247 12,427 13,674 4.2 Financial risk The Group’s activities are exposed to a variety of financial risks. The key financial risk is that proceeds from the sale of financial assets will not be sufficient to fund the obligations arising from the Group’s insurance and investment contracts. The most important components of financial risk are market risk, credit risk and liquidity risk. The Group’s overall risk management program focuses on the unpredictability of financial markets and seeks to minimise potential adverse effects on the financial performance of the Group. Risk management is carried out by a designated department under policies approved by management. The responsible department identifies, evaluates and manages financial risks in close cooperation with the Group’s operating units. The Group provides written principles for overall risk management, as well as written policies covering specific areas, such as managing market risk, credit risk, and liquidity risk. The Group manages financial risk by holding an appropriately diversified investment portfolio as permitted by laws and regulations designed to reduce the risk of concentration in any one specific industry or issuer. The structure of the investment portfolio held by the Group is disclosed in Note 9. The sensitivity analyses below are based on a change in an assumption while holding all other assumptions constant. In practice this is unlikely to occur, and changes in some of the assumptions may be correlated, such as change in interest rate and change in market price. 4.2.1 Market risk (i) Interest rate risk Interest rate risk is the risk that the value or future cash flows of a financial instrument will fluctuate due to changes in market interest rates. The Group’s financial assets are principally composed of term deposits, debt securities and loans which are exposed to interest rate risk. Changes in the level of interest rates could have a significant impact on the Group’s overall investment return. Many of the Group’s insurance policies offer guaranteed returns to policyholders. These guarantees expose the Group to interest rate risk. The Group manages interest rate risk through adjustments to portfolio structure and duration, and, to the extent possible, by monitoring the mean duration of its assets and liabilities. The sensitivity analysis for interest rate risk illustrates how changes in interest income and the fair value of future cash flows of a financial instrument will fluctuate because of changes in market interest rates at the end of the reporting period. As at 31 December 2017, if market interest rates were 50 basis points higher or lower with all other variables held constant, pre-tax Pre-tax available-for-sale available-for-sale (ii) Price risk Price risk arises mainly from the volatility of prices of equity securities held by the Group. Prices of equity securities are determined by market forces. The Group is subject to increased price risk largely because China’s capital markets are relatively volatile. The Group manages price risk by holding an appropriately diversified investment portfolio as permitted by laws and regulations designed to reduce the risk of concentration in any one specific industry or issuer. As at 31 December 2017, if the prices of all the Group’s equity securities had increased or decreased by 10% with all other variables held constant, pre-tax available-for-sale Pre-tax available-for-sale available-for-sale available-for-sale pre-tax (iii) Currency risk Currency risk is the volatility of fair value or future cash flows of financial instruments resulted from changes in foreign currency exchange rates. The Group’s currency risk exposure mainly arises from cash and cash equivalents, term deposits, debt investments, equity investments, interest-bearing loans and borrowings denominated in currencies other than the functional currency, such as US dollar, HK dollar, GB pound and EUR, etc. The following table summarises financial assets and financial liabilities denominated in currencies other than RMB as at 31 December 2017 and 2016, expressed in RMB equivalent: As at 31 December 2017 US dollar HK dollar GB pound EUR Others Total Financial assets Equity securities - Available-for-sale 8,697 28,859 — — — 37,556 - Securities at fair value through profit or loss 4,707 146 1,088 2,690 1,198 9,829 Debt securities - Held-to-maturity 155 — — — — 155 - Loans 952 — — — — 952 - Available-for-sale 1,229 — — — — 1,229 - Securities at fair value through profit or loss 435 — 18 5 5 463 Term deposits 7,744 — — — — 7,744 Cash and cash equivalents 1,246 185 282 128 3 1,844 Total 25,165 29,190 1,388 2,823 1,206 59,772 Financial liabilities Interest-bearing loans and other borrowings 12,480 — 2,413 3,901 — 18,794 Total 12,480 — 2,413 3,901 — 18,794 As at 31 December 2016 US dollar HK dollar GB pound EUR Others Total Financial assets Equity securities - Available-for-sale 6,968 12,791 — — 148 19,907 - Securities at fair value through profit or loss 3,906 128 1,115 2,475 1,135 8,759 Debt securities - Held-to-maturity 164 — — — — 164 - Securities at fair value through profit or loss 348 — 14 3 13 378 Term deposits 6,106 — — — — 6,106 Cash and cash equivalents 2,685 2,083 145 39 9 4,961 Total 20,177 15,002 1,274 2,517 1,305 40,275 Financial liabilities Interest-bearing loans and other borrowings 13,100 — 2,339 731 — 16,170 Total 13,100 — 2,339 731 — 16,170 As at 31 December 2017, if RMB had strengthened or weakened by 10% against US dollar, HK dollar, GB pound, EUR and other foreign currencies, with all other variables held constant, pre-tax available-for-sale Pre-tax available-for-sale available-for-sale 4.2.2 Credit risk Credit risk is the risk that one party of a financial transaction or the issuer of a financial instrument will fail to discharge its obligation and cause another party to incur a financial loss. Because the Group’s investment portfolio is restricted to the types of investments as permitted by the China Banking and Insurance Regulatory Commission (“CBIRC”) which was merged of China Insurance Regulatory Commission (“CIRC”) and China Banking Regulatory Commission, and a significant portion of the portfolio is in government bonds, government agency bonds and term deposits with the state-owned commercial banks, the Group’s overall exposure to credit risk is relatively low. Credit risk is controlled by the application of credit approvals, limits and monitoring procedures. The Group manages credit risk through in-house Credit risk exposure The carrying amount of financial assets included on the consolidated statement of financial position represents the maximum credit risk exposure at the reporting date without taking account of any collateral held or other credit enhancements attached. The Group has no credit risk exposure relating to off-balance sheet items as at 31 December 2017 and 2016. Collateral and other credit enhancements Securities purchased under agreements to resell are pledged by counterparties’ debt securities or term deposits of which the Group could take the ownership if the owner of the collateral defaults. Policy loans and most of premium receivables are collateralised by their policies’ cash value according to the terms and conditions of policy loan contracts and policy contracts, respectively. Credit quality The Group’s debt securities investment mainly includes government bonds, government agency bonds, corporate bonds and subordinated bonds or debts, and most of the debt securities are guaranteed by either the Chinese government or Chinese government controlled financial institutions. As at 31 December 2017, 99.9% (as at 31 December 2016: 99.0%) of the corporate bonds held by the Group or the issuers of these corporate bonds had credit ratings of AA/A-2 AA/A-2 As at 31 December 2017, 99.8% (as at 31 December 2016: 99.5%) of the Group’s bank deposits are with the four largest state-owned commercial banks, other national commercial banks and China Securities Depository and Clearing Corporation Limited (“CSDCC”) in the PRC. The Group believes these commercial banks, and CSDCC have a high credit quality. The Group’s most other loans excluding policyholder loans, are guaranteed by third parties or with pledge, or have the fiscal annual budget income as the source of repayment, or have higher credit rating borrowers. As a result, the Group concludes that the credit risk associated with term deposits and accrued investment income thereof, statutory deposits - restricted, other loans, and cash and cash equivalents will not cause a material impact on the Group’s consolidated financial statements as at 31 December 2017 and 2016. The credit risk associated with securities purchased under agreements to resell, policy loans and most of premium receivables will not cause a material impact on the Group’s consolidated financial statements taking into consideration their collateral held and maturity terms of no more than one year as at 31 December 2017 and 2016. 4.2.3 Liquidity risk Liquidity risk is the risk that the Group is unable to obtain funds at a reasonable funding cost when required to meet a repayment obligation and fund its asset portfolio within a certain time. In the normal course of business, the Group attempts to match the maturity of financial assets to the maturity of insurance and financial liabilities. The following tables set forth the contractual and expected undiscounted cash flows for financial assets and liabilities and insurance liabilities: Contractual and expected cash flows (undiscounted) As at 31 December 2017 Carrying value Without maturity Not later than 1 year Later than 1 year but not later than 3 years Later than 3 years but not later than 5 years Later than 5 years Financial assets Contractual cash inflows Equity securities 409,528 409,528 — — — — Debt securities 1,255,052 — 127,830 240,582 271,538 1,240,465 Loans 383,504 — 141,679 105,063 64,386 128,753 Term deposits 449,400 — 104,976 252,571 133,013 2,823 Statutory deposits - restricted 6,333 — 4,084 734 2,106 — Securities purchased under agreements to resell 36,185 — 36,185 — — — Accrued investment income 50,641 — 44,789 5,602 250 — Premiums receivable 14,121 — 14,121 — — — Cash and cash equivalents 48,586 — 48,586 — — — Subtotal 2,653,350 409,528 522,250 604,552 471,293 1,372,041 Financial and insurance liabilities Expected cash outflows Insurance contracts 2,025,133 — 16,319 221,905 47,109 (3,807,542 ) Investment contracts 232,500 — (15,308 ) (29,981 ) (26,892 ) (388,320 ) Contractual cash outflows Securities sold under agreements to repurchase 87,309 — (87,309 ) — — — Financial liabilities at fair value through profit or loss 2,529 (2,529 ) — — — — Annuity and other insurance balances payable 44,820 — (44,820 ) — — — Interest-bearing loans and other borrowings 18,794 — (1,240 ) (18,557 ) — — Subtotal 2,411,085 (2,529 ) (132,358 ) 173,367 20,217 (4,195,862 ) Net cash inflows/(outflows) 242,265 406,999 389,892 777,919 491,510 (2,823,821 ) Contractual and expected cash flows (undiscounted) As at 31 December 2016 Carrying Without Not Later than 1 Later than 3 Later Financial assets Contractual cash inflows Equity securities 421,383 421,383 — — — — Debt securities 1,148,894 — 210,589 214,105 188,740 1,014,074 Loans 226,573 — 119,247 47,606 41,697 55,106 Term deposits 538,325 — 199,657 260,065 117,012 8,858 Statutory deposits - restricted 6,333 — 1,909 4,720 209 — Securities purchased under agreements to resell 43,538 — 43,538 — — — Accrued investment income 55,945 — 44,722 11,100 123 — Premiums receivable 13,421 — 13,421 — — — Cash and cash equivalents 67,046 — 67,046 — — — Subtotal 2,521,458 421,383 700,129 537,596 347,781 1,078,038 Financial and insurance liabilities Expected cash outflows Insurance contracts 1,847,986 — (43,322 ) 97,236 35,088 (3,229,394 ) Investment contracts 195,706 — (15,880 ) (34,147 ) (33,128 ) (259,905 ) Contractual cash outflows Securities sold under agreements to repurchase 81,088 — (81,088 ) — — — Financial liabilities at fair value through profit or loss 2,031 (2,031 ) — — — — Annuity and other insurance balances payable 39,038 — (39,038 ) — — — Interest-bearing loans and other borrowings 16,170 — (1,138 ) (16,159 ) — — Bonds payable 37,998 — (39,032 ) — — — Subtotal 2,220,017 (2,031 ) (219,498 ) 46,930 1,960 (3,489,299 ) Net cash inflows/(outflows) 301,441 419,352 480,631 584,526 349,741 (2,411,261 ) The amounts set forth in the tables above for insurance and investment contracts in each column are the cash flows representing expected future benefit payments taking into consideration of future premiums payments or deposits from policyholders. The excess cash inflows from matured financial assets will be reinvested to cover any future liquidity exposures. The estimate is subject to assumptions related to mortality, morbidity, the lapse rate, the loss ratio of short-term insurance contracts, expense and other assumptions. Actual experience may differ from estimates. The liquidity analysis above does not include policyholder dividends payable amounting to RMB83,910 million as at 31 December 2017 (as at 31 December 2016: RMB87,725 million). As at 31 December 2017, declared dividends of RMB68,731 million (as at 31 December 2016: RMB64,623 million) included in policyholder dividends payable have a maturity not later than one year. For the remaining policyholder dividends payable, the amount and timing of the undiscounted cash flows are indeterminate due to the uncertainty of future experiences including investment returns and are subject to future declarations by the Group. Although all investment contracts with DPF and investment contracts without DPF contain contractual options to surrender that can be exercised immediately by all policyholders at any time, the Group’s expected cash flows as shown in the above tables are based on past experience and future expectations. Should these contracts were surrendered immediately, it would cause a cash outflow of RMB56,709 million and RMB173,557 million, respectively for the year ended 31 December 2017 (2016: RMB53,271 million and RMB140,565 million, respectively), payable within one year. 4.2.4 Capital management The Group’s objectives for managing capital are to comply with the insurance capital requirements based on the minimum capital and actual capital required by the CBIRC (formerly CIRC), prevent risk in operation and safeguard the Group’s ability to continue as a going concern so that it can continue to provide returns for equity holders and benefits for other stakeholders. The Group replenishes capital to improve the solvency ratio by issuing subordinated bonds and Core Tier 2 Capital Securities according to the relevant laws and the approval of the relevant authorities. The Group is also subject to other local capital requirements, such as statutory deposits - restricted requirement, statutory insurance fund requirement, statutory reserve fund requirement and general reserve requirement discussed in detail in Note 9.4, Note 20 and Note 35, respectively. The Group manages capital to ensure its continuous and full compliance with the regulations mainly through monitoring its quarterly solvency ratios, as well as the solvency ratio based on annual stress testing. The table below summarises the core and comprehensive solvency ratio, core capital, actual capital and minimum capital of the Company under Insurance Institution Solvency Regulations (No.1 - No.17) As at 31 December 2017 As at 31 December 2016 Core capital 706,516 639,396 Actual capital 706,623 677,768 Minimum capital 254,503 228,080 Core solvency ratio 278 % 280 % Comprehensive solvency ratio 278 % 297 % According to the solvency ratios results mentioned above, and the unquantifiable evaluation results of operational risk, strategic risk, reputational risk and liquidity risk of insurance companies, the CBIRC (formerly CIRC) evaluates the comprehensive solvency of insurance companies and supervises insurance companies by classifying them into four categories: (i) Category A: solvency ratios meet the requirements, and the operational risk, strategic risk, reputational risk and liquidity risk are very low; (ii) Category B: solvency ratios meet the requirements, and the operational risk, strategic risk, reputational risk and liquidity risk are low; (iii) Category C: solvency ratios do not meet the requirements or solvency ratios meet the requirements but one or several risks in operation, strategy, reputation and liquidity are high; (iv) Category D: solvency ratios do not meet the requirements or solvency ratios meet the requirements but one or several risks in operation, strategy, reputation and liquidity are severe. According to Cai Kuai Bu Han [2017] No.1510 Notification of the Evaluation Results of Integrated Risk Rating (Classification Regulation ) for the Third Quarter of 2017 4.3 Fair value hierarchy Level 1 fair value is based on quoted prices (unadjusted) in active markets for identical assets or liabilities that the entity can obtain at the measurement date. Other than Level 1 quoted prices, Level 2 fair value is based on valuation techniques using significant inputs, that are observable for the asset being measured, either directly or indirectly, for substantially the full term of the asset through corroboration with observable market data. Observable inputs generally used to measure the fair value of securities classified as Level 2 include quoted market prices for similar assets in active markets; quoted market prices in markets that are not active for identical or similar assets and other market observable inputs. This level includes the debt securities for which quotations are available from pricing services providers. Fair values provided by pricing services providers are subject to a number of validation procedures by management. These procedures include a review of the valuation models utilised and the results of these models, as well as the recalculation of prices obtained from pricing services at the end of each reporting period. Under certain conditions, the Group may not receive a price quote from independent third party pricing services. In this instance, the Group’s valuation team may choose to apply internally developed valuation method to the assets or liabilities being measured, determine the main inputs for valuation, and analyse the change of the valuation and report it to management. Key inputs involved in internal valuation services are not based on observable market data. They reflect assumptions made by management based on judgements and experiences. The assets or liabilities valued by this method are generally classified as Level 3. As at 31 December 2017, assets classified as Level 1 accounted for approximately 32.93% of assets measured at fair value on a recurring basis. Fair value measurements classified as Level 1 include certain debt securities, equity securities that are traded in an active exchange market or interbank market and open-ended funds with public market price quotation. The Group considers a combination of certain factors to determine whether a market for a financial instrument is active, including the occurrence of trades within the specific period, the respective trading volume, and the degree which the implied yields for a debt security for observed transactions differs from the Group’s understanding of the current relevant market rates and information. Trading prices from the Chinese interbank market are determined by both trading counterparties and can be observed publicly. The Company adopted this price of the debt securities traded on the Chinese interbank market at the reporting date as their fair market value and classified the investments as Level 1. Open-ended funds also have active markets. Fund management companies publish the net asset value of these funds on their websites on each trade date. Investors subscribe for and redeem units of these funds in accordance with the funds’ net asset value published by the fund management companies on each trade date. The Company adopted the unadjusted net asset value of the funds at the reporting date as their fair market value and classified the investments as Level 1. As at 31 December 2017, assets classified as Level 2 accounted for approximately 51.20% of assets measured at fair value on a recurring basis. They primarily include certain debt securities and equity securities. Valuations are generally obtained from third party pricing services for identical or comparable assets, or through the use of valuation methodologies using observable market inputs, or recent quoted market prices. Valuation service providers typically gather, analyse and interpret information related to market transactions and other key valuation model inputs from multiple sources, and through the use of widely accepted internal valuation models, provide a theoretical quote on various securities. Debt securities are classified as Level 2 when they are valued at recent quoted prices from the Chinese interbank market or from valuation service providers. At 31 December 2017, assets classified as Level 3 accounted for approximately 15.87% of assets measured at fair value on a recurring basis. They primarily include unlisted equity securities and unlisted debt securities. Fair values are determined using valuation techniques, including discounted cash flow valuations, the market comparison approach, etc. For the accounting policies regarding the determination of fair values of financial assets and liabilities, see Note 3.2. The following table presents the Group’s quantitative disclosures of fair value measurement hierarchy for assets and liabilities measured at fair value as at 31 December 2017: Fair value measurement using Total Quoted prices in active markets Significant observable inputs Significant unobservable inputs Level 1 Level 2 Level 3 RMB million RMB million RMB million RMB million Assets measured at fair value Available-for-sale - Equity securities 196,673 48,989 89,111 334,773 - Debt securities 46,898 350,893 57,333 455,124 Securities at fair value through profit or loss - Equity securities 52,300 963 655 53,918 - Debt securities 9,301 73,590 — 82,891 Total 305,172 474,435 147,099 926,706 Liabilities measured at fair value Financial liabilities at fair value through profit or loss (2,529 ) — — (2,529 ) Investment contracts at fair value through profit or loss (12 ) — — (12 ) Total (2,541 ) — — (2,541 ) The following table presents the changes in Level 3 assets for the year ended 31 December 2017: Available-for-sale securities Securities at fair profit or loss Total Debt securities Equity securities Equity securities RMB million RMB million RMB million RMB million Opening balance 13,733 76,445 1,061 91,239 Purchases 47,909 15,197 — 63,106 Transferred into Level 3 — 2,842 695 3,537 Transferred out of Level 3 — (5,598 ) (1,059 ) (6,657 ) Total gains/(losses) recorded in profit or loss — — (42 ) (42 ) Total gains/(losses) recorded in other comprehensive income (519 ) 315 — (204 ) Disposals — (90 ) — (90 ) Maturity (3,790 ) — — (3,790 ) Closing balance 57,333 89,111 655 147,099 The following table presents the Group’s quantitative disclosures of fair value measurement hierarchy for assets and liabilities measured at fair value as at 31 December 2016: Fair value measurement using Total Quoted prices in active markets Significant observable inputs Significant unobservable inputs Level 1 Level 2 Level 3 RMB million RMB million RMB million RMB million Assets measured at fair value Available-for-sale - Equity securities 183,222 86,161 76,445 345,828 - Debt securities 28,562 357,463 13,733 399,758 Securities at fair value through profit or loss - Equity securities 52,790 867 1,061 54,718 - Debt securities 37,172 117,234 — 154,406 Total 301,746 561,725 91,239 954,710 Liabilities measured at fair value Financial liabilities at fair value through profit or loss (2,031 ) — — (2,031 ) Investment contracts at fair value through profit or loss (12 ) — — (12 ) Total (2,043 ) — — (2,043 ) The following table presents the changes in Level 3 assets for the year ended 31 December 2016: Available-for-sale securities Securities at Total Debt securities Equity securities Equity securities RMB million RMB millio |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2017 | |
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Segment Information | 5 SEGMENT INFORMATION 5.1 Operating segments The Group operates in four operating segments: (i) Life insurance business (Life) Life insurance business relates primarily to the sale of life insurance policies, including those life insurance policies without significant insurance risk transferred. (ii) Health insurance business (Health) Health insurance business relates primarily to the sale of health insurance policies, including those health insurance policies without significant insurance risk transferred. (iii) Accident insurance business (Accident) Accident insurance business relates primarily to the sale of accident insurance policies. (iv) Other businesses (Others) Other businesses relate primarily to income and cost of the agency business in respect of transactions with CLIC, etc., as described in Note 32, net share of profit of associates and joint ventures, income and expenses of subsidiaries, and unallocated income and expenditure of the Group. 5.2 Allocation basis of income and expenses Investment income, net realised gains on financial assets, net fair value gains through profit or loss and foreign exchange gains/(losses) within other expenses are allocated among segments in proportion to the respective segments’ average liabilities of insurance contracts and investment contracts at the beginning and end of the year. Administrative expenses are allocated among segments in proportion to the unit cost of respective products in the different segments. Unallocated other income and other expenses are presented in the “Others” segment directly. Income tax is not allocated. 5.3 Allocation basis of assets and liabilities Financial assets and securities sold under agreements to repurchase are allocated among segments in proportion to the respective segments’ average liabilities of insurance contracts and investment contracts at the beginning and end of the year. Insurance and investment contract liabilities are presented under the respective segments. The remaining assets and liabilities are not allocated. For the year ended 31 December 2017 Life Health Accident Others Elimination Total RMB million Revenues Gross written premiums 429,822 67,708 14,436 — — 511,966 - Term life 4,110 — — — — - Whole life 36,496 — — — — - Endowment 198,418 — — — — - Annuity 190,798 — — — — Net premiums earned 429,267 63,323 14,320 — — 506,910 Investment income 115,316 5,454 456 1,501 — 122,727 Net realised gains on financial assets 41 2 — (1 ) — 42 Net fair value gains through profit or loss 5,690 269 23 201 — 6,183 Other income 1,276 75 — 7,268 (1,126 ) 7,493 Including: inter-segment revenue — — — 1,126 (1,126 ) — Segment revenues 551,590 69,123 14,799 8,969 (1,126 ) 643,355 Benefits, claims and expenses Insurance benefits and claims expenses Life insurance death and other benefits (257,300 ) (2,383 ) (25 ) — — (259,708 ) Accident and health claims and claim adjustment expenses — (27,992 ) (5,826 ) — — (33,818 ) Increase in insurance contract liabilities (152,110 ) (20,249 ) (158 ) — — (172,517 ) Investment contract benefits (7,798 ) (278 ) — — — (8,076 ) Policyholder dividends resulting from participation in profits (21,748 ) (123 ) — — — (21,871 ) Underwriting and policy acquisition costs (48,781 ) (8,494 ) (4,565 ) (2,949 ) — (64,789 ) Finance costs (3,967 ) (187 ) (16 ) (431 ) — (4,601 ) Administrative expenses (24,286 ) (5,615 ) (3,423 ) (2,629 ) — (35,953 ) Other expenses (5,508 ) (376 ) (147 ) (1,521 ) 1,126 (6,426 ) Including: inter-segment expenses (1,071 ) (51 ) (4 ) — 1,126 — Statutory insurance fund contribution (777 ) (180 ) (111 ) — — (1,068 ) Segment benefits, claims and expenses (522,275 ) (65,877 ) (14,271 ) (7,530 ) 1,126 (608,827 ) Share of profit of associates and joint ventures, net — — — 7,143 — 7,143 Segment results 29,315 3,246 528 8,582 — 41,671 Income tax (8,919 ) Net profit 32,752 Attributable to - Equity holders of the Company 32,253 - Non-controlling 499 Other comprehensive income attributable to equity holders of the Company (7,838 ) (370 ) (31 ) 327 — (7,912 ) Depreciation and amortisation 1,513 351 216 160 — 2,240 As at 31 December 2017 Life Health Accident Others Elimination Total RMB million Assets Financial assets (including cash and cash equivalents) 2,478,739 114,045 9,390 38,422 — 2,640,596 Others 8,402 8,149 552 161,472 — 178,575 Segment assets 2,487,141 122,194 9,942 199,894 — 2,819,171 Unallocated Property, plant and equipment 42,707 Others 35,713 Total 2,897,591 Liabilities Insurance contracts 1,914,597 102,190 8,346 — — 2,025,133 Investment contracts 218,436 14,064 — — — 232,500 Securities sold under agreements to repurchase 81,163 3,832 321 1,993 — 87,309 Others 41,888 3,123 224 21,323 — 66,558 Segment liabilities 2,256,084 123,209 8,891 23,316 — 2,411,500 Unallocated Others 160,781 Total 2,572,281 For the year ended 31 December 2016 Life Health Accident Others Elimination Total RMB million Revenues Gross written premiums 361,905 54,010 14,583 — — 430,498 - Term life 3,871 — — — — - Whole life 29,524 — — — — - Endowment 188,415 — — — — - Annuity 140,095 — — — — Net premiums earned 361,649 50,590 13,991 — — 426,230 Investment income 103,723 4,122 403 899 — 109,147 Net realised gains on financial assets 5,823 231 23 (39 ) — 6,038 Net fair value gains through profit or loss (6,436 ) (255 ) (25 ) (378 ) — (7,094 ) Other income 1,345 86 — 5,919 (890 ) 6,460 Including: inter-segment revenue — — — 890 (890 ) — Segment revenues 466,104 54,774 14,392 6,401 (890 ) 540,781 Benefits, claims and expenses Insurance benefits and claims expenses Life insurance death and other benefits (251,155 ) (1,977 ) (25 ) — — (253,157 ) Accident and health claims and claim adjustment expenses — (21,958 ) (5,311 ) — — (27,269 ) Increase in insurance contract liabilities (109,767 ) (16,578 ) (274 ) — — (126,619 ) Investment contract benefits (5,091 ) (225 ) — — — (5,316 ) Policyholder dividends resulting from participation in profits (15,787 ) (96 ) — — — (15,883 ) Underwriting and policy acquisition costs (38,459 ) (6,906 ) (4,441 ) (2,216 ) — (52,022 ) Finance costs (4,395 ) (174 ) (17 ) (181 ) — (4,767 ) Administrative expenses (22,248 ) (4,373 ) (2,899 ) (2,334 ) — (31,854 ) Other expenses (3,666 ) (256 ) (467 ) (1,360 ) 890 (4,859 ) Including: inter-segment expenses (853 ) (34 ) (3 ) — 890 — Statutory insurance fund contribution (804 ) (138 ) (106 ) — — (1,048 ) Segment benefits, claims and expenses (451,372 ) (52,681 ) (13,540 ) (6,091 ) 890 (522,794 ) Share of profit of associates and joint ventures, net — — — 5,855 — 5,855 Segment results 14,732 2,093 852 6,165 — 23,842 Income tax (4,257 ) Net profit 19,585 Attributable to - Equity holders of the Company 19,127 - Non-controlling 458 Other comprehensive income attributable to equity holders of the Company (23,433 ) (930 ) (91 ) (1,320 ) — (25,774 ) Depreciation and amortisation 1,490 257 196 140 — 2,083 As at 31 December 2016 Life Health Accident Others Elimination Total RMB million Assets Financial assets (including cash and cash equivalents) 2,379,782 92,220 8,906 27,392 — 2,508,300 Others 8,165 6,776 491 119,766 — 135,198 Segment assets 2,387,947 98,996 9,397 147,158 — 2,643,498 Unallocated Property, plant and equipment 30,389 Others 23,064 Total 2,696,951 Liabilities Insurance contracts 1,762,363 77,837 7,786 — — 1,847,986 Investment contracts 183,773 11,933 — — — 195,706 Securities sold under agreements to repurchase 77,649 3,081 302 56 — 81,088 Others 73,277 3,563 338 18,194 — 95,372 Segment liabilities 2,097,062 96,414 8,426 18,250 — 2,220,152 Unallocated Others 169,151 Total 2,389,303 For the year ended 31 December 2015 Life Health Accident Others Elimination Total RMB million Revenues Gross written premiums 308,169 42,041 13,761 — — 363,971 - Term life 3,476 — — — — - Whole life 28,119 — — — — - Endowment 177,871 — — — — - Annuity 98,703 — — — — Net premiums earned 308,081 40,855 13,365 — — 362,301 Investment income 93,819 2,983 344 436 — 97,582 Net realised gains/(losses) on financial assets 31,259 992 115 (69 ) — 32,297 Net fair value gains/(losses) through profit or loss 9,863 313 36 (3 ) — 10,209 Other income 1,074 61 — 5,006 (1,081 ) 5,060 Including: inter-segment revenue — — — 1,081 (1,081 ) — Segment revenues 444,096 45,204 13,860 5,370 (1,081 ) 507,449 Benefits, claims and expenses Insurance benefits and claims expenses Life insurance death and other benefits (219,944 ) (1,737 ) (20 ) — — (221,701 ) Accident and health claims and claim adjustment expenses — (16,858 ) (4,151 ) — — (21,009 ) Increase in insurance contract liabilities (93,668 ) (15,803 ) (38 ) — — (109,509 ) Investment contract benefits (2,076 ) (188 ) — — — (2,264 ) Policyholder dividends resulting from participation in profits (33,328 ) (163 ) — — — (33,491 ) Underwriting and policy acquisition costs (24,921 ) (5,528 ) (3,813 ) (1,307 ) — (35,569 ) Finance costs (4,054 ) (129 ) (15 ) (122 ) — (4,320 ) Administrative expenses (18,293 ) (3,811 ) (3,136 ) (2,218 ) — (27,458 ) Other expenses (6,345 ) (327 ) (840 ) (997 ) 1,081 (7,428 ) Including: inter-segment expenses (1,044 ) (33 ) (4 ) — 1,081 — Statutory insurance fund contribution (546 ) (103 ) (94 ) — — (743 ) Segment benefits, claims and expenses (403,175 ) (44,647 ) (12,107 ) (4,644 ) 1,081 (463,492 ) Share of profit of associates and joint ventures, net — — — 1,974 — 1,974 Segment results 40,921 557 1,753 2,700 — 45,931 Income tax (10,744 ) Net profit 35,187 Attributable to - Equity holders of the Company 34,699 - Non-controlling 488 Other comprehensive income attributable to equity holders of the Company 6,359 202 23 492 — 7,076 Depreciation and amortisation 1,388 263 240 145 — 2,036 |
Property, Plant and Equipment
Property, Plant and Equipment | 12 Months Ended |
Dec. 31, 2017 | |
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Property, Plant and Equipment | 6 PROPERTY, PLANT AND EQUIPMENT Buildings Office equipment, furniture and fixtures Motor vehicles Assets under construction Leasehold improvements Total RMB million Cost As at 1 January 2017 25,362 6,837 1,424 10,548 1,553 45,724 Transfers upon completion 7,073 49 — (7,520 ) 312 (86 ) Additions 70 450 174 15,747 13 16,454 Transfers into investment properties — — — (1,931 ) — (1,931 ) Disposals (48 ) (463 ) (195 ) (148 ) (48 ) (902 ) As at 31 December 2017 32,457 6,873 1,403 16,696 1,830 59,259 Accumulated depreciation As at 1 January 2017 (8,311 ) (4,934 ) (998 ) — (1,068 ) (15,311 ) Charge for the year (953 ) (632 ) (144 ) — (181 ) (1,910 ) Disposals 16 444 187 — 46 693 As at 31 December 2017 (9,248 ) (5,122 ) (955 ) — (1,203 ) (16,528 ) Impairment As at 1 January 2017 (24 ) — — — — (24 ) Charge for the year — — — — — — Transfers into investment properties — — — — — — Disposals — — — — — — As at 31 December 2017 (24 ) — — — — (24 ) Net book value As at 1 January 2017 17,027 1,903 426 10,548 485 30,389 As at 31 December 2017 23,185 1,751 448 16,696 627 42,707 Buildings Office equipment, furniture and fixtures Motor vehicles Assets under construction Leasehold improvements Total RMB million Cost As at 1 January 2016 24,253 6,616 1,387 7,565 1,308 41,129 Transfers upon completion 1,176 — — (1,438 ) 256 (6 ) Additions 37 653 177 4,896 16 5,779 Disposals (104 ) (432 ) (140 ) (475 ) (27 ) (1,178 ) As at 31 December 2016 25,362 6,837 1,424 10,548 1,553 45,724 Accumulated depreciation As at 1 January 2016 (7,446 ) (4,738 ) (1,005 ) — (942 ) (14,131 ) Charge for the year (901 ) (622 ) (130 ) — (148 ) (1,801 ) Disposals 36 426 137 — 22 621 As at 31 December 2016 (8,311 ) (4,934 ) (998 ) — (1,068 ) (15,311 ) Impairment As at 1 January 2016 (24 ) — — — — (24 ) Charge for the year — — — — — — Disposals — — — — — — As at 31 December 2016 (24 ) — — — — (24 ) Net book value As at 1 January 2016 16,783 1,878 382 7,565 366 26,974 As at 31 December 2016 17,027 1,903 426 10,548 485 30,389 As at 31 December 2017, the net book value of buildings above which are in process to obtain title certificates is RMB6,209 million (31 December 2016: Not significant). |
Investment Properties
Investment Properties | 12 Months Ended |
Dec. 31, 2017 | |
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Investment Properties | 7 INVESTMENT PROPERTIES Buildings Cost As at 1 January 2017 1,435 Additions 1,931 As at 31 December 2017 3,366 Accumulated depreciation As at 1 January 2017 (244 ) Charge for the year (58 ) As at 31 December 2017 (302 ) Net book value As at 1 January 2017 1,191 As at 31 December 2017 3,064 Fair value As at 1 January 2017 2,201 As at 31 December 2017 4,629 Buildings Cost As at 1 January 2016 1,435 Additions — As at 31 December 2016 1,435 Accumulated depreciation As at 1 January 2016 (198 ) Charge for the year (46 ) As at 31 December 2016 (244 ) Net book value As at 1 January 2016 1,237 As at 31 December 2016 1,191 Fair value As at 1 January 2016 2,238 As at 31 December 2016 2,201 The Company leases part of its investment properties to its subsidiaries and charges rentals based on the areas occupied by the respective entities. These properties are categorised as property, plant and equipment of the Group in the consolidated statement of financial position. The Group has no restrictions on the use of its investment properties and no contractual obligations to each investment property purchased, constructed or developed or for repairs, maintenance and enhancements. As at 31 December 2017, the net book value of investment properties which are in process to obtain title certificates is RMB1,872 million (31 December 2016: Nil). The fair value of investment properties of the Group as at 31 December 2017 amounted to RMB4,629 million (as at 31 December 2016: RMB2,201 million), which was estimated by the Group having regards to valuations performed by an independent appraiser. The investment properties were classified as Level 3 in the fair value hierarchy. The Group uses the market comparison approach as its primary method to estimate the fair value of its investment properties. Under the market comparison approach, the estimated fair value of a property is based on the average sale price of comparable properties recently sold, with consideration of the comprehensive adjustment coefficient, which is composed of a number of adjusting factors, including the time and the conditions of sale, the geographical location, age, decoration, floor area, lot size of the property and other factors. Under the market comparison approach, an increase (decrease) in the comprehensive adjustment coefficient will result in an increase (decrease) in the fair value of investment properties. |
Investments in Associates and J
Investments in Associates and Joint Ventures | 12 Months Ended |
Dec. 31, 2017 | |
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Investments in Associates and Joint Ventures | 8 INVESTMENTS IN ASSOCIATES AND JOINT VENTURES 2017 2016 As at 1 January 119,766 47,175 Change of the cost 37,110 68,387 Share of profit or loss 7,143 5,855 Declared dividends (1,862 ) (820 ) Other equity movements (685 ) ( ) As at 31 December 161,472 119,766 Movement Accounting Cost As at 31 December Change of the cost Share of profit or loss Declared dividends Other equity movements Provision of impairment As at 31 Percentage of equity Accumulated amount of impairment Associates China Guangfa Bank Co., Ltd. (“CGB”) (i) Equity Method 32,162 50,229 — 4,186 — (956 ) — 53,459 43.686 % — Sino-Ocean Group Holding Limited (“Sino-Ocean”) (ii) Equity Method 11,245 12,680 — 1,201 (553 ) 298 — 13,626 29.79 % (1,010 ) China Life Property & Casualty Insurance Company Limited (“CLP&C”) Equity Method 6,000 7,929 — 328 (69 ) (3 ) — 8,185 40.00 % — COFCO Futures Company Limited (“COFCO Futures”) Equity Method 1,339 1,419 — 47 — — — 1,466 35.00 % — Sinopec Sichuan to East China Gas Pipeline Co., Ltd. (“Pipeline Company”) Equity Method 20,000 20,000 — 1,351 (20 ) 16 — 21,347 43.86 % — China United Network Communications Limited (“China Unicom”) (iii) Equity Method 21,829 — 21,829 (Note) (18 ) — (28 ) — 21,783 10.56 % — Others (iv) Equity Method 9,948 10,407 — 567 (776 ) (466 ) — 9,732 — Subtotal 102,523 102,664 21,829 7,662 (1,418 ) (1,139 ) — 129,598 (1,010 ) Joint ventures China Life (Sanya) Health Investments Co., Ltd (“Sanya Company”) Equity Method 306 301 — (10 ) — — — 291 51.00 % — Others (iv) Equity Method 33,349 16,801 15,281 (509 ) (444 ) 454 — 31,583 — Subtotal 33,655 17,102 15,281 (519 ) (444 ) 454 — 31,874 — Total 136,178 119,766 37,110 7,143 (1,862 ) (685 ) — 161,472 (1,010 ) Note: Including the amount originally held by the Company. (i) The Company proposed to subscribe for 1,869,586,305 additional shares offering of CGB at no more than RMB7.01 per share, with a total consideration of RMB13.2 billion. The specific subscription price and quantity will be subject to the adjustment based on the valuation result filed to state-owned assets authority. Upon the completion of transaction, the Company will hold 43.686% of CGB’s ownership interest, unchanged from prior to the transaction. As at 31 December 2017, the transaction has been reviewed and approved by the Board of Directors of the Company, and the relevant parties of the transaction have not entered into the contracts. (ii) The 2016 final dividend of HKD0.12 in cash per ordinary share was approved and declared in the Annual General Meeting of Sino-Ocean on 18 May 2017. The Company received a cash dividend amounting to RMB239 million. The 2017 interim dividend of HKD0.167 in cash per ordinary share was approved and declared by the board of directors of Sino-Ocean on 23 August 2017. The Company received a cash dividend amounting to RMB314 million. Sino-Ocean, the Group’s associate is listed in Hong Kong. On 29 December 2017 (the last trading day in 2017), the stock price of Sino-Ocean was HKD5.39 per share. As at 31 December 2017, an impairment loss of RMB1.01 billion for the investment in Sino-Ocean had been made by the Group. The Group performed an impairment test to this investment on 31 December 2017. The recoverable amount of this investment valued by the Group approximated to the carrying amount and therefore no impairment loss was made for this investment in 2017. (iii) On 16 August 2017, the Company entered into an agreement to acquire 3,177,159,590 non-public (iv) The Group invested in real estate, industrial logistics assets and other industries through these enterprises. (v) Except for a 36-month As at 31 December 2017, the major associates and joint venture of the Group are as follows: Name Country of incorporation Percentage of equity interest held Associates CGB PRC 43.686 % Sino-Ocean Hong Kong, PRC 29.79 % CLP&C PRC 40.00 % COFCO Futures PRC 35.00 % Pipeline Company PRC 43.86 % China Unicom PRC 10.56 % Joint venture Sanya Company PRC 51.00 % As at 31 December 2016, the major associates and joint venture of the Group are as follows: Name Country of incorporation Percentage of equity interest held Associates CGB PRC 43.686 % Sino-Ocean Hong Kong, PRC 29.991 % CLP&C PRC 40.00 % COFCO Futures PRC 35.00 % Pipeline Company PRC 43.86 % Joint venture Sanya Company PRC 51.00 % The following table illustrates the financial information of the Group’s major associates and joint venture as at 31 December 2017 and for the year ended 31 December 2017: CGB RMB Sino-Ocean CLP&C COFCO Futures Pipeline China Sanya Total assets 2,072,915 191,894 79,601 10,651 36,243 573,617 888 Total liabilities 1,959,069 133,166 59,138 8,020 934 266,599 317 Total equity 113,846 58,728 20,463 2,631 35,309 307,018 571 Total equity attributable to equity holders of the associates and joint ventures 113,846 48,502 20,463 2,631 35,309 135,393 571 Total adjustments (i) 2,267 (2,617 ) — — 676 — — Total equity attributable to equity holders of the associates and joint ventures after adjustments 116,113 45,885 20,463 2,631 35,985 135,393 571 Proportion of the Group’s ownership 43.686 % 29.79 % 40.00 % 35.00 % 43.86 % 10.56 % 51.00 % Gross carrying value of the investments 53,459 14,636 8,185 1,466 21,347 21,783 291 Impairment — (1,010 ) — — — — — Net carrying value of the investments 53,459 13,626 8,185 1,466 21,347 21,783 291 Total revenues 50,531 49,236 61,142 399 5,644 274,829 — Net profit/(loss) 10,204 6,259 820 135 3,055 1,684 (20 ) Other comprehensive income (2,332 ) 912 (35 ) — — (230 ) — Total comprehensive income 7,872 7,171 785 135 3,055 1,454 (20 ) The following table illustrates the financial information of the Group’s major associates and joint venture as at 31 December 2016 and for the year ended 31 December 2016: CGB RMB Sino-Ocean CLP&C COFCO Futures Pipeline Sanya Total assets 2,047,592 151,265 72,773 11,287 37,231 799 Total liabilities 1,941,618 101,935 52,950 8,710 5,014 208 Total equity 105,974 49,330 19,823 2,577 32,217 591 Total equity attributable to equity holders of the associates and joint ventures 105,974 43,999 19,823 2,496 32,217 591 Total adjustments (i) 3,163 (1,576 ) — — — — Total equity attributable to equity holders of the associates and joint ventures after adjustments 109,137 42,423 19,823 2,496 32,217 591 Proportion of the Group’s ownership 43.686 % 29.991 % 40.00 % 35.00 % 43.86 % 51.00 % Gross carrying value of the investments 50,229 13,690 7,929 1,419 20,000 301 Impairment — (1,010 ) — — — — Net carrying value of the investments 50,229 12,680 7,929 1,419 20,000 301 Total revenues 55,276 37,748 55,728 375 2,339 1 Net profit/(loss) 9,504 4,446 1,157 66 631 (9 ) Other comprehensive income (1,070 ) (164 ) (526 ) — — — Total comprehensive income 8,434 4,282 631 66 631 (9 ) The Group had no contingent liabilities with the associates and joint ventures as at 31 December 2017 and 31 December 2016. The Group had a capital contribution commitment of RMB20.996 billion with a joint venture as at 31 December 2017 (31 December 2016: RMB2,991 million). The capital contribution commitment amount has been included in the capital commitments in Note 38. (i) Including adjustments for the difference of accounting policies, fair value and others. |
Financial Assets
Financial Assets | 12 Months Ended |
Dec. 31, 2017 | |
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Financial Assets | 9 FINANCIAL ASSETS 9.1 Held-to-maturity As at 31 As at 31 RMB million RMB million Debt securities Government bonds 125,866 97,196 Government agency bonds 241,808 169,001 Corporate bonds 200,869 178,444 Subordinated bonds/debts 148,494 150,089 Total 717,037 594,730 Debt securities Listed in Mainland, PRC 91,631 64,192 Listed in Hong Kong, PRC 136 144 Listed in Singapore 19 20 Unlisted 625,251 530,374 Total 717,037 594,730 The estimated fair value of all held-to-maturity Unlisted debt securities include those traded on the Chinese interbank market. Debt securities - Contractual maturity schedule As at 31 As at 31 Maturing: Within one year 22,496 30,615 After one year but within five years 112,932 71,661 After five years but within ten years 288,496 231,608 After ten years 293,113 260,846 Total 717,037 594,730 9.2 Loans As at 31 As at 31 Policy loans 107,957 92,442 Other loans (i) 275,547 134,131 Total 383,504 226,573 As at 31 As at 31 Maturing: Within one year 128,856 112,592 After one year but within five years 132,575 70,978 After five years but within ten years 90,556 25,503 After ten years 31,517 17,500 Total 383,504 226,573 (i) Other loans mainly consisted of different types of asset management products. As at 31 December 2017, asset management products of RMB44,835 million (as at 31 December 2016: RMB37,679 million) were owned by the Group, which are issued by CL AMC (including its subsidiaries), a subsidiary of the Company. The total assets of those products were RMB62,015 million (as at 31 December 2016: RMB114,499 million). Meanwhile, the Group also owned asset management products of RMB202,255 million (as at 31 December 2016: RMB77,999 million) issued by other financial institutions. Asset management products are guaranteed by third parties or with pledge, or have the fiscal annual budget income as the source of repayment, or have higher credit rating borrowers. The Group did not guarantee or provide any financing support for other loans, and considers that the carrying value of other loans represents its maximum risk exposure. During the year ended 31 December 2017, the Group’s investment income from the above asset management products was RMB10,150 million (2016: RMB6,820 million), and the related asset management fee received by AMC (including its subsidiaries) for all asset management products it issued was RMB222 million (2016: RMB236 million). 9.3 Term deposits As at 31 As at 31 Maturing: Within one year 97,076 185,835 After one year but within five years 349,524 344,790 After five years but within ten years 2,800 7,700 Total 449,400 538,325 As at 31 December 2017, term deposits of RMB16.691 billion (2016: RMB13.2 billion) deposited in banks for overseas borrowings backed by domestic deposits business are restricted to use. In September 2016, CL Hotel Investor, L.P. and Glorious Fortune Forever Limited, subsidiaries of the Company, entered into a loan agreement with the New York and Seoul branches of the Agricultural Bank of China, respectively. In December 2016, Sunny Bamboo Limited and Golden Bamboo Limited, subsidiaries of the Company, entered into a loan agreement with the Hong Kong branch of the Agricultural Bank of China. As at 31 December 2017, the Company arranged overseas borrowings backed by domestic term deposit transactions with the Beijing Xicheng branch of the Agricultural Bank of China with amounts of RMB6,861 million, RMB7,080 million and RMB750 million, respectively. On 6 December 2017, New Fortune Wisdom Limited and New Capital Wisdom Limited, subsidiaries of the Company’s subsidiary, Ningbo Meishan Bonded Port Area Guo Yang Guo Sheng Investment Partnership (“Guo Yang Guo Sheng”), entered into a loan agreement with a subsidiary of the Agricultural Bank of China. Guo Yang Guo Sheng arranged overseas borrowings backed by domestic deposit transactions with the Beijing Xicheng branch of the Agricultural Bank of China. As at 31 December 2017, the amounts of term deposits and current deposits are RMB2,000 million and RMB1,247 million, respectively. 9.4 Statutory deposits - restricted As at 31 As at 31 Contractual maturity schedule: Within one year 3,933 1,720 After one year but within five years 2,400 4,613 Total 6,333 6,333 Insurance companies in China are required to deposit an amount that equals 20% of their registered capital with banks in compliance with regulations of the CBIRC (formerly CIRC). These funds may not be used for any purpose other than for paying off debts during liquidation proceedings. 9.5 Available-for-sale As at 31 As at 31 Available-for-sale Debt securities Government bonds 24,632 21,653 Government agency bonds 157,765 146,310 Corporate bonds 197,133 188,337 Subordinated bonds/debts 13,495 16,708 Wealth management products 430 11,321 Others (i) 61,669 15,429 Subtotal 455,124 399,758 Equity securities Funds 91,344 105,290 Common stocks 129,424 100,131 Preferred stocks 31,651 27,880 Wealth management products 40,327 81,854 Others (i) 42,027 30,673 Subtotal 334,773 345,828 Available-for-sale Equity securities Others (i) 20,837 20,837 Total 810,734 766,423 (i) Other available-for-sale available-for-sale available-for-sale As at 31 As at 31 Debt securities Listed in Mainland, PRC 44,929 37,163 Unlisted 410,195 362,595 Subtotal 455,124 399,758 Equity securities Listed in Mainland, PRC 93,384 91,011 Listed in Hong Kong, PRC 41,507 25,034 Listed overseas 132 232 Unlisted 220,587 250,388 Subtotal 355,610 366,665 Total 810,734 766,423 Unlisted debt securities include those traded on the Chinese interbank market and those not publicly traded. Unlisted equity securities include those not traded on stock exchanges, which are mainly open-ended funds with public market price quotation and wealth management products. Debt securities - Contractual maturity schedule As at 31 As at 31 Maturing: Within one year 42,410 33,261 After one year but within five years 153,630 144,443 After five years but within ten years 167,552 113,779 After ten years 91,532 108,275 Total 455,124 399,758 9.6 Securities at fair value through profit or loss As at 31 As at 31 Debt securities Government bonds 2,081 380 Government agency bonds 9,084 6,762 Corporate bonds 66,915 144,131 Others 4,811 3,133 Subtotal 82,891 154,406 Equity securities Funds 9,892 14,683 Common stocks 44,026 40,035 Subtotal 53,918 54,718 Total 136,809 209,124 Debt securities Listed in Mainland, PRC 26,776 19,512 Listed overseas 292 89 Unlisted 55,823 134,805 Subtotal 82,891 154,406 Equity securities Listed in Mainland, PRC 39,442 37,614 Listed in Hong Kong, PRC 79 74 Listed overseas 7,187 6,284 Unlisted 7,210 10,746 Subtotal 53,918 54,718 Total 136,809 209,124 Unlisted debt securities include those traded on the Chinese interbank market and those not publicly traded. Unlisted equity securities include those not traded on stock exchanges, which are mainly open-ended funds with public market price quotation. 9.7 Securities purchased under agreements to resell As at 31 As at 31 Maturing: Within 30 days 36,055 43,518 After 30 but within 90 days 130 20 Total 36,185 43,538 9.8 Accrued investment income As at 31 As at 31 Bank deposits 24,942 35,763 Debt securities 21,423 17,642 Others 4,276 2,540 Total 50,641 55,945 Current 44,789 44,722 Non-current 5,852 11,223 Total 50,641 55,945 |
Fair Value of Financial Assets
Fair Value of Financial Assets and Liabilities | 12 Months Ended |
Dec. 31, 2017 | |
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Fair Value of Financial Assets and Liabilities | 10 FAIR VALUE OF FINANCIAL ASSETS AND LIABILITIES The table below presents the carrying value and estimated fair value of major financial assets and liabilities, and investment contracts: Carrying value Estimated fair value (i) As at 31 December As at 31 As at 31 As at 31 Held-to-maturity 717,037 594,730 692,984 619,152 Loans (iii) 383,504 226,573 375,899 231,005 Term deposits 449,400 538,325 449,400 538,325 Statutory deposits - restricted 6,333 6,333 6,333 6,333 Available-for-sale 789,897 745,586 789,897 745,586 Securities at fair value through profit or loss 136,809 209,124 136,809 209,124 Securities purchased under agreements to resell 36,185 43,538 36,185 43,538 Cash and cash equivalents 48,586 67,046 48,586 67,046 Investment contracts (iii) (232,500 ) (195,706 ) (229,222 ) (192,373 ) Financial liabilities at fair value through profit or loss (2,529 ) (2,031 ) (2,529 ) (2,031 ) Securities sold under agreements to repurchase (87,309 ) (81,088 ) (87,309 ) (81,088 ) Bonds payable (iii) — (37,998 ) — (38,204 ) Interest-bearing loans and borrowings (18,794 ) (16,170 ) (18,794 ) (16,170 ) (i) The estimates and judgements to determine the fair value of financial assets are described in Note 3.2. (ii) The fair value of held-to-maturity held-to-maturity (iii) Investment contracts at fair value through profit or loss have quoted prices in active markets, and therefore, their fair value was classified as Level 1. The fair value of policy loans approximated its carrying value. The fair values of other loans, investment contracts at amortised cost and bonds payable were determined using valuation techniques, with consideration of the present value of expected cash flows arising from contracts using a risk-adjusted discount rate, allowing for the risk-free rate available on the valuation date, credit risk and risk margin associated with the future cash flows. The fair values of other loans and investment contracts at amortised cost, and bonds payable were classified as Level 3. |
Premiums Receivable
Premiums Receivable | 12 Months Ended |
Dec. 31, 2017 | |
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Premiums Receivable | 11 PREMIUMS RECEIVABLE As at 31 December 2017, the carrying value of premiums receivable within one year was RMB14,079 million (as at 31 December 2016: RMB13,346 million). |
Reinsurance Assets
Reinsurance Assets | 12 Months Ended |
Dec. 31, 2017 | |
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Reinsurance Assets | 12 REINSURANCE ASSETS As at 31 December 2017 As at 31 Long-term insurance contracts ceded (Note 14) 2,351 1,783 Due from reinsurance companies 64 123 Ceded unearned premiums (Note 14) 527 125 Claims recoverable from reinsurers (Note 14) 104 103 Total 3,046 2,134 Current 695 351 Non-current 2,351 1,783 Total 3,046 2,134 |
Other Assets
Other Assets | 12 Months Ended |
Dec. 31, 2017 | |
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Other Assets | 13 OTHER ASSETS As at 31 December 2017 As at 31 Investments receivable 15,466 911 Land use rights 6,201 5,855 Automated policy loans 3,050 2,814 Disbursements 2,705 1,718 Due from related parties 987 927 Prepaid to constructors 403 6,571 Others 5,140 3,217 Total 33,952 22,013 Current 25,933 15,665 Non-current 8,019 6,348 Total 33,952 22,013 |
Insurance Contracts
Insurance Contracts | 12 Months Ended |
Dec. 31, 2017 | |
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Insurance Contracts | 14 INSURANCE CONTRACTS (a) Process used to decide on assumptions (i) For the insurance contracts of which future insurance benefits are affected by investment yields of the corresponding investment portfolios, the discount rate assumption is based on expected investment returns of the asset portfolio backing these liabilities, considering the impacts of time value on reserves. In developing discount rate assumptions, the Group considers investment experience, the current investment portfolio and trend of the relevant yield curves. The assumed discount rates reflect the future economic outlook as well as the Group’s investment strategy. The assumed discount rates with risk margin are as follows: Discount rate assumptions As at 31 December 2017 4.85% As at 31 December 2016 4.45%~4.85% For the insurance contracts of which future insurance benefits are not affected by investment yields of the corresponding investment portfolios, the discount rate assumption is based on the “Yield curve of reserve computation benchmark for insurance contracts”, published on the “China Bond” website with consideration of liquidity spreads, taxation and other relevant factors. The assumed spot discount rates with risk margin for the past two years are as follows: Discount rate assumptions As at 31 December 2017 3.31%~4.86% As at 31 December 2016 3.23%~4.68% There is uncertainty on the discount rate assumption, which is affected by factors such as future macro-economy, monetary and foreign exchange policies, capital market and availability of investment channels of insurance funds. The Group determines the discount rate assumption based on the information obtained at the end of each reporting period including consideration of risk margin. (ii) The mortality and morbidity assumptions are based on the Group’s historical mortality and morbidity experience. The assumed mortality rates and morbidity rates vary with the age of the insured and contract type. The Group bases its mortality assumptions on China Life Insurance Mortality Table (2000-2003), adjusted where appropriate to reflect the Group’s recent historical mortality experience. The main source of uncertainty with life insurance contracts is that epidemics and wide-ranging lifestyle changes could result in deterioration in future mortality experience, thus leading to an inadequate reserving of liability. Similarly, improvements in longevity due to continuing advancements in medical care and social conditions may expose the Group to longevity risk. The Group bases its morbidity assumptions for critical illness products on analysis of historical experience and expectations of future developments. There are two main sources of uncertainty. Firstly, wide-ranging lifestyle changes could result in future deterioration in morbidity experience. Secondly, future development of medical technologies and improved coverage of medical facilities available to policyholders may bring forward the timing of diagnosing critical illness, which demands earlier payment of the critical illness benefits. Both could ultimately result in an inadequate reserving of liability if current morbidity assumptions do not properly reflect such trends. Risk margin is considered in the Group’s mortality and morbidity assumptions. (iii) Expense assumptions are based on expected unit costs with the consideration of previous expense studies and future trends. Expense assumptions are affected by certain factors such as future inflation and market competition which bring uncertainty to these assumptions. The Group considers risk margin for expense assumptions based on information obtained at the end of each reporting period. Components of expense assumptions include the cost per policy and percentage of premium as follows: Individual Life Group Life RMB Per Policy % of Premium RMB Per Policy % of Premium As at 31 December 2017 45.00 0.85%~0.90% 25.00 0.90 % As at 31 December 2016 37.00~45.00 0.85%~0.90% 15.00 0.90 % (iv) The lapse rates and other assumptions are affected by certain factors, such as future macro-economy, availability of financial substitutions, and market competition, which bring uncertainty to these assumptions. The lapse rates and other assumptions are determined with reference to creditable past experience, current conditions, future expectations and other information. (v) The Group applied a consistent method to determine risk margin. The Group considers risk margin for discount rate, mortality and morbidity and expense assumptions to compensate for the uncertain amount and timing of future cash flow. When determining risk margin, the Group considers historical experience, future expectations and other factors. The Group determines the risk margin level by itself as the regulations have not imposed any specific requirement on it. The Group adopted a consistent process to decide on assumptions for the insurance contracts disclosed in this note. On each reporting date, the Group reviews the assumptions for reasonable estimates of liability and risk margin, with consideration of all available information, and taking into account the Group’s historical experience and expectation of future events. (b) Net liabilities of insurance contracts As at 31 As at 31 RMB million RMB million Gross Long-term insurance contracts 1,999,066 1,825,956 Short-term insurance contracts - Claims and claim adjustment expenses 13,778 11,538 - Unearned premiums 12,289 10,492 Total, gross 2,025,133 1,847,986 Recoverable from reinsurers Long-term insurance contracts (Note 12) (2,351 ) (1,783 ) Short-term insurance contracts - Claims and claim adjustment expenses (Note 12) (104 ) (103 ) - Unearned premiums (Note 12) (527 ) (125 ) Total, ceded (2,982 ) (2,011 ) Net Long-term insurance contracts 1,996,715 1,824,173 Short-term insurance contracts - Claims and claim adjustment expenses 13,674 11,435 - Unearned premiums 11,762 10,367 Total, net 2,022,151 1,845,975 (c) Movements in liabilities of short-term insurance contracts The table below presents movements in claims and claim adjustment expense reserve: 2017 2016 RMB million RMB million Notified claims 2,085 1,748 Incurred but not reported 9,453 7,520 Total as at 1 January - Gross 11,538 9,268 Cash paid for claims settled - Cash paid for current year claims (21,404 ) (16,364 ) - Cash paid for prior year claims (10,460 ) (8,877 ) Claims incurred - Claims arising in current year 33,926 27,120 - Claims arising in prior years 178 391 Total as at 31 December - Gross 13,778 11,538 Notified claims 2,672 2,085 Incurred but not reported 11,106 9,453 Total as at 31 December - Gross 13,778 11,538 The table below presents movements in unearned premium reserves: 2017 2016 RMB million RMB million Gross Ceded Net Gross Ceded Net As at 1 January 10,492 (125 ) 10,367 7,944 (87 ) 7,857 Increase 12,289 (527 ) 11,762 10,492 (125 ) 10,367 Release (10,492 ) 125 (10,367 ) (7,944 ) 87 (7,857 ) As at 31 December 12,289 (527 ) 11,762 10,492 (125 ) 10,367 (d) Movements in liabilities of long-term insurance contracts The table below presents movements in the liabilities of long-term insurance contracts: 2017 2016 As at 1 January 1,825,956 1,698,773 Premiums 464,898 390,438 Release of liabilities (i) (379,262 ) (353,048 ) Accretion of interest 78,232 73,644 Change in assumptions - Change in discount rates 6,599 14,262 - Change in other assumptions (ii) 2,424 474 Other movements 219 1,413 As at 31 December 1,999,066 1,825,956 (i) The release of liabilities mainly consists of release due to death or other termination and related expenses, release of residual margin and change of reserves for claims and claim adjustment expenses. (ii) For the year ended 31 December 2017, the change in other assumptions was mainly caused by the change in morbidity rate assumptions of certain products, which increased insurance contract liabilities by RMB1,718 million. This change reflected the Group’s most recent experience and future expectations about the morbidity rates as at the reporting date. Changes in assumptions other than morbidity rates increased insurance contract liabilities by RMB706 million. For the year ended 31 December 2016, the change in other assumptions was mainly caused by the change in morbidity rate assumptions of certain products, which increased insurance contract liabilities by RMB464 million. This change reflected the Group’s most recent experience and future expectations about the morbidity rates as at the reporting date. Changes in assumptions other than morbidity rates increased insurance contract liabilities by RMB10 million. |
Investment Contracts
Investment Contracts | 12 Months Ended |
Dec. 31, 2017 | |
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Investment Contracts | 15 INVESTMENT CONTRACTS As at 31 As at 31 Investment contracts with DPF at amortised cost 57,153 53,688 Investment contracts without DPF - At amortised cost 175,335 142,006 - At fair value through profit or loss 12 12 Total 232,500 195,706 The table below presents movements of investment contracts with DPF: 2017 2016 As at 1 January 53,688 50,295 Deposits received 4,829 4,680 Deposits withdrawn, payments on death and other benefits (2,510 ) (2,357 ) Policy fees deducted from account balances (37 ) (36 ) Interest credited 1,183 1,106 As at 31 December 57,153 53,688 |
Interest-Bearing Loans and Borr
Interest-Bearing Loans and Borrowings | 12 Months Ended |
Dec. 31, 2017 | |
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Interest-Bearing Loans and Borrowings | 16 INTEREST-BEARING LOANS AND BORROWINGS Maturity date Interest rate As at 31 As at 31 Guaranteed loans 17 June 2019 3.54% 2,413 2,339 Guaranteed loans 27 September 2019 2.30% 6,338 6,579 Guaranteed loans 30 September 2019 2.40% 6,142 6,521 Guaranteed loans 9 June 2017 1.50% — 731 Guaranteed loans 11 January 2018 1.495% 780 — Credit loans 6 December 2020 EURIBOR + 3.8% (i) 3,121 — Total 18,794 16,170 (i) 3.8% when EURIBOR is negative. |
Bonds Payable
Bonds Payable | 12 Months Ended |
Dec. 31, 2017 | |
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Bonds Payable | 17 BONDS PAYABLE As at 31 December 2017, the carrying value of bonds payable is nil (as at 31 December 2016: the carrying value and par value are RMB37,998 million and RMB38,000 million, respectively). Par value Issue date Maturity date Interest rate p.a. As at 31 As at 31 29 June 2012 29 June 2022 4.70 % — 28,000 5 November 2012 5 November 2022 4.58 % — 10,000 Total — 38,000 The Company issued the above two subordinated bonds with a maturity term of 10 years to qualified investors who met the relevant regulatory requirements. The Company has the right to call the subordinated bonds at par at the end of the fifth year after issuance. If the Company does not exercise the call option, the coupon rate per annum for the remaining five years are 6.70% and 6.58%, respectively. On 29 June 2017 and 6 November 2017, the Company exercised the option right to redeem the subordinated bonds issued on 29 June 2012 and 5 November 2012, and redeemed all of the subordinated bonds registered on the record dates of redemption, with the amounts of RMB28,000 million and RMB10,000 million, respectively. Subordinated bonds are measured at amortised cost as described in Note 2.14. |
Securities Sold under Agreement
Securities Sold under Agreements to Repurchase | 12 Months Ended |
Dec. 31, 2017 | |
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Securities Sold under Agreements to Repurchase | 18 SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE As at 31 As at 31 Interbank market 75,002 65,479 Stock exchange market 12,307 15,609 Total 87,309 81,088 Maturing: Within 30 days 87,309 81,088 Total 87,309 81,088 As at 31 December 2017, bonds with a carrying value of RMB79,543 million (as at 31 December 2016: RMB76,207 million) were pledged as collateral for financial assets sold under agreements to repurchase resulting from repurchase transactions entered into by the Group in the interbank market. For debt repurchase transactions through the stock exchange, the Group is required to deposit certain exchange-traded bonds into a collateral pool with fair value converted at a standard rate pursuant to the stock exchange’s regulation which should be no less than the balance of the related repurchase transaction. As at 31 December 2017, the carrying value of securities deposited in the collateral pool was RMB139,727 million (as at 31 December 2016: RMB81,280 million). The collateral is restricted from trading during the period of the repurchase transaction. |
Other Liabilities
Other Liabilities | 12 Months Ended |
Dec. 31, 2017 | |
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Other Liabilities | 19 OTHER LIABILITIES As at 31 As at 31 Salary and welfare payable 10,129 7,234 Interest payable to policyholders 9,614 8,006 Payable to third party holders of consolidated trust schemes and debt investment schemes 6,252 5,488 Brokerage and commission payable 5,659 3,713 Payable to constructors 2,668 1,032 Agent deposits 1,906 1,611 Stock appreciation rights (Note 30) 833 654 Tax payable 689 657 Interest payable of debt instruments 127 813 Others 9,553 7,628 Total 47,430 36,836 Current 47,430 36,836 Non-current — — Total 47,430 36,836 |
Statutory Insurance Fund
Statutory Insurance Fund | 12 Months Ended |
Dec. 31, 2017 | |
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Statutory Insurance Fund | 20 STATUTORY INSURANCE FUND As required by the CIRC Order [2008] No. 2, “ Measures for Administration of Statutory Insurance Fund |
Investment Income
Investment Income | 12 Months Ended |
Dec. 31, 2017 | |
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Investment Income | 21 INVESTMENT INCOME For the year ended 31 December 2017 2016 2015 RMB million RMB million RMB million Debt securities - held-to-maturity 30,669 24,854 24,541 - available-for-sale 19,608 17,499 18,526 - at fair value through profit or loss 3,618 5,683 1,382 Equity securities - available-for-sale 27,019 19,744 8,950 - at fair value through profit or loss 920 527 326 Bank deposits 23,827 27,851 32,285 Loans 16,320 12,018 11,115 Securities purchased under agreements to resell 746 971 368 Others — — 89 Total 122,727 109,147 97,582 For the year ended 31 December 2017, the interest income included in investment income was RMB94,788 million (2016: RMB88,876 million, 2015: RMB88,306 million). All interest income was accrued using the effective interest method. |
Net Realised Gains on Financial
Net Realised Gains on Financial Assets | 12 Months Ended |
Dec. 31, 2017 | |
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Net Realised Gains on Financial Assets | 22 NET REALISED GAINS ON FINANCIAL ASSETS For the year ended 31 December 2017 2016 2015 RMB million RMB million RMB million Debt securities Realised gains (9 ) 189 (4 ) Impairment (114 ) (143 ) — Subtotal (123 ) 46 (4 ) Equity securities Realised gains 2,808 8,505 32,622 Impairment (2,643 ) (2,513 ) (321 ) Subtotal 165 5,992 32,301 Total 42 6,038 32,297 Net realised gains on financial assets are from available-for-sale During the year ended 31 December 2017, the Group recognised an impairment charge of RMB619 million (2016: RMB1,615 million, 2015: RMB147 million) of available-for-sale available-for-sale available-for-sale |
Net Fair Value Gains through Pr
Net Fair Value Gains through Profit or Loss | 12 Months Ended |
Dec. 31, 2017 | |
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Net Fair Value Gains through Profit or Loss | 23 NET FAIR VALUE GAINS THROUGH PROFIT OR LOSS For the year ended 31 December 2017 2016 2015 Debt securities (1,542 ) (918 ) 766 Equity securities 8,179 (6,319 ) 9,324 Stock appreciation rights (179 ) 191 180 Financial liabilities at fair value through profit or loss (275 ) (48 ) (61 ) Total 6,183 (7,094) 10,209 |
Insurance Benefits and Claims E
Insurance Benefits and Claims Expenses | 12 Months Ended |
Dec. 31, 2017 | |
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Insurance Benefits and Claims Expenses | 24 INSURANCE BENEFITS AND CLAIMS EXPENSES Gross Ceded Net For the year ended 31 December 2017 Life insurance death and other benefits 260,853 (1,145 ) 259,708 Accident and health claims and claim adjustment expenses 34,101 (283 ) 33,818 Increase in insurance contract liabilities 173,085 (568 ) 172,517 Total 468,039 (1,996 ) 466,043 For the year ended 31 December 2016 Life insurance death and other benefits 253,824 (667 ) 253,157 Accident and health claims and claim adjustment expenses 27,519 (250 ) 27,269 Increase in insurance contract liabilities 127,156 (537 ) 126,619 Total 408,499 (1,454 ) 407,045 For the year ended 31 December 2015 Life insurance death and other benefits 221,949 (248 ) 221,701 Accident and health claims and claim adjustment expenses 21,166 (157 ) 21,009 Increase in insurance contract liabilities 109,847 (338 ) 109,509 Total 352,962 (743 ) 352,219 |
Investment Contract Benefits
Investment Contract Benefits | 12 Months Ended |
Dec. 31, 2017 | |
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Investment Contract Benefits | 25 INVESTMENT CONTRACT BENEFITS Benefits of investment contracts are mainly the interest credited to investment contracts. |
Finance Costs
Finance Costs | 12 Months Ended |
Dec. 31, 2017 | |
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Finance Costs | 26 FINANCE COSTS For the year ended 31 December 2017 2016 2015 Interest expenses for bonds payable 1,033 3,126 3,430 Interest expenses for securities sold under agreements to repurchase 3,144 1,460 784 Interest expenses for interest-bearing loans and borrowings 424 181 106 Total 4,601 4,767 4,320 |
Profit before Income Tax
Profit before Income Tax | 12 Months Ended |
Dec. 31, 2017 | |
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Profit before Income Tax | 27 PROFIT BEFORE INCOME TAX Profit before income tax is stated after charging/(crediting) the following: For the year ended 31 December 2017 2016 2015 Employee salaries and welfare costs 18,741 15,955 13,045 Housing benefits 933 838 824 Contribution to the defined contribution pension plan 2,357 1,798 1,678 Depreciation and amortisation 2,240 2,083 2,036 Foreign exchange (gains)/losses (52 ) (582 ) (812 ) Remuneration in respect of audit services provided by auditors 59 58 60 |
Taxation
Taxation | 12 Months Ended |
Dec. 31, 2017 | |
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Taxation | 28 TAXATION Deferred income tax assets and liabilities are offset when there is a legally enforceable right to offset current tax assets against current tax liabilities and when the deferred income tax relates to the same tax authority. (a) The amount of taxation charged to net profit represents: For the year ended 31 December 2017 2016 2015 Current taxation - Enterprise income tax 9,457 5,200 15,408 Deferred taxation (538 ) (943 ) (4,664 ) Total tax charges 8,919 4,257 10,744 (b) The reconciliation between the Group’s effective tax rate and the statutory tax rate of 25% in the PRC (2016: 25%, 2015: 25%,) is as follows: For the year ended 31 December 2017 2016 2015 Profit before income tax 41,671 23,842 45,931 Tax computed at the statutory tax rate 10,418 5,961 11,483 Non-taxable (7,847 ) (6,080 ) (3,324 ) Expenses not deductible for tax purposes (i) 6,105 4,259 2,655 Unused tax losses 6 58 1 Tax losses utilised from previous periods (15 ) (49 ) (41 ) Others 252 108 (30 ) Income tax at the effective tax rate 8,919 4,257 10,744 (i) Non-taxable (c) As at 31 December 2017 and 2016, deferred income tax was calculated in full on temporary differences under the liability method using the principal tax rate of 25%. The movements in deferred income tax assets and liabilities during the year are as follows: Deferred tax assets/(liabilities) Insurance Investments Others Total (i) (ii) (iii) As at 1 January 2016 (1,451 ) (16,686 ) 1,184 (16,953 ) (Charged)/credited to net profit (614 ) 1,126 431 943 (Charged)/credited to other comprehensive income - Available-for-sale — 12,639 — 12,639 - Portion of fair value changes on available-for-sale securities attributable to participating policyholders (4,343 ) — — (4,343 ) - Others — (54 ) — (54 ) As at 31 December 2016 (6,408 ) (2,975 ) 1,615 (7,768 ) As at 1 January 2017 (6,408 ) (2,975 ) 1,615 (7,768 ) (Charged)/credited to net profit 1,072 (1,279 ) 745 538 (Charged)/credited to other comprehensive income - Available-for-sale — 3,759 — 3,759 - Portion of fair value changes on available-for-sale securities attributable to participating policyholders (1,401 ) — — (1,401 ) - Others — 1 — 1 As at 31 December 2017 (6,737 ) (494 ) 2,360 (4,871 ) (i) The deferred tax liabilities arising from the insurance category are mainly related to the change of long-term insurance contract liabilities at 31 December 2008 as a result of the first time adoption of IFRSs in 2009 and the temporary differences of short-term insurance contract liabilities and policyholder dividends payable. (ii) The deferred tax arising from the investments category is mainly related to the temporary differences of unrealised gains/(losses) on available-for-sale securities and securities at fair value through profit or loss, and others. (iii) The deferred tax arising from the others category is mainly related to the temporary differences of employee salaries and welfare costs payable. Unrecognised deductible tax losses of the Group amounted to RMB607 million as at 31 December 2017(as at 31 December 2016: RMB807 million). Unrecognised deductible temporary differences of the Group amounted to RMB243 million as at 31 December 2017 (as at 31 December 2016: RMB219 million). (d) The analysis of deferred tax assets and deferred tax liabilities is as follows: As at 31 As at 31 Deferred tax assets: - deferred tax assets to be recovered after 12 months 1,980 3,024 - deferred tax assets to be recovered within 12 months 4,493 3,626 Subtotal 6,473 6,650 Deferred tax liabilities: - deferred tax liabilities to be settled after 12 months (9,131 ) (13,037 ) - deferred tax liabilities to be settled within 12 months (2,213 ) (1,381 ) Subtotal (11,344 ) (14,418 ) Net deferred tax liabilities (4,871 ) (7,768 ) |
Earnings Per Share
Earnings Per Share | 12 Months Ended |
Dec. 31, 2017 | |
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Earnings Per Share | 29 EARNINGS PER SHARE There is no difference between the basic and diluted earnings per share. The basic and diluted earnings per share for the year ended 31 December 2017 are calculated based on the net profit for the year attributable to ordinary equity holders of the Company and the weighted average of 28,264,705,000 ordinary shares (2016: 28,264,705,000 ordinary shares). |
Stock Appreciation Rights
Stock Appreciation Rights | 12 Months Ended |
Dec. 31, 2017 | |
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Stock Appreciation Rights | 30 STOCK APPRECIATION RIGHTS The Board of Directors of the Company approved, on 5 January 2006, an award of stock appreciation rights of 4.05 million units and on 21 August 2006, another award of stock appreciation rights of 53.22 million units to eligible employees. The exercise prices of the two awards were HKD5.33 and HKD6.83, respectively, the average closing price of shares in the five trading days prior to 1 July 2005 and 1 January 2006, the dates for vesting and exercise price setting purposes of this award. The exercise prices of stock appreciation rights were the average closing price of the shares in the five trading days prior to the date of the award. Upon the exercise of stock appreciation rights, exercising recipients will receive payments in RMB, subject to any withholding tax, equal to the number of stock appreciation rights exercised times the difference between the exercise price and market price of the H shares at the time of exercise. Stock appreciation rights have been awarded in units, with each unit representing the value of one H share. No shares of common stock will be issued under the stock appreciation rights plan. According to the Company’s plan, all stock appreciation rights will have an exercise period of five years from the date of award and will not be exercisable before the fourth anniversary of the date of award unless specific market or other conditions have been met. On 26 February 2010, the Board of Directors of the Company extended the exercise period of all stock appreciation rights, which is also subject to government policy. All the stock appreciation rights awarded were fully vested as at 31 December 2017. As at 31 December 2017, there were 55.01 million units outstanding and exercisable (as at 31 December 2016: 55.01 million units). As at 31 December 2017, the amount of intrinsic value for the vested stock appreciation rights was RMB820 million (as at 31 December 2016: RMB641 million). The fair value of the stock appreciation rights is estimated on the date of valuation at each reporting date using lattice-based option valuation models based on expected volatility from 20% to 32%, an expected dividend yield of no higher than 3% and a risk-free interest rate ranging from 0.51% to 1.02%. The Company recognised a loss of RMB179 million in the net fair value through profit or loss in the consolidated comprehensive income representing the fair value change of the rights during the year ended 31 December 2017 (2016: fair value gains of RMB191 million, 2015: fair value gains of RMB180 million). RMB820 million and RMB13 million were included in salary and staff welfare payable included under other liabilities for the units not exercised and exercised but not paid as at 31 December 2017 (as at 31 December 2016: RMB641 million and RMB13 million), respectively. There was no unrecognised compensation cost for the stock appreciation rights as at 31 December 2017 (as at 31 December 2016: Nil). |
Dividends
Dividends | 12 Months Ended |
Dec. 31, 2017 | |
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Dividends | 31 DIVIDENDS Pursuant to the shareholders’ approval at the Annual General Meeting on 31 May 2017, a final dividend of RMB0.24 (inclusive of tax) per ordinary share totalling RMB6,784 million in respect of the year ended 31 December 2016 was declared and paid in 2017. The dividend has been recorded in the consolidated financial statements for the year ended 31 December 2017. Pursuant to the shareholders’ approval at the Annual General Meeting on 30 May 2016, a final dividend of RMB0.42 (inclusive of tax) per ordinary share totalling RMB11,871 million in respect of the year ended 31 December 2015 was declared and paid in 2016. The dividend has been recorded in the consolidated financial statements for the year ended 31 December 2016. Pursuant to the shareholders’ approval at the Annual General Meeting on 28 May 2015, a final dividend of RMB0.40 (inclusive of tax) per ordinary share totalling RMB11,306 million in respect of the year ended 31 December 2014 was declared and paid in 2015. The dividend has been recorded in the consolidated financial statements for the year ended 31 December 2015. A distribution of RMB380 million (inclusive of tax) to the holders of Core Tier 2 Capital Securities was approved by management in 2017 according to the authorisation by the Board of Directors, which was delegated by the General Meeting. A distribution of RMB386 million (inclusive of tax) to the holders of Core Tier 2 Capital Securities was approved by management in 2016 according to the authorization by the Board of Directors, which was delegated by the General Meeting. A distribution of RMB185 (inclusive of tax) million to the holders of Core Tier 2 Capital Securities was approved by the management in 2015 according to the authorization by the Board of Directors, , which was delegated by the General Meeting. Pursuant to a resolution passed at the meeting of the Board of Directors on 22 March 2018, a final dividend of RMB0.40 (inclusive of tax) per ordinary share totalling approximately RMB11,306 million for the year ended 31 December 2017 was proposed for shareholders’ approval at the forthcoming Annual General Meeting. The dividend has not been recorded in the consolidated financial statements for the year ended 31 December 2017. |
Significant Related Party Trans
Significant Related Party Transactions | 12 Months Ended |
Dec. 31, 2017 | |
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Significant Related Party Transactions | 32 SIGNIFICANT RELATED PARTY TRANSACTIONS (a) Related parties with control relationship Information of the parent company is as follows: Name Location of Principal business Relationship Nature of Legal CLIC Beijing, China Insurance services including receipt of premiums and payment of benefits in respect of the in-force Immediate and ultimate holding company State-owned Yang Mingsheng (b) Subsidiaries Refer to Note 32(f) for the basic and related information of subsidiaries. (c) Associates and joint ventures Refer to Note 8 for the basic and related information of associates and joint ventures. (d) Other related parties Significant related parties Relationship with the Company China Life Real Estate Co., Limited (“CLRE”) Under common control of CLIC China Life Insurance (Overseas) Company Limited (“CL Overseas”) Under common control of CLIC China Life Investment Holding Company Limited (“CLI”) Under common control of CLIC China Life Ecommerce Company Limited (“CL Ecommerce”) Under common control of CLIC China Life Enterprise Annuity Fund (“EAP”) A pension fund jointly set up by the Company and others (e) Registered capital of related parties with control relationship and changes during the year Name of related party As at 31 Increase Decrease As at 31 CLIC RMB4,600 — — RMB4,600 AMC RMB4,000 — — RMB4,000 China Life Pension Company Limited (“Pension Company”) RMB3,400 — — RMB3,400 China Life (Suzhou) Pension and Retirement Investment Company Limited (“Suzhou Pension Company”) (i) RMB1,060 RMB931 — RMB1,991 CL AMP RMB588 — — RMB588 CL Wealth RMB200 — — RMB200 Shanghai Rui Chong Investment Co., Limited (“Rui Chong Company”) (ii) RMB6,800 — — RMB6,800 China Life (Beijing) Health Management Co., Limited (“CL Health”) RMB1,730 — — RMB1,730 China Life Franklin (Shenzhen) Equity Investment Fund Management Co., Limited (“Franklin Shenzhen Company”) USD2 — — USD2 (i) In March 2017, the Company completed a RMB260 million capital contribution to Suzhou Pension Company, after which the paid-in (ii) In March and July 2017 respectively, the Company completed RMB370 million and RMB231 million capital contributions to Rui Chong Company, after which the paid-in (iii) For those subsidiaries which were not set up or invested in Mainland China or incorporated as partnership, the legal definition of registered capital is not applicable for them. (f) Percentages of holding of related parties with control relationship and changes during the year Shareholder As at 31 December 2016 As at 31 December 2017 Amount Percentage of holding Increase Decrease Amount Percentage of holding CLIC RMB19,324 68.37% — — RMB19,324 68.37% Subsidiaries As at 31 December 2016 As at 31 December 2017 Amount Percentage of holding Increase Decrease Amount Percentage of holding AMC RMB1,680 60.00% directly — — RMB1,680 60.00% directly Pension Company RMB2,746 74.27% directly and indirectly — — RMB2,746 74.27% directly and indirectly China Life Franklin Asset Management Company Limited (“AMC HK”) HKD130 50.00% indirectly — — HKD130 50.00% indirectly Suzhou Pension Company RMB1,326 100.00% directly RMB260 — RMB1,586 100.00% directly CL AMP RMB500 85.03% indirectly — — RMB500 85.03% indirectly CL Wealth RMB200 100.00% indirectly — — RMB200 100.00% indirectly Golden Phoenix Tree Limited — 100.00% directly — — — 100.00% directly King Phoenix Tree Limited — 100.00% indirectly — — — 100.00% indirectly Rui Chong Company RMB6,199 100.00% directly RMB601 — RMB6,800 100.00% directly New Aldgate Limited RMB1,167 100.00% directly — — RMB1,167 100.00% directly Glorious Fortune Forever Limited — 100.00% directly — — — 100.00% directly CL Hotel Investor, L.P. — 100.00% directly — — — 100.00% directly Golden Bamboo Limited RMB1,734 100.00% directly — — RMB1,734 100.00% directly Sunny Bamboo Limited RMB1,632 100.00% directly — — RMB1,632 100.00% directly Fortune Bamboo Limited RMB2,176 100.00% directly — — RMB2,176 100.00% directly China Century Core Fund Limited (“Century Core Fund”) USD894 100.00% indirectly USD2 — USD896 100.00% indirectly CL Health RMB1,730 100.00% directly — — RMB1,730 100.00% directly Franklin Shenzhen Company USD0.6 100.00% indirectly — — USD0.6 100.00% indirectly Subsidiaries (continued) As at 31 December 2016 As at 31 December 2017 Amount Percentage of Increase Decrease Amount Percentage of Guo Yang Guo Sheng(i) — — RMB3,250 — RMB3,250 99.997% directly New Capital Wisdom Limited (i) — — — — — 100.00% indirectly New Fortune Wisdom Limited (i) — — — — — 100.00% indirectly Wisdom Forever Limited Partnership (i) — — USD447 — USD447 100.00% indirectly Shanghai Yuan Shu Yuan Jiu Investment Management Partnership (Limited Partnership) (“Yuan Shu Yuan Jiu”) (i) — — RMB606 — RMB606 99.98% directly Shanghai Yuan Shu Yuan Pin Investment Management Partnership (Limited Partnership) (“Yuan Shu Yuan Pin”) (i) — — RMB606 — RMB606 99.98% directly Shanghai Wansheng Industry Partnership (Limited Partnership) (“Wan Sheng”) (i) — — RMB3,900 — RMB3,900 99.998% directly Ningbo Meishan Bonded Port Area Bai Ning Investment Partnership (“Bai Ning”) (i) — — RMB1,680 — RMB1,680 99.98% directly (i) Guo Yang Guo Sheng, New Capital Wisdom Limited, New Fortune Wisdom Limited, Wisdom Forever Limited Partnership, Yuan Shu Yuan Jiu, Yuan Shu Yuan Pin, Wan Sheng, and Bai Ning are new subsidiaries set up or invested by the Company in 2017. (g) Transactions with significant related parties The following table summarises significant transactions carried out by the Group with its significant related parties: For the year ended 31 December 2017 2016 2015 Notes RMB million RMB million RMB million Transactions with CLIC and its subsidiaries Policy management fee received from CLIC (i) (viii) 740 869 950 Asset management fee received from CLIC (ii.a) 107 124 133 Payment of dividends from the Company to CLIC 4,638 8,116 7,729 Distribution of profits from AMC to CLIC 125 143 106 Asset management fee received from CL Overseas (ii.b) 119 74 39 Asset management fee received from CLP&C (ii.c) 14 36 26 Payment of insurance premium to CLP&C 44 49 51 Claim and other payments received from CLP&C 16 18 17 Agency fee received from CLP&C (iii) (viii) 3,030 2,337 1,464 Payment of an agency fee to CLP&C (iii) 1 2 4 Rental and a service fee received from CLP&C 59 43 49 Cash dividend from CLP&C (Note 8) 69 135 — Payment of rental, project fee and other expenses to CLRE 50 44 38 Property leasing expenses charged by CLI (iv) 78 81 84 Asset management fee received from CLI 9 13 17 Payment to CLI for purchase of fixed assets — 141 97 Payment of an asset management fee to CLI (ii.d) (viii) 396 298 167 Property leasing income received from CLI 37 38 38 Payment of a business management service fee to CL Ecommerce (vi) 64 56 29 Transactions between CGB and the Group Interest on deposits received from CGB 1,382 685 524 Commission expenses charged by CGB (v) 92 42 15 Transactions between Sino-Ocean and the Group Cash dividend from Sino-Ocean (Note 8) 553 248 422 Interest payment of corporate bonds received from Sino-Ocean 27 38 34 Project management fee paid to Sino-Ocean 55 60 59 Transactions between EAP and the Group Contribution to EAP 700 337 303 Transaction between other associates and joint ventures and the Group Distribution of profits from other associates and joint ventures to the Group 1,240 437 — Transactions between AMC and the Company Payment of an asset management fee to AMC (ii.e) (viii) 1,154 1,081 1,020 Distribution of profits from AMC 187 215 158 Transactions between Pension Company and the Company Rental received from Pension Company 43 34 24 Agency fee received from Pension Company for entrusted sales of annuity funds (vii) 42 31 20 Marketing fee income for promotion of annuity business from Pension Company 10 14 14 Transactions between AMC HK and the Company Payment of an investment management fee to AMC HK (ii.f) 14 14 14 Transactions between Suzhou Pension Company and the Company Capital contribution to Suzhou Pension Company 260 526 500 Transactions between Rui Chong Company and the Company Capital contribution to Rui Chong Company 601 — — Transaction between other associates and joint ventures and the Company Distribution of profits from other associates and joint ventures to the Company 203 134 — Transactions between the consolidated structured entities/other subsidiaries and the Company Distribution of profits from the consolidated structured entities to the Company 3,944 443 187 Distribution of profits from the Group’s other subsidiaries to the Company 70 — — Notes: (i) On 29 December 2014, the Company and CLIC signed a renewable insurance agency agreement, effective from 1 January 2015 to 31 December 2017. The agreement was subject to an automatic three-year renewal if no objections were raised by both parties. The Company performs its duties of insurance agents in accordance with the agreement, but does not acquire any rights and profits or assume any obligations, losses and risks as an insurer of the non-transferrable (ii.a) On 30 December 2015, CLIC renewed an asset management agreement with AMC, entrusting AMC to manage and make investments for its insurance funds. The agreement is effective from 1 January 2016 to 31 December 2018. In accordance with the agreement, CLIC paid AMC a basic service fee at the rate of 0.05% per annum for the management of insurance funds. The service fee was calculated and payable on a monthly basis, by multiplying the average book value of the assets under management (after deducting the funds obtained from and interests accrued for repurchase transactions, deducting debt and equity investment schemes, project asset-backed schemes, the principal and interests of customised non-standard (ii.b) On 28 June 2017, CL Overseas renewed an investment management agreement with AMC HK, effective from 1 January 2016 to 31 December 2016. In accordance with the agreement, CL Overseas entrusted AMC HK to manage and make investments for its insurance funds and paid AMC HK a basic investment management fee and an investment performance fee. The basic investment management fee was accrued by multiplying the weighted average total funds by the basic fee rate. The investment performance fee was calculated based on the difference between the total actual annual yield and predetermined net realised yield. The basic investment management fee was calculated and payable on a semi-annual basis. The investment performance fee was payable according to the total actual annual yield at the end of each year. On 15 December 2017, CL Overseas renewed the agreement with AMC HK, effective to the next year when the contract is signed and sealed. The terms are applied in 2017. The agreement was subject to an automatic one-year (ii.c) In 2015, CLP&C signed an agreement for the management of insurance funds with AMC, entrusting AMC to manage and make investments for its insurance funds. The agreement was effective from 1 January 2015 to 31 December 2016. The agreement was subject to an automatic one-year (ii.d) On 3 February 2016, the Company and CLI renewed a management agreement of alternative investment of insurance funds, which was effective from 1 January 2016 to 30 June 2017. In accordance with the agreement, the Company entrusted CLI to engage in specialised investment, operation and management of equities, real estate and related financial products, and securitised financial products under the instructions of the annual guidelines. The Company paid CLI an asset management fee and a performance related bonus based on the agreement. For fixed-income projects, the management fee rate was 0.05%-0.6% non-fixed-income non-fixed-income non-fixed-income (ii.e) On 29 December 2015, the Company and AMC renewed a renewable agreement for the management of insurance funds, effective from 1 January 2016 to 31 December 2018. In accordance with the agreement, the Company entrusted AMC to manage and make investments for its insurance funds and paid AMC a fixed service fee and a variable service fee. The fixed annual service fee was calculated and payable on a monthly basis, by multiplying the average net value of the assets under management by the rate of 0.05%; the variable service fee was payable annually, based on the results of performance evaluation, at 20% of the fixed service fee per annum. The service fees were determined by the Company and AMC based on an analysis of the cost of service, market practice and the size and composition of the asset pool to be managed. Asset management fees charged to the Company by AMC are eliminated in the consolidated statement of comprehensive income. (ii.f) On 18 September 2016, the Company and AMC HK renewed the offshore investment management service agreement, which is effective from 19 September 2016 to 31 December 2018. In accordance with the agreement, the Company entrusted AMC HK to manage and make investments for its insurance funds and paid AMC HK an asset management fee. The asset management fee was calculated at a fixed rate of 0.40% of the portfolio asset value and a performance bonus capped at 0.15% of the portfolio asset value for assets managed on a discretionary basis. Management fees on assets managed on a non-discretionary (iii) On 8 March 2015, the Company and CLP&C signed a new 2-year one-year On 8 March 2015, the Company and CLP&C signed a new 2-year one-year (iv) On 31 December 2014, the Company signed a property leasing agreement with CLI, effective till 31 December 2017, pursuant to which CLI leased to the Company certain owned buildings. Annual rental payable by the Company to CLI in relation to the CLI properties is determined either by reference to the market rent, or, the costs incurred by CLI in holding and maintaining the properties, plus a margin of approximately 5%. The rental was paid on a semi-annual basis, and each payment was equal to one half of the total annual rental. (v) On 12 August 2016, the Company and CGB renewed an insurance agency agreement to distribute insurance products. All individual insurance products suitable for distribution through bancassurance channels are included in the agreement. CGB provides agency services, including the sale of insurance products, and collecting premiums and paying benefits. The Company paid the agency commission by multiplying the net amount of total premiums received from the sale of each category individual insurance products after deducting the withdrawn policy premiums in the hesitation period, by the responding fixed commission rate. The commission rates for various insurance products sold by CGB are agreed based on arm’s length transactions. The commissions are payable on a monthly basis. The agreement is effective for two years starting from the signing date and is subject to an automatic one-year On 23 March 2016, the Company and CGB signed another insurance agency agreement to distribute group insurance products. The group insurance products suitable for distribution through bancassurance channels are included in the agreement. CGB provides agency services, including the sale of group insurance products, collecting premiums and paying benefits, and so on. The Company paid the agency commission by multiplying the net amount of total premiums received from the sale of each category group insurance product after deducting the withdrawn policy premiums in the hesitation period, by the responding fixed commission rate. The commission rates for various insurance products sold by CGB are agreed by referring to comparable quoted market prices of independent third-parties. The commissions are payable on a monthly basis. The agreement is effective on 1 January 2016 for two years and is subject to an automatic one-year (vi) On 26 October 2016, the Company and CL Ecommerce renewed a one year agreement for managing the regional telemarketing centre, which was effective from 1 January 2016 and expired on 31 December 2016. The agreement is subject to an automatic one-year (vii) On 28 November 2016, the Company and Pension Company signed a new agency agreement for the distribution and customer service of enterprise annuity funds, the pension management business and the occupational pension management business. The agreement was effective from 28 November 2016 and expired on 31 December 2017. The agreement is subject to an automatic one-year (viii) These transactions constitute continuing connected transactions which are subject to reporting and announcement requirements but are exempt from independent shareholders’ approval requirements under Chapter 14A of the Listing Rules. The Company has complied with the disclosure requirements in accordance with Chapter 14A of the Listing Rules. (h) Amounts due from/to significant related parties The following table summarises the balances due from and to significant related parties. The balances are non-interest-bearing, As at 31 December 2017 As at 31 December 2016 RMB million RMB million The resulting balances due from and to significant related parties of the Group Amount due from CLIC 420 529 Amount due from CL Overseas 122 47 Amount due from CLP&C 428 332 Amount due to CLP&C (6 ) — Amount due from CLI 9 12 Amount due to CLI (265 ) (206 ) Amount due from CLRE 2 2 Amount deposited with CGB 33,385 26,342 Interbank certificates of deposits of CGB 199 — Wealth management products of CGB 330 — Amount due from CGB 1,041 365 Amount due to CGB (31 ) (17 ) Corporate bonds of Sino-Ocean 592 643 Amount due from Sino-Ocean 8 8 Amount due from CL Ecommerce 6 5 Amount due to CL Ecommerce (78 ) (66 ) The resulting balances due from and to subsidiaries of the Company Amount due from Pension Company 57 47 Amount due to Pension Company (19 ) (17 ) Amount due to AMC (207 ) (604 ) Amount due to AMC HK (4 ) (8 ) (i) Key management personnel compensation For the year ended 31 December 2017 2016 2015 RMB million RMB million RMB million Salaries and other benefits 18 28 25 The total compensation package for the Company’s key management personnel for the year ended 31 December 2017 has not yet been finalised in accordance with regulations of the relevant PRC authorities. The final compensation will be disclosed in a separate announcement when determined. The compensation of 2016 has been approved by the relevant authorities. The total compensation of 2016 was RMB28 million, including a deferred payment about RMB6 million. (j) Transactions with state-owned enterprises Under IAS 24 Related Party Disclosures As at 31 December 2017, most of the bank deposits of the Group were with state-owned banks; the issuers of corporate bonds and subordinated bonds held by the Group were mainly state-owned enterprises. For the year ended 31 December 2017, a large portion of its group insurance business of the Group were with state-owned enterprises; the majority of bancassurance commission charges were paid to state-owned banks and postal offices; and the majority of the reinsurance agreements of the Group were entered into with a state-owned reinsurance company. |
Share Capital, Other Equity Ins
Share Capital, Other Equity Instruments and Reserves | 12 Months Ended |
Dec. 31, 2017 | |
Share capital [member] | |
Share Capital, Other Equity Instruments and Reserves | 33 SHARE CAPITAL As at 31 December 2017 As at 31 December 2016 No. of shares RMB million No. of shares RMB million Registered, authorised, issued and fully paid Ordinary shares of RMB1 each 28,264,705,000 28,265 28,264,705,000 28,265 As at 31 December 2017, the Company’s share capital was as follows: As at 31 December 2017 No. of shares RMB million Owned by CLIC (i) 19,323,530,000 19,324 Owned by other equity holders 8,941,175,000 8,941 Including: Domestic listed 1,500,000,000 1,500 Overseas listed (ii) 7,441,175,000 7,441 Total 28,264,705,000 28,265 (i) All shares owned by CLIC are domestic listed shares. (ii) Overseas listed shares are traded on the Stock Exchange of Hong Kong Limited and the New York Stock Exchange. |
Reserves [member] | |
Share Capital, Other Equity Instruments and Reserves | 35 RESERVES Share Other reserves Unrealised (losses) from available-for -sale Share of other comprehensive Statutory Discretionary General Exchange Total RMB million RMB million RMB million RMB million RMB million RMB million RMB million RMB million RMB million (a) (b) (c) As at 1 January 2015 53,860 817 23,254 (184 ) 24,801 21,627 21,747 (3 ) 145,919 Other comprehensive income for the year — — 6,709 364 — — — 3 7,076 Appropriation to reserves — — — — 3,438 3,160 3,492 — 10,090 Others — 296 — — — — — — 296 As at 31 December 2015 53,860 1,113 29,963 180 28,239 24,787 25,239 — 163,381 As at 1 January 2016 53,860 1,113 29,963 180 28,239 24,787 25,239 — 163,381 Other comprehensive income for the year — — (24,863 ) (918 ) — — — 7 (25,774 ) Appropriation to reserves — — — — 1,927 3,438 2,002 — 7,367 Others — 33 — — — — — — 33 As at 31 December 2016 53,860 1,146 5,100 (738 ) 30,166 28,225 27,241 7 145,007 As at 1 January 2017 53,860 1,146 5,100 (738 ) 30,166 28,225 27,241 7 145,007 Other comprehensive income for the year — — (7,086 ) 21 — — — (847 ) (7,912 ) Appropriation to reserves — — — — 3,218 1,927 3,300 — 8,445 Others — 135 — — — — — — 135 As at 31 December 2017 53,860 1,281 (1,986 ) (717 ) 33,384 30,152 30,541 (840 ) 145,675 (a) Pursuant to the relevant PRC laws, the Company appropriated 10% of its net profit under Chinese Accounting Standards (“CAS”) to statutory reserve which amounted to RMB3,218 million for the year ended 31 December 2017 (2016: RMB1,927 million, 2015: RMB3,438 million). (b) Approved at the Annual General Meeting in May 2017, the Company appropriated RMB1,927 million to the discretionary reserve fund for the year ended 31 December 2016 based on net profit under CAS (2016: RMB3,438 million, 2015: RMB3,160 million). (c) Pursuant to “ Financial Standards of Financial Enterprises—Implementation Guide Under related PRC law, dividends may be paid only out of distributable profits. Any distributable profits that are not distributed in a given year are retained and available for distribution in subsequent years. |
Other equity instruments [member] | |
Share Capital, Other Equity Instruments and Reserves | 34 OTHER EQUITY INSTRUMENTS (a) Basic information As at 31 December 2016 Increase Decrease As at 31 RMB million RMB RMB RMB million Core Tier 2 Capital Securities 7,791 — — 7,791 Total 7,791 — — 7,791 The Company issued Core Tier 2 Capital Securities at par with the nominal value of USD1,280 million on 3 July 2015, and obtained an approval to list such securities on the Stock Exchange of Hong Kong Limited, effective on 6 July 2015. The Securities are issued in the specified denomination of USD200,000 and integral multiples of USD1,000 in excess thereof. After a deduction of the issue expense, the total amount of the proceeds raised from this issuance was USD1,274 million or RMB7,791 million. The issued capital securities have a term of 60 years, extendable upon expiry. The initial distribution rate for the first five interest-bearing years is 4.00%, and the Company may redeem the securities at its option at the end of the fifth year after issuance. If the Company does not exercise this option, the rate of distribution will be reset based on comparable US treasury yield plus a margin of 2.294% at the end of the fifth year and every five years thereafter. (b) Equity attributable to equity holders As at 31 December 2017 As at 31 December 2016 RMB million RMB million Equity attributable to equity holders of the Company 320,933 303,621 Equity attributable to ordinary equity holders of the Company 313,142 295,830 Equity attributable to other equity instruments holders of the Company 7,791 7,791 Equity attributable to non-controlling 4,377 4,027 Equity attributable to ordinary equity holders of non-controlling 4,377 4,027 Refer to Note 31 for the information of distribution to other equity instruments holders of the Company for the year ended 31 December 2017. As at 31 December 2017, there were no accumulated distributions unpaid attributable to other equity instrument holders of the Company. |
Notes to the Consolidated State
Notes to the Consolidated Statement of Cash Flows | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Notes to the Consolidated Statement of Cash Flows | 36 NOTES TO THE CONSOLIDATED STATEMENT OF CASH FLOWS Changes in liabilities arising from financing activities Interest- Bonds Securities Other liability- Other liability -interest Total At 1 January 2017 16,170 37,998 81,088 5,488 813 141,557 Changes from financing cash flows 3,121 (38,000 ) 6,228 764 (5,671 ) (33,558 ) Foreign exchange movement (497 ) — — — — (497 ) Changes arising from losing control of consolidated structured entities — — (7 ) — — (7 ) Interest expense — 2 — — 4,985 4,987 At 31 December 2017 18,794 — 87,309 6,252 127 112,482 |
Provisions and Contingencies
Provisions and Contingencies | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Provisions and Contingencies | 37 PROVISIONS AND CONTINGENCIES The following is a summary of the significant contingent liabilities: As at 31 As at 31 Pending lawsuits 493 588 The Group involves in certain lawsuits arising from the ordinary course of business. In order to accurately disclose the contingent liabilities for pending lawsuits, the Group analysed all pending lawsuits case by case at the end of each reporting period. A provision will only be recognised if management determines, based on third-party legal advice, that the Group has present obligations and the settlement of which is expected to result in an outflow of the Group’s resources embodying economic benefits, and the amount of such obligations could be reasonably estimated. Otherwise, the Group will disclose the pending lawsuits as contingent liabilities. As at 31 December 2017 and 2016, the Group had other contingent liabilities but disclosure of such was not practical because the amounts of liabilities could not be reliably estimated and were not material in aggregate. |
Commitments
Commitments | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Commitments | 38 COMMITMENTS (a) Capital commitments The Group had the following capital commitments relating to property development projects and investments: As at 31 As at 31 Contracted, but not provided for Investments 86,582 39,616 Property, plant and equipment 5,202 5,462 Others — 1 Total 91,784 45,079 (b) Operating lease commitments - as lessee The future minimum lease payments under non-cancellable As at 31 As at 31 Not later than one year 784 632 Later than one year but not later than five years 1,101 764 Later than five years 44 27 Total 1,929 1,423 The operating lease payments charged to profit before income tax for the year ended 31 December 2017 were RMB1,204 million (2016: RMB994 million). (c) Operating lease commitments - as lessor The future minimum rentals receivable under non-cancellable As at 31 As at 31 Not later than one year 254 186 Later than one year but not later than five years 411 267 Later than five years 76 10 Total 741 463 |
Summary of Significant Accoun42
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Basis of preparation | 2.1 Basis of preparation The Group has prepared these consolidated financial statements in accordance with International Financial Reporting Standards (“IFRSs”), amendments to IFRSs and interpretations issued by the International Accounting Standards Board (“IASB”). These consolidated financial statements also comply with the applicable disclosure provisions of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited (the “Listing Rules”) and the applicable disclosure requirements of the Hong Kong Companies Ordinance. The Group has prepared the consolidated financial statements under the historical cost convention, except for financial assets and liabilities at fair value through profit or loss, available-for-sale 2.1.1 New accounting standards and amendments adopted by the Group for the first time for the financial year beginning on 1 January 2017 Standards/Amendments Content Effective for annual periods IAS 7 Amendments Disclosure Initiative 1 January 2017 IAS 12 Amendments Recognition of Deferred Tax Assets for Unrealised Losses 1 January 2017 IFRS 12 Amendments included in Annual Improvements to IFRSs 2014-2016 Cycle Disclosure of Interests in Other Entities 1 January 2017 IAS 7 Amendments – Disclosure Initiative Amendments to IAS 7 Statement of Cash Flows non-cash IAS 12 Amendments – Recognition of Deferred Tax Assets for Unrealised Losses Amendments to IAS 12 clarify that an entity, when assessing whether taxable profits will be available against which it can utilise a deductible temporary difference, needs to consider whether tax law restricts the sources of taxable profits against which it may make deductions on the reversal of that deductible temporary difference. Furthermore, the amendments provide guidance on how an entity should determine future taxable profits and explain the circumstances in which taxable profit may include the recovery of some assets for more than their carrying amount. The Group applied the amendments retrospectively. However, their application has no impact on the Group’s financial position and performance, as the accounting treatment of the Group for the previous period was consistent with the clarification in these amendments. IFRS 12 Amendments – Disclosure of Interests in Other Entities Amendments to IFRS 12 clarify that the disclosure requirements in IFRS 12, other than those disclosure requirements in paragraphs B10 to B16 of IFRS 12, apply to an entity’s interest in a subsidiary, a joint venture or an associate, or a portion of its interest in a joint venture or an associate that is classified as held for sale or included in a disposal group classified as held for sale. The amendments have had no impact on the Group’s consolidated financial statements as the Group has no interest in a subsidiary, a joint venture or an associate that is classified as held for sale. 2.1.2 New accounting standards and amendments that are not yet effective and have not been early adopted by the Group for the financial year beginning on 1 January 2017 Standards/Amendments Content Effective for annual period IFRS 2 Amendments Classification and Measurement of Share-based Payment Transactions 1 January 2018 IFRS 9 Financial Instruments 1 January 2018 IFRS 4 Amendments Applying IFRS 9 Financial Instruments with IFRS 4 Insurance Contracts 1 January 2018 IFRS 15 Revenue from Contracts with Customers 1 January 2018 IFRS 15 Amendments Clarifications to IFRS 15 Revenue from Contracts with Customers 1 January 2018 IAS 40 Amendments Transfers of Investment Property 1 January 2018 IFRS 16 Leases 1 January 2019 IFRS 17 Insurance Contracts 1 January 2021 IFRS 10 and IAS 28 Amendments Sale or Contribution of Assets between an Investor and its Associate or Joint Venture No mandatory effective date yet determined but available for adoption The Group has not early adopted any standard, interpretation or amendment that has been issued but is not yet effective. IFRS 2 Amendments – Classification and Measurement of Share-based Payment Transactions In June 2016, the IASB issued amendments to IFRS 2 Share-based Payment IFRS 9 – Financial Instruments In July 2014, the IASB issued the final version of IFRS 9, bringing together all phases of the financial instruments project to replace IAS 39 and all previous versions of IFRS 9. The standard introduces new requirements for classification and measurement, impairment, and hedge accounting. IFRS 9 is effective for annual periods beginning on or after 1 January 2018, with early adoption permitted. Based on the current assessment, the Group expects the adoption of IFRS 9 will have a material impact on the Group’s consolidated financial statements. Classification and measurement IFRS 9 requires that the Group classifies debt instruments based on the combined effect of application of business model (hold to collect contractual cash flows, hold to collect contractual cash flows and sell financial assets or other business models) and contractual cash flow characteristics (sole payments of principal and interest on the principal amount outstanding or not). Debt instruments not giving rise to cash flows that are sole payments of principal and interest on the principal amount outstanding would be measured at fair value through profit and loss. Other debt instruments giving rise to cash flows that are sole payments of principal and interest on the principal amount outstanding would be measured at amortised cost, fair value through other comprehensive income (“FVOCI”) or fair value through profit or loss (“FVTPL”), based on their respective business model. The Group is in the process of analysing the contractual cash flow characteristics of financial assets and assessing the application of the business model. Equity instruments would generally be measured at fair value through profit or loss unless the Group elects to measure at FVOCI for certain equity investments not held for trading. This will result in unrealised gains and losses on equity instruments currently classified as available-for-sale Impairment IFRS 9 replaces the “incurred loss” model with the “expected credit loss” model which is designed to include forward-looking information. The Group is in the process of developing and testing the key models required under IFRS 9 and analysing the impact on the expected loss provision; the Group believed the provision for debt instruments of the Group under the “expected credit loss” model would be larger than that under the previous “incurred loss” model. Hedge accounting The Group does not apply the hedge accounting currently, so the new hedge accounting model under IFRS 9 has no impact on the Group’s consolidated financial statements. IFRS 4 Amendments – Applying IFRS 9 Financial Instruments with IFRS 4 Insurance Contracts Amendments to IFRS 4 address issues arising from the different effective dates of IFRS 9 and IFRS 17. The amendments introduce two alternative options that allow entities issuing contracts within the scope of IFRS 4 for the adoption of IFRS 9, notably a temporary exemption and an overlay approach. The temporary exemption enables eligible entities to defer the implementation date of IFRS 9 until the effective date of IFRS 17. The amendments clarify that an insurer may apply the temporary exemption from IFRS 9 if: (i) it has not previously applied any version of IFRS 9, other than only the requirements for the presentation of gains and losses on financial liabilities designated as FVTPL; and (ii) its activities are predominantly connected with insurance on its annual reporting date that immediately precedes 1 April 2016. The overlay approach allows entities applying IFRS 9 from 2018 onwards to remove from profit or loss the effects arising from the adoption of IFRS 9 and reclassify the amounts to OCI for designated financial assets. An entity can apply the temporary exemption from IFRS 9 for annual periods beginning on or after 1 January 2018, or apply the overlay approach when it applies IFRS 9 for the first time. During 2016, the Group performed an assessment of the amendments and reached the conclusion that its activities are predominantly connected with insurance as at 31 December 2015. There had been no significant change in the activities of the Group since then that requires reassessment, and the Group considered that it continues to meet the criteria of applying the temporary exemption. The Group decides to apply the temporary exemption from IFRS 9 and, therefore, continue to apply IAS 39 to its financial assets and liabilities in its reporting period starting on 1 January 2018. IFRS 15 – Revenue from Contracts with Customers and IFRS 15 Amendments IFRS 15, issued in May 2014, establishes a new five-step model to account for revenue arising from contracts with customers. Under IFRS 15, revenue is recognised at an amount that reflects the consideration to which an entity expects to be entitled in exchange for transferring goods or services to a customer. The principles in IFRS 15 provide a more structured approach for measuring and recognising revenue. The standard also introduces extensive qualitative and quantitative disclosure requirements, including disaggregation of total revenue, information about performance obligations, changes in contract asset and liability account balances between periods and key judgements and estimates. The standard will supersede all current revenue recognition requirements under IFRSs. Either a full retrospective application or a modified retrospective adoption is required on the initial application of the standard. In April 2016, the IASB issued amendments to IFRS 15 to address the implementation issues on identifying performance obligations, application guidance on principal-versus-agent consideration, licences of intellectual property, and transition. The amendments are also intended to help ensure a more consistent application when entities adopt IFRS 15 and decrease the cost and complexity of applying the standard. IFRS 15 and the amendments are effective for annual periods beginning on or after 1 January 2018, and early adoption is permitted. The Group will adopt IFRS 15 from 1 January 2018 and plans to adopt the modified retrospective approach. Given insurance contracts are scoped out of IFRS 15, the main impact of the new standard is on the accounting treatment of income from administrative and investment management services. The Group does not expect any significant impact on the Group’s consolidated financial statement. IAS 40 Amendments – Transfers of Investment Property Amendments to IAS 40, issued in December 2016, clarify when an entity should transfer property, including property under construction or development into, or out of investment property. The amendments state that a change in use occurs when the property meets, or ceases to meet, the definition of investment property and there is evidence of the change in use. A mere change in management’s intentions for the use of a property does not provide evidence of a change in use. The amendments are to be applied prospectively, and shall be applied to the changes that occurred, during or after the financial year when it applies amendments for the first time. An entity should reassess the classification of property held at the date that it first applies the amendments and, if applicable, reclassify property to reflect the conditions that exist at that date. Retrospective application is only permitted if it is possible without the use of hindsight. The Group expects to adopt the amendments from 1 January 2018. The amendments are not expected to have any significant impact on the Group’s consolidated financial statements. IFRS 16 – Leases IFRS 16 was issued in January 2016 and it replaces IAS 17 Leases Determining whether an Arrangement contains a Lease Operating Leases-Incentives SIC-27 Evaluating the Substance of Transactions Involving the Legal Form of a Lease on-balance low-value right-of-use right-of-use right-of-use right-of-use right-of-use IFRS 17 – Insurance Contracts In May 2017, the IASB issued IFRS 17 Insurance Contracts Insurance Contracts In contrast to the requirements in IFRS 4, which are largely based on grandfathering previous local accounting policies for measurement purposes, IFRS 17 provides a comprehensive model (the general model) for insurance contracts, supplemented by the variable fee approach for contracts with direct participation features and the premium allocation approach mainly for short-duration which typically applies to certain non-life The main features of the new accounting model for insurance contracts are, as follows: • The fulfilment cash flows including the expected present value of future cash flows and explicit risk adjustment, remeasured every reporting period; • A Contractual Service Margin (CSM) represents the unearned profitability of the insurance contracts and is recognised in profit or loss over the coverage period; • Certain changes in the expected present value of future cash flows are adjusted against the CSM and thereby recognised in profit or loss over the remaining coverage period; • The effect of changes in discount rates will be reported in either profit or loss or other comprehensive income, determined by an accounting policy choice; • The recognition of insurance revenue and insurance service expenses in the statement of comprehensive income based on the concept of services provided during the period; • Amounts that the policyholder will always receive, regardless of whether an insured event happens (non-distinct • Insurance services results are presented separately from the insurance finance income or expense; • Extensive disclosures to provide information on the recognised amounts from insurance contracts and the nature and extent of risks arising from these contracts. IFRS 17 is effective for annual reporting periods beginning on or after 1 January 2021, with comparative figures required. Early application is permitted, provided the entity also applies IFRS 9 and IFRS 15 on or before the date it first applies IFRS 17. Retrospective application is required. However, if full retrospective application for a group of insurance contracts is impracticable, then the entity is required to choose either a modified retrospective approach or a fair value approach. The Group is currently assessing the impact of the standard upon adoption. IFRS 10 and IAS 28 Amendments – Sale or Contribution of Assets between an Investor and its Associate or Joint Venture Amendments to IFRS 10 and IAS 28 address an inconsistency between the requirements in IFRS 10 and IAS 28 in dealing with the sale or contribution of assets between an investor and its associate or joint venture. The amendments require a full recognition of a gain or loss when the sale or contribution of assets between an investor and its associate or joint venture constitutes a business. For a transaction involving assets that do not constitute a business, a gain or loss resulting from the transaction is recognised in the investor’s profit or loss only to the extent of the unrelated investor’s interest in that associate or joint venture. The amendments are to be applied prospectively. The previous mandatory effective date of amendments to IFRS 10 and IAS 28 was removed and a new mandatory effective date will be determined after the completion of a broader review of accounting for associates and joint ventures. However, the amendments are available for adoption now. In addition, besides the amendments to IFRS 12, which are effective for annual periods beginning on or after 1 January 2017, the Annual Improvements 2014-2016 Cycle Annual Improvements 2015-2017 Cycle |
Consolidation | 2.2 Consolidation The consolidated financial statements include the financial statements of the Company and its subsidiaries for the year ended 31 December 2017. Subsidiaries are those entities which are controlled by the Group (including the structured entities controlled by the Group). Control is achieved when the Group is exposed, or has rights, to variable returns from its involvement with the investee and has the ability to affect those returns through its power over the investee. Specifically, the Group controls an investee if and only if the Group has: • power over the investee (i.e., existing rights that give it the current ability to direct the relevant activities of the investee); • exposure, or rights, to variable returns from its involvement with the investee; and • the ability to use its power over the investee to affect its returns. When the Group has less than a majority of the voting or similar rights of an investee, the Group considers all relevant facts and circumstances in assessing whether it has power over an investee, including: • the contractual arrangement with the other vote holders of the investee; • rights arising from other contractual arrangements; and • the Group’s voting rights and potential voting rights. The Group re-assesses Profit or loss and each component of OCI are attributed to the equity holders of the Company and to the non-controlling non-controlling A change in the ownership interest of a subsidiary, without a loss of control, is accounted for as an equity transaction. If the Group loses control over a subsidiary, it: • derecognises the assets (including goodwill) and liabilities of the subsidiary; • derecognises the carrying amount of any non-controlling • derecognises the cumulative translation differences recorded in equity; • recognises the fair value of the consideration received; • recognises the fair value of any investment retained; • recognises any surplus or deficit in profit or loss; and • reclassifies the Group’s share of components previously recognised in OCI to profit or loss or retained earnings, as appropriate, as if the Group had directly disposed of the related assets or liabilities The Group uses the acquisition method of accounting to account for business combinations. The consideration transferred for the acquisition of a subsidiary is the fair value of the assets transferred, the liabilities incurred and the equity interest issued by the Group. The consideration transferred includes the fair value of any asset or liability resulting from a contingent consideration arrangement. Acquisition-related costs are expensed as incurred. Identifiable assets acquired, and liabilities and contingent liabilities assumed in a business combination are measured initially at their fair value at the acquisition date. On an acquisition-by-acquisition non-controlling non-controlling The excess of the aggregate of the consideration transferred, the fair value of any non-controlling re-assesses re-assessment The investments in subsidiaries are accounted for only in the Company’s statement of financial position at cost less impairment. Cost is adjusted to reflect changes in consideration arising from contingent consideration amendments. Cost also includes direct attributable costs of investment. The results of subsidiaries are accounted for by the Company on the basis of dividends received and receivable. Transactions with non-controlling The Group treats transactions with non-controlling non-controlling non-controlling When the Group ceases to have control or significant influence, any retained interest in the entity is re-measured to its fair value, with the change in carrying amount recognised in profit or loss. The fair value is the initial carrying amount for the purposes of subsequently accounting for the retained interest as an associate, joint venture or financial asset. In addition, any amounts previously recognised in OCI in respect of that entity are accounted for as if the Group had directly disposed of the related assets or liabilities. This may mean that amounts previously recognised in OCI are reclassified to profit or loss. If the ownership interest in an associate is reduced but significant influence is retained, only a proportionate share of the amounts previously recognised in OCI is reclassified to profit or loss as appropriate. |
Associates and joint ventures | 2.3 Associates and joint ventures Associates are entities over which the Group has significant influence, generally accompanying a shareholding of between 20% and 50% of the voting rights of the investee. Significant influence is the power to participate in the financial and operating policy decisions of the investee, but is not control or joint control over those policies. Joint ventures are the type of joint arrangements whereby the parties that have joint control of the arrangement have rights to the net assets of the joint venture. Joint control is the contractually agreed sharing of control of an arrangement, which exists only when decisions about the relevant activities require the unanimous consent of the parties sharing control. Investments in associates and joint ventures are accounted for using the equity method of accounting and are initially recognised at cost. The Group’s share of post-acquisition profit or loss of its associates and joint ventures is recognised in net profit, and its share of post-acquisition movements in OCI is recognised in the consolidated statement of comprehensive income. The cumulative post-acquisition movements are adjusted against the carrying amount of the investment. When the Group’s share of losses in an associate or joint venture equals or exceeds its interest in the associate or joint venture, including any other unsecured receivables, the Group does not recognise further losses unless it has obligations to make payments on behalf of the associate or joint venture. Unrealised gains on transactions between the Group and its associates or joint ventures are eliminated to the extent of the Group’s interests in the associates or joint ventures. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred. Associates and joint ventures’ accounting policies have been changed where necessary to ensure consistency with the policies adopted by the Group. Goodwill represents the excess of the cost of an acquisition over the fair value of the Group’s share of the net identifiable assets of acquired associates or joint ventures at the date of acquisition. Goodwill on acquisitions of associates and joint ventures is included in investments in associates and joint ventures and is tested annually for impairment as part of the overall balance. Impairment losses on goodwill are not reversed. Gains or losses on the disposal of an entity take into consideration the carrying amount of goodwill relating to the entity sold. The Group determines at each reporting date whether there is any objective evidence that the investments in associates and joint ventures are impaired. If this is the case, an impairment loss is recognised for the amount by which the investment’s carrying amount exceeds its recoverable amount. The recoverable amount is the higher of the investment’s fair value less costs of disposal and value in use. The impairment of investments in the associates and joint ventures is reviewed for possible reversal at each reporting date. The investments in associates and joint ventures are stated at cost less impairment in the Company’s statement of financial position. The results of associates and joint ventures are accounted for by the Company on the basis of dividends received and receivable. |
Segment reporting | 2.4 Segment reporting The Group’s operating segments are presented in a manner consistent with the internal management reporting provided to the operating decision maker - president office for deciding how to allocate resources and for assessing performance. Operating segment refers to the segment within the Group that satisfies the following conditions: i) the segment generates income and incurs costs from daily operating activities; ii) management evaluates the operating results of the segment to make resource allocation decision and to evaluate the business performance; and iii) the Group can obtain relevant financial information of the segment, including financial condition, operating results, cash flows and other financial performance indicators. |
Foreign currency translation | 2.5 Foreign currency translation The Company’s functional currency is RMB. Each entity in the Group determines its own functional currency and items included in the financial statements of each entity are measured using that functional currency. The reporting currency of the consolidated financial statements of the Group is RMB. Transactions in foreign currencies are translated at the exchange rates ruling at the transaction dates. Monetary assets and liabilities denominated in foreign currencies are translated at the exchange rates ruling at the end of the reporting period. Exchange differences arising in these cases are recognised in net profit. |
Property, plant and equipment | 2.6 Property, plant and equipment Property, plant and equipment, are stated at historical costs less accumulated depreciation and any accumulated impairment losses, except for those acquired prior to 30 June 2003, which are stated at deemed cost less accumulated depreciation and any accumulated impairment losses. The historical costs of property, plant and equipment comprise its purchase price, including import duties and non-refundable Depreciation Depreciation is computed on a straight-line basis to write down the cost of each asset to its residual value over its estimated useful lives as follows: Estimated useful lives Buildings 15 to 35 years Office equipment, furniture and fixtures 3 to 11 years Motor vehicles 4 to 8 years Leasehold improvements Over the shorter of the remaining term of the lease and the useful lives The residual values, depreciation method and useful lives are reviewed periodically to ensure that the method and period of depreciation are consistent with the expected pattern of economic benefits from items of property, plant and equipment. Assets under construction mainly represent buildings under construction, which are stated at cost less any impairment losses and are not depreciated, except for those acquired prior to 30 June 2003, which are stated at deemed cost less any accumulated impairment losses. Cost comprises the direct costs of construction and capitalised borrowing costs on related borrowed funds during the period of construction. Assets under construction are reclassified to the appropriate category of property, plant and equipment, investment properties or other assets when completed and ready for use. Impairment and gains or losses on disposals Property, plant and equipment are reviewed for impairment losses whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. An impairment loss is recognised in net profit for the amount by which the carrying amount of the asset exceeds its recoverable amount, which is the higher of an asset’s net selling price and value in use. The gain or loss on disposal of an item of property, plant and equipment is the difference between the net sales proceeds and the carrying amount of the relevant asset, and is recognised in net profit. |
Investment properties | 2.7 Investment properties Investment properties are interests in land and buildings that are held to earn rental income and/or for capital appreciation, rather than for the supply of services or for administrative purposes. Investment properties are measured initially at cost, including transaction costs. Subsequent to initial recognition, investment properties are stated at cost less accumulated depreciation and any impairment loss. Depreciation is computed on the straight-line basis over the estimated useful lives. The estimated useful lives of investment properties are 15 to 35 years. Overseas investment properties that are held by the Group in the form of property ownership, equity investment, or other forms, have expected useful lives not longer than 50 years, determined based on the usage in their locations. The useful lives and depreciation method are reviewed periodically to ensure that the method and period of depreciation are consistent with the expected pattern of economic benefits from the individual investment properties. An investment property is derecognised when either it has been disposed of or when the investment property is permanently withdrawn from use and no future economic benefit is expected from its disposal. Any gains or losses on the retirement or disposal of an investment property are recognised in the statement of comprehensive income in the year of retirement or disposal. A transfer to, or from, an investment property is made when, and only when, there is evidence of a change in use. |
Financial assets | 2.8 Financial assets 2.8.a Classification The Group classifies its financial assets into the following categories: securities at fair value through profit or loss, held-to-maturity available-for-sale (i) Securities at fair value through profit or loss This category has two sub-categories: (ii) Held-to-maturity Held-to-maturity non-derivative available-for-sale (iii) Loans and receivables Loans and receivables are non-derivative available-for-sale. (iv) Available-for-sale Available-for-sale non-derivative 2.8.b Recognition and measurement Purchase and sale of investments are recognised on the trade date, when the Group commits to purchase or sell assets. Investments are initially recognised at fair value plus, in the case of all financial assets not carried at fair value through profit or loss, transaction costs that are directly attributable to their acquisition. Investments are derecognised when the rights to receive cash flows from the investments have expired or when they have been transferred and the Group has also transferred substantially all risks and rewards of ownership. Securities at fair value through profit or loss and available-for-sale Held-to-maturity available-for-sale available-for-sale available-for-sale Term deposits primarily represent traditional bank deposits which have fixed maturity dates and are stated at amortised cost. Loans are carried at amortised cost, net of allowance for impairment. The Group purchases securities under agreements to resell substantially identical securities. These agreements are classified as secured loans and are recorded at amortised cost, i.e., their costs plus accrued interests at the end of the reporting period, which approximates fair value. The amounts advanced under these agreements are reflected as assets in the consolidated statement of financial position. The Group does not take physical possession of securities purchased under agreements to resell. Sale or transfer of the securities is not permitted by the respective clearing house on which they are registered while the lended money is outstanding. In the event of default by the counterparty, the Group has the right to the underlying securities held by the clearing house. 2.8.c Impairment of financial assets other than securities at fair value through profit or loss Financial assets other than those accounted for as at fair value through profit or loss are adjusted for impairment, where there are declines in value that are considered to be impairment. In evaluating whether a decline in value is an impairment for these financial assets, the Group considers several factors including, but not limited to, the following: • significant financial difficulty of the issuer or debtor; • a breach of contract, such as a default or delinquency in payments; • it becomes probable that the issuer or debtor will enter into bankruptcy or other financial reorganisation; and • the disappearance of an active market for that financial asset because of financial difficulties. In evaluating whether a decline in value is impairment for equity securities, the Group also considers the extent or the duration of the decline. The quantitative factors include the following: • the market price of the equity securities was more than 50% below their cost at the reporting date; • the market price of the equity securities was more than 20% below their cost for a period of at least six months at the reporting date; and • the market price of the equity securities was below their cost for a period of more than one year (including one year) at the reporting date. When the decline in value is considered impairment, held-to-maturity available-for-sale |
Fair value measurement | 2.9 Fair value measurement The Group measures financial instruments, such as securities at fair value through profit or loss and available-for-sale • in the principal market for the asset or liability, or • in the absence of a principal market, in the most advantageous market for the asset or liability. The principal or the most advantageous market must be accessible to by the Group at the measurement date. The fair value of an asset or a liability is measured using the assumptions that market participants would use when pricing the asset or liability, assuming that market participants act in their economic best interest. A fair value measurement of a non-financial The Group uses valuation techniques that are appropriate in the circumstances and for which sufficient data are available to measure fair value, maximising the use of relevant observable inputs and minimising the use of unobservable inputs. All assets and liabilities for which fair value is measured or disclosed in the consolidated financial statements are categorised within the fair value hierarchy, described in Notes 4.3, 7, and 10 based on the lowest level input that is significant to the fair value measurement as a whole. For assets and liabilities that are measured at fair value on a recurring basis, the Group determines whether transfers have occurred between each level in the hierarchy by re-assessing Cash amounts represent cash on hand and demand deposits. Cash equivalents are short-term, highly liquid investments with original maturities of 90 days or less, whose carrying value approximates fair value. |
Cash and cash equivalents | 2.10 Cash and cash equivalents Cash amounts represent cash on hand and demand deposits. Cash equivalents are short-term, highly liquid investments with original maturities of 90 days or less, whose carrying value approximates fair value. |
Insurance contracts and investment contracts | 2.11 Insurance contracts and investment contracts 2.11.1 Classification The Group issues contracts that transfer insurance risk or financial risk or both. The contracts issued by the Group are classified as insurance contracts and investment contracts. Insurance contracts are those contracts that transfer significant insurance risk. They may also transfer financial risk. Investment contracts are those contracts that transfer financial risk without significant insurance risk. A number of insurance and investment contracts contain a discretionary participating feature (“DPF”). This feature entitles the policyholders to receive additional benefits or bonuses that are, at least in part, at the discretion of the Group. 2.11.2 Insurance contracts 2.11.2.a Recognition and measurement (i) Short-term insurance contracts Premiums from the sale of short duration accident and health insurance products are recorded when written and are accreted to earnings on a pro-rata The unearned premium reserve represents the portion of the premiums written net of certain acquisition costs relating to the unexpired terms of coverage. Reserves for claims and claim adjustment expenses consist of the reserves for reported and unreported claims and reserves for claims expenses with respect to insured events. In developing these reserves, the Group considers the nature and distribution of the risks, claims cost development, and experiences in deriving the reasonable estimated amount and the applicable margins. The methods used for reported and unreported claims include the case-by-case estimation method, average cost per claim method, chain ladder method, etc. The Group calculates the reserves for claims expenses based on the reasonable estimates of the future payments for claims expenses. (ii) Long-term insurance contracts Long-term insurance contracts include whole life insurance, term life insurance, endowment insurance and annuity policies with significant life contingency risk. Premiums are recognised as revenue when due from policyholders. The Group uses the discounted cash flow method to estimate the reserve of long-term insurance contracts. The reserve of long-term insurance contracts consists of a reasonable estimate of liability, a risk margin and a residual margin. The long-term insurance contract liabilities are calculated using various assumptions, including assumptions on mortality rates, morbidity rates, lapse rates, discount rates, and expense assumptions, and based on the following principles: (a) The reasonable estimate of liability for long-term insurance contracts is the present value of reasonable estimates of future cash outflows less future cash inflows. The expected future cash inflows include cash inflows of future premiums arising from the undertaking of insurance obligations, with consideration of decrement mostly from death and surrenders. The expected future cash outflows are cash outflows incurred to fulfil contractual obligations, consisting of the following: • guaranteed benefits based on contractual terms, including payments for deaths, disabilities, diseases, survivals, maturities and surrenders; • additional non-guaranteed • reasonable expenses incurred to manage insurance contracts or to process claims, including maintenance expenses and claim settlement expenses. Future administration expenses are included in the maintenance expenses. Expenses are determined based on expense analysis with consideration of future inflation and the Group’s expense management control. On each reporting date, the Group reviews the assumptions for reasonable estimates of liability and risk margins, with consideration of all available information, taking into account the Group’s historical experience and expectation of future events. Changes in assumptions are recognised in net profit. Assumptions for the amortisation of residual margin are locked in at policy issuance and are not adjusted at each reporting date. (b) Margin has been taken into consideration while computing the reserve of insurance contracts, measured separately and recognised in net profit in each period over the life of the contracts. At the inception of the contracts, the Group does not recognise Day 1 gain, whereas on the other hand, Day 1 loss is recognised in net profit immediately. Margin comprises risk margin and residual margin. Risk margin is the reserve accrued to compensate for the uncertain amount and timing of future cash flows. At the inception of the contract, the residual margin is calculated net of certain acquisition costs, mainly consist of underwriting and policy acquisition costs, by the Group representing Day 1 gain and will be amortised over the life of the contracts. For insurance contracts of which future returns are affected by investment yields of corresponding investment portfolios, their related residual margins are amortised based on estimated future participating dividends payable to policyholders. For insurance contracts of which future returns are not affected by investment yields of corresponding investment portfolios, their related residual margins are amortised based on sum assured of outstanding policies. The subsequent measurement of the residual margin is independent from the reasonable estimate of future discounted cash flows and risk margin. The assumption changes have no effect on the subsequent measurement of the residual margin. (c) The Group has considered the impact of time value on the reserve calculation for insurance contracts. (iii) Universal life contracts and unit-linked contracts Universal life contracts and unit-linked contracts are unbundled into the following components: • insurance components • non-insurance The insurance components are accounted for as insurance contracts; and the non-insurance 2.11.2.b Liability adequacy test The Group assesses the adequacy of insurance contract reserves using the current estimate of future cash flows with available information at the end of each reporting period. If that assessment shows that the carrying amount of its insurance liabilities (less related intangible assets, if applicable) is inadequate in light of the estimated future cash flows, the insurance contract reserves will be adjusted accordingly, and any changes of the insurance contract liabilities will be recognised in net profit. 2.11.2.c Reinsurance contracts held Contracts with reinsurers under which the Group is compensated for losses on one or more contracts issued by the Group and that meet the classification requirements for insurance contracts are classified as reinsurance contracts held. Contracts with reinsurers that do not meet these classification requirements are classified as financial assets. Insurance contracts entered into by the Group under which the contract holder is another insurer (inwards reinsurance) are included with insurance contracts. The benefits to which the Group is entitled under its reinsurance contracts held are recognised as reinsurance assets. Amounts recoverable from or due to reinsurers are measured consistently with the amounts associated with the reinsured insurance contracts and in accordance with the terms of each reinsurance contract. Reinsurance liabilities are primarily premiums payable for reinsurance contracts and are recognised as expenses when due. The Group assesses its reinsurance assets for impairment as at the end of reporting period. If there is objective evidence that the reinsurance asset is impaired, the Group reduces the carrying amount of the reinsurance asset to its recoverable amount and recognises that impairment loss in net profit. 2.11.3 Investment contracts Revenue from investment contracts with or without DPF is recognised as policy fee income, which consists of various fee incomes (policy fees, handling fees and management fees, etc.) during the period. Policy fee income net of acquisition cost is deferred as unearned revenue and amortised over the expected life of the contracts. Except for unit-linked contracts, of which the liabilities are carried at fair value, the liabilities of investment contracts are carried at amortised cost. 2.11.4 DPF in long-term insurance contracts and investment contracts DPF is contained in certain long-term insurance contracts and investment contracts. These contracts are collectively called participating contracts. The Group is obligated to pay to the policyholders of participating contracts as a group at the higher of 70% of accumulated surplus available and the rate specified in the contracts. The accumulated surplus available mainly arises from net investment income and gains and losses arising from the assets supporting these contracts. To the extent unrealised gains or losses from available-for-sale |
Financial liabilities at fair value through profit or loss | 2.12 Financial liabilities at fair value through profit or loss Financial liabilities at fair value through profit or loss are the portions owned by the external investors in the consolidated structured entities (open-ended funds). Such financial liabilities are designated at fair value upon initial recognition, and all realised or unrealised gains or losses are recognised in net profit. |
Securities sold under agreements to repurchase | 2.13 Securities sold under agreements to repurchase The Group retains substantially all the risk and rewards of ownership of securities sold under agreements to repurchase which generally mature within 180 days from the transaction date. Therefore, securities sold under agreements to repurchase are classified as secured borrowings. The Group may be required to provide additional collateral based on the fair value of the underlying securities. Securities sold under agreements to repurchase are recorded at amortised cost, i.e., their cost plus accrued interest at the end of the reporting period. It is the Group’s policy to maintain effective control over securities sold under agreements to repurchase which includes maintaining physical possession of the securities. Accordingly, such securities continue to be carried on the consolidated statement of financial position. |
Bonds payable | 2.14 Bonds payable Bonds payable primarily include subordinated debts. Subordinated debts are initially recognised at fair value and subsequently measured at amortised cost using the effective interest rate method. Amortised cost is calculated by taking into account any discount or premium at acquisition and transaction costs. |
Derivative instruments | 2.15 Derivative instruments Derivatives are initially recognised at fair value on the date on which a derivative contract is entered into and are subsequently re-measured Embedded derivatives that are not closely related to their host contracts and meet the definition of a derivative are separated and fair valued through profit or loss. The Group does not separately measure embedded derivatives that meet the definition of an insurance contract or embedded derivatives that are closely related to host insurance contracts including embedded options to surrender insurance contracts for a fixed amount (or an amount based on a fixed amount and an interest rate). |
Employee benefits | 2.16 Employee benefits Pension benefits Full-time Housing benefits All full-time employees of the Group are entitled to participate in various government-sponsored housing funds. The Group contributes on a monthly basis to these funds based on certain percentages of the salaries of the employees. The Group’s liability in respect of these funds is limited to the contributions payable in each year. Stock appreciation rights Compensation under the stock appreciation rights is measured based on the fair value of the liabilities incurred and is expensed over the vesting period. Valuation techniques including option pricing models are used to estimate fair value of relevant liabilities. The liability is re-measured |
Share capital | 2.17 Share capital Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of equity instruments are shown in equity as a deduction, net of tax, from the proceeds. |
Other equity instruments | 2.18 Other equity instruments Other equity instruments are Core Tier 2 Capital Securities issued by the Group. These securities contain no contractual obligation to deliver cash or another financial asset; or to exchange financial assets or financial liabilities with another entity under conditions that are potentially unfavorable to the Group; or to be settled in the Group’s own equity instruments. Therefore, the Group classifies these securities as other equity instruments. Fees, commissions and other transaction costs of these securities’ issuance are deducted from equity. The distributions of the securities are recognised as profit distribution at the time of declaration. |
Revenue recognition | 2.19 Revenue recognition Turnover of the Group represents the total revenues which include the following: Premiums Premiums from long-term insurance contracts are recognised as revenue when due from the policyholders. Premiums from the sale of short duration accident and health insurance products are recorded when written and are accreted to earnings on a pro-rata P olicy fee income Revenue from investment contracts is recognised as policy fee income, which consists of various fee incomes (policy fees, handling fees and management fees, etc.) over the period of which the service is provided. Policy fee income net of certain acquisition costs is deferred as unearned revenue and amortised over the expected life of the contracts. Policy fee income is recognised in revenue as part of other income. Investment income Investment income comprises interest income from term deposits, cash and cash equivalents, debt securities, securities purchased under agreements to resell, loans and dividend income from equity securities. Interest income is recorded on an accrual basis using the effective interest rate method. Dividend income is recognised when the right to receive dividend payment is established. |
Finance costs | 2.20 Finance costs Interest expenses for bonds payable, securities sold under agreements to repurchase and interest-bearing loans and borrowings are recognised within finance costs in net profit using the effective interest rate method. |
Current and deferred income taxation | 2.21 Current and deferred income taxation Income tax expense for the period comprises current and deferred tax. Income tax is recognised in net profit, except to the extent that it relates to items recognised directly in OCI where the income tax is recognised in OCI. Current income tax assets and liabilities for the current period are calculated on the basis of the tax laws enacted or substantively enacted at the end of each reporting period in the jurisdictions where the Company and its subsidiaries operate and generate taxable income. Management periodically evaluates positions taken with respect to situations in which applicable tax regulations are subject to interpretation. Deferred income tax is recognised, using the liability method, on temporary differences arising between the tax bases of assets and liabilities and their carrying amounts in the consolidated financial statements. Substantively enacted tax rates are used in the determination of deferred income tax. Deferred income tax is provided on temporary differences arising on investments in subsidiaries, associates and joint ventures except where the timing of the reversal of the temporary difference can be controlled and it is probable that the temporary difference will not be reversed in the foreseeable future. The carrying amount of deferred tax assets is reviewed at the end of each reporting period and reduced to the extent that it is no longer probable that sufficient taxable profit will be available to allow all or part of the deferred tax asset to be utilised. Conversely, previously unrecognised deferred tax assets are reassessed by the end of each reporting period and are recognised to the extent that it is probable that sufficient taxable profit will be available to allow all or part of the deferred tax asset to be utilised. Deferred tax assets and liabilities are measured at the tax rates that are expected to apply to the period when the asset is realised or the liability is settled, based on tax rates (and tax laws) that have been enacted or substantively enacted at the end of the reporting period. Deferred tax assets and deferred tax liabilities are offset if and only if the Group has a legally enforceable right to set off current tax assets and current tax liabilities and the deferred tax assets and deferred tax liabilities relate to income tax levied by the same taxation authority on either the same taxable entity or different taxable entities which intend either to settle current tax liabilities and assets on a net basis, or to realise the assets and settle the liabilities simultaneously, in each future period in which significant amounts of deferred tax liabilities or assets are expected to be settled or recovered. |
Operating leases | 2.22 Operating leases Leases where substantially all the risks and rewards of ownership of assets remain with the lessor company are accounted for as operating leases. Where the Group is the lessor, assets leased by the Group under operating leases are included in investment properties and rentals receivable under such operating leases are credited to the consolidated statement of comprehensive income on the straight-line basis over the lease terms. Where the Group is the lessee, rentals payable under operating leases are charged to the consolidated statement of comprehensive income on the straight-line basis over the lease terms. The aggregate benefit of incentives provided by the lessor is recognised as a reduction in rental expenses over the lease terms on the straight-line basis. |
Provisions and contingencies | 2.23 Provisions and contingencies Provisions are recognised when the Group has a present legal or constructive obligation as a result of past events; it is probable that an outflow of resources will be required to settle the obligation; and the amount has been reliably estimated. Provisions are not recognised for future operating losses. A contingent liability is a possible obligation that arises from past events and whose existence will only be confirmed by the occurrence or non-occurrence A contingent liability is not recognised in the consolidated statement of financial position but is disclosed in the notes to the consolidated financial statements. When a change in the probability of an outflow occurs so that such outflow is probable and can be reliably measured, it will then be recognised as a provision. |
Dividend distribution | 2.24 Dividend distribution Dividend distribution to the Company’s equity holders is recognised as a liability in the Group’s consolidated financial statements in the year in which the dividends are approved by the Company’s equity holders. |
Summary of Significant Accoun43
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Estimated Useful Lives for Depreciation Purposes of Property, Plant and Equipment | Depreciation is computed on a straight-line basis to write down the cost of each asset to its residual value over its estimated useful lives as follows: Estimated useful lives Buildings 15 to 35 years Office equipment, furniture and fixtures 3 to 11 years Motor vehicles 4 to 8 years Leasehold improvements Over the shorter of the remaining term of the lease and the useful lives |
Risk Management (Tables)
Risk Management (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Major Products of Long-term Insurance Contracts | The table below presents the Group’s major products of long-term insurance contracts: Product name For the year ended 31 December 2017 % 2016 % Premiums of long-term insurance contracts New Xin Feng Endowment (Type A) (a) 59,636 12.83 % 38,059 9.75 % Xin Fu Ying Jia Annuity (b) 40,588 8.73 % 1,626 0.42 % Kang Ning Whole Life (c) 21,435 4.61 % 22,420 5.74 % Hong Ying Participating Endowment (d) 3,019 0.65 % 4,968 1.27 % Hong Tai Endowment (e) 166 0.04 % 203 0.05 % Others (f) 340,054 73.14 % 323,162 82.77 % Total 464,898 100.00 % 390,438 100.00 % Insurance benefits of long-term insurance contracts New Xin Feng Endowment (Type A) (a) 78 0.05 % 67 0.04 % Xin Fu Ying Jia Annuity (b) 7,956 4.79 % 277 0.15 % Kang Ning Whole Life (c) 4,197 2.52 % 3,949 2.20 % Hong Ying Participating Endowment (d) 49,796 29.96 % 73,261 40.72 % Hong Tai Endowment (e) 41,271 24.83 % 25,093 13.95 % Others (f) 62,926 37.85 % 77,255 42.94 % Total 166,224 100.00 % 179,902 100.00 % As at 31 December 2017 As at 31 December 2016 RMB million % RMB million % Liabilities of long-term insurance contracts New Xin Feng Endowment (Type A) (a) 69,280 3.47 % 43,794 2.40 % Xin Fu Ying Jia Annuity (b) 19,771 0.99 % 987 0.05 % Kang Ning Whole Life (c) 268,708 13.44 % 244,112 13.37 % Hong Ying Participating Endowment (d) 70,506 3.53 % 117,946 6.46 % Hong Tai Endowment (e) 16,730 0.84 % 57,356 3.14 % Others (f) 1,554,071 77.73 % 1,361,761 74.58 % Total 1,999,066 100.00 % 1,825,956 100.00 % (a) New Xin Feng is an endowment insurance contract with single premium. Its insured period is 5 years. This product is applicable to healthy policyholders between 18-year-old 70-year-old. (b) Xin Fu Ying Jia Annuity is an annuity insurance contract with the options for regular premium of 3 years, 5 years or 10 years. Its insured period extends from the effective date of Xin Fu Ying Jia Annuity to the corresponding date when policyholders reach the age of 88. This product is applicable to healthy policyholders between 28-day-old 70-year-old. 88-year-old, (c) Kang Ning is a whole life insurance contract with the options for single premium or regular premium of 10 years or 20 years. This product is applicable to healthy policyholders under 70-year-old. (d) Hong Ying is a participating endowment insurance contract with the options for single premium or regular premium of 3 years, 5 years or 10 years. Its insured period can be 6 years, 10 years or 15 years. This product is applicable to healthy policyholders between 30-day-old 70-year-old. (e) Hong Tai is long-term individual participating endowment insurance contract with options for single premium or regular premium of 10 years, designed for healthy policyholders of age between 30-day-old 75-year-old. (f) Others consist of various long-term insurance contracts with no significant concentration. |
Claim Development for Short-term Insurance Contracts | The following table indicates the claim development for short-term insurance contracts without taking into account the impacts of ceded business: Short-term insurance contracts (accident year) Estimated claims expenses 2013 2014 2015 2016 2017 Total Year end 11,476 16,499 20,497 27,120 33,926 1 year later 11,872 17,265 21,427 27,303 2 years later 11,775 16,726 21,422 3 years later 11,775 16,726 4 years later 11,775 Estimated accumulated claims expenses 11,775 16,726 21,422 27,303 33,926 111,152 Accumulated claims expenses paid (11,775 ) (16,726 ) (21,422 ) (26,047 ) (21,404 ) (97,374 ) Unpaid claims expenses — — — 1,256 12,522 13,778 The following table indicates the claim development for short-term insurance contracts taking into account the impacts of ceded business: Short-term insurance contracts (accident year) Estimated claims expenses 2013 2014 2015 2016 2017 Total Year end 11,331 16,379 20,359 26,897 33,700 1 year later 11,743 17,127 21,262 27,107 2 years later 11,645 16,589 21,259 3 years later 11,645 16,589 4 years later 11,645 Estimated accumulated claims expenses 11,645 16,589 21,259 27,107 33,700 110,300 Accumulated claims expenses paid (11,645 ) (16,589 ) (21,259 ) (25,860 ) (21,273 ) (96,626 ) Unpaid claims expenses — — — 1,247 12,427 13,674 |
Summary of Financial Assets and Financial Liabilities Denominated in Currencies other than RMB, Expressed in RMB Equivalent | The following table summarises financial assets and financial liabilities denominated in currencies other than RMB as at 31 December 2017 and 2016, expressed in RMB equivalent: As at 31 December 2017 US dollar HK dollar GB pound EUR Others Total Financial assets Equity securities - Available-for-sale 8,697 28,859 — — — 37,556 - Securities at fair value through profit or loss 4,707 146 1,088 2,690 1,198 9,829 Debt securities - Held-to-maturity 155 — — — — 155 - Loans 952 — — — — 952 - Available-for-sale 1,229 — — — — 1,229 - Securities at fair value through profit or loss 435 — 18 5 5 463 Term deposits 7,744 — — — — 7,744 Cash and cash equivalents 1,246 185 282 128 3 1,844 Total 25,165 29,190 1,388 2,823 1,206 59,772 Financial liabilities Interest-bearing loans and other borrowings 12,480 — 2,413 3,901 — 18,794 Total 12,480 — 2,413 3,901 — 18,794 As at 31 December 2016 US dollar HK dollar GB pound EUR Others Total Financial assets Equity securities - Available-for-sale 6,968 12,791 — — 148 19,907 - Securities at fair value through profit or loss 3,906 128 1,115 2,475 1,135 8,759 Debt securities - Held-to-maturity 164 — — — — 164 - Securities at fair value through profit or loss 348 — 14 3 13 378 Term deposits 6,106 — — — — 6,106 Cash and cash equivalents 2,685 2,083 145 39 9 4,961 Total 20,177 15,002 1,274 2,517 1,305 40,275 Financial liabilities Interest-bearing loans and other borrowings 13,100 — 2,339 731 — 16,170 Total 13,100 — 2,339 731 — 16,170 |
Contractual and Expected Undiscounted Cash Flows for Financial Assets and Liabilities and Insurance Liabilities | The following tables set forth the contractual and expected undiscounted cash flows for financial assets and liabilities and insurance liabilities: Contractual and expected cash flows (undiscounted) As at 31 December 2017 Carrying value Without maturity Not later than 1 year Later than 1 year but not later than 3 years Later than 3 years but not later than 5 years Later than 5 years Financial assets Contractual cash inflows Equity securities 409,528 409,528 — — — — Debt securities 1,255,052 — 127,830 240,582 271,538 1,240,465 Loans 383,504 — 141,679 105,063 64,386 128,753 Term deposits 449,400 — 104,976 252,571 133,013 2,823 Statutory deposits — restricted 6,333 — 4,084 734 2,106 — Securities purchased under agreements to resell 36,185 — 36,185 — — — Accrued investment income 50,641 — 44,789 5,602 250 — Premiums receivable 14,121 — 14,121 — — — Cash and cash equivalents 48,586 — 48,586 — — — Subtotal 2,653,350 409,528 522,250 604,552 471,293 1,372,041 Financial and insurance liabilities Expected cash outflows Insurance contracts 2,025,133 — 16,319 221,905 47,109 (3,807,542 ) Investment contracts 232,500 — (15,308 ) (29,981 ) (26,892 ) (388,320 ) Contractual cash outflows Securities sold under agreements to repurchase 87,309 — (87,309 ) — — — Financial liabilities at fair value through profit or loss 2,529 (2,529 ) — — — — Annuity and other insurance balances payable 44,820 — (44,820 ) — — — Interest-bearing loans and other borrowings 18,794 — (1,240 ) (18,557 ) — — Subtotal 2,411,085 (2,529 ) (132,358 ) 173,367 20,217 (4,195,862 ) Net cash inflows/(outflows) 242,265 406,999 389,892 777,919 491,510 (2,823,821 ) Contractual and expected cash flows (undiscounted) As at 31 December 2016 Carrying Without Not Later than 1 Later than 3 Later Financial assets Contractual cash inflows Equity securities 421,383 421,383 — — — — Debt securities 1,148,894 — 210,589 214,105 188,740 1,014,074 Loans 226,573 — 119,247 47,606 41,697 55,106 Term deposits 538,325 — 199,657 260,065 117,012 8,858 Statutory deposits - restricted 6,333 — 1,909 4,720 209 — Securities purchased under agreements to resell 43,538 — 43,538 — — — Accrued investment income 55,945 — 44,722 11,100 123 — Premiums receivable 13,421 — 13,421 — — — Cash and cash equivalents 67,046 — 67,046 — — — Subtotal 2,521,458 421,383 700,129 537,596 347,781 1,078,038 Financial and insurance liabilities Expected cash outflows Insurance contracts 1,847,986 — (43,322 ) 97,236 35,088 (3,229,394 ) Investment contracts 195,706 — (15,880 ) (34,147 ) (33,128 ) (259,905 ) Contractual cash outflows Securities sold under agreements to repurchase 81,088 — (81,088 ) — — — Financial liabilities at fair value through profit or loss 2,031 (2,031 ) — — — — Annuity and other insurance balances payable 39,038 — (39,038 ) — — — Interest-bearing loans and other borrowings 16,170 — (1,138 ) (16,159 ) — — Bonds payable 37,998 — (39,032 ) — — — Subtotal 2,220,017 (2,031 ) (219,498 ) 46,930 1,960 (3,489,299 ) Net cash inflows/(outflows) 301,441 419,352 480,631 584,526 349,741 (2,411,261 ) |
Capital Management under Insurance Institution Solvency Regulations | The table below summarises the core and comprehensive solvency ratio, core capital, actual capital and minimum capital of the Company under Insurance Institution Solvency Regulations (No.1 - No.17) As at 31 December 2017 As at 31 December 2016 Core capital 706,516 639,396 Actual capital 706,623 677,768 Minimum capital 254,503 228,080 Core solvency ratio 278% 280% Comprehensive solvency ratio 278% 297% |
Quantitative Disclosures of Fair Value Measurement Hierarchy for Assets and Liabilities Measured at Fair Value | The following table presents the Group’s quantitative disclosures of fair value measurement hierarchy for assets and liabilities measured at fair value as at 31 December 2017: Fair value measurement using Total Quoted prices in active markets Significant observable inputs Significant unobservable inputs Level 1 Level 2 Level 3 RMB million RMB million RMB million RMB million Assets measured at fair value Available-for-sale - Equity securities 196,673 48,989 89,111 334,773 - Debt securities 46,898 350,893 57,333 455,124 Securities at fair value through profit or loss - Equity securities 52,300 963 655 53,918 - Debt securities 9,301 73,590 — 82,891 Total 305,172 474,435 147,099 926,706 Liabilities measured at fair value Financial liabilities at fair value through profit or loss (2,529 ) — — (2,529 ) Investment contracts at fair value through profit or loss (12 ) — — (12 ) Total (2,541 ) — — (2,541 ) The following table presents the Group’s quantitative disclosures of fair value measurement hierarchy for assets and liabilities measured at fair value as at 31 December 2016: Fair value measurement using Total Quoted prices in active markets Significant observable inputs Significant unobservable inputs Level 1 Level 2 Level 3 RMB million RMB million RMB million RMB million Assets measured at fair value Available-for-sale - Equity securities 183,222 86,161 76,445 345,828 - Debt securities 28,562 357,463 13,733 399,758 Securities at fair value through profit or loss - Equity securities 52,790 867 1,061 54,718 - Debt securities 37,172 117,234 — 154,406 Total 301,746 561,725 91,239 954,710 Liabilities measured at fair value Financial liabilities at fair value through profit or loss (2,031 ) — — (2,031 ) Investment contracts at fair value through profit or loss (12 ) — — (12 ) Total (2,043 ) — — (2,043 ) |
Significant unobservable inputs level 3 [member] | |
Quantitative Disclosures of Fair Value Measurement Hierarchy for Assets and Liabilities Measured at Fair Value | The following table presents the changes in Level 3 assets for the year ended 31 December 2017: Available-for-sale securities Securities at fair profit or loss Total Debt securities Equity securities Equity securities RMB million RMB million RMB million RMB million Opening balance 13,733 76,445 1,061 91,239 Purchases 47,909 15,197 — 63,106 Transferred into Level 3 — 2,842 695 3,537 Transferred out of Level 3 — (5,598 ) (1,059 ) (6,657 ) Total gains/(losses) recorded in profit or loss — — (42 ) (42 ) Total gains/(losses) recorded in other comprehensive income (519 ) 315 — (204 ) Disposals — (90 ) — (90 ) Maturity (3,790 ) — — (3,790 ) Closing balance 57,333 89,111 655 147,099 The following table presents the changes in Level 3 assets for the year ended 31 December 2016: Available-for-sale securities Securities at Total Debt securities Equity securities Equity securities RMB million RMB million RMB million RMB million Opening balance 501 62,343 1,884 64,728 Purchases 13,533 12,499 — 26,032 Transferred into Level 3 — 1,326 1,128 2,454 Transferred out of Level 3 — (2,054 ) (1,884 ) (3,938 ) Total gains/(losses) recorded in profit or loss — — (67 ) (67 ) Total gains/(losses) recorded in other comprehensive income — 2,331 — 2,331 Maturity (301 ) — — (301 ) Closing balance 13,733 76,445 1,061 91,239 |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Financial Information of Operating Segments | For the year ended 31 December 2017 Life Health Accident Others Elimination Total RMB million Revenues Gross written premiums 429,822 67,708 14,436 — — 511,966 - Term life 4,110 — — — — - Whole life 36,496 — — — — - Endowment 198,418 — — — — - Annuity 190,798 — — — — Net premiums earned 429,267 63,323 14,320 — — 506,910 Investment income 115,316 5,454 456 1,501 — 122,727 Net realised gains on financial assets 41 2 — (1 ) — 42 Net fair value gains through profit or loss 5,690 269 23 201 — 6,183 Other income 1,276 75 — 7,268 (1,126 ) 7,493 Including: inter-segment revenue — — — 1,126 (1,126 ) — Segment revenues 551,590 69,123 14,799 8,969 (1,126 ) 643,355 Benefits, claims and expenses Insurance benefits and claims expenses Life insurance death and other benefits (257,300 ) (2,383 ) (25 ) — — (259,708 ) Accident and health claims and claim adjustment expenses — (27,992 ) (5,826 ) — — (33,818 ) Increase in insurance contract liabilities (152,110 ) (20,249 ) (158 ) — — (172,517 ) Investment contract benefits (7,798 ) (278 ) — — — (8,076 ) Policyholder dividends resulting from participation in profits (21,748 ) (123 ) — — — (21,871 ) Underwriting and policy acquisition costs (48,781 ) (8,494 ) (4,565 ) (2,949 ) — (64,789 ) Finance costs (3,967 ) (187 ) (16 ) (431 ) — (4,601 ) Administrative expenses (24,286 ) (5,615 ) (3,423 ) (2,629 ) — (35,953 ) Other expenses (5,508 ) (376 ) (147 ) (1,521 ) 1,126 (6,426 ) Including: inter-segment expenses (1,071 ) (51 ) (4 ) — 1,126 — Statutory insurance fund contribution (777 ) (180 ) (111 ) — — (1,068 ) Segment benefits, claims and expenses (522,275 ) (65,877 ) (14,271 ) (7,530 ) 1,126 (608,827 ) Share of profit of associates and joint ventures, net — — — 7,143 — 7,143 Segment results 29,315 3,246 528 8,582 — 41,671 Income tax (8,919 ) Net profit 32,752 Attributable to - Equity holders of the Company 32,253 - Non-controlling 499 Other comprehensive income attributable to equity holders of the Company (7,838 ) (370 ) (31 ) 327 — (7,912 ) Depreciation and amortisation 1,513 351 216 160 — 2,240 As at 31 December 2017 Life Health Accident Others Elimination Total RMB million Assets Financial assets (including cash and cash equivalents) 2,478,739 114,045 9,390 38,422 — 2,640,596 Others 8,402 8,149 552 161,472 — 178,575 Segment assets 2,487,141 122,194 9,942 199,894 — 2,819,171 Unallocated Property, plant and equipment 42,707 Others 35,713 Total 2,897,591 Liabilities Insurance contracts 1,914,597 102,190 8,346 — — 2,025,133 Investment contracts 218,436 14,064 — — — 232,500 Securities sold under agreements to repurchase 81,163 3,832 321 1,993 — 87,309 Others 41,888 3,123 224 21,323 — 66,558 Segment liabilities 2,256,084 123,209 8,891 23,316 — 2,411,500 Unallocated Others 160,781 Total 2,572,281 For the year ended 31 December 2016 Life Health Accident Others Elimination Total RMB million Revenues Gross written premiums 361,905 54,010 14,583 — — 430,498 - Term life 3,871 — — — — - Whole life 29,524 — — — — - Endowment 188,415 — — — — - Annuity 140,095 — — — — Net premiums earned 361,649 50,590 13,991 — — 426,230 Investment income 103,723 4,122 403 899 — 109,147 Net realised gains on financial assets 5,823 231 23 (39 ) — 6,038 Net fair value gains through profit or loss (6,436 ) (255 ) (25 ) (378 ) — (7,094 ) Other income 1,345 86 — 5,919 (890 ) 6,460 Including: inter-segment revenue — — — 890 (890 ) — Segment revenues 466,104 54,774 14,392 6,401 (890 ) 540,781 Benefits, claims and expenses Insurance benefits and claims expenses Life insurance death and other benefits (251,155 ) (1,977 ) (25 ) — — (253,157 ) Accident and health claims and claim adjustment expenses — (21,958 ) (5,311 ) — — (27,269 ) Increase in insurance contract liabilities (109,767 ) (16,578 ) (274 ) — — (126,619 ) Investment contract benefits (5,091 ) (225 ) — — — (5,316 ) Policyholder dividends resulting from participation in profits (15,787 ) (96 ) — — — (15,883 ) Underwriting and policy acquisition costs (38,459 ) (6,906 ) (4,441 ) (2,216 ) — (52,022 ) Finance costs (4,395 ) (174 ) (17 ) (181 ) — (4,767 ) Administrative expenses (22,248 ) (4,373 ) (2,899 ) (2,334 ) — (31,854 ) Other expenses (3,666 ) (256 ) (467 ) (1,360 ) 890 (4,859 ) Including: inter-segment expenses (853 ) (34 ) (3 ) — 890 — Statutory insurance fund contribution (804 ) (138 ) (106 ) — — (1,048 ) Segment benefits, claims and expenses (451,372 ) (52,681 ) (13,540 ) (6,091 ) 890 (522,794 ) Share of profit of associates and joint ventures, net — — — 5,855 — 5,855 Segment results 14,732 2,093 852 6,165 — 23,842 Income tax (4,257 ) Net profit 19,585 Attributable to - Equity holders of the Company 19,127 - Non-controlling 458 Other comprehensive income attributable to equity holders of the Company (23,433 ) (930 ) (91 ) (1,320 ) — (25,774 ) Depreciation and amortisation 1,490 257 196 140 — 2,083 As at 31 December 2016 Life Health Accident Others Elimination Total RMB million Assets Financial assets (including cash and cash equivalents) 2,379,782 92,220 8,906 27,392 — 2,508,300 Others 8,165 6,776 491 119,766 — 135,198 Segment assets 2,387,947 98,996 9,397 147,158 — 2,643,498 Unallocated Property, plant and equipment 30,389 Others 23,064 Total 2,696,951 Liabilities Insurance contracts 1,762,363 77,837 7,786 — — 1,847,986 Investment contracts 183,773 11,933 — — — 195,706 Securities sold under agreements to repurchase 77,649 3,081 302 56 — 81,088 Others 73,277 3,563 338 18,194 — 95,372 Segment liabilities 2,097,062 96,414 8,426 18,250 — 2,220,152 Unallocated Others 169,151 Total 2,389,303 For the year ended 31 December 2015 Life Health Accident Others Elimination Total RMB million Revenues Gross written premiums 308,169 42,041 13,761 — — 363,971 - Term life 3,476 — — — — - Whole life 28,119 — — — — - Endowment 177,871 — — — — - Annuity 98,703 — — — — Net premiums earned 308,081 40,855 13,365 — — 362,301 Investment income 93,819 2,983 344 436 — 97,582 Net realised gains/(losses) on financial assets 31,259 992 115 (69 ) — 32,297 Net fair value gains/(losses) through profit or loss 9,863 313 36 (3 ) — 10,209 Other income 1,074 61 — 5,006 (1,081 ) 5,060 Including: inter-segment revenue — — — 1,081 (1,081 ) — Segment revenues 444,096 45,204 13,860 5,370 (1,081 ) 507,449 Benefits, claims and expenses Insurance benefits and claims expenses Life insurance death and other benefits (219,944 ) (1,737 ) (20 ) — — (221,701 ) Accident and health claims and claim adjustment expenses — (16,858 ) (4,151 ) — — (21,009 ) Increase in insurance contract liabilities (93,668 ) (15,803 ) (38 ) — — (109,509 ) Investment contract benefits (2,076 ) (188 ) — — — (2,264 ) Policyholder dividends resulting from participation in profits (33,328 ) (163 ) — — — (33,491 ) Underwriting and policy acquisition costs (24,921 ) (5,528 ) (3,813 ) (1,307 ) — (35,569 ) Finance costs (4,054 ) (129 ) (15 ) (122 ) — (4,320 ) Administrative expenses (18,293 ) (3,811 ) (3,136 ) (2,218 ) — (27,458 ) Other expenses (6,345 ) (327 ) (840 ) (997 ) 1,081 (7,428 ) Including: inter-segment expenses (1,044 ) (33 ) (4 ) — 1,081 — Statutory insurance fund contribution (546 ) (103 ) (94 ) — — (743 ) Segment benefits, claims and expenses (403,175 ) (44,647 ) (12,107 ) (4,644 ) 1,081 (463,492 ) Share of profit of associates and joint ventures, net — — — 1,974 — 1,974 Segment results 40,921 557 1,753 2,700 — 45,931 Income tax (10,744 ) Net profit 35,187 Attributable to - Equity holders of the Company 34,699 - Non-controlling 488 Other comprehensive income attributable to equity holders of the Company 6,359 202 23 492 — 7,076 Depreciation and amortisation 1,388 263 240 145 — 2,036 |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Summary of Property, Plant and Equipment | Buildings Office equipment, furniture and fixtures Motor vehicles Assets under construction Leasehold improvements Total RMB million Cost As at 1 January 2017 25,362 6,837 1,424 10,548 1,553 45,724 Transfers upon completion 7,073 49 — (7,520 ) 312 (86 ) Additions 70 450 174 15,747 13 16,454 Transfers into investment properties — — — (1,931 ) — (1,931 ) Disposals (48 ) (463 ) (195 ) (148 ) (48 ) (902 ) As at 31 December 2017 32,457 6,873 1,403 16,696 1,830 59,259 Accumulated depreciation As at 1 January 2017 (8,311 ) (4,934 ) (998 ) — (1,068 ) (15,311 ) Charge for the year (953 ) (632 ) (144 ) — (181 ) (1,910 ) Disposals 16 444 187 — 46 693 As at 31 December 2017 (9,248 ) (5,122 ) (955 ) — (1,203 ) (16,528 ) Impairment As at 1 January 2017 (24 ) — — — — (24 ) Charge for the year — — — — — — Transfers into investment properties — — — — — — Disposals — — — — — — As at 31 December 2017 (24 ) — — — — (24 ) Net book value As at 1 January 2017 17,027 1,903 426 10,548 485 30,389 As at 31 December 2017 23,185 1,751 448 16,696 627 42,707 Buildings Office equipment, furniture and fixtures Motor vehicles Assets under construction Leasehold improvements Total RMB million Cost As at 1 January 2016 24,253 6,616 1,387 7,565 1,308 41,129 Transfers upon completion 1,176 — — (1,438 ) 256 (6 ) Additions 37 653 177 4,896 16 5,779 Disposals (104 ) (432 ) (140 ) (475 ) (27 ) (1,178 ) As at 31 December 2016 25,362 6,837 1,424 10,548 1,553 45,724 Accumulated depreciation As at 1 January 2016 (7,446 ) (4,738 ) (1,005 ) — (942 ) (14,131 ) Charge for the year (901 ) (622 ) (130 ) — (148 ) (1,801 ) Disposals 36 426 137 — 22 621 As at 31 December 2016 (8,311 ) (4,934 ) (998 ) — (1,068 ) (15,311 ) Impairment As at 1 January 2016 (24 ) — — — — (24 ) Charge for the year — — — — — — Disposals — — — — — — As at 31 December 2016 (24 ) — — — — (24 ) Net book value As at 1 January 2016 16,783 1,878 382 7,565 366 26,974 As at 31 December 2016 17,027 1,903 426 10,548 485 30,389 |
Investment Properties (Tables)
Investment Properties (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Summary of Investment Properties | Buildings Cost As at 1 January 2017 1,435 Additions 1,931 As at 31 December 2017 3,366 Accumulated depreciation As at 1 January 2017 (244 ) Charge for the year (58 ) As at 31 December 2017 (302 ) Net book value As at 1 January 2017 1,191 As at 31 December 2017 3,064 Fair value As at 1 January 2017 2,201 As at 31 December 2017 4,629 Buildings Cost As at 1 January 2016 1,435 Additions — As at 31 December 2016 1,435 Accumulated depreciation As at 1 January 2016 (198 ) Charge for the year (46 ) As at 31 December 2016 (244 ) Net book value As at 1 January 2016 1,237 As at 31 December 2016 1,191 Fair value As at 1 January 2016 2,238 As at 31 December 2016 2,201 |
Investments in Associates and48
Investments in Associates and Joint Ventures (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Movement of Investments in Associates and Joint Ventures | 2017 2016 As at 1 January 119,766 47,175 Change of the cost 37,110 68,387 Share of profit or loss 7,143 5,855 Declared dividends (1,862 ) (820 ) Other equity movements (685 ) ( ) As at 31 December 161,472 119,766 |
Detailed Information about Movement of Investments in Associates and Joint Ventures | Movement Accounting Cost As at 31 December Change of the cost Share of profit or loss Declared dividends Other equity movements Provision of impairment As at 31 Percentage of equity Accumulated amount of impairment Associates China Guangfa Bank Co., Ltd. (“CGB”) (i) Equity Method 32,162 50,229 — 4,186 — (956 ) — 53,459 43.686 % — Sino-Ocean Group Holding Limited (“Sino-Ocean”) (ii) Equity Method 11,245 12,680 — 1,201 (553 ) 298 — 13,626 29.79 % (1,010 ) China Life Property & Casualty Insurance Company Limited (“CLP&C”) Equity Method 6,000 7,929 — 328 (69 ) (3 ) — 8,185 40.00 % — COFCO Futures Company Limited (“COFCO Futures”) Equity Method 1,339 1,419 — 47 — — — 1,466 35.00 % — Sinopec Sichuan to East China Gas Pipeline Co., Ltd. (“Pipeline Company”) Equity Method 20,000 20,000 — 1,351 (20 ) 16 — 21,347 43.86 % — China United Network Communications Limited (“China Unicom”) (iii) Equity Method 21,829 — 21,829 (Note) (18 ) — (28 ) — 21,783 10.56 % — Others (iv) Equity Method 9,948 10,407 — 567 (776 ) (466 ) — 9,732 — Subtotal 102,523 102,664 21,829 7,662 (1,418 ) (1,139 ) — 129,598 (1,010 ) Joint ventures China Life (Sanya) Health Investments Co., Ltd (“Sanya Company”) Equity Method 306 301 — (10 ) — — — 291 51.00 % — Others (iv) Equity Method 33,349 16,801 15,281 (509 ) (444 ) 454 — 31,583 — Subtotal 33,655 17,102 15,281 (519 ) (444 ) 454 — 31,874 — Total 136,178 119,766 37,110 7,143 (1,862 ) (685 ) — 161,472 (1,010 ) Note: Including the amount originally held by the Company. (i) The Company proposed to subscribe for 1,869,586,305 additional shares offering of CGB at no more than RMB7.01 per share, with a total consideration of RMB13.2 billion. The specific subscription price and quantity will be subject to the adjustment based on the valuation result filed to state-owned assets authority. Upon the completion of transaction, the Company will hold 43.686% of CGB’s ownership interest, unchanged from prior to the transaction. As at 31 December 2017, the transaction has been reviewed and approved by the Board of Directors of the Company, and the relevant parties of the transaction have not entered into the contracts. (ii) The 2016 final dividend of HKD0.12 in cash per ordinary share was approved and declared in the Annual General Meeting of Sino-Ocean on 18 May 2017. The Company received a cash dividend amounting to RMB239 million. The 2017 interim dividend of HKD0.167 in cash per ordinary share was approved and declared by the board of directors of Sino-Ocean on 23 August 2017. The Company received a cash dividend amounting to RMB314 million. Sino-Ocean, the Group’s associate is listed in Hong Kong. On 29 December 2017 (the last trading day in 2017), the stock price of Sino-Ocean was HKD5.39 per share. As at 31 December 2017, an impairment loss of RMB1.01 billion for the investment in Sino-Ocean had been made by the Group. The Group performed an impairment test to this investment on 31 December 2017. The recoverable amount of this investment valued by the Group approximated to the carrying amount and therefore no impairment loss was made for this investment in 2017. (iii) On 16 August 2017, the Company entered into an agreement to acquire 3,177,159,590 non-public (iv) The Group invested in real estate, industrial logistics assets and other industries through these enterprises. (v) Except for a 36-month |
Major Associates and Joint Venture | As at 31 December 2017, the major associates and joint venture of the Group are as follows: Name Country of incorporation Percentage of equity interest held Associates CGB PRC 43.686 % Sino-Ocean Hong Kong, PRC 29.79 % CLP&C PRC 40.00 % COFCO Futures PRC 35.00 % Pipeline Company PRC 43.86 % China Unicom PRC 10.56 % Joint venture Sanya Company PRC 51.00 % As at 31 December 2016, the major associates and joint venture of the Group are as follows: Name Country of incorporation Percentage of equity interest held Associates CGB PRC 43.686 % Sino-Ocean Hong Kong, PRC 29.991 % CLP&C PRC 40.00 % COFCO Futures PRC 35.00 % Pipeline Company PRC 43.86 % Joint venture Sanya Company PRC 51.00 % |
Financial Information of Major Associates and Joint Venture | The following table illustrates the financial information of the Group’s major associates and joint venture as at 31 December 2017 and for the year ended 31 December 2017: CGB RMB Sino-Ocean CLP&C COFCO Futures Pipeline China Sanya Total assets 2,072,915 191,894 79,601 10,651 36,243 573,617 888 Total liabilities 1,959,069 133,166 59,138 8,020 934 266,599 317 Total equity 113,846 58,728 20,463 2,631 35,309 307,018 571 Total equity attributable to equity holders of the associates and joint ventures 113,846 48,502 20,463 2,631 35,309 135,393 571 Total adjustments (i) 2,267 (2,617 ) — — 676 — — Total equity attributable to equity holders of the associates and joint ventures after adjustments 116,113 45,885 20,463 2,631 35,985 135,393 571 Proportion of the Group’s ownership 43.686 % 29.79 % 40.00 % 35.00 % 43.86 % 10.56 % 51.00 % Gross carrying value of the investments 53,459 14,636 8,185 1,466 21,347 21,783 291 Impairment — (1,010 ) — — — — — Net carrying value of the investments 53,459 13,626 8,185 1,466 21,347 21,783 291 Total revenues 50,531 49,236 61,142 399 5,644 274,829 — Net profit/(loss) 10,204 6,259 820 135 3,055 1,684 (20 ) Other comprehensive income (2,332 ) 912 (35 ) — — (230 ) — Total comprehensive income 7,872 7,171 785 135 3,055 1,454 (20 ) The following table illustrates the financial information of the Group’s major associates and joint venture as at 31 December 2016 and for the year ended 31 December 2016: CGB RMB Sino-Ocean CLP&C COFCO Futures Pipeline Sanya Total assets 2,047,592 151,265 72,773 11,287 37,231 799 Total liabilities 1,941,618 101,935 52,950 8,710 5,014 208 Total equity 105,974 49,330 19,823 2,577 32,217 591 Total equity attributable to equity holders of the associates and joint ventures 105,974 43,999 19,823 2,496 32,217 591 Total adjustments (i) 3,163 (1,576 ) — — — — Total equity attributable to equity holders of the associates and joint ventures after adjustments 109,137 42,423 19,823 2,496 32,217 591 Proportion of the Group’s ownership 43.686 % 29.991 % 40.00 % 35.00 % 43.86 % 51.00 % Gross carrying value of the investments 50,229 13,690 7,929 1,419 20,000 301 Impairment — (1,010 ) — — — — Net carrying value of the investments 50,229 12,680 7,929 1,419 20,000 301 Total revenues 55,276 37,748 55,728 375 2,339 1 Net profit/(loss) 9,504 4,446 1,157 66 631 (9 ) Other comprehensive income (1,070 ) (164 ) (526 ) — — — Total comprehensive income 8,434 4,282 631 66 631 (9 ) The Group had no contingent liabilities with the associates and joint ventures as at 31 December 2017 and 31 December 2016. The Group had a capital contribution commitment of RMB20.996 billion with a joint venture as at 31 December 2017 (31 December 2016: RMB2,991 million). The capital contribution commitment amount has been included in the capital commitments in Note 38. (i) Including adjustments for the difference of accounting policies, fair value and others. |
Financial Assets (Tables)
Financial Assets (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Summary of Held-to-Maturity Securities | 9.1 Held-to-maturity As at 31 As at 31 RMB million RMB million Debt securities Government bonds 125,866 97,196 Government agency bonds 241,808 169,001 Corporate bonds 200,869 178,444 Subordinated bonds/debts 148,494 150,089 Total 717,037 594,730 Debt securities Listed in Mainland, PRC 91,631 64,192 Listed in Hong Kong, PRC 136 144 Listed in Singapore 19 20 Unlisted 625,251 530,374 Total 717,037 594,730 |
Contractual Maturity Schedule of Held-to-Maturity Securities | Debt securities - Contractual maturity schedule As at 31 As at 31 Maturing: Within one year 22,496 30,615 After one year but within five years 112,932 71,661 After five years but within ten years 288,496 231,608 After ten years 293,113 260,846 Total 717,037 594,730 |
Summary of Loans | 9.2 Loans As at 31 As at 31 Policy loans 107,957 92,442 Other loans (i) 275,547 134,131 Total 383,504 226,573 (i) Other loans mainly consisted of different types of asset management products. As at 31 December 2017, asset management products of RMB44,835 million (as at 31 December 2016: RMB37,679 million) were owned by the Group, which are issued by CL AMC (including its subsidiaries), a subsidiary of the Company. The total assets of those products were RMB62,015 million (as at 31 December 2016: RMB114,499 million). Meanwhile, the Group also owned asset management products of RMB202,255 million (as at 31 December 2016: RMB77,999 million) issued by other financial institutions. Asset management products are guaranteed by third parties or with pledge, or have the fiscal annual budget income as the source of repayment, or have higher credit rating borrowers. The Group did not guarantee or provide any financing support for other loans, and considers that the carrying value of other loans represents its maximum risk exposure. During the year ended 31 December 2017, the Group’s investment income from the above asset management products was RMB10,150 million (2016: RMB6,820 million), and the related asset management fee received by AMC (including its subsidiaries) for all asset management products it issued was RMB222 million (2016: RMB236 million). |
Summary of Loans Maturity | As at 31 As at 31 Maturing: Within one year 128,856 112,592 After one year but within five years 132,575 70,978 After five years but within ten years 90,556 25,503 After ten years 31,517 17,500 Total 383,504 226,573 |
Summary of Term Deposits Maturity | 9.3 Term deposits As at 31 As at 31 Maturing: Within one year 97,076 185,835 After one year but within five years 349,524 344,790 After five years but within ten years 2,800 7,700 Total 449,400 538,325 |
Summary of Restricted Statutory Deposits Maturity | 9.4 Statutory deposits - restricted As at 31 As at 31 Contractual maturity schedule: Within one year 3,933 1,720 After one year but within five years 2,400 4,613 Total 6,333 6,333 |
Summary of Available-for-Sale Securities | 9.5 Available-for-sale As at 31 As at 31 Available-for-sale Debt securities Government bonds 24,632 21,653 Government agency bonds 157,765 146,310 Corporate bonds 197,133 188,337 Subordinated bonds/debts 13,495 16,708 Wealth management products 430 11,321 Others (i) 61,669 15,429 Subtotal 455,124 399,758 Equity securities Funds 91,344 105,290 Common stocks 129,424 100,131 Preferred stocks 31,651 27,880 Wealth management products 40,327 81,854 Others (i) 42,027 30,673 Subtotal 334,773 345,828 Available-for-sale Equity securities Others (i) 20,837 20,837 Total 810,734 766,423 (i) Other available-for-sale available-for-sale available-for-sale As at 31 As at 31 Debt securities Listed in Mainland, PRC 44,929 37,163 Unlisted 410,195 362,595 Subtotal 455,124 399,758 Equity securities Listed in Mainland, PRC 93,384 91,011 Listed in Hong Kong, PRC 41,507 25,034 Listed overseas 132 232 Unlisted 220,587 250,388 Subtotal 355,610 366,665 Total 810,734 766,423 |
Contractual Maturity Schedule of Available-for-Sale Securities | Debt securities - Contractual maturity schedule As at 31 As at 31 Maturing: Within one year 42,410 33,261 After one year but within five years 153,630 144,443 After five years but within ten years 167,552 113,779 After ten years 91,532 108,275 Total 455,124 399,758 |
Summary of Securities at Fair Value through Profit or Loss | 9.6 Securities at fair value through profit or loss As at 31 As at 31 Debt securities Government bonds 2,081 380 Government agency bonds 9,084 6,762 Corporate bonds 66,915 144,131 Others 4,811 3,133 Subtotal 82,891 154,406 Equity securities Funds 9,892 14,683 Common stocks 44,026 40,035 Subtotal 53,918 54,718 Total 136,809 209,124 Debt securities Listed in Mainland, PRC 26,776 19,512 Listed overseas 292 89 Unlisted 55,823 134,805 Subtotal 82,891 154,406 Equity securities Listed in Mainland, PRC 39,442 37,614 Listed in Hong Kong, PRC 79 74 Listed overseas 7,187 6,284 Unlisted 7,210 10,746 Subtotal 53,918 54,718 Total 136,809 209,124 |
Contractual Maturity Schedule of Securities Purchased under Agreements to Resell | 9.7 Securities purchased under agreements to resell As at 31 As at 31 Maturing: Within 30 days 36,055 43,518 After 30 but within 90 days 130 20 Total 36,185 43,538 |
Summary of Accrued Investment Income | 9.8 Accrued investment income As at 31 As at 31 Bank deposits 24,942 35,763 Debt securities 21,423 17,642 Others 4,276 2,540 Total 50,641 55,945 Current 44,789 44,722 Non-current 5,852 11,223 Total 50,641 55,945 |
Fair Value of Financial Asset50
Fair Value of Financial Assets and Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Carrying Value and Estimated Fair Value of Major Financial Assets and Liabilities, and Investment Contracts | The table below presents the carrying value and estimated fair value of major financial assets and liabilities, and investment contracts: Carrying value Estimated fair value (i) As at 31 December As at 31 As at 31 As at 31 Held-to-maturity 717,037 594,730 692,984 619,152 Loans (iii) 383,504 226,573 375,899 231,005 Term deposits 449,400 538,325 449,400 538,325 Statutory deposits - restricted 6,333 6,333 6,333 6,333 Available-for-sale 789,897 745,586 789,897 745,586 Securities at fair value through profit or loss 136,809 209,124 136,809 209,124 Securities purchased under agreements to resell 36,185 43,538 36,185 43,538 Cash and cash equivalents 48,586 67,046 48,586 67,046 Investment contracts (iii) (232,500 ) (195,706 ) (229,222 ) (192,373 ) Financial liabilities at fair value through profit or loss (2,529 ) (2,031 ) (2,529 ) (2,031 ) Securities sold under agreements to repurchase (87,309 ) (81,088 ) (87,309 ) (81,088 ) Bonds payable (iii) — (37,998 ) — (38,204 ) Interest-bearing loans and borrowings (18,794 ) (16,170 ) (18,794 ) (16,170 ) (i) The estimates and judgements to determine the fair value of financial assets are described in Note 3.2. (ii) The fair value of held-to-maturity held-to-maturity (iii) Investment contracts at fair value through profit or loss have quoted prices in active markets, and therefore, their fair value was classified as Level 1. The fair value of policy loans approximated its carrying value. The fair values of other loans, investment contracts at amortised cost and bonds payable were determined using valuation techniques, with consideration of the present value of expected cash flows arising from contracts using a risk-adjusted discount rate, allowing for the risk-free rate available on the valuation date, credit risk and risk margin associated with the future cash flows. The fair values of other loans and investment contracts at amortised cost, and bonds payable were classified as Level |
Reinsurance Assets (Tables)
Reinsurance Assets (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Summary of Reinsurance Assets | As at 31 December 2017 As at 31 Long-term insurance contracts ceded (Note 14) 2,351 1,783 Due from reinsurance companies 64 123 Ceded unearned premiums (Note 14) 527 125 Claims recoverable from reinsurers (Note 14) 104 103 Total 3,046 2,134 Current 695 351 Non-current 2,351 1,783 Total 3,046 2,134 |
Other Assets (Tables)
Other Assets (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Summary of Other Assets | As at 31 December 2017 As at 31 Investments receivable 15,466 911 Land use rights 6,201 5,855 Automated policy loans 3,050 2,814 Disbursements 2,705 1,718 Due from related parties 987 927 Prepaid to constructors 403 6,571 Others 5,140 3,217 Total 33,952 22,013 Current 25,933 15,665 Non-current 8,019 6,348 Total 33,952 22,013 |
Insurance Contracts (Tables)
Insurance Contracts (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Summary of Components of Expense Assumptions | (iii) Expense assumptions are based on expected unit costs with the consideration of previous expense studies and future trends. Expense assumptions are affected by certain factors such as future inflation and market competition which bring uncertainty to these assumptions. The Group considers risk margin for expense assumptions based on information obtained at the end of each reporting period. Components of expense assumptions include the cost per policy and percentage of premium as follows: Individual Life Group Life RMB Per Policy % of Premium RMB Per Policy % of Premium As at 31 December 2017 45.00 0.85%~0.90% 25.00 0.90 % As at 31 December 2016 37.00~45.00 0.85%~0.90% 15.00 0.90 % |
Summary of Net Liabilities of Insurance Contracts | (b) Net liabilities of insurance contracts As at 31 As at 31 RMB million RMB million Gross Long-term insurance contracts 1,999,066 1,825,956 Short-term insurance contracts - Claims and claim adjustment expenses 13,778 11,538 - Unearned premiums 12,289 10,492 Total, gross 2,025,133 1,847,986 Recoverable from reinsurers Long-term insurance contracts (Note 12) (2,351 ) (1,783 ) Short-term insurance contracts - Claims and claim adjustment expenses (Note 12) (104 ) (103 ) - Unearned premiums (Note 12) (527 ) (125 ) Total, ceded (2,982 ) (2,011 ) Net Long-term insurance contracts 1,996,715 1,824,173 Short-term insurance contracts - Claims and claim adjustment expenses 13,674 11,435 - Unearned premiums 11,762 10,367 Total, net 2,022,151 1,845,975 |
Summary of Movements in Liabilities of Short-Term Insurance Contracts | The table below presents movements in claims and claim adjustment expense reserve: 2017 2016 RMB million RMB million Notified claims 2,085 1,748 Incurred but not reported 9,453 7,520 Total as at 1 January - Gross 11,538 9,268 Cash paid for claims settled - Cash paid for current year claims (21,404 ) (16,364 ) - Cash paid for prior year claims (10,460 ) (8,877 ) Claims incurred - Claims arising in current year 33,926 27,120 - Claims arising in prior years 178 391 Total as at 31 December - Gross 13,778 11,538 Notified claims 2,672 2,085 Incurred but not reported 11,106 9,453 Total as at 31 December - Gross 13,778 11,538 |
Summary of Unearned Premium Reserves | The table below presents movements in unearned premium reserves: 2017 2016 RMB million RMB million Gross Ceded Net Gross Ceded Net As at 1 January 10,492 (125 ) 10,367 7,944 (87 ) 7,857 Increase 12,289 (527 ) 11,762 10,492 (125 ) 10,367 Release (10,492 ) 125 (10,367 ) (7,944 ) 87 (7,857 ) As at 31 December 12,289 (527 ) 11,762 10,492 (125 ) 10,367 |
Summary of Movements in Liabilities of Long-Term Insurance Contracts | The table below presents movements in the liabilities of long-term insurance contracts: 2017 2016 As at 1 January 1,825,956 1,698,773 Premiums 464,898 390,438 Release of liabilities (i) (379,262 ) (353,048 ) Accretion of interest 78,232 73,644 Change in assumptions - Change in discount rates 6,599 14,262 - Change in other assumptions (ii) 2,424 474 Other movements 219 1,413 As at 31 December 1,999,066 1,825,956 (i) The release of liabilities mainly consists of release due to death or other termination and related expenses, release of residual margin and change of reserves for claims and claim adjustment expenses. (ii) For the year ended 31 December 2017, the change in other assumptions was mainly caused by the change in morbidity rate assumptions of certain products, which increased insurance contract liabilities by RMB1,718 million. This change reflected the Group’s most recent experience and future expectations about the morbidity rates as at the reporting date. Changes in assumptions other than morbidity rates increased insurance contract liabilities by RMB706 million. For the year ended 31 December 2016, the change in other assumptions was mainly caused by the change in morbidity rate assumptions of certain products, which increased insurance contract liabilities by RMB464 million. This change reflected the Group’s most recent experience and future expectations about the morbidity rates as at the reporting date. Changes in assumptions other than morbidity rates increased insurance contract liabilities by RMB10 million |
Investment returns of asset portfolio backing [member] | |
Summary of Assumed Discount Rates with Risk Margin | The assumed discount rates with risk margin are as follows: Discount rate assumptions As at 31 December 2017 4.85% As at 31 December 2016 4.45%~4.85% |
Yield curve of reserve computation benchmark for insurance contracts [member] | |
Summary of Assumed Discount Rates with Risk Margin | The assumed spot discount rates with risk margin for the past two years are as follows: Discount rate assumptions As at 31 December 2017 3.31%~4.86% As at 31 December 2016 3.23%~4.68% |
Investment Contracts (Tables)
Investment Contracts (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Summary of Investment Contracts | As at 31 As at 31 Investment contracts with DPF at amortised cost 57,153 53,688 Investment contracts without DPF - At amortised cost 175,335 142,006 - At fair value through profit or loss 12 12 Total 232,500 195,706 |
Movements of Investment Contracts with DPF | The table below presents movements of investment contracts with DPF: 2017 2016 As at 1 January 53,688 50,295 Deposits received 4,829 4,680 Deposits withdrawn, payments on death and other benefits (2,510 ) (2,357 ) Policy fees deducted from account balances (37 ) (36 ) Interest credited 1,183 1,106 As at 31 December 57,153 53,688 |
Interest-Bearing Loans and Bo55
Interest-Bearing Loans and Borrowings (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Summary of Interest Bearing Loans and Borrowings | Maturity date Interest rate As at 31 As at 31 Guaranteed loans 17 June 2019 3.54% 2,413 2,339 Guaranteed loans 27 September 2019 2.30% 6,338 6,579 Guaranteed loans 30 September 2019 2.40% 6,142 6,521 Guaranteed loans 9 June 2017 1.50% — 731 Guaranteed loans 11 January 2018 1.495% 780 — Credit loans 6 December 2020 EURIBOR + 3.8% (i) 3,121 — Total 18,794 16,170 (i) 3.8% when EURIBOR is negative. |
Bonds Payable (Tables)
Bonds Payable (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Summary of Subordinated Bonds | Par value Issue date Maturity date Interest rate p.a. As at 31 As at 31 29 June 2012 29 June 2022 4.70 % — 28,000 5 November 2012 5 November 2022 4.58 % — 10,000 Total — 38,000 |
Securities Sold under Agreeme57
Securities Sold under Agreements to Repurchase (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Summary of Securities Sold under Agreements to Repurchase | As at 31 As at 31 Interbank market 75,002 65,479 Stock exchange market 12,307 15,609 Total 87,309 81,088 Maturing: Within 30 days 87,309 81,088 Total 87,309 81,088 |
Other Liabilities (Tables)
Other Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Summary of Other Liabilities | As at 31 As at 31 Salary and welfare payable 10,129 7,234 Interest payable to policyholders 9,614 8,006 Payable to third party holders of consolidated trust schemes and debt investment schemes 6,252 5,488 Brokerage and commission payable 5,659 3,713 Payable to constructors 2,668 1,032 Agent deposits 1,906 1,611 Stock appreciation rights (Note 30) 833 654 Tax payable 689 657 Interest payable of debt instruments 127 813 Others 9,553 7,628 Total 47,430 36,836 Current 47,430 36,836 Non-current — — Total 47,430 36,836 |
Investment Income (Tables)
Investment Income (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Summary of Investment Income | For the year ended 31 December 2017 2016 2015 RMB million RMB million RMB million Debt securities - held-to-maturity 30,669 24,854 24,541 - available-for-sale 19,608 17,499 18,526 - at fair value through profit or loss 3,618 5,683 1,382 Equity securities - available-for-sale 27,019 19,744 8,950 - at fair value through profit or loss 920 527 326 Bank deposits 23,827 27,851 32,285 Loans 16,320 12,018 11,115 Securities purchased under agreements to resell 746 971 368 Others — — 89 Total 122,727 109,147 97,582 |
Net Realised Gains on Financi60
Net Realised Gains on Financial Assets (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Summary of Net Realised Gains on Financial Assets | For the year ended 31 December 2017 2016 2015 RMB million RMB million RMB million Debt securities Realised gains (9 ) 189 (4 ) Impairment (114 ) (143 ) — Subtotal (123 ) 46 (4 ) Equity securities Realised gains 2,808 8,505 32,622 Impairment (2,643 ) (2,513 ) (321 ) Subtotal 165 5,992 32,301 Total 42 6,038 32,297 |
Net Fair Value Gains through 61
Net Fair Value Gains through Profit or Loss (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Summary of Net Fair Value Gains through Profit or Loss | For the year ended 31 December 2017 2016 2015 Debt securities (1,542 ) (918 ) 766 Equity securities 8,179 (6,319 ) 9,324 Stock appreciation rights (179 ) 191 180 Financial liabilities at fair value through profit or loss (275 ) (48 ) (61 ) Total 6,183 (7,094) 10,209 |
Insurance Benefits and Claims62
Insurance Benefits and Claims Expenses (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Summary of Insurance Benefits and Claims Expenses | Gross Ceded Net For the year ended 31 December 2017 Life insurance death and other benefits 260,853 (1,145 ) 259,708 Accident and health claims and claim adjustment expenses 34,101 (283 ) 33,818 Increase in insurance contract liabilities 173,085 (568 ) 172,517 Total 468,039 (1,996 ) 466,043 For the year ended 31 December 2016 Life insurance death and other benefits 253,824 (667 ) 253,157 Accident and health claims and claim adjustment expenses 27,519 (250 ) 27,269 Increase in insurance contract liabilities 127,156 (537 ) 126,619 Total 408,499 (1,454 ) 407,045 For the year ended 31 December 2015 Life insurance death and other benefits 221,949 (248 ) 221,701 Accident and health claims and claim adjustment expenses 21,166 (157 ) 21,009 Increase in insurance contract liabilities 109,847 (338 ) 109,509 Total 352,962 (743 ) 352,219 |
Finance Costs (Tables)
Finance Costs (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Summary of Finance Costs | For the year ended 31 December 2017 2016 2015 Interest expenses for bonds payable 1,033 3,126 3,430 Interest expenses for securities sold under agreements to repurchase 3,144 1,460 784 Interest expenses for interest-bearing loans and borrowings 424 181 106 Total 4,601 4,767 4,320 |
Profit before Income Tax (Table
Profit before Income Tax (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Details of Profit before Income Tax | Profit before income tax is stated after charging/(crediting) the following: For the year ended 31 December 2017 2016 2015 Employee salaries and welfare costs 18,741 15,955 13,045 Housing benefits 933 838 824 Contribution to the defined contribution pension plan 2,357 1,798 1,678 Depreciation and amortisation 2,240 2,083 2,036 Foreign exchange (gains)/losses (52 ) (582 ) (812 ) Remuneration in respect of audit services provided by auditors 59 58 60 |
Taxation (Tables)
Taxation (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Summary of Taxation Charge | (a) The amount of taxation charged to net profit represents: For the year ended 31 December 2017 2016 2015 Current taxation - Enterprise income tax 9,457 5,200 15,408 Deferred taxation (538 ) (943 ) (4,664 ) Total tax charges 8,919 4,257 10,744 |
Summary of Reconciliation Between Group's Effective Tax Rate and the Statutory Tax Rate | (b) The reconciliation between the Group’s effective tax rate and the statutory tax rate of 25% in the PRC (2016: 25%, 2015: 25%,) is as follows: For the year ended 31 December 2017 2016 2015 Profit before income tax 41,671 23,842 45,931 Tax computed at the statutory tax rate 10,418 5,961 11,483 Non-taxable (7,847 ) (6,080 ) (3,324 ) Expenses not deductible for tax purposes (i) 6,105 4,259 2,655 Unused tax losses 6 58 1 Tax losses utilised from previous periods (15 ) (49 ) (41 ) Others 252 108 (30 ) Income tax at the effective tax rate 8,919 4,257 10,744 (i) Non-taxable |
Summary of Movements in Deferred Tax Assets and Liabilities | (c) As at 31 December 2017 and 2016, deferred income tax was calculated in full on temporary differences under the liability method using the principal tax rate of 25%. The movements in deferred income tax assets and liabilities during the year are as follows: Deferred tax assets/(liabilities) Insurance Investments Others Total (i) (ii) (iii) As at 1 January 2016 (1,451 ) (16,686 ) 1,184 (16,953 ) (Charged)/credited to net profit (614 ) 1,126 431 943 (Charged)/credited to other comprehensive income - Available-for-sale — 12,639 — 12,639 - Portion of fair value changes on available-for-sale securities attributable to participating policyholders (4,343 ) — — (4,343 ) - Others — (54 ) — (54 ) As at 31 December 2016 (6,408 ) (2,975 ) 1,615 (7,768 ) As at 1 January 2017 (6,408 ) (2,975 ) 1,615 (7,768 ) (Charged)/credited to net profit 1,072 (1,279 ) 745 538 (Charged)/credited to other comprehensive income - Available-for-sale — 3,759 — 3,759 - Portion of fair value changes on available-for-sale securities attributable to participating policyholders (1,401 ) — — (1,401 ) - Others — 1 — 1 As at 31 December 2017 (6,737 ) (494 ) 2,360 (4,871 ) (i) The deferred tax liabilities arising from the insurance category are mainly related to the change of long-term insurance contract liabilities at 31 December 2008 as a result of the first time adoption of IFRSs in 2009 and the temporary differences of short-term insurance contract liabilities and policyholder dividends payable. (ii) The deferred tax arising from the investments category is mainly related to the temporary differences of unrealised gains/(losses) on available-for-sale securities and securities at fair value through profit or loss, and others. (iii) The deferred tax arising from the others category is mainly related to the temporary differences of employee salaries and welfare costs payable. |
Summary of Deferred Tax Assets and Deferred Tax Liabilities | (d) The analysis of deferred tax assets and deferred tax liabilities is as follows: As at 31 As at 31 Deferred tax assets: - deferred tax assets to be recovered after 12 months 1,980 3,024 - deferred tax assets to be recovered within 12 months 4,493 3,626 Subtotal 6,473 6,650 Deferred tax liabilities: - deferred tax liabilities to be settled after 12 months (9,131 ) (13,037 ) - deferred tax liabilities to be settled within 12 months (2,213 ) (1,381 ) Subtotal (11,344 ) (14,418 ) Net deferred tax liabilities (4,871 ) (7,768 ) |
Significant Related Party Tra66
Significant Related Party Transactions (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Summary of Information of Parent Company | Information of the parent company is as follows: Name Location of Principal business Relationship Nature of Legal CLIC Beijing, China Insurance services including receipt of premiums and payment of benefits in respect of the in-force Immediate and ultimate holding company State-owned Yang Mingsheng |
Summary of Names of Significant Related Parties and Nature of Relationship with Company | (d) Other related parties Significant related parties Relationship with the Company China Life Real Estate Co., Limited (“CLRE”) Under common control of CLIC China Life Insurance (Overseas) Company Limited (“CL Overseas”) Under common control of CLIC China Life Investment Holding Company Limited (“CLI”) Under common control of CLIC China Life Ecommerce Company Limited (“CL Ecommerce”) Under common control of CLIC China Life Enterprise Annuity Fund (“EAP”) A pension fund jointly set up by the Company and others |
Summary of Registered Capital of Related Parties with Control Relationship and Changes | Name of related party As at 31 Increase Decrease As at 31 CLIC RMB4,600 — — RMB4,600 AMC RMB4,000 — — RMB4,000 China Life Pension Company Limited (“Pension Company”) RMB3,400 — — RMB3,400 China Life (Suzhou) Pension and Retirement Investment Company Limited (“Suzhou Pension Company”) (i) RMB1,060 RMB931 — RMB1,991 CL AMP RMB588 — — RMB588 CL Wealth RMB200 — — RMB200 Shanghai Rui Chong Investment Co., Limited (“Rui Chong Company”) (ii) RMB6,800 — — RMB6,800 China Life (Beijing) Health Management Co., Limited (“CL Health”) RMB1,730 — — RMB1,730 China Life Franklin (Shenzhen) Equity Investment Fund Management Co., Limited (“Franklin Shenzhen Company”) USD2 — — USD2 (i) In March 2017, the Company completed a RMB260 million capital contribution to Suzhou Pension Company, after which the paid-in (ii) In March and July 2017 respectively, the Company completed RMB370 million and RMB231 million capital contributions to Rui Chong Company, after which the paid-in (iii) For those subsidiaries which were not set up or invested in Mainland China or incorporated as partnership, the legal definition of registered capital is not applicable for them. |
Summary of Percentages of Holding of Related Parties with Control Relationship and Changes | (f) Percentages of holding of related parties with control relationship and changes during the year Shareholder As at 31 December 2016 As at 31 December 2017 Amount Percentage of holding Increase Decrease Amount Percentage of holding CLIC RMB19,324 68.37% — — RMB19,324 68.37% Subsidiaries As at 31 December 2016 As at 31 December 2017 Amount Percentage of holding Increase Decrease Amount Percentage of holding AMC RMB1,680 60.00% directly — — RMB1,680 60.00% directly Pension Company RMB2,746 74.27% directly and indirectly — — RMB2,746 74.27% directly and indirectly China Life Franklin Asset Management Company Limited (“AMC HK”) HKD130 50.00% indirectly — — HKD130 50.00% indirectly Suzhou Pension Company RMB1,326 100.00% directly RMB260 — RMB1,586 100.00% directly CL AMP RMB500 85.03% indirectly — — RMB500 85.03% indirectly CL Wealth RMB200 100.00% indirectly — — RMB200 100.00% indirectly Golden Phoenix Tree Limited — 100.00% directly — — — 100.00% directly King Phoenix Tree Limited — 100.00% indirectly — — — 100.00% indirectly Rui Chong Company RMB6,199 100.00% directly RMB601 — RMB6,800 100.00% directly New Aldgate Limited RMB1,167 100.00% directly — — RMB1,167 100.00% directly Glorious Fortune Forever Limited — 100.00% directly — — — 100.00% directly CL Hotel Investor, L.P. — 100.00% directly — — — 100.00% directly Golden Bamboo Limited RMB1,734 100.00% directly — — RMB1,734 100.00% directly Sunny Bamboo Limited RMB1,632 100.00% directly — — RMB1,632 100.00% directly Fortune Bamboo Limited RMB2,176 100.00% directly — — RMB2,176 100.00% directly China Century Core Fund Limited (“Century Core Fund”) USD894 100.00% indirectly USD2 — USD896 100.00% indirectly CL Health RMB1,730 100.00% directly — — RMB1,730 100.00% directly Franklin Shenzhen Company USD0.6 100.00% indirectly — — USD0.6 100.00% indirectly Subsidiaries (continued) As at 31 December 2016 As at 31 December 2017 Amount Percentage of Increase Decrease Amount Percentage of Guo Yang Guo Sheng(i) — — RMB3,250 — RMB3,250 99.997% directly New Capital Wisdom Limited (i) — — — — — 100.00% indirectly New Fortune Wisdom Limited (i) — — — — — 100.00% indirectly Wisdom Forever Limited Partnership (i) — — USD447 — USD447 100.00% indirectly Shanghai Yuan Shu Yuan Jiu Investment Management Partnership (Limited Partnership) (“Yuan Shu Yuan Jiu”) (i) — — RMB606 — RMB606 99.98% directly Shanghai Yuan Shu Yuan Pin Investment Management Partnership (Limited Partnership) (“Yuan Shu Yuan Pin”) (i) — — RMB606 — RMB606 99.98% directly Shanghai Wansheng Industry Partnership (Limited Partnership) (“Wan Sheng”) (i) — — RMB3,900 — RMB3,900 99.998% directly Ningbo Meishan Bonded Port Area Bai Ning Investment Partnership (“Bai Ning”) (i) — — RMB1,680 — RMB1,680 99.98% directly (i) Guo Yang Guo Sheng, New Capital Wisdom Limited, New Fortune Wisdom Limited, Wisdom Forever Limited Partnership, Yuan Shu Yuan Jiu, Yuan Shu Yuan Pin, Wan Sheng, and Bai Ning are new subsidiaries set up or invested by the Company in 2017. |
Summary of Significant Transactions Carried Out by the Group with Its Significant Related Parties | The following table summarises significant transactions carried out by the Group with its significant related parties: For the year ended 31 December 2017 2016 2015 Notes RMB million RMB million RMB million Transactions with CLIC and its subsidiaries Policy management fee received from CLIC (i) (viii) 740 869 950 Asset management fee received from CLIC (ii.a) 107 124 133 Payment of dividends from the Company to CLIC 4,638 8,116 7,729 Distribution of profits from AMC to CLIC 125 143 106 Asset management fee received from CL Overseas (ii.b) 119 74 39 Asset management fee received from CLP&C (ii.c) 14 36 26 Payment of insurance premium to CLP&C 44 49 51 Claim and other payments received from CLP&C 16 18 17 Agency fee received from CLP&C (iii) (viii) 3,030 2,337 1,464 Payment of an agency fee to CLP&C (iii) 1 2 4 Rental and a service fee received from CLP&C 59 43 49 Cash dividend from CLP&C (Note 8) 69 135 — Payment of rental, project fee and other expenses to CLRE 50 44 38 Property leasing expenses charged by CLI (iv) 78 81 84 Asset management fee received from CLI 9 13 17 Payment to CLI for purchase of fixed assets — 141 97 Payment of an asset management fee to CLI (ii.d) (viii) 396 298 167 Property leasing income received from CLI 37 38 38 Payment of a business management service fee to CL Ecommerce (vi) 64 56 29 Transactions between CGB and the Group Interest on deposits received from CGB 1,382 685 524 Commission expenses charged by CGB (v) 92 42 15 Transactions between Sino-Ocean and the Group Cash dividend from Sino-Ocean (Note 8) 553 248 422 Interest payment of corporate bonds received from Sino-Ocean 27 38 34 Project management fee paid to Sino-Ocean 55 60 59 Transactions between EAP and the Group Contribution to EAP 700 337 303 Transaction between other associates and joint ventures and the Group Distribution of profits from other associates and joint ventures to the Group 1,240 437 — Transactions between AMC and the Company Payment of an asset management fee to AMC (ii.e) (viii) 1,154 1,081 1,020 Distribution of profits from AMC 187 215 158 Transactions between Pension Company and the Company Rental received from Pension Company 43 34 24 Agency fee received from Pension Company for entrusted sales of annuity funds (vii) 42 31 20 Marketing fee income for promotion of annuity business from Pension Company 10 14 14 Transactions between AMC HK and the Company Payment of an investment management fee to AMC HK (ii.f) 14 14 14 Transactions between Suzhou Pension Company and the Company Capital contribution to Suzhou Pension Company 260 526 500 Transactions between Rui Chong Company and the Company Capital contribution to Rui Chong Company 601 — — Transaction between other associates and joint ventures and the Company Distribution of profits from other associates and joint ventures to the Company 203 134 — Transactions between the consolidated structured entities/other subsidiaries and the Company Distribution of profits from the consolidated structured entities to the Company 3,944 443 187 Distribution of profits from the Group’s other subsidiaries to the Company 70 — — Notes: (i) On 29 December 2014, the Company and CLIC signed a renewable insurance agency agreement, effective from 1 January 2015 to 31 December 2017. The agreement was subject to an automatic three-year renewal if no objections were raised by both parties. The Company performs its duties of insurance agents in accordance with the agreement, but does not acquire any rights and profits or assume any obligations, losses and risks as an insurer of the non-transferrable (ii.a) On 30 December 2015, CLIC renewed an asset management agreement with AMC, entrusting AMC to manage and make investments for its insurance funds. The agreement is effective from 1 January 2016 to 31 December 2018. In accordance with the agreement, CLIC paid AMC a basic service fee at the rate of 0.05% per annum for the management of insurance funds. The service fee was calculated and payable on a monthly basis, by multiplying the average book value of the assets under management (after deducting the funds obtained from and interests accrued for repurchase transactions, deducting debt and equity investment schemes, project asset-backed schemes, the principal and interests of customised non-standard (ii.b) On 28 June 2017, CL Overseas renewed an investment management agreement with AMC HK, effective from 1 January 2016 to 31 December 2016. In accordance with the agreement, CL Overseas entrusted AMC HK to manage and make investments for its insurance funds and paid AMC HK a basic investment management fee and an investment performance fee. The basic investment management fee was accrued by multiplying the weighted average total funds by the basic fee rate. The investment performance fee was calculated based on the difference between the total actual annual yield and predetermined net realised yield. The basic investment management fee was calculated and payable on a semi-annual basis. The investment performance fee was payable according to the total actual annual yield at the end of each year. On 15 December 2017, CL Overseas renewed the agreement with AMC HK, effective to the next year when the contract is signed and sealed. The terms are applied in 2017. The agreement was subject to an automatic one-year (ii.c) In 2015, CLP&C signed an agreement for the management of insurance funds with AMC, entrusting AMC to manage and make investments for its insurance funds. The agreement was effective from 1 January 2015 to 31 December 2016. The agreement was subject to an automatic one-year (ii.d) On 3 February 2016, the Company and CLI renewed a management agreement of alternative investment of insurance funds, which was effective from 1 January 2016 to 30 June 2017. In accordance with the agreement, the Company entrusted CLI to engage in specialised investment, operation and management of equities, real estate and related financial products, and securitised financial products under the instructions of the annual guidelines. The Company paid CLI an asset management fee and a performance related bonus based on the agreement. For fixed-income projects, the management fee rate was 0.05%-0.6% non-fixed-income non-fixed-income non-fixed-income (ii.e) On 29 December 2015, the Company and AMC renewed a renewable agreement for the management of insurance funds, effective from 1 January 2016 to 31 December 2018. In accordance with the agreement, the Company entrusted AMC to manage and make investments for its insurance funds and paid AMC a fixed service fee and a variable service fee. The fixed annual service fee was calculated and payable on a monthly basis, by multiplying the average net value of the assets under management by the rate of 0.05%; the variable service fee was payable annually, based on the results of performance evaluation, at 20% of the fixed service fee per annum. The service fees were determined by the Company and AMC based on an analysis of the cost of service, market practice and the size and composition of the asset pool to be managed. Asset management fees charged to the Company by AMC are eliminated in the consolidated statement of comprehensive income. (ii.f) On 18 September 2016, the Company and AMC HK renewed the offshore investment management service agreement, which is effective from 19 September 2016 to 31 December 2018. In accordance with the agreement, the Company entrusted AMC HK to manage and make investments for its insurance funds and paid AMC HK an asset management fee. The asset management fee was calculated at a fixed rate of 0.40% of the portfolio asset value and a performance bonus capped at 0.15% of the portfolio asset value for assets managed on a discretionary basis. Management fees on assets managed on a non-discretionary (iii) On 8 March 2015, the Company and CLP&C signed a new 2-year one-year On 8 March 2015, the Company and CLP&C signed a new 2-year one-year (iv) On 31 December 2014, the Company signed a property leasing agreement with CLI, effective till 31 December 2017, pursuant to which CLI leased to the Company certain owned buildings. Annual rental payable by the Company to CLI in relation to the CLI properties is determined either by reference to the market rent, or, the costs incurred by CLI in holding and maintaining the properties, plus a margin of approximately 5%. The rental was paid on a semi-annual basis, and each payment was equal to one half of the total annual rental. (v) On 12 August 2016, the Company and CGB renewed an insurance agency agreement to distribute insurance products. All individual insurance products suitable for distribution through bancassurance channels are included in the agreement. CGB provides agency services, including the sale of insurance products, and collecting premiums and paying benefits. The Company paid the agency commission by multiplying the net amount of total premiums received from the sale of each category individual insurance products after deducting the withdrawn policy premiums in the hesitation period, by the responding fixed commission rate. The commission rates for various insurance products sold by CGB are agreed based on arm’s length transactions. The commissions are payable on a monthly basis. The agreement is effective for two years starting from the signing date and is subject to an automatic one-year On 23 March 2016, the Company and CGB signed another insurance agency agreement to distribute group insurance products. The group insurance products suitable for distribution through bancassurance channels are included in the agreement. CGB provides agency services, including the sale of group insurance products, collecting premiums and paying benefits, and so on. The Company paid the agency commission by multiplying the net amount of total premiums received from the sale of each category group insurance product after deducting the withdrawn policy premiums in the hesitation period, by the responding fixed commission rate. The commission rates for various insurance products sold by CGB are agreed by referring to comparable quoted market prices of independent third-parties. The commissions are payable on a monthly basis. The agreement is effective on 1 January 2016 for two years and is subject to an automatic one-year (vi) On 26 October 2016, the Company and CL Ecommerce renewed a one year agreement for managing the regional telemarketing centre, which was effective from 1 January 2016 and expired on 31 December 2016. The agreement is subject to an automatic one-year (vii) On 28 November 2016, the Company and Pension Company signed a new agency agreement for the distribution and customer service of enterprise annuity funds, the pension management business and the occupational pension management business. The agreement was effective from 28 November 2016 and expired on 31 December 2017. The agreement is subject to an automatic one-year (viii) These transactions constitute continuing connected transactions which are subject to reporting and announcement requirements but are exempt from independent shareholders’ approval requirements under Chapter 14A of the Listing Rules. The Company has complied with the disclosure requirements in accordance with Chapter 14A of the Listing Rules. |
Summary of Balances Due From and to Significant Related Parties | The following table summarises the balances due from and to significant related parties. The balances are non-interest-bearing, As at 31 December 2017 As at 31 December 2016 RMB million RMB million The resulting balances due from and to significant related parties of the Group Amount due from CLIC 420 529 Amount due from CL Overseas 122 47 Amount due from CLP&C 428 332 Amount due to CLP&C (6 ) — Amount due from CLI 9 12 Amount due to CLI (265 ) (206 ) Amount due from CLRE 2 2 Amount deposited with CGB 33,385 26,342 Interbank certificates of deposits of CGB 199 — Wealth management products of CGB 330 — Amount due from CGB 1,041 365 Amount due to CGB (31 ) (17 ) Corporate bonds of Sino-Ocean 592 643 Amount due from Sino-Ocean 8 8 Amount due from CL Ecommerce 6 5 Amount due to CL Ecommerce (78 ) (66 ) The resulting balances due from and to subsidiaries of the Company Amount due from Pension Company 57 47 Amount due to Pension Company (19 ) (17 ) Amount due to AMC (207 ) (604 ) Amount due to AMC HK (4 ) (8 ) |
Key Management Personnel Compensation | (i) Key management personnel compensation For the year ended 31 December 2017 2016 2015 RMB million RMB million RMB million Salaries and other benefits 18 28 25 |
Share Capital, Other Equity I67
Share Capital, Other Equity Instruments and Reserves (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Summary of Share Capital | As at 31 December 2017 As at 31 December 2016 No. of shares RMB million No. of shares RMB million Registered, authorised, issued and fully paid Ordinary shares of RMB1 each 28,264,705,000 28,265 28,264,705,000 28,265 As at 31 December 2017, the Company’s share capital was as follows: As at 31 December 2017 No. of shares RMB million Owned by CLIC (i) 19,323,530,000 19,324 Owned by other equity holders 8,941,175,000 8,941 Including: Domestic listed 1,500,000,000 1,500 Overseas listed (ii) 7,441,175,000 7,441 Total 28,264,705,000 28,265 (i) All shares owned by CLIC are domestic listed shares. (ii) Overseas listed shares are traded on the Stock Exchange of Hong Kong Limited and the New York Stock Exchange. |
Summary of Other Equity Instruments Basic Information | (a) Basic information As at 31 December 2016 Increase Decrease As at 31 RMB million RMB RMB RMB million Core Tier 2 Capital Securities 7,791 — — 7,791 Total 7,791 — — 7,791 |
Summary of Equity Attributable to Equity Holders | (b) Equity attributable to equity holders As at 31 December 2017 As at 31 December 2016 RMB million RMB million Equity attributable to equity holders of the Company 320,933 303,621 Equity attributable to ordinary equity holders of the Company 313,142 295,830 Equity attributable to other equity instruments holders of the Company 7,791 7,791 Equity attributable to non-controlling 4,377 4,027 Equity attributable to ordinary equity holders of non-controlling 4,377 4,027 |
Summary of Reserves | Share Other reserves Unrealised (losses) from available-for -sale Share of other comprehensive Statutory Discretionary General Exchange Total RMB million RMB million RMB million RMB million RMB million RMB million RMB million RMB million RMB million (a) (b) (c) As at 1 January 2015 53,860 817 23,254 (184 ) 24,801 21,627 21,747 (3 ) 145,919 Other comprehensive income for the year — — 6,709 364 — — — 3 7,076 Appropriation to reserves — — — — 3,438 3,160 3,492 — 10,090 Others — 296 — — — — — — 296 As at 31 December 2015 53,860 1,113 29,963 180 28,239 24,787 25,239 — 163,381 As at 1 January 2016 53,860 1,113 29,963 180 28,239 24,787 25,239 — 163,381 Other comprehensive income for the year — — (24,863 ) (918 ) — — — 7 (25,774 ) Appropriation to reserves — — — — 1,927 3,438 2,002 — 7,367 Others — 33 — — — — — — 33 As at 31 December 2016 53,860 1,146 5,100 (738 ) 30,166 28,225 27,241 7 145,007 As at 1 January 2017 53,860 1,146 5,100 (738 ) 30,166 28,225 27,241 7 145,007 Other comprehensive income for the year — — (7,086 ) 21 — — — (847 ) (7,912 ) Appropriation to reserves — — — — 3,218 1,927 3,300 — 8,445 Others — 135 — — — — — — 135 As at 31 December 2017 53,860 1,281 (1,986 ) (717 ) 33,384 30,152 30,541 (840 ) 145,675 (a) Pursuant to the relevant PRC laws, the Company appropriated 10% of its net profit under Chinese Accounting Standards (“CAS”) to statutory reserve which amounted to RMB3,218 million for the year ended 31 December 2017 (2016: RMB1,927 million, 2015: RMB3,438 million). (b) Approved at the Annual General Meeting in May 2017, the Company appropriated RMB1,927 million to the discretionary reserve fund for the year ended 31 December 2016 based on net profit under CAS (2016: RMB3,438 million, 2015: RMB3,160 million). (c) Pursuant to “ Financial Standards of Financial Enterprises—Implementation Guide |
Notes to the Consolidated Sta68
Notes to the Consolidated Statement of Cash Flows (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Summary of Changes in Liabilities Arising From Financing Activities | Changes in liabilities arising from financing activities Interest- Bonds Securities Other liability- Other liability -interest Total At 1 January 2017 16,170 37,998 81,088 5,488 813 141,557 Changes from financing cash flows 3,121 (38,000 ) 6,228 764 (5,671 ) (33,558 ) Foreign exchange movement (497 ) — — — — (497 ) Changes arising from losing control of consolidated structured entities — — (7 ) — — (7 ) Interest expense — 2 — — 4,985 4,987 At 31 December 2017 18,794 — 87,309 6,252 127 112,482 |
Provisions and Contingencies (T
Provisions and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Summary of Significant Contingent Liabilities | The following is a summary of the significant contingent liabilities: As at 31 As at 31 Pending lawsuits 493 588 |
Commitments (Tables)
Commitments (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Capital Commitments Relating to Property Development Projects and Investments | The Group had the following capital commitments relating to property development projects and investments: As at 31 As at 31 Contracted, but not provided for Investments 86,582 39,616 Property, plant and equipment 5,202 5,462 Others — 1 Total 91,784 45,079 |
Future Minimum Lease Payments under Non-cancellable Operating Leases | The future minimum lease payments under non-cancellable As at 31 As at 31 Not later than one year 784 632 Later than one year but not later than five years 1,101 764 Later than five years 44 27 Total 1,929 1,423 |
Future Minimum Rentals Receivable under Non-cancellable Operating Leases | The future minimum rentals receivable under non-cancellable As at 31 As at 31 Not later than one year 254 186 Later than one year but not later than five years 411 267 Later than five years 76 10 Total 741 463 |
Summary of Significant Accoun71
Summary of Significant Accounting Policies - Estimated Useful Lives for Depreciation Purposes of Property, Plant and Equipment (Detail) | 12 Months Ended |
Dec. 31, 2017 | |
Buildings [member] | |
Disclosure of detailed information about property, plant and equipment [Line Items] | |
Estimated useful lives of property plant and equipment | 15 to 35 years |
Office equipment, furniture and fixtures [member] | |
Disclosure of detailed information about property, plant and equipment [Line Items] | |
Estimated useful lives of property plant and equipment | 3 to 11 years |
Motor vehicles [member] | |
Disclosure of detailed information about property, plant and equipment [Line Items] | |
Estimated useful lives of property plant and equipment | 4 to 8 years |
Leasehold improvements [member] | |
Disclosure of detailed information about property, plant and equipment [Line Items] | |
Estimated useful lives of property plant and equipment | Over the shorter of the remaining term of the lease and the useful lives |
Summary of Significant Accoun72
Summary of Significant Accounting Policies - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of detailed information about investment property [Line Items] | |
Estimated useful lives of investment properties | 15 to 35 years |
Overseas [member] | |
Disclosure of detailed information about investment property [Line Items] | |
Estimated useful lives of investment properties | Not longer than 50 years |
Risk Management - Major Product
Risk Management - Major Products of Long-term Insurance Contracts (Detail) - CNY (¥) ¥ in Millions | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | ||||
Premiums of long-term insurance contracts | ¥ 511,966 | ¥ 430,498 | ¥ 363,971 | |
Liabilities of long-term insurance contracts | 2,022,151 | 1,845,975 | ||
Gross [member] | ||||
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | ||||
Liabilities of long-term insurance contracts | 2,025,133 | 1,847,986 | ||
Long-term insurance contracts [member] | ||||
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | ||||
Liabilities of long-term insurance contracts | 1,996,715 | 1,824,173 | ||
Long-term insurance contracts [member] | Gross [member] | ||||
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | ||||
Premiums of long-term insurance contracts | 464,898 | 390,438 | ||
Insurance benefits of long-term insurance contracts | ¥ 166,224 | ¥ 179,902 | ||
Premiums of long-term insurance contracts percentage | 100.00% | 100.00% | ||
Insurance benefits of long-term insurance contracts percentage | 100.00% | 100.00% | ||
Liabilities of long-term insurance contracts | ¥ 1,999,066 | ¥ 1,825,956 | ¥ 1,698,773 | |
Liabilities of long-term insurance contracts percentage | 100.00% | 100.00% | ||
New Xin Feng Endowment (Type A) [member] | Long-term insurance contracts [member] | Gross [member] | ||||
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | ||||
Premiums of long-term insurance contracts | [1] | ¥ 59,636 | ¥ 38,059 | |
Insurance benefits of long-term insurance contracts | [1] | ¥ 78 | ¥ 67 | |
Premiums of long-term insurance contracts percentage | [1] | 12.83% | 9.75% | |
Insurance benefits of long-term insurance contracts percentage | [1] | 0.05% | 0.04% | |
Liabilities of long-term insurance contracts | [1] | ¥ 69,280 | ¥ 43,794 | |
Liabilities of long-term insurance contracts percentage | [1] | 3.47% | 2.40% | |
Xin Fu Ying Jia Annuity [member] | Long-term insurance contracts [member] | Gross [member] | ||||
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | ||||
Premiums of long-term insurance contracts | [2] | ¥ 40,588 | ¥ 1,626 | |
Insurance benefits of long-term insurance contracts | [2] | ¥ 7,956 | ¥ 277 | |
Premiums of long-term insurance contracts percentage | [2] | 8.73% | 0.42% | |
Insurance benefits of long-term insurance contracts percentage | [2] | 4.79% | 0.15% | |
Liabilities of long-term insurance contracts | [2] | ¥ 19,771 | ¥ 987 | |
Liabilities of long-term insurance contracts percentage | [2] | 0.99% | 0.05% | |
Kang Ning Whole Life [member] | Long-term insurance contracts [member] | Gross [member] | ||||
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | ||||
Premiums of long-term insurance contracts | [3] | ¥ 21,435 | ¥ 22,420 | |
Insurance benefits of long-term insurance contracts | [3] | ¥ 4,197 | ¥ 3,949 | |
Premiums of long-term insurance contracts percentage | [3] | 4.61% | 5.74% | |
Insurance benefits of long-term insurance contracts percentage | [3] | 2.52% | 2.20% | |
Liabilities of long-term insurance contracts | [3] | ¥ 268,708 | ¥ 244,112 | |
Liabilities of long-term insurance contracts percentage | [3] | 13.44% | 13.37% | |
Hong Ying Participating Endowment [member] | Long-term insurance contracts [member] | Gross [member] | ||||
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | ||||
Premiums of long-term insurance contracts | [4] | ¥ 3,019 | ¥ 4,968 | |
Insurance benefits of long-term insurance contracts | [4] | ¥ 49,796 | ¥ 73,261 | |
Premiums of long-term insurance contracts percentage | [4] | 0.65% | 1.27% | |
Insurance benefits of long-term insurance contracts percentage | [4] | 29.96% | 40.72% | |
Liabilities of long-term insurance contracts | [4] | ¥ 70,506 | ¥ 117,946 | |
Liabilities of long-term insurance contracts percentage | [4] | 3.53% | 6.46% | |
Hong Tai Endowment [member] | Long-term insurance contracts [member] | Gross [member] | ||||
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | ||||
Premiums of long-term insurance contracts | [5] | ¥ 166 | ¥ 203 | |
Insurance benefits of long-term insurance contracts | [5] | ¥ 41,271 | ¥ 25,093 | |
Premiums of long-term insurance contracts percentage | [5] | 0.04% | 0.05% | |
Insurance benefits of long-term insurance contracts percentage | [5] | 24.83% | 13.95% | |
Liabilities of long-term insurance contracts | [5] | ¥ 16,730 | ¥ 57,356 | |
Liabilities of long-term insurance contracts percentage | [5] | 0.84% | 3.14% | |
Others [member] | Long-term insurance contracts [member] | Gross [member] | ||||
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | ||||
Premiums of long-term insurance contracts | [6] | ¥ 340,054 | ¥ 323,162 | |
Insurance benefits of long-term insurance contracts | [6] | ¥ 62,926 | ¥ 77,255 | |
Premiums of long-term insurance contracts percentage | [6] | 73.14% | 82.77% | |
Insurance benefits of long-term insurance contracts percentage | [6] | 37.85% | 42.94% | |
Liabilities of long-term insurance contracts | [6] | ¥ 1,554,071 | ¥ 1,361,761 | |
Liabilities of long-term insurance contracts percentage | [6] | 77.73% | 74.58% | |
[1] | New Xin Feng is an endowment insurance contract with single premium. Its insured period is 5 years. This product is applicable to healthy policyholders between 18-year-old and 70-year-old. Both maturity and death benefits are paid at the basic sum insured. Accident death benefit is paid at 300% of the basic sum insured. | |||
[2] | Xin Fu Ying Jia Annuity is an annuity insurance contract with the options for regular premium of 3 years, 5 years or 10 years. Its insured period extends from the effective date of Xin Fu Ying Jia Annuity to the corresponding date when policyholders reach the age of 88. This product is applicable to healthy policyholders between 28-day-old and 70-year-old. From the effective date to the contractual date starting to claim of Xin Fu Ying Jia Annuity, the annuity payment of first policy year is paid at 20% of the first premium of the product, the following annuity payments are paid at 20% of the basic sum insured by Xin Fu Ying Jia Annuity. From the first corresponding date after the contractual date starting to claim of annuity, to the corresponding date when the policyholders reach the age of 88-year-old, annuity is paid at 3% of the basic sum insured during the insured period if policyholders live to the annual corresponding effective date; annuity is paid at the premium received (without interest) during the insured period if policyholders live to the contractual date starting to claim of annuity; the contract terminates and death benefit is paid at the premium received (without interest) or the cash value of the contract, whichever greater when death incurred before the contractual date starting to claim of annuity; the contract terminates and death benefit is paid at the cash value of the contract when death incurred after contractual date starting to claim of annuity; the contract terminates and accidental death benefit is paid at the premium received (without interest) less any death benefit paid when accidents occurred and due to which death incurred within 180 days. | |||
[3] | Kang Ning is a whole life insurance contract with the options for single premium or regular premium of 10 years or 20 years. This product is applicable to healthy policyholders under 70-year-old. The critical illness benefit is paid at 200% of the basic sum insured. Both death and disability benefits are paid at 300% of the basic sum insured less any critical illness benefits paid. | |||
[4] | Hong Ying is a participating endowment insurance contract with the options for single premium or regular premium of 3 years, 5 years or 10 years. Its insured period can be 6 years, 10 years or 15 years. This product is applicable to healthy policyholders between 30-day-old and 70-year-old. Maturity benefit of a single premium policy is paid at the basic sum insured, while that of a regular premium policy is paid at the basic sum insured multiplied by the number of years of the premium payments. Disease death benefit incurred within the first policy year is paid at the premium received (without interest). Disease death benefit incurred after the first policy year is paid at the basic sum insured for a single premium policy or the basic sum insured multiplied by the number of years of premium payments for a regular premium policy. When accidents occurred during taking a train, a ship or a flight period, death benefit is paid at 300% of the basic sum insured for a single premium policy or 300% of the basic sum insured multiplied by the number of years of premium payments for a regular premium policy. When accidents occurred out of the period of taking a train, a ship or a flight, death benefit is paid at 200% of the basic sum insured for a single premium policy or 200% of the basic sum insured multiplied by the number of years of premium payments for a regular premium policy. | |||
[5] | Hong Tai is long-term individual participating endowment insurance contract with options for single premium or regular premium of 10 years, designed for healthy policyholders of age between 30-day-old and 75-year-old. Insured period can be 5 years, 6 years or 10 years. Maturity benefit for single premium is paid at 100% of basic sum insured. Maturity benefit for regular premium is paid at basic sum insured multiplied by number of year of premium payments. Disease death benefit incurred within first year is paid at premium received (without interest). All other death benefits incurred are paid at basic sum insured or basic sum insured multiplied by the number of year of premium payments for single premium and regular premium, respectively. | |||
[6] | Others consist of various long-term insurance contracts with no significant concentration. |
Risk Management - Major Produ74
Risk Management - Major Products of Long-term Insurance Contracts (Parenthetical) (Detail) | 12 Months Ended |
Dec. 31, 2017 | |
New Xin Feng Endowment (Type A) [member] | Single premium [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Insurance coverage period | 5 years |
Description of insurance contract | New Xin Feng is an endowment insurance contract with single premium. Its insured period is 5 years. This product is applicable to healthy policyholders between 18-year-old and 70-year-old. Both maturity and death benefits are paid at the basic sum insured. Accident death benefit is paid at 300% of the basic sum insured. |
Xin Fu Ying Jia Annuity [member] | Regular premium [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Annuity insurance payment as percentage of first premium | 20.00% |
Annuity insurance payment percentage based on basic sum insured | 20.00% |
Extended age limit of policy holders | 88-year-old |
Annuity insurance payment percentage for extended age limit | 3.00% |
Description of insurance contract | Xin Fu Ying Jia Annuity is an annuity insurance contract with the options for regular premium of 3 years, 5 years or 10 years. Its insured period extends from the effective date of Xin Fu Ying Jia Annuity to the corresponding date when policyholders reach the age of 88. This product is applicable to healthy policyholders between 28-day-old and 70-year-old. |
Kang Ning Whole Life [member] | Single premium or regular premium [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Description of insurance contract | Kang Ning is a whole life insurance contract with the options for single premium or regular premium of 10 years or 20 years. This product is applicable to healthy policyholders under 70-year-old. The critical illness benefit is paid at 200% of the basic sum insured. Both death and disability benefits are paid at 300% of the basic sum insured less any critical illness benefits paid. |
Hong Ying Participating Endowment [member] | Single premium or regular premium [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Description of insurance contract | Hong Ying is a participating endowment insurance contract with the options for single premium or regular premium of 3 years, 5 years or 10 years. Its insured period can be 6 years, 10 years or 15 years. This product is applicable to healthy policyholders between 30-day-old and 70-year-old. |
Hong Tai Endowment [member] | Single premium [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Percentage of benefit paid on basic sum insured | 100.00% |
Hong Tai Endowment [member] | Single premium or regular premium [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Description of insurance contract | Hong Tai is long-term individual participating endowment insurance contract with options for single premium or regular premium of 10 years, designed for healthy policyholders of age between 30-day-old and 75-year-old. |
Insurance premium period | 10 years |
Bottom of range [member] | New Xin Feng Endowment (Type A) [member] | Single premium [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Age limit of policy holders | 18-year-old |
Bottom of range [member] | Xin Fu Ying Jia Annuity [member] | Regular premium [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Age limit of policy holders | 28-day-old |
Bottom of range [member] | Hong Ying Participating Endowment [member] | Single premium or regular premium [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Age limit of policy holders | 30-day-old |
Bottom of range [member] | Hong Tai Endowment [member] | Single premium or regular premium [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Age limit of policy holders | 30-day-old |
Top of range [member] | New Xin Feng Endowment (Type A) [member] | Single premium [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Age limit of policy holders | 70-year-old |
Top of range [member] | Xin Fu Ying Jia Annuity [member] | Regular premium [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Age limit of policy holders | 70-year-old |
Top of range [member] | Kang Ning Whole Life [member] | Single premium or regular premium [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Age limit of policy holders | 70-year-old |
Top of range [member] | Hong Ying Participating Endowment [member] | Single premium or regular premium [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Age limit of policy holders | 70-year-old |
Top of range [member] | Hong Tai Endowment [member] | Single premium or regular premium [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Age limit of policy holders | 75-year-old |
Accident death benefit [member] | New Xin Feng Endowment (Type A) [member] | Single premium [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Percentage of benefit paid on basic sum insured | 300.00% |
Critical illness benefit [member] | Kang Ning Whole Life [member] | Single premium or regular premium [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Percentage of benefit paid on basic sum insured | 200.00% |
Death benefits [member] | Kang Ning Whole Life [member] | Single premium or regular premium [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Percentage of benefit paid on basic sum insured less critical illness benefits paid | 300.00% |
Disability benefits [member] | Kang Ning Whole Life [member] | Single premium or regular premium [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Percentage of benefit paid on basic sum insured less critical illness benefits paid | 300.00% |
Period one [member] | Xin Fu Ying Jia Annuity [member] | Regular premium [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Insurance premium period | 3 years |
Period one [member] | Kang Ning Whole Life [member] | Single premium or regular premium [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Insurance premium period | 10 years |
Period one [member] | Hong Ying Participating Endowment [member] | Single premium or regular premium [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Insurance coverage period | 5 years |
Insurance premium period | 3 years |
Period one [member] | Hong Tai Endowment [member] | Single premium or regular premium [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Insurance coverage period | 5 years |
Period two [member] | Xin Fu Ying Jia Annuity [member] | Regular premium [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Insurance premium period | 5 years |
Period two [member] | Kang Ning Whole Life [member] | Single premium or regular premium [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Insurance premium period | 20 years |
Period two [member] | Hong Ying Participating Endowment [member] | Single premium or regular premium [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Insurance coverage period | 10 years |
Insurance premium period | 5 years |
Period two [member] | Hong Tai Endowment [member] | Single premium or regular premium [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Insurance coverage period | 6 years |
Period three [member] | Xin Fu Ying Jia Annuity [member] | Regular premium [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Insurance premium period | 10 years |
Period three [member] | Hong Ying Participating Endowment [member] | Single premium or regular premium [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Insurance coverage period | 15 years |
Insurance premium period | 10 years |
Period three [member] | Hong Tai Endowment [member] | Single premium or regular premium [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Insurance coverage period | 10 years |
Risk Management - Additional In
Risk Management - Additional Information (Detail) - CNY (¥) ¥ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of Risk Management [Line Items] | |||
Actual exchange gains | ¥ 52 | ¥ 582 | ¥ 812 |
Percentage of corporate bonds held by the group | 99.90% | 99.00% | |
Percentage of subordinate bonds held by the group | 99.90% | 99.90% | |
Percentage of deposits on bank | 99.80% | 99.50% | |
Policyholder dividends declared | ¥ 83,910 | ¥ 87,725 | |
Estimated cash out flow upon surrendered of investment contract with DPF | 56,709 | 53,271 | |
Estimated cash out flow upon surrendered of investment contract without DPF | 173,557 | 140,565 | |
Debt securities [member] | |||
Disclosure of Risk Management [Line Items] | |||
Transfers from Level 1 to Level 2 | 19,275 | 8,932 | |
Transfers from Level 2 to Level 1 | 9,652 | 8,668 | |
Not later than one year [member] | |||
Disclosure of Risk Management [Line Items] | |||
Policyholder dividends declared | ¥ 68,731 | 64,623 | |
Interest rate risk [member] | |||
Disclosure of Risk Management [Line Items] | |||
Borrowings, interest rate description | If market interest rates were 50 basis points higher or lower with all other variables held constant | ||
Interest rate risk [member] | Bottom of range [member] | |||
Disclosure of Risk Management [Line Items] | |||
Pre-tax profit for sensitivity analysis | ¥ 35 | 160 | |
Pre-tax available-for-sale reserve in equity | 8,306 | 6,948 | |
Interest rate risk [member] | Top of range [member] | |||
Disclosure of Risk Management [Line Items] | |||
Pre-tax profit for sensitivity analysis | 35 | 160 | |
Pre-tax available-for-sale reserve in equity | ¥ 11,463 | 6,948 | |
Equity price risk [member] | |||
Disclosure of Risk Management [Line Items] | |||
Description of equity securities prices | If the prices of all the Group's equity securities had increased or decreased by 10% with all other variables held constant | ||
Equity price risk [member] | Bottom of range [member] | |||
Disclosure of Risk Management [Line Items] | |||
Pre-tax profit for sensitivity analysis | ¥ 3,341 | 3,263 | |
Pre-tax available-for-sale reserve in equity | 23,423 | 24,999 | |
Equity price risk [member] | Top of range [member] | |||
Disclosure of Risk Management [Line Items] | |||
Pre-tax profit for sensitivity analysis | 5,393 | 3,400 | |
Pre-tax available-for-sale reserve in equity | ¥ 32,651 | 28,153 | |
Currency risk [member] | |||
Disclosure of Risk Management [Line Items] | |||
Description of functional currency | If RMB had strengthened or weakened by 10% against US dollar, HK dollar, GB pound, EUR and other foreign currencies, with all other variables held constant | ||
Actual exchange gains | ¥ 52 | 582 | |
Currency risk [member] | Bottom of range [member] | |||
Disclosure of Risk Management [Line Items] | |||
Pre-tax profit for sensitivity analysis | 308 | 420 | |
Pre-tax available-for-sale reserve in equity | 3,541 | 1,743 | |
Currency risk [member] | Top of range [member] | |||
Disclosure of Risk Management [Line Items] | |||
Pre-tax profit for sensitivity analysis | 308 | 420 | |
Pre-tax available-for-sale reserve in equity | ¥ 3,541 | 1,743 | |
Long term insurance contracts [member] | Mortality and morbidity rates [member] | |||
Disclosure of Risk Management [Line Items] | |||
Sensitivity analysis of insurance contracts, description | If mortality rates and morbidity rates were to increase or decrease from the current best estimate by 10% | ||
Long term insurance contracts [member] | Mortality and morbidity rates [member] | Bottom of range [member] | |||
Disclosure of Risk Management [Line Items] | |||
Pre-tax profit for sensitivity analysis | ¥ 19,731 | 16,746 | |
Long term insurance contracts [member] | Mortality and morbidity rates [member] | Top of range [member] | |||
Disclosure of Risk Management [Line Items] | |||
Pre-tax profit for sensitivity analysis | ¥ 20,559 | 17,492 | |
Long term insurance contracts [member] | Lapse rates [member] | |||
Disclosure of Risk Management [Line Items] | |||
Sensitivity analysis of insurance contracts, description | If lapse rates were to increase or decrease from the current best estimate by 10% | ||
Long term insurance contracts [member] | Lapse rates [member] | Bottom of range [member] | |||
Disclosure of Risk Management [Line Items] | |||
Pre-tax profit for sensitivity analysis | ¥ 1,940 | 2,823 | |
Long term insurance contracts [member] | Lapse rates [member] | Top of range [member] | |||
Disclosure of Risk Management [Line Items] | |||
Pre-tax profit for sensitivity analysis | ¥ 1,989 | 2,953 | |
Long term insurance contracts [member] | Discount rates [member] | |||
Disclosure of Risk Management [Line Items] | |||
Sensitivity analysis of insurance contracts, description | If the discount rates were 50 basis points higher or lower than the current best estimate | ||
Long term insurance contracts [member] | Discount rates [member] | Bottom of range [member] | |||
Disclosure of Risk Management [Line Items] | |||
Pre-tax profit for sensitivity analysis | ¥ 70,732 | 57,591 | |
Long term insurance contracts [member] | Discount rates [member] | Top of range [member] | |||
Disclosure of Risk Management [Line Items] | |||
Pre-tax profit for sensitivity analysis | ¥ 80,152 | 65,427 | |
Short-term insurance contracts [member] | Claim ratios [member] | |||
Disclosure of Risk Management [Line Items] | |||
Sensitivity analysis of insurance contracts, description | If claim ratios are 100 basis points higher or lower than the current assumption | ||
Short-term insurance contracts [member] | Claim ratios [member] | Bottom of range [member] | |||
Disclosure of Risk Management [Line Items] | |||
Pre-tax profit for sensitivity analysis | ¥ 445 | 372 | |
Short-term insurance contracts [member] | Claim ratios [member] | Top of range [member] | |||
Disclosure of Risk Management [Line Items] | |||
Pre-tax profit for sensitivity analysis | ¥ 445 | ¥ 372 | |
Quoted prices in active markets level 1 [member] | |||
Disclosure of Risk Management [Line Items] | |||
Percentage of assets measured at fair value on a recurring basis | 32.93% | ||
Significant observable inputs level 2 [member] | |||
Disclosure of Risk Management [Line Items] | |||
Percentage of assets measured at fair value on a recurring basis | 51.20% | ||
Significant unobservable inputs level 3 [member] | |||
Disclosure of Risk Management [Line Items] | |||
Percentage of assets measured at fair value on a recurring basis | 15.87% |
Risk Management - Claim Develop
Risk Management - Claim Development for Short-term Insurance Contracts (Detail) ¥ in Millions | 12 Months Ended |
Dec. 31, 2017CNY (¥) | |
Short Term Insurance Contracts without Impact of Reinsurance [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated accumulated claims expenses | ¥ 111,152 |
Accumulated claims expenses paid | (97,374) |
Unpaid claims expenses | 13,778 |
Short Term Insurance Contracts without Impact of Reinsurance [member] | Short-term insurance contracts 2013 [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated accumulated claims expenses | 11,775 |
Accumulated claims expenses paid | (11,775) |
Unpaid claims expenses | 0 |
Short Term Insurance Contracts without Impact of Reinsurance [member] | Short-term insurance contracts 2013 [member] | Not later than one year [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated claims expenses of reinsurance impacts | 11,476 |
Short Term Insurance Contracts without Impact of Reinsurance [member] | Short-term insurance contracts 2013 [member] | 1 year later [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated claims expenses of reinsurance impacts | 11,872 |
Short Term Insurance Contracts without Impact of Reinsurance [member] | Short-term insurance contracts 2013 [member] | 2 years later [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated claims expenses of reinsurance impacts | 11,775 |
Short Term Insurance Contracts without Impact of Reinsurance [member] | Short-term insurance contracts 2013 [member] | 3 years later [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated claims expenses of reinsurance impacts | 11,775 |
Short Term Insurance Contracts without Impact of Reinsurance [member] | Short-term insurance contracts 2013 [member] | 4 years later [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated claims expenses of reinsurance impacts | 11,775 |
Short Term Insurance Contracts without Impact of Reinsurance [member] | Short-term insurance contracts 2014 [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated accumulated claims expenses | 16,726 |
Accumulated claims expenses paid | (16,726) |
Unpaid claims expenses | 0 |
Short Term Insurance Contracts without Impact of Reinsurance [member] | Short-term insurance contracts 2014 [member] | Not later than one year [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated claims expenses of reinsurance impacts | 16,499 |
Short Term Insurance Contracts without Impact of Reinsurance [member] | Short-term insurance contracts 2014 [member] | 1 year later [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated claims expenses of reinsurance impacts | 17,265 |
Short Term Insurance Contracts without Impact of Reinsurance [member] | Short-term insurance contracts 2014 [member] | 2 years later [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated claims expenses of reinsurance impacts | 16,726 |
Short Term Insurance Contracts without Impact of Reinsurance [member] | Short-term insurance contracts 2014 [member] | 3 years later [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated claims expenses of reinsurance impacts | 16,726 |
Short Term Insurance Contracts without Impact of Reinsurance [member] | Short-term insurance contracts 2015 [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated accumulated claims expenses | 21,422 |
Accumulated claims expenses paid | (21,422) |
Unpaid claims expenses | 0 |
Short Term Insurance Contracts without Impact of Reinsurance [member] | Short-term insurance contracts 2015 [member] | Not later than one year [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated claims expenses of reinsurance impacts | 20,497 |
Short Term Insurance Contracts without Impact of Reinsurance [member] | Short-term insurance contracts 2015 [member] | 1 year later [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated claims expenses of reinsurance impacts | 21,427 |
Short Term Insurance Contracts without Impact of Reinsurance [member] | Short-term insurance contracts 2015 [member] | 2 years later [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated claims expenses of reinsurance impacts | 21,422 |
Short Term Insurance Contracts without Impact of Reinsurance [member] | Short-term insurance contracts 2016 [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated accumulated claims expenses | 27,303 |
Accumulated claims expenses paid | (26,047) |
Unpaid claims expenses | 1,256 |
Short Term Insurance Contracts without Impact of Reinsurance [member] | Short-term insurance contracts 2016 [member] | Not later than one year [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated claims expenses of reinsurance impacts | 27,120 |
Short Term Insurance Contracts without Impact of Reinsurance [member] | Short-term insurance contracts 2016 [member] | 1 year later [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated claims expenses of reinsurance impacts | 27,303 |
Short Term Insurance Contracts without Impact of Reinsurance [member] | Short-term insurance contracts 2017 [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated accumulated claims expenses | 33,926 |
Accumulated claims expenses paid | (21,404) |
Unpaid claims expenses | 12,522 |
Short Term Insurance Contracts without Impact of Reinsurance [member] | Short-term insurance contracts 2017 [member] | Not later than one year [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated claims expenses of reinsurance impacts | 33,926 |
Short Term Insurance Contracts with Impact of Reinsurance [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated accumulated claims expenses | 110,300 |
Accumulated claims expenses paid | (96,626) |
Unpaid claims expenses | 13,674 |
Short Term Insurance Contracts with Impact of Reinsurance [member] | Short-term insurance contracts 2013 [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated accumulated claims expenses | 11,645 |
Accumulated claims expenses paid | (11,645) |
Unpaid claims expenses | 0 |
Short Term Insurance Contracts with Impact of Reinsurance [member] | Short-term insurance contracts 2013 [member] | Not later than one year [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated claims expenses of reinsurance impacts | 11,331 |
Short Term Insurance Contracts with Impact of Reinsurance [member] | Short-term insurance contracts 2013 [member] | 1 year later [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated claims expenses of reinsurance impacts | 11,743 |
Short Term Insurance Contracts with Impact of Reinsurance [member] | Short-term insurance contracts 2013 [member] | 2 years later [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated claims expenses of reinsurance impacts | 11,645 |
Short Term Insurance Contracts with Impact of Reinsurance [member] | Short-term insurance contracts 2013 [member] | 3 years later [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated claims expenses of reinsurance impacts | 11,645 |
Short Term Insurance Contracts with Impact of Reinsurance [member] | Short-term insurance contracts 2013 [member] | 4 years later [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated claims expenses of reinsurance impacts | 11,645 |
Short Term Insurance Contracts with Impact of Reinsurance [member] | Short-term insurance contracts 2014 [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated accumulated claims expenses | 16,589 |
Accumulated claims expenses paid | (16,589) |
Unpaid claims expenses | 0 |
Short Term Insurance Contracts with Impact of Reinsurance [member] | Short-term insurance contracts 2014 [member] | Not later than one year [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated claims expenses of reinsurance impacts | 16,379 |
Short Term Insurance Contracts with Impact of Reinsurance [member] | Short-term insurance contracts 2014 [member] | 1 year later [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated claims expenses of reinsurance impacts | 17,127 |
Short Term Insurance Contracts with Impact of Reinsurance [member] | Short-term insurance contracts 2014 [member] | 2 years later [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated claims expenses of reinsurance impacts | 16,589 |
Short Term Insurance Contracts with Impact of Reinsurance [member] | Short-term insurance contracts 2014 [member] | 3 years later [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated claims expenses of reinsurance impacts | 16,589 |
Short Term Insurance Contracts with Impact of Reinsurance [member] | Short-term insurance contracts 2015 [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated accumulated claims expenses | 21,259 |
Accumulated claims expenses paid | (21,259) |
Unpaid claims expenses | 0 |
Short Term Insurance Contracts with Impact of Reinsurance [member] | Short-term insurance contracts 2015 [member] | Not later than one year [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated claims expenses of reinsurance impacts | 20,359 |
Short Term Insurance Contracts with Impact of Reinsurance [member] | Short-term insurance contracts 2015 [member] | 1 year later [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated claims expenses of reinsurance impacts | 21,262 |
Short Term Insurance Contracts with Impact of Reinsurance [member] | Short-term insurance contracts 2015 [member] | 2 years later [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated claims expenses of reinsurance impacts | 21,259 |
Short Term Insurance Contracts with Impact of Reinsurance [member] | Short-term insurance contracts 2016 [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated accumulated claims expenses | 27,107 |
Accumulated claims expenses paid | (25,860) |
Unpaid claims expenses | 1,247 |
Short Term Insurance Contracts with Impact of Reinsurance [member] | Short-term insurance contracts 2016 [member] | Not later than one year [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated claims expenses of reinsurance impacts | 26,897 |
Short Term Insurance Contracts with Impact of Reinsurance [member] | Short-term insurance contracts 2016 [member] | 1 year later [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated claims expenses of reinsurance impacts | 27,107 |
Short Term Insurance Contracts with Impact of Reinsurance [member] | Short-term insurance contracts 2017 [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated accumulated claims expenses | 33,700 |
Accumulated claims expenses paid | (21,273) |
Unpaid claims expenses | 12,427 |
Short Term Insurance Contracts with Impact of Reinsurance [member] | Short-term insurance contracts 2017 [member] | Not later than one year [member] | |
Disclosure Of Financial Assets And Liabilities And Insurance Liabilities [Line Items] | |
Estimated claims expenses of reinsurance impacts | ¥ 33,700 |
Risk Management - Summary of Fi
Risk Management - Summary of Financial Assets and Financial Liabilities Denominated in Currencies other than RMB, Expressed in RMB Equivalent (Detail) - CNY (¥) ¥ in Millions | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Financial assets | |||||
Held-to-maturity securities | [1] | ¥ 717,037 | ¥ 594,730 | ||
Available-for-sale securities | 810,734 | 766,423 | |||
Securities at fair value through profit or loss | 136,809 | 209,124 | |||
Term deposits | 449,400 | 538,325 | |||
Cash and cash equivalents | 48,586 | 67,046 | ¥ 76,096 | ¥ 47,034 | |
Total | 2,653,350 | 2,521,458 | |||
Financial liabilities | |||||
Interest-bearing loans and other borrowings | 18,794 | 16,170 | |||
Equity securities [member] | |||||
Financial assets | |||||
Available-for-sale securities | 355,610 | 366,665 | |||
Securities at fair value through profit or loss | 53,918 | 54,718 | |||
Debt securities [member] | |||||
Financial assets | |||||
Held-to-maturity securities | 717,037 | 594,730 | |||
Available-for-sale securities | 455,124 | 399,758 | |||
Securities at fair value through profit or loss | 82,891 | 154,406 | |||
Currency risk [member] | |||||
Financial assets | |||||
Term deposits | 7,744 | 6,106 | |||
Cash and cash equivalents | 1,844 | 4,961 | |||
Total | 59,772 | 40,275 | |||
Financial liabilities | |||||
Interest-bearing loans and other borrowings | 18,794 | 16,170 | |||
Total | 18,794 | 16,170 | |||
Currency risk [member] | Equity securities [member] | |||||
Financial assets | |||||
Available-for-sale securities | 37,556 | 19,907 | |||
Securities at fair value through profit or loss | 9,829 | 8,759 | |||
Currency risk [member] | Debt securities [member] | |||||
Financial assets | |||||
Held-to-maturity securities | 155 | 164 | |||
Loans | 952 | ||||
Available-for-sale securities | 1,229 | ||||
Securities at fair value through profit or loss | 463 | 378 | |||
Currency risk [member] | US dollar [member] | |||||
Financial assets | |||||
Term deposits | 7,744 | 6,106 | |||
Cash and cash equivalents | 1,246 | 2,685 | |||
Total | 25,165 | 20,177 | |||
Financial liabilities | |||||
Interest-bearing loans and other borrowings | 12,480 | 13,100 | |||
Total | 12,480 | 13,100 | |||
Currency risk [member] | US dollar [member] | Equity securities [member] | |||||
Financial assets | |||||
Available-for-sale securities | 8,697 | 6,968 | |||
Securities at fair value through profit or loss | 4,707 | 3,906 | |||
Currency risk [member] | US dollar [member] | Debt securities [member] | |||||
Financial assets | |||||
Held-to-maturity securities | 155 | 164 | |||
Loans | 952 | ||||
Available-for-sale securities | 1,229 | ||||
Securities at fair value through profit or loss | 435 | 348 | |||
Currency risk [member] | HK dollar [member] | |||||
Financial assets | |||||
Term deposits | 0 | 0 | |||
Cash and cash equivalents | 185 | 2,083 | |||
Total | 29,190 | 15,002 | |||
Financial liabilities | |||||
Interest-bearing loans and other borrowings | 0 | 0 | |||
Total | 0 | 0 | |||
Currency risk [member] | HK dollar [member] | Equity securities [member] | |||||
Financial assets | |||||
Available-for-sale securities | 28,859 | 12,791 | |||
Securities at fair value through profit or loss | 146 | 128 | |||
Currency risk [member] | HK dollar [member] | Debt securities [member] | |||||
Financial assets | |||||
Held-to-maturity securities | 0 | 0 | |||
Loans | 0 | ||||
Available-for-sale securities | 0 | ||||
Securities at fair value through profit or loss | 0 | 0 | |||
Currency risk [member] | GB pound [member] | |||||
Financial assets | |||||
Term deposits | 0 | 0 | |||
Cash and cash equivalents | 282 | 145 | |||
Total | 1,388 | 1,274 | |||
Financial liabilities | |||||
Interest-bearing loans and other borrowings | 2,413 | 2,339 | |||
Total | 2,413 | 2,339 | |||
Currency risk [member] | GB pound [member] | Equity securities [member] | |||||
Financial assets | |||||
Available-for-sale securities | 0 | 0 | |||
Securities at fair value through profit or loss | 1,088 | 1,115 | |||
Currency risk [member] | GB pound [member] | Debt securities [member] | |||||
Financial assets | |||||
Held-to-maturity securities | 0 | 0 | |||
Loans | 0 | ||||
Available-for-sale securities | 0 | ||||
Securities at fair value through profit or loss | 18 | 14 | |||
Currency risk [member] | EUR [member] | |||||
Financial assets | |||||
Term deposits | 0 | 0 | |||
Cash and cash equivalents | 128 | 39 | |||
Total | 2,823 | 2,517 | |||
Financial liabilities | |||||
Interest-bearing loans and other borrowings | 3,901 | 731 | |||
Total | 3,901 | 731 | |||
Currency risk [member] | EUR [member] | Equity securities [member] | |||||
Financial assets | |||||
Available-for-sale securities | 0 | 0 | |||
Securities at fair value through profit or loss | 2,690 | 2,475 | |||
Currency risk [member] | EUR [member] | Debt securities [member] | |||||
Financial assets | |||||
Held-to-maturity securities | 0 | 0 | |||
Loans | 0 | ||||
Available-for-sale securities | 0 | ||||
Securities at fair value through profit or loss | 5 | 3 | |||
Currency risk [member] | Others [member] | |||||
Financial assets | |||||
Term deposits | 0 | 0 | |||
Cash and cash equivalents | 3 | 9 | |||
Total | 1,206 | 1,305 | |||
Financial liabilities | |||||
Interest-bearing loans and other borrowings | 0 | 0 | |||
Total | 0 | 0 | |||
Currency risk [member] | Others [member] | Equity securities [member] | |||||
Financial assets | |||||
Available-for-sale securities | 0 | 148 | |||
Securities at fair value through profit or loss | 1,198 | 1,135 | |||
Currency risk [member] | Others [member] | Debt securities [member] | |||||
Financial assets | |||||
Held-to-maturity securities | 0 | 0 | |||
Loans | 0 | ||||
Available-for-sale securities | 0 | ||||
Securities at fair value through profit or loss | ¥ 5 | ¥ 13 | |||
[1] | The fair value of held-to-maturity securities is determined by reference with other debt securities which are measured by fair value. Please refer to Note 4.3. The fair value of held-to-maturity securities under Level 1 was RMB55,137 million and that under Level 2 was 637,847 million as at 31 December 2017 (as at 31 December 2016: Level 1 RMB76,299 million and Level 2 RMB542,853 million). |
Risk Management - Contractual a
Risk Management - Contractual and Expected Undiscounted Cash Flows for Financial Assets and Liabilities and Insurance Liabilities (Detail) - CNY (¥) ¥ in Millions | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
Financial assets - Contractual cash inflows | ||||||
Equity securities | ¥ 409,528 | ¥ 421,383 | ||||
Debt securities | 1,255,052 | 1,148,894 | ||||
Loans | [1] | 383,504 | 226,573 | |||
Term deposits | 449,400 | 538,325 | ||||
Statutory deposits - restricted | 6,333 | 6,333 | ||||
Securities purchased under agreements to resell | 36,185 | 43,538 | ||||
Accrued investment income | 50,641 | 55,945 | ||||
Premiums receivable | 14,121 | 13,421 | ||||
Cash and cash equivalents | 48,586 | 67,046 | ¥ 76,096 | ¥ 47,034 | ||
Subtotal | 2,653,350 | 2,521,458 | ||||
Financial and insurance liabilities - Expected cash outflows | ||||||
Insurance contracts | 2,025,133 | 1,847,986 | ||||
Investment contracts | [1] | 232,500 | 195,706 | |||
Financial and insurance liabilities - Contractual cash outflows | ||||||
Securities sold under agreements to repurchase | 87,309 | 81,088 | ||||
Financial liabilities at fair value through profit or loss | 2,529 | 2,031 | ||||
Annuity and other insurance balances payable | 44,820 | 39,038 | ||||
Interest-bearing loans and other borrowings | 18,794 | 16,170 | ||||
Bonds payable | 37,998 | [1] | ||||
Subtotal | 2,411,085 | 2,220,017 | ||||
Net cash inflows/(outflows) | 242,265 | 301,441 | ||||
Without maturity [member] | ||||||
Financial assets - Contractual cash inflows | ||||||
Equity securities | 409,528 | 421,383 | ||||
Debt securities | 0 | 0 | ||||
Loans | 0 | 0 | ||||
Term deposits | 0 | 0 | ||||
Statutory deposits - restricted | 0 | 0 | ||||
Securities purchased under agreements to resell | 0 | 0 | ||||
Accrued investment income | 0 | 0 | ||||
Premiums receivable | 0 | 0 | ||||
Cash and cash equivalents | 0 | 0 | ||||
Subtotal | 409,528 | 421,383 | ||||
Financial and insurance liabilities - Expected cash outflows | ||||||
Insurance contracts | 0 | 0 | ||||
Investment contracts | 0 | 0 | ||||
Financial and insurance liabilities - Contractual cash outflows | ||||||
Securities sold under agreements to repurchase | 0 | 0 | ||||
Financial liabilities at fair value through profit or loss | (2,529) | (2,031) | ||||
Annuity and other insurance balances payable | 0 | 0 | ||||
Interest-bearing loans and other borrowings | 0 | 0 | ||||
Bonds payable | 0 | |||||
Subtotal | (2,529) | (2,031) | ||||
Net cash inflows/(outflows) | 406,999 | 419,352 | ||||
Not later than one year [member] | ||||||
Financial assets - Contractual cash inflows | ||||||
Loans | 128,856 | 112,592 | ||||
Term deposits | 97,076 | 185,835 | ||||
Statutory deposits - restricted | 3,933 | 1,720 | ||||
Undiscounted cash flow [member] | Not later than one year [member] | ||||||
Financial assets - Contractual cash inflows | ||||||
Equity securities | 0 | 0 | ||||
Debt securities | 127,830 | 210,589 | ||||
Loans | 141,679 | 119,247 | ||||
Term deposits | 104,976 | 199,657 | ||||
Statutory deposits - restricted | 4,084 | 1,909 | ||||
Securities purchased under agreements to resell | 36,185 | 43,538 | ||||
Accrued investment income | 44,789 | 44,722 | ||||
Premiums receivable | 14,121 | 13,421 | ||||
Cash and cash equivalents | 48,586 | 67,046 | ||||
Subtotal | 522,250 | 700,129 | ||||
Financial and insurance liabilities - Expected cash outflows | ||||||
Insurance contracts | 16,319 | (43,322) | ||||
Investment contracts | (15,308) | (15,880) | ||||
Financial and insurance liabilities - Contractual cash outflows | ||||||
Securities sold under agreements to repurchase | (87,309) | (81,088) | ||||
Financial liabilities at fair value through profit or loss | 0 | 0 | ||||
Annuity and other insurance balances payable | (44,820) | (39,038) | ||||
Interest-bearing loans and other borrowings | (1,240) | (1,138) | ||||
Bonds payable | (39,032) | |||||
Subtotal | (132,358) | (219,498) | ||||
Net cash inflows/(outflows) | 389,892 | 480,631 | ||||
Undiscounted cash flow [member] | Later than 1 year and not later than 3 years [member] | ||||||
Financial assets - Contractual cash inflows | ||||||
Equity securities | 0 | 0 | ||||
Debt securities | 240,582 | 214,105 | ||||
Loans | 105,063 | 47,606 | ||||
Term deposits | 252,571 | 260,065 | ||||
Statutory deposits - restricted | 734 | 4,720 | ||||
Securities purchased under agreements to resell | 0 | 0 | ||||
Accrued investment income | 5,602 | 11,100 | ||||
Premiums receivable | 0 | 0 | ||||
Cash and cash equivalents | 0 | 0 | ||||
Subtotal | 604,552 | 537,596 | ||||
Financial and insurance liabilities - Expected cash outflows | ||||||
Insurance contracts | 221,905 | 97,236 | ||||
Investment contracts | (29,981) | (34,147) | ||||
Financial and insurance liabilities - Contractual cash outflows | ||||||
Securities sold under agreements to repurchase | 0 | 0 | ||||
Financial liabilities at fair value through profit or loss | 0 | 0 | ||||
Annuity and other insurance balances payable | 0 | 0 | ||||
Interest-bearing loans and other borrowings | (18,557) | (16,159) | ||||
Bonds payable | 0 | |||||
Subtotal | 173,367 | 46,930 | ||||
Net cash inflows/(outflows) | 777,919 | 584,526 | ||||
Undiscounted cash flow [member] | Later than 3 years and not later than 5 years [member] | ||||||
Financial assets - Contractual cash inflows | ||||||
Equity securities | 0 | 0 | ||||
Debt securities | 271,538 | 188,740 | ||||
Loans | 64,386 | 41,697 | ||||
Term deposits | 133,013 | 117,012 | ||||
Statutory deposits - restricted | 2,106 | 209 | ||||
Securities purchased under agreements to resell | 0 | 0 | ||||
Accrued investment income | 250 | 123 | ||||
Premiums receivable | 0 | 0 | ||||
Cash and cash equivalents | 0 | 0 | ||||
Subtotal | 471,293 | 347,781 | ||||
Financial and insurance liabilities - Expected cash outflows | ||||||
Insurance contracts | 47,109 | 35,088 | ||||
Investment contracts | (26,892) | (33,128) | ||||
Financial and insurance liabilities - Contractual cash outflows | ||||||
Securities sold under agreements to repurchase | 0 | 0 | ||||
Financial liabilities at fair value through profit or loss | 0 | 0 | ||||
Annuity and other insurance balances payable | 0 | 0 | ||||
Interest-bearing loans and other borrowings | 0 | 0 | ||||
Bonds payable | 0 | |||||
Subtotal | 20,217 | 1,960 | ||||
Net cash inflows/(outflows) | 491,510 | 349,741 | ||||
Undiscounted cash flow [member] | Later than five years [member] | ||||||
Financial assets - Contractual cash inflows | ||||||
Equity securities | 0 | 0 | ||||
Debt securities | 1,240,465 | 1,014,074 | ||||
Loans | 128,753 | 55,106 | ||||
Term deposits | 2,823 | 8,858 | ||||
Statutory deposits - restricted | 0 | 0 | ||||
Securities purchased under agreements to resell | 0 | 0 | ||||
Accrued investment income | 0 | 0 | ||||
Premiums receivable | 0 | 0 | ||||
Cash and cash equivalents | 0 | 0 | ||||
Subtotal | 1,372,041 | 1,078,038 | ||||
Financial and insurance liabilities - Expected cash outflows | ||||||
Insurance contracts | (3,807,542) | (3,229,394) | ||||
Investment contracts | (388,320) | (259,905) | ||||
Financial and insurance liabilities - Contractual cash outflows | ||||||
Securities sold under agreements to repurchase | 0 | 0 | ||||
Financial liabilities at fair value through profit or loss | 0 | 0 | ||||
Annuity and other insurance balances payable | 0 | 0 | ||||
Interest-bearing loans and other borrowings | 0 | 0 | ||||
Bonds payable | 0 | |||||
Subtotal | (4,195,862) | (3,489,299) | ||||
Net cash inflows/(outflows) | ¥ (2,823,821) | ¥ (2,411,261) | ||||
[1] | Investment contracts at fair value through profit or loss have quoted prices in active markets, and therefore, their fair value was classified as Level 1. The fair value of policy loans approximated its carrying value. The fair values of other loans, investment contracts at amortised cost and bonds payable were determined using valuation techniques, with consideration of the present value of expected cash flows arising from contracts using a risk-adjusted discount rate, allowing for the risk-free rate available on the valuation date, credit risk and risk margin associated with the future cash flows. The fair values of other loans and investment contracts at amortised cost, and bonds payable were classified as Level 3. |
Risk Management - Capital Manag
Risk Management - Capital Management under Insurance Institution Solvency Regulations (Detail) - CNY (¥) ¥ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of computation of solvency ratio from actual capital and minimum capital [abstract] | ||
Core capital | ¥ 706,516 | ¥ 639,396 |
Actual capital | 706,623 | 677,768 |
Minimum capital | ¥ 254,503 | ¥ 228,080 |
Core solvency ratio | 278.00% | 280.00% |
Comprehensive solvency ratio | 278.00% | 297.00% |
Risk Management - Quantitative
Risk Management - Quantitative Disclosures of Fair Value Measurement Hierarchy for Assets and Liabilities Measured at Fair Value (Detail) - CNY (¥) ¥ in Millions | Dec. 31, 2017 | Dec. 31, 2016 | |
Available-for-sale securities | |||
Available-for-sale securities | ¥ 810,734 | ¥ 766,423 | |
Securities at fair value through profit or loss | |||
Securities at fair value through profit or loss | 136,809 | 209,124 | |
Total | 2,653,350 | 2,521,458 | |
Liabilities measured at fair value | |||
Financial liabilities at fair value through profit or loss | (2,529) | (2,031) | |
Equity securities [member] | |||
Available-for-sale securities | |||
Available-for-sale securities | 355,610 | 366,665 | |
Securities at fair value through profit or loss | |||
Securities at fair value through profit or loss | 53,918 | 54,718 | |
Debt securities [member] | |||
Available-for-sale securities | |||
Available-for-sale securities | 455,124 | 399,758 | |
Securities at fair value through profit or loss | |||
Securities at fair value through profit or loss | 82,891 | 154,406 | |
Fair value [member] | |||
Securities at fair value through profit or loss | |||
Securities at fair value through profit or loss | [1] | 136,809 | 209,124 |
Total | 926,706 | 954,710 | |
Liabilities measured at fair value | |||
Financial liabilities at fair value through profit or loss | [1] | (2,529) | (2,031) |
Investment contracts at fair value through profit or loss | (12) | (12) | |
Total | (2,541) | (2,043) | |
Fair value [member] | Quoted prices in active markets level 1 [member] | |||
Securities at fair value through profit or loss | |||
Total | 305,172 | 301,746 | |
Liabilities measured at fair value | |||
Financial liabilities at fair value through profit or loss | (2,529) | (2,031) | |
Investment contracts at fair value through profit or loss | (12) | (12) | |
Total | (2,541) | (2,043) | |
Fair value [member] | Significant observable inputs level 2 [member] | |||
Securities at fair value through profit or loss | |||
Total | 474,435 | 561,725 | |
Liabilities measured at fair value | |||
Financial liabilities at fair value through profit or loss | 0 | 0 | |
Investment contracts at fair value through profit or loss | 0 | 0 | |
Total | 0 | 0 | |
Fair value [member] | Significant unobservable inputs level 3 [member] | |||
Securities at fair value through profit or loss | |||
Total | 147,099 | 91,239 | |
Liabilities measured at fair value | |||
Financial liabilities at fair value through profit or loss | 0 | 0 | |
Investment contracts at fair value through profit or loss | 0 | 0 | |
Total | 0 | 0 | |
Fair value [member] | Equity securities [member] | |||
Available-for-sale securities | |||
Available-for-sale securities | 334,773 | 345,828 | |
Securities at fair value through profit or loss | |||
Securities at fair value through profit or loss | 53,918 | 54,718 | |
Fair value [member] | Equity securities [member] | Quoted prices in active markets level 1 [member] | |||
Available-for-sale securities | |||
Available-for-sale securities | 196,673 | 183,222 | |
Securities at fair value through profit or loss | |||
Securities at fair value through profit or loss | 52,300 | 52,790 | |
Fair value [member] | Equity securities [member] | Significant observable inputs level 2 [member] | |||
Available-for-sale securities | |||
Available-for-sale securities | 48,989 | 86,161 | |
Securities at fair value through profit or loss | |||
Securities at fair value through profit or loss | 963 | 867 | |
Fair value [member] | Equity securities [member] | Significant unobservable inputs level 3 [member] | |||
Available-for-sale securities | |||
Available-for-sale securities | 89,111 | 76,445 | |
Securities at fair value through profit or loss | |||
Securities at fair value through profit or loss | 655 | 1,061 | |
Fair value [member] | Debt securities [member] | |||
Available-for-sale securities | |||
Available-for-sale securities | 455,124 | 399,758 | |
Securities at fair value through profit or loss | |||
Securities at fair value through profit or loss | 82,891 | 154,406 | |
Fair value [member] | Debt securities [member] | Quoted prices in active markets level 1 [member] | |||
Available-for-sale securities | |||
Available-for-sale securities | 46,898 | 28,562 | |
Securities at fair value through profit or loss | |||
Securities at fair value through profit or loss | 9,301 | 37,172 | |
Fair value [member] | Debt securities [member] | Significant observable inputs level 2 [member] | |||
Available-for-sale securities | |||
Available-for-sale securities | 350,893 | 357,463 | |
Securities at fair value through profit or loss | |||
Securities at fair value through profit or loss | 73,590 | 117,234 | |
Fair value [member] | Debt securities [member] | Significant unobservable inputs level 3 [member] | |||
Available-for-sale securities | |||
Available-for-sale securities | 57,333 | 13,733 | |
Securities at fair value through profit or loss | |||
Securities at fair value through profit or loss | ¥ 0 | ¥ 0 | |
[1] | The estimates and judgements to determine the fair value of financial assets are described in Note 3.2. |
Risk Management - Changes in Le
Risk Management - Changes in Level 3 Assets (Detail) - CNY (¥) ¥ in Millions | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Changes in fair value measurement assets [line items] | ||
Opening balance | ¥ 2,696,951 | |
Closing balance | 2,897,591 | ¥ 2,696,951 |
Significant unobservable inputs level 3 [member] | Fair value [member] | ||
Changes in fair value measurement assets [line items] | ||
Opening balance | 91,239 | 64,728 |
Purchases | 63,106 | 26,032 |
Transferred into Level 3 | 3,537 | 2,454 |
Transferred out of Level 3 | (6,657) | (3,938) |
Total gains/(losses) recorded in profit or loss | (42) | (67) |
Total gains/(losses) recorded in other comprehensive income | (204) | 2,331 |
Disposals | (90) | |
Maturity | (3,790) | (301) |
Closing balance | 147,099 | 91,239 |
Available-for-sale securities [member] | Significant unobservable inputs level 3 [member] | Debt securities [member] | Fair value [member] | ||
Changes in fair value measurement assets [line items] | ||
Opening balance | 13,733 | 501 |
Purchases | 47,909 | 13,533 |
Transferred into Level 3 | 0 | 0 |
Transferred out of Level 3 | 0 | 0 |
Total gains/(losses) recorded in profit or loss | 0 | 0 |
Total gains/(losses) recorded in other comprehensive income | (519) | 0 |
Disposals | 0 | |
Maturity | (3,790) | (301) |
Closing balance | 57,333 | 13,733 |
Available-for-sale securities [member] | Significant unobservable inputs level 3 [member] | Equity securities [member] | Fair value [member] | ||
Changes in fair value measurement assets [line items] | ||
Opening balance | 76,445 | 62,343 |
Purchases | 15,197 | 12,499 |
Transferred into Level 3 | 2,842 | 1,326 |
Transferred out of Level 3 | (5,598) | (2,054) |
Total gains/(losses) recorded in profit or loss | 0 | 0 |
Total gains/(losses) recorded in other comprehensive income | 315 | 2,331 |
Disposals | (90) | |
Maturity | 0 | 0 |
Closing balance | 89,111 | 76,445 |
Securities at fair value through profit or loss [member] | Significant unobservable inputs level 3 [member] | Equity securities [member] | Fair value [member] | ||
Changes in fair value measurement assets [line items] | ||
Opening balance | 1,061 | 1,884 |
Purchases | 0 | 0 |
Transferred into Level 3 | 695 | 1,128 |
Transferred out of Level 3 | (1,059) | (1,884) |
Total gains/(losses) recorded in profit or loss | (42) | (67) |
Total gains/(losses) recorded in other comprehensive income | 0 | 0 |
Disposals | 0 | |
Maturity | 0 | 0 |
Closing balance | ¥ 655 | ¥ 1,061 |
Segment Information - Additiona
Segment Information - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2017Segments | |
Disclosure of operating segments [abstract] | |
Number of operating segments | 4 |
Segment Information - Financial
Segment Information - Financial Information of Operating Segments (Detail) - CNY (¥) ¥ in Millions | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Revenues | ||||
Gross written premiums | ¥ 511,966 | ¥ 430,498 | ¥ 363,971 | |
Net premiums earned | 506,910 | 426,230 | 362,301 | |
Investment income | 122,727 | 109,147 | 97,582 | |
Net realised gains/(losses) on financial assets | 42 | 6,038 | 32,297 | |
Net fair value gains/ (losses) through profit or loss | 6,183 | (7,094) | 10,209 | |
Other income | 7,493 | 6,460 | 5,060 | |
Including: inter-segment revenue | 0 | 0 | 0 | |
Total revenues | 643,355 | 540,781 | 507,449 | |
BENEFITS, CLAIMS AND EXPENSES | ||||
Life insurance death and other benefits | (259,708) | (253,157) | (221,701) | |
Accident and health claims and claim adjustment expenses | (33,818) | (27,269) | (21,009) | |
Increase in insurance contract liabilities | (172,517) | (126,619) | (109,509) | |
Investment contract benefits | (8,076) | (5,316) | (2,264) | |
Policyholder dividends resulting from participation in profits | (21,871) | (15,883) | (33,491) | |
Underwriting and policy acquisition costs | (64,789) | (52,022) | (35,569) | |
Finance costs | (4,601) | (4,767) | (4,320) | |
Administrative expenses | (35,953) | (31,854) | (27,458) | |
Other expenses | (6,426) | (4,859) | (7,428) | |
Including: inter-segment expenses | 0 | 0 | 0 | |
Statutory insurance fund contribution | (1,068) | (1,048) | (743) | |
Total benefits, claims and expenses | (608,827) | (522,794) | (463,492) | |
Share of profit of associates and joint ventures, net | 7,143 | 5,855 | 1,974 | |
Segment results | 41,671 | 23,842 | 45,931 | |
Income tax | (8,919) | (4,257) | (10,744) | |
Net Profit/(loss) | 32,752 | 19,585 | 35,187 | |
Attributable to | ||||
Equity holders of the Company | 32,253 | 19,127 | 34,699 | |
Non-controlling interests | 499 | 458 | 488 | |
Other comprehensive income attributable to equity holders of the Company | (7,912) | (25,774) | 7,076 | |
Depreciation and amortisation | 2,240 | 2,083 | 2,036 | |
ASSETS | ||||
Financial assets (including cash and cash equivalents) | 2,640,596 | 2,508,300 | ||
Others | 178,575 | 135,198 | ||
Segment assets | 2,819,171 | 2,643,498 | ||
Unallocated | ||||
Property, plant and equipment | 42,707 | 30,389 | 26,974 | |
Others | 35,713 | 23,064 | ||
Total | 2,897,591 | 2,696,951 | ||
Liabilities | ||||
Insurance contracts | 2,025,133 | 1,847,986 | ||
Investment contracts | [1] | 232,500 | 195,706 | |
Securities sold under agreements to repurchase | 87,309 | 81,088 | ||
Others | 66,558 | 95,372 | ||
Segment liabilities | 2,411,500 | 2,220,152 | ||
Unallocated | ||||
Others | 160,781 | 169,151 | ||
Total | 2,572,281 | 2,389,303 | ||
Operating segments [member] | Life [member] | ||||
Revenues | ||||
Gross written premiums | 429,822 | 361,905 | 308,169 | |
Net premiums earned | 429,267 | 361,649 | 308,081 | |
Investment income | 115,316 | 103,723 | 93,819 | |
Net realised gains/(losses) on financial assets | 41 | 5,823 | 31,259 | |
Net fair value gains/ (losses) through profit or loss | 5,690 | (6,436) | 9,863 | |
Other income | 1,276 | 1,345 | 1,074 | |
Including: inter-segment revenue | 0 | 0 | 0 | |
Total revenues | 551,590 | 466,104 | 444,096 | |
BENEFITS, CLAIMS AND EXPENSES | ||||
Life insurance death and other benefits | (257,300) | (251,155) | (219,944) | |
Accident and health claims and claim adjustment expenses | 0 | 0 | 0 | |
Increase in insurance contract liabilities | (152,110) | (109,767) | (93,668) | |
Investment contract benefits | (7,798) | (5,091) | (2,076) | |
Policyholder dividends resulting from participation in profits | (21,748) | (15,787) | (33,328) | |
Underwriting and policy acquisition costs | (48,781) | (38,459) | (24,921) | |
Finance costs | (3,967) | (4,395) | (4,054) | |
Administrative expenses | (24,286) | (22,248) | (18,293) | |
Other expenses | (5,508) | (3,666) | (6,345) | |
Including: inter-segment expenses | (1,071) | (853) | (1,044) | |
Statutory insurance fund contribution | (777) | (804) | (546) | |
Total benefits, claims and expenses | (522,275) | (451,372) | (403,175) | |
Share of profit of associates and joint ventures, net | 0 | 0 | 0 | |
Segment results | 29,315 | 14,732 | 40,921 | |
Attributable to | ||||
Other comprehensive income attributable to equity holders of the Company | (7,838) | (23,433) | 6,359 | |
Depreciation and amortisation | 1,513 | 1,490 | 1,388 | |
ASSETS | ||||
Financial assets (including cash and cash equivalents) | 2,478,739 | 2,379,782 | ||
Others | 8,402 | 8,165 | ||
Segment assets | 2,487,141 | 2,387,947 | ||
Liabilities | ||||
Insurance contracts | 1,914,597 | 1,762,363 | ||
Investment contracts | 218,436 | 183,773 | ||
Securities sold under agreements to repurchase | 81,163 | 77,649 | ||
Others | 41,888 | 73,277 | ||
Segment liabilities | 2,256,084 | 2,097,062 | ||
Operating segments [member] | Life [member] | Term life [member] | ||||
Revenues | ||||
Gross written premiums | 4,110 | 3,871 | 3,476 | |
Operating segments [member] | Life [member] | Whole life [member] | ||||
Revenues | ||||
Gross written premiums | 36,496 | 29,524 | 28,119 | |
Operating segments [member] | Life [member] | Endowment [member] | ||||
Revenues | ||||
Gross written premiums | 198,418 | 188,415 | 177,871 | |
Operating segments [member] | Life [member] | Annuity [member] | ||||
Revenues | ||||
Gross written premiums | 190,798 | 140,095 | 98,703 | |
Operating segments [member] | Health [member] | ||||
Revenues | ||||
Gross written premiums | 67,708 | 54,010 | 42,041 | |
Net premiums earned | 63,323 | 50,590 | 40,855 | |
Investment income | 5,454 | 4,122 | 2,983 | |
Net realised gains/(losses) on financial assets | 2 | 231 | 992 | |
Net fair value gains/ (losses) through profit or loss | 269 | (255) | 313 | |
Other income | 75 | 86 | 61 | |
Including: inter-segment revenue | 0 | 0 | 0 | |
Total revenues | 69,123 | 54,774 | 45,204 | |
BENEFITS, CLAIMS AND EXPENSES | ||||
Life insurance death and other benefits | (2,383) | (1,977) | (1,737) | |
Accident and health claims and claim adjustment expenses | (27,992) | (21,958) | (16,858) | |
Increase in insurance contract liabilities | (20,249) | (16,578) | (15,803) | |
Investment contract benefits | (278) | (225) | (188) | |
Policyholder dividends resulting from participation in profits | (123) | (96) | (163) | |
Underwriting and policy acquisition costs | (8,494) | (6,906) | (5,528) | |
Finance costs | (187) | (174) | (129) | |
Administrative expenses | (5,615) | (4,373) | (3,811) | |
Other expenses | (376) | (256) | (327) | |
Including: inter-segment expenses | (51) | (34) | (33) | |
Statutory insurance fund contribution | (180) | (138) | (103) | |
Total benefits, claims and expenses | (65,877) | (52,681) | (44,647) | |
Share of profit of associates and joint ventures, net | 0 | 0 | 0 | |
Segment results | 3,246 | 2,093 | 557 | |
Attributable to | ||||
Other comprehensive income attributable to equity holders of the Company | (370) | (930) | 202 | |
Depreciation and amortisation | 351 | 257 | 263 | |
ASSETS | ||||
Financial assets (including cash and cash equivalents) | 114,045 | 92,220 | ||
Others | 8,149 | 6,776 | ||
Segment assets | 122,194 | 98,996 | ||
Liabilities | ||||
Insurance contracts | 102,190 | 77,837 | ||
Investment contracts | 14,064 | 11,933 | ||
Securities sold under agreements to repurchase | 3,832 | 3,081 | ||
Others | 3,123 | 3,563 | ||
Segment liabilities | 123,209 | 96,414 | ||
Operating segments [member] | Health [member] | Term life [member] | ||||
Revenues | ||||
Gross written premiums | 0 | 0 | 0 | |
Operating segments [member] | Health [member] | Whole life [member] | ||||
Revenues | ||||
Gross written premiums | 0 | 0 | 0 | |
Operating segments [member] | Health [member] | Endowment [member] | ||||
Revenues | ||||
Gross written premiums | 0 | 0 | 0 | |
Operating segments [member] | Health [member] | Annuity [member] | ||||
Revenues | ||||
Gross written premiums | 0 | 0 | 0 | |
Operating segments [member] | Accident [member] | ||||
Revenues | ||||
Gross written premiums | 14,436 | 14,583 | 13,761 | |
Net premiums earned | 14,320 | 13,991 | 13,365 | |
Investment income | 456 | 403 | 344 | |
Net realised gains/(losses) on financial assets | 0 | 23 | 115 | |
Net fair value gains/ (losses) through profit or loss | 23 | (25) | 36 | |
Other income | 0 | 0 | 0 | |
Including: inter-segment revenue | 0 | 0 | 0 | |
Total revenues | 14,799 | 14,392 | 13,860 | |
BENEFITS, CLAIMS AND EXPENSES | ||||
Life insurance death and other benefits | (25) | (25) | (20) | |
Accident and health claims and claim adjustment expenses | (5,826) | (5,311) | (4,151) | |
Increase in insurance contract liabilities | (158) | (274) | (38) | |
Investment contract benefits | 0 | 0 | 0 | |
Policyholder dividends resulting from participation in profits | 0 | 0 | 0 | |
Underwriting and policy acquisition costs | (4,565) | (4,441) | (3,813) | |
Finance costs | (16) | (17) | (15) | |
Administrative expenses | (3,423) | (2,899) | (3,136) | |
Other expenses | (147) | (467) | (840) | |
Including: inter-segment expenses | (4) | (3) | (4) | |
Statutory insurance fund contribution | (111) | (106) | (94) | |
Total benefits, claims and expenses | (14,271) | (13,540) | (12,107) | |
Share of profit of associates and joint ventures, net | 0 | 0 | 0 | |
Segment results | 528 | 852 | 1,753 | |
Attributable to | ||||
Other comprehensive income attributable to equity holders of the Company | (31) | (91) | 23 | |
Depreciation and amortisation | 216 | 196 | 240 | |
ASSETS | ||||
Financial assets (including cash and cash equivalents) | 9,390 | 8,906 | ||
Others | 552 | 491 | ||
Segment assets | 9,942 | 9,397 | ||
Liabilities | ||||
Insurance contracts | 8,346 | 7,786 | ||
Investment contracts | 0 | 0 | ||
Securities sold under agreements to repurchase | 321 | 302 | ||
Others | 224 | 338 | ||
Segment liabilities | 8,891 | 8,426 | ||
Operating segments [member] | Accident [member] | Term life [member] | ||||
Revenues | ||||
Gross written premiums | 0 | 0 | 0 | |
Operating segments [member] | Accident [member] | Whole life [member] | ||||
Revenues | ||||
Gross written premiums | 0 | 0 | 0 | |
Operating segments [member] | Accident [member] | Endowment [member] | ||||
Revenues | ||||
Gross written premiums | 0 | 0 | 0 | |
Operating segments [member] | Accident [member] | Annuity [member] | ||||
Revenues | ||||
Gross written premiums | 0 | 0 | 0 | |
Operating segments [member] | Others [member] | ||||
Revenues | ||||
Gross written premiums | 0 | 0 | 0 | |
Net premiums earned | 0 | 0 | 0 | |
Investment income | 1,501 | 899 | 436 | |
Net realised gains/(losses) on financial assets | (1) | (39) | (69) | |
Net fair value gains/ (losses) through profit or loss | 201 | (378) | (3) | |
Other income | 7,268 | 5,919 | 5,006 | |
Including: inter-segment revenue | 1,126 | 890 | 1,081 | |
Total revenues | 8,969 | 6,401 | 5,370 | |
BENEFITS, CLAIMS AND EXPENSES | ||||
Life insurance death and other benefits | 0 | 0 | 0 | |
Accident and health claims and claim adjustment expenses | 0 | 0 | 0 | |
Increase in insurance contract liabilities | 0 | 0 | 0 | |
Investment contract benefits | 0 | 0 | 0 | |
Policyholder dividends resulting from participation in profits | 0 | 0 | 0 | |
Underwriting and policy acquisition costs | (2,949) | (2,216) | (1,307) | |
Finance costs | (431) | (181) | (122) | |
Administrative expenses | (2,629) | (2,334) | (2,218) | |
Other expenses | (1,521) | (1,360) | (997) | |
Including: inter-segment expenses | 0 | 0 | 0 | |
Statutory insurance fund contribution | 0 | 0 | 0 | |
Total benefits, claims and expenses | (7,530) | (6,091) | (4,644) | |
Share of profit of associates and joint ventures, net | 7,143 | 5,855 | 1,974 | |
Segment results | 8,582 | 6,165 | 2,700 | |
Attributable to | ||||
Other comprehensive income attributable to equity holders of the Company | 327 | (1,320) | 492 | |
Depreciation and amortisation | 160 | 140 | 145 | |
ASSETS | ||||
Financial assets (including cash and cash equivalents) | 38,422 | 27,392 | ||
Others | 161,472 | 119,766 | ||
Segment assets | 199,894 | 147,158 | ||
Liabilities | ||||
Insurance contracts | 0 | 0 | ||
Investment contracts | 0 | 0 | ||
Securities sold under agreements to repurchase | 1,993 | 56 | ||
Others | 21,323 | 18,194 | ||
Segment liabilities | 23,316 | 18,250 | ||
Operating segments [member] | Others [member] | Term life [member] | ||||
Revenues | ||||
Gross written premiums | 0 | 0 | 0 | |
Operating segments [member] | Others [member] | Whole life [member] | ||||
Revenues | ||||
Gross written premiums | 0 | 0 | 0 | |
Operating segments [member] | Others [member] | Endowment [member] | ||||
Revenues | ||||
Gross written premiums | 0 | 0 | 0 | |
Operating segments [member] | Others [member] | Annuity [member] | ||||
Revenues | ||||
Gross written premiums | 0 | 0 | 0 | |
Elimination [member] | ||||
Revenues | ||||
Gross written premiums | 0 | 0 | 0 | |
Net premiums earned | 0 | 0 | 0 | |
Investment income | 0 | 0 | 0 | |
Net realised gains/(losses) on financial assets | 0 | 0 | 0 | |
Net fair value gains/ (losses) through profit or loss | 0 | 0 | 0 | |
Other income | (1,126) | (890) | (1,081) | |
Including: inter-segment revenue | (1,126) | (890) | (1,081) | |
Total revenues | (1,126) | (890) | (1,081) | |
BENEFITS, CLAIMS AND EXPENSES | ||||
Life insurance death and other benefits | 0 | 0 | 0 | |
Accident and health claims and claim adjustment expenses | 0 | 0 | 0 | |
Increase in insurance contract liabilities | 0 | 0 | 0 | |
Investment contract benefits | 0 | 0 | 0 | |
Policyholder dividends resulting from participation in profits | 0 | 0 | 0 | |
Underwriting and policy acquisition costs | 0 | 0 | 0 | |
Finance costs | 0 | 0 | 0 | |
Administrative expenses | 0 | 0 | 0 | |
Other expenses | 1,126 | 890 | 1,081 | |
Including: inter-segment expenses | 1,126 | 890 | 1,081 | |
Statutory insurance fund contribution | 0 | 0 | 0 | |
Total benefits, claims and expenses | 1,126 | 890 | 1,081 | |
Share of profit of associates and joint ventures, net | 0 | 0 | 0 | |
Segment results | 0 | 0 | 0 | |
Attributable to | ||||
Other comprehensive income attributable to equity holders of the Company | 0 | 0 | 0 | |
Depreciation and amortisation | 0 | 0 | 0 | |
ASSETS | ||||
Financial assets (including cash and cash equivalents) | 0 | 0 | ||
Others | 0 | 0 | ||
Segment assets | 0 | 0 | ||
Liabilities | ||||
Insurance contracts | 0 | 0 | ||
Investment contracts | 0 | 0 | ||
Securities sold under agreements to repurchase | 0 | 0 | ||
Others | 0 | 0 | ||
Segment liabilities | 0 | 0 | ||
Elimination [member] | Term life [member] | ||||
Revenues | ||||
Gross written premiums | 0 | 0 | 0 | |
Elimination [member] | Whole life [member] | ||||
Revenues | ||||
Gross written premiums | 0 | 0 | 0 | |
Elimination [member] | Endowment [member] | ||||
Revenues | ||||
Gross written premiums | 0 | 0 | 0 | |
Elimination [member] | Annuity [member] | ||||
Revenues | ||||
Gross written premiums | ¥ 0 | ¥ 0 | ¥ 0 | |
[1] | Investment contracts at fair value through profit or loss have quoted prices in active markets, and therefore, their fair value was classified as Level 1. The fair value of policy loans approximated its carrying value. The fair values of other loans, investment contracts at amortised cost and bonds payable were determined using valuation techniques, with consideration of the present value of expected cash flows arising from contracts using a risk-adjusted discount rate, allowing for the risk-free rate available on the valuation date, credit risk and risk margin associated with the future cash flows. The fair values of other loans and investment contracts at amortised cost, and bonds payable were classified as Level 3. |
Property, Plant and Equipment -
Property, Plant and Equipment - Summary of Property, Plant and Equipment (Detail) - CNY (¥) ¥ in Millions | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of detailed information about property, plant and equipment [Line Items] | ||
Beginning balance | ¥ 30,389 | ¥ 26,974 |
Ending balance | 42,707 | 30,389 |
Cost [member] | ||
Disclosure of detailed information about property, plant and equipment [Line Items] | ||
Beginning balance | 45,724 | 41,129 |
Transfers upon completion | (86) | (6) |
Additions | 16,454 | 5,779 |
Transfers into investment properties | (1,931) | |
Disposals | (902) | (1,178) |
Ending balance | 59,259 | 45,724 |
Accumulated depreciation [member] | ||
Disclosure of detailed information about property, plant and equipment [Line Items] | ||
Beginning balance | (15,311) | (14,131) |
Charge for the year | (1,910) | (1,801) |
Disposals | 693 | 621 |
Ending balance | (16,528) | (15,311) |
Impairment [member] | ||
Disclosure of detailed information about property, plant and equipment [Line Items] | ||
Beginning balance | (24) | (24) |
Charge for the year | 0 | 0 |
Transfers into investment properties | 0 | |
Disposals | 0 | 0 |
Ending balance | (24) | (24) |
Buildings [member] | ||
Disclosure of detailed information about property, plant and equipment [Line Items] | ||
Beginning balance | 17,027 | 16,783 |
Ending balance | 23,185 | 17,027 |
Buildings [member] | Cost [member] | ||
Disclosure of detailed information about property, plant and equipment [Line Items] | ||
Beginning balance | 25,362 | 24,253 |
Transfers upon completion | 7,073 | 1,176 |
Additions | 70 | 37 |
Transfers into investment properties | 0 | |
Disposals | (48) | (104) |
Ending balance | 32,457 | 25,362 |
Buildings [member] | Accumulated depreciation [member] | ||
Disclosure of detailed information about property, plant and equipment [Line Items] | ||
Beginning balance | (8,311) | (7,446) |
Charge for the year | (953) | (901) |
Disposals | 16 | 36 |
Ending balance | (9,248) | (8,311) |
Buildings [member] | Impairment [member] | ||
Disclosure of detailed information about property, plant and equipment [Line Items] | ||
Beginning balance | (24) | (24) |
Charge for the year | 0 | 0 |
Transfers into investment properties | 0 | |
Disposals | 0 | 0 |
Ending balance | (24) | (24) |
Office equipment, furniture and fixtures [member] | ||
Disclosure of detailed information about property, plant and equipment [Line Items] | ||
Beginning balance | 1,903 | 1,878 |
Ending balance | 1,751 | 1,903 |
Office equipment, furniture and fixtures [member] | Cost [member] | ||
Disclosure of detailed information about property, plant and equipment [Line Items] | ||
Beginning balance | 6,837 | 6,616 |
Transfers upon completion | 49 | |
Additions | 450 | 653 |
Transfers into investment properties | 0 | |
Disposals | (463) | (432) |
Ending balance | 6,873 | 6,837 |
Office equipment, furniture and fixtures [member] | Accumulated depreciation [member] | ||
Disclosure of detailed information about property, plant and equipment [Line Items] | ||
Beginning balance | (4,934) | (4,738) |
Charge for the year | (632) | (622) |
Disposals | 444 | 426 |
Ending balance | (5,122) | (4,934) |
Office equipment, furniture and fixtures [member] | Impairment [member] | ||
Disclosure of detailed information about property, plant and equipment [Line Items] | ||
Beginning balance | 0 | 0 |
Charge for the year | 0 | 0 |
Transfers into investment properties | 0 | |
Disposals | 0 | 0 |
Ending balance | 0 | 0 |
Motor vehicles [member] | ||
Disclosure of detailed information about property, plant and equipment [Line Items] | ||
Beginning balance | 426 | 382 |
Ending balance | 448 | 426 |
Motor vehicles [member] | Cost [member] | ||
Disclosure of detailed information about property, plant and equipment [Line Items] | ||
Beginning balance | 1,424 | 1,387 |
Transfers upon completion | 0 | |
Additions | 174 | 177 |
Transfers into investment properties | 0 | |
Disposals | (195) | (140) |
Ending balance | 1,403 | 1,424 |
Motor vehicles [member] | Accumulated depreciation [member] | ||
Disclosure of detailed information about property, plant and equipment [Line Items] | ||
Beginning balance | (998) | (1,005) |
Charge for the year | (144) | (130) |
Disposals | 187 | 137 |
Ending balance | (955) | (998) |
Motor vehicles [member] | Impairment [member] | ||
Disclosure of detailed information about property, plant and equipment [Line Items] | ||
Beginning balance | 0 | 0 |
Charge for the year | 0 | 0 |
Transfers into investment properties | 0 | |
Disposals | 0 | 0 |
Ending balance | 0 | 0 |
Assets under construction [member] | ||
Disclosure of detailed information about property, plant and equipment [Line Items] | ||
Beginning balance | 10,548 | 7,565 |
Ending balance | 16,696 | 10,548 |
Assets under construction [member] | Cost [member] | ||
Disclosure of detailed information about property, plant and equipment [Line Items] | ||
Beginning balance | 10,548 | 7,565 |
Transfers upon completion | (7,520) | (1,438) |
Additions | 15,747 | 4,896 |
Transfers into investment properties | (1,931) | |
Disposals | (148) | (475) |
Ending balance | 16,696 | 10,548 |
Assets under construction [member] | Accumulated depreciation [member] | ||
Disclosure of detailed information about property, plant and equipment [Line Items] | ||
Beginning balance | 0 | 0 |
Charge for the year | 0 | 0 |
Disposals | 0 | 0 |
Ending balance | 0 | 0 |
Assets under construction [member] | Impairment [member] | ||
Disclosure of detailed information about property, plant and equipment [Line Items] | ||
Beginning balance | 0 | 0 |
Charge for the year | 0 | 0 |
Transfers into investment properties | 0 | |
Disposals | 0 | 0 |
Ending balance | 0 | 0 |
Leasehold improvements [member] | ||
Disclosure of detailed information about property, plant and equipment [Line Items] | ||
Beginning balance | 485 | 366 |
Ending balance | 627 | 485 |
Leasehold improvements [member] | Cost [member] | ||
Disclosure of detailed information about property, plant and equipment [Line Items] | ||
Beginning balance | 1,553 | 1,308 |
Transfers upon completion | 312 | 256 |
Additions | 13 | 16 |
Transfers into investment properties | 0 | |
Disposals | (48) | (27) |
Ending balance | 1,830 | 1,553 |
Leasehold improvements [member] | Accumulated depreciation [member] | ||
Disclosure of detailed information about property, plant and equipment [Line Items] | ||
Beginning balance | (1,068) | (942) |
Charge for the year | (181) | (148) |
Disposals | 46 | 22 |
Ending balance | (1,203) | (1,068) |
Leasehold improvements [member] | Impairment [member] | ||
Disclosure of detailed information about property, plant and equipment [Line Items] | ||
Beginning balance | 0 | 0 |
Charge for the year | 0 | 0 |
Transfers into investment properties | 0 | |
Disposals | 0 | 0 |
Ending balance | ¥ 0 | ¥ 0 |
Property, Plant and Equipment85
Property, Plant and Equipment - Additional Information (Detail) - CNY (¥) ¥ in Millions | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Disclosure of detailed information about property, plant and equipment [Line Items] | |||
Property plant and equipment | ¥ 42,707 | ¥ 30,389 | ¥ 26,974 |
Building in process [member] | |||
Disclosure of detailed information about property, plant and equipment [Line Items] | |||
Property plant and equipment | ¥ 6,209 |
Investment Properties - Summary
Investment Properties - Summary of Investment Properties (Detail) - CNY (¥) ¥ in Millions | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of detailed information about investment property [Line Items] | ||
Investment property at beginning of period | ¥ 1,191 | |
Investment property at ending of period | 3,064 | ¥ 1,191 |
Buildings [member] | ||
Disclosure of detailed information about investment property [Line Items] | ||
Investment property at beginning of period | 1,191 | 1,237 |
Investment property at ending of period | 3,064 | 1,191 |
Buildings [member] | Fair value [member] | ||
Disclosure of detailed information about investment property [Line Items] | ||
Investment property at beginning of period | 2,201 | 2,238 |
Investment property at ending of period | 4,629 | 2,201 |
Buildings [member] | Cost [member] | ||
Disclosure of detailed information about investment property [Line Items] | ||
Investment property at beginning of period | 1,435 | 1,435 |
Additions | 1,931 | 0 |
Investment property at ending of period | 3,366 | 1,435 |
Buildings [member] | Accumulated depreciation [member] | ||
Disclosure of detailed information about investment property [Line Items] | ||
Investment property at beginning of period | (244) | (198) |
Charge for the year | (58) | (46) |
Investment property at ending of period | ¥ (302) | ¥ (244) |
Investment Properties - Additio
Investment Properties - Additional Information (Detail) - CNY (¥) | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Disclosure of detailed information about investment property [Line Items] | |||
Investment properties | ¥ 3,064,000,000 | ¥ 1,191,000,000 | |
Buildings [member] | |||
Disclosure of detailed information about investment property [Line Items] | |||
Investment properties | 3,064,000,000 | 1,191,000,000 | ¥ 1,237,000,000 |
Buildings [member] | Fair value [member] | |||
Disclosure of detailed information about investment property [Line Items] | |||
Investment properties | 4,629,000,000 | 2,201,000,000 | ¥ 2,238,000,000 |
Building in process [member] | |||
Disclosure of detailed information about investment property [Line Items] | |||
Investment properties | ¥ 1,872,000,000 | ¥ 0 |
Investments in Associates and88
Investments in Associates and Joint Ventures - Movement of Investments in Associates and Joint Ventures (Detail) - CNY (¥) ¥ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Investments in subsidiaries, joint ventures and associates [abstract] | |||
Investment in associates and joint ventures, beginning balance | ¥ 119,766 | ¥ 47,175 | |
Change of the cost | 37,110 | 68,387 | |
Share of profit or loss | 7,143 | 5,855 | ¥ 1,974 |
Declared dividends | (1,862) | (820) | |
Other equity movements | (685) | (831) | |
Investment in associates and joint ventures, ending balance | ¥ 161,472 | ¥ 119,766 | ¥ 47,175 |
Investments in Associates and89
Investments in Associates and Joint Ventures - Detailed Information about Movement of Investments in Associates and Joint Ventures (Detail) - CNY (¥) ¥ in Millions | Oct. 31, 2017 | Oct. 30, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Disclosure of Significant Investments in Associates and Joint Ventures [Line Items] | |||||||
Cost | ¥ 136,178 | ||||||
Investment in associates and joint ventures, beginning balance | 119,766 | ¥ 47,175 | |||||
Change of cost | 37,110 | 68,387 | |||||
Share of profit or loss | 7,143 | 5,855 | ¥ 1,974 | ||||
Declared dividends | (1,862) | (820) | |||||
Other equity movements | (685) | (831) | |||||
Provision of impairment | 0 | ||||||
Investment in associates and joint ventures, ending balance | 161,472 | 119,766 | ¥ 47,175 | ||||
Accumulated amount of impairment | (1,010) | ||||||
China Life (Sanya) Health Investment Co. Ltd ("Sanya Company") [member] | |||||||
Disclosure of Significant Investments in Associates and Joint Ventures [Line Items] | |||||||
Cost | 306 | ||||||
Investment in associates and joint ventures, beginning balance | 301 | ||||||
Change of cost | 0 | ||||||
Share of profit or loss | (10) | ||||||
Declared dividends | 0 | ||||||
Other equity movements | 0 | ||||||
Provision of impairment | 0 | ||||||
Investment in associates and joint ventures, ending balance | 291 | 301 | |||||
Accumulated amount of impairment | ¥ 0 | ¥ 0 | |||||
Joint Ventures | China Life (Sanya) Health Investments Co., Ltd ("Sanya Company") | ||||||
Accounting method | Equity Method | ||||||
Percentage of equity interest | 51.00% | 51.00% | |||||
Other joint ventures [member] | |||||||
Disclosure of Significant Investments in Associates and Joint Ventures [Line Items] | |||||||
Cost | [1] | ¥ 33,349 | |||||
Investment in associates and joint ventures, beginning balance | [1] | 16,801 | |||||
Change of cost | [1] | 15,281 | |||||
Share of profit or loss | [1] | (509) | |||||
Declared dividends | [1] | (444) | |||||
Other equity movements | [1] | 454 | |||||
Provision of impairment | [1] | 0 | |||||
Investment in associates and joint ventures, ending balance | [1] | 31,583 | ¥ 16,801 | ||||
Accumulated amount of impairment | [1] | ¥ 0 | |||||
Joint Ventures | [1] | Others | |||||
Accounting method | [1] | Equity Method | |||||
Joint ventures [member] | |||||||
Disclosure of Significant Investments in Associates and Joint Ventures [Line Items] | |||||||
Cost | ¥ 33,655 | ||||||
Investment in associates and joint ventures, beginning balance | 17,102 | ||||||
Change of cost | 15,281 | ||||||
Share of profit or loss | (519) | ||||||
Declared dividends | (444) | ||||||
Other equity movements | 454 | ||||||
Provision of impairment | 0 | ||||||
Investment in associates and joint ventures, ending balance | 31,874 | 17,102 | |||||
Accumulated amount of impairment | ¥ 0 | ||||||
China Guangfa Bank Co. Ltd ("CGB") [member] | |||||||
Disclosure of Significant Investments in Associates and Joint Ventures [Line Items] | |||||||
Associates | [2] | China Guangfa Bank Co., Ltd. ("CGB") | |||||
Accounting Method | [2] | Equity Method | |||||
Cost | [2] | ¥ 32,162 | |||||
Investment in associates and joint ventures, beginning balance | [2] | 50,229 | |||||
Change of cost | [2] | 0 | |||||
Share of profit or loss | [2] | 4,186 | |||||
Declared dividends | [2] | 0 | |||||
Other equity movements | [2] | (956) | |||||
Provision of impairment | [2] | 0 | |||||
Investment in associates and joint ventures, ending balance | [2] | ¥ 53,459 | ¥ 50,229 | ||||
Percentage of equity interest | 43.686% | [2] | 43.686% | ||||
Accumulated amount of impairment | ¥ 0 | ¥ 0 | |||||
Sino-Ocean Group Holding Limited ("Sino-Ocean") [member] | |||||||
Disclosure of Significant Investments in Associates and Joint Ventures [Line Items] | |||||||
Associates | [3] | Sino-Ocean Group Holding Limited ("Sino-Ocean") | |||||
Accounting Method | [3] | Equity Method | |||||
Cost | [3] | ¥ 11,245 | |||||
Investment in associates and joint ventures, beginning balance | [3] | 12,680 | |||||
Change of cost | [3] | 0 | |||||
Share of profit or loss | [3] | 1,201 | |||||
Declared dividends | [3] | (553) | |||||
Other equity movements | [3] | 298 | |||||
Provision of impairment | [3] | 0 | |||||
Investment in associates and joint ventures, ending balance | [3] | ¥ 13,626 | ¥ 12,680 | ||||
Percentage of equity interest | 29.79% | [3] | 29.991% | ||||
Accumulated amount of impairment | ¥ (1,010) | ¥ (1,010) | |||||
China Life Property and Casualty Insurance Company Limited ("CLP&C") [member] | |||||||
Disclosure of Significant Investments in Associates and Joint Ventures [Line Items] | |||||||
Associates | China Life Property & Casualty Insurance Company Limited ("CLP&C") | ||||||
Accounting Method | Equity Method | ||||||
Cost | ¥ 6,000 | ||||||
Investment in associates and joint ventures, beginning balance | 7,929 | ||||||
Change of cost | |||||||
Share of profit or loss | 328 | ||||||
Declared dividends | (69) | ||||||
Other equity movements | (3) | ||||||
Provision of impairment | 0 | ||||||
Investment in associates and joint ventures, ending balance | ¥ 8,185 | ¥ 7,929 | |||||
Percentage of equity interest | 40.00% | 40.00% | |||||
Accumulated amount of impairment | ¥ 0 | ¥ 0 | |||||
COFCO Futures Company Limited ("COFCO Futures") [member] | |||||||
Disclosure of Significant Investments in Associates and Joint Ventures [Line Items] | |||||||
Associates | COFCO Futures Company Limited ("COFCO Futures") | ||||||
Accounting Method | Equity Method | ||||||
Cost | ¥ 1,339 | ||||||
Investment in associates and joint ventures, beginning balance | 1,419 | ||||||
Change of cost | |||||||
Share of profit or loss | 47 | ||||||
Declared dividends | 0 | ||||||
Other equity movements | 0 | ||||||
Provision of impairment | 0 | ||||||
Investment in associates and joint ventures, ending balance | ¥ 1,466 | ¥ 1,419 | |||||
Percentage of equity interest | 35.00% | 35.00% | |||||
Accumulated amount of impairment | ¥ 0 | ¥ 0 | |||||
Sinopec Sichuan to East China Gas Pipeline Co. Ltd ("Pipeline Company") [member] | |||||||
Disclosure of Significant Investments in Associates and Joint Ventures [Line Items] | |||||||
Associates | Sinopec Sichuan to East China Gas Pipeline Co., Ltd. ("Pipeline Company") | ||||||
Accounting Method | Equity Method | ||||||
Cost | ¥ 20,000 | ||||||
Investment in associates and joint ventures, beginning balance | 20,000 | ||||||
Change of cost | |||||||
Share of profit or loss | 1,351 | ||||||
Declared dividends | (20) | ||||||
Other equity movements | 16 | ||||||
Provision of impairment | 0 | ||||||
Investment in associates and joint ventures, ending balance | ¥ 21,347 | ¥ 20,000 | |||||
Percentage of equity interest | 43.86% | 43.86% | |||||
Accumulated amount of impairment | ¥ 0 | ¥ 0 | |||||
China Unicom [member] | |||||||
Disclosure of Significant Investments in Associates and Joint Ventures [Line Items] | |||||||
Associates | [4] | China United Network Communications Limited ("China Unicom") | |||||
Accounting Method | [4] | Equity Method | |||||
Cost | [4] | ¥ 21,829 | |||||
Change of cost | [4] | 21,829 | |||||
Share of profit or loss | [4] | (18) | |||||
Declared dividends | [4] | 0 | |||||
Other equity movements | [4] | (28) | |||||
Provision of impairment | [4] | 0 | |||||
Investment in associates and joint ventures, ending balance | [4] | ¥ 21,783 | |||||
Percentage of equity interest | 10.56% | 0.08% | 10.56% | [4] | |||
Accumulated amount of impairment | ¥ 0 | ||||||
Other Associates [member] | |||||||
Disclosure of Significant Investments in Associates and Joint Ventures [Line Items] | |||||||
Associates | [1] | Others | |||||
Accounting Method | [1] | Equity Method | |||||
Cost | [1] | ¥ 9,948 | |||||
Investment in associates and joint ventures, beginning balance | [1] | 10,407 | |||||
Change of cost | [1] | 0 | |||||
Share of profit or loss | [1] | 567 | |||||
Declared dividends | [1] | (776) | |||||
Other equity movements | [1] | (466) | |||||
Provision of impairment | [1] | 0 | |||||
Investment in associates and joint ventures, ending balance | [1] | 9,732 | 10,407 | ||||
Associates [member] | |||||||
Disclosure of Significant Investments in Associates and Joint Ventures [Line Items] | |||||||
Cost | 102,523 | ||||||
Investment in associates and joint ventures, beginning balance | 102,664 | ||||||
Change of cost | 21,829 | ||||||
Share of profit or loss | 7,662 | ||||||
Declared dividends | (1,418) | ||||||
Other equity movements | (1,139) | ||||||
Provision of impairment | 0 | ||||||
Investment in associates and joint ventures, ending balance | ¥ 129,598 | ¥ 102,664 | |||||
[1] | The Group invested in real estate, industrial logistics assets and other industries through these enterprises. | ||||||
[2] | The Company proposed to subscribe for 1,869,586,305 additional shares offering of CGB at no more than RMB7.01 per share, with a total consideration of RMB13.2 billion. The specific subscription price and quantity will be subject to the adjustment based on the valuation result filed to state-owned assets authority. Upon the completion of transaction, the Company will hold 43.686% of CGB's ownership interest, unchanged from prior to the transaction. As at 31 December 2017, the transaction has been reviewed and approved by the Board of Directors of the Company, and the relevant parties of the transaction have not entered into the contracts. | ||||||
[3] | The 2016 final dividend of HKD0.12 in cash per ordinary share was approved and declared in the Annual General Meeting of Sino-Ocean on 18 May 2017. The Company received a cash dividend amounting to RMB239 million. The 2017 interim dividend of HKD0.167 in cash per ordinary share was approved and declared by the board of directors of Sino-Ocean on 23 August 2017. The Company received a cash dividend amounting to RMB314 million. Sino-Ocean, the Group's associate is listed in Hong Kong. On 29 December 2017 (the last trading day in 2017), the stock price of Sino-Ocean was HKD5.39 per share. As at 31 December 2017, an impairment loss of RMB1.01 billion for the investment in Sino-Ocean had been made by the Group. The Group performed an impairment test to this investment on 31 December 2017. The recoverable amount of this investment valued by the Group approximated to the carrying amount and therefore no impairment loss was made for this investment in 2017. | ||||||
[4] | On 16 August 2017, the Company entered into an agreement to acquire 3,177,159,590 non-public offering of A ordinary shares of China Unicom, with a total consideration of RMB21.7 billion to participate into the Mixed Ownership Reform of China Unicom. Upon the completion of the transaction as at 31 October 2017, the Group's share percentage of China Unicom increased from 0.08% to 10.56%, making the Company the second largest shareholder of China Unicom. In accordance with the articles of China Unicom, the Company is entitled to nominate candidates for the Board of Directors and Supervisors. The candidate of Board of Directors nominated by the Company was approved in the General Meeting of China Unicom on 8 February 2018. The management considered that the Group can exert significant influence upon China Unicom, and therefore accounted for it as an associate. On 29 December 2017 (the last trading day in 2017), the stock price of China Unicom was RMB6.33 per share. As at 31 December 2017, the Company had not yet completed the valuation for fair value of the identifiable net assets of China Unicom. |
Investments in Associates and90
Investments in Associates and Joint Ventures - Detailed Information about Movement of Investments in Associates and Joint Ventures (Parenthetical) (Detail) ¥ / shares in Units, ¥ in Millions | Oct. 31, 2017 | Oct. 30, 2017 | Dec. 31, 2017CNY (¥)¥ / sharesshares | Dec. 31, 2017CNY (¥)¥ / shares$ / shares | Dec. 31, 2016CNY (¥) | Dec. 31, 2016CNY (¥)$ / shares | Dec. 31, 2017$ / shares | Aug. 16, 2017CNY (¥)shares | |
Disclosure of Significant Investments in Associates and Joint Ventures [Line Items] | |||||||||
Impairment loss | ¥ (1,010) | ¥ (1,010) | |||||||
Restricted period of the investment | 36 months | ||||||||
China Guangfa Bank Co. Ltd ("CGB") [member] | |||||||||
Disclosure of Significant Investments in Associates and Joint Ventures [Line Items] | |||||||||
Number of shares acquired | shares | 1,869,586,305 | ||||||||
Total investment in associate | ¥ 13,200 | 13,200 | |||||||
Ownership interest in associate | 43.686% | [1] | 43.686% | ||||||
Impairment loss | ¥ 0 | ¥ 0 | ¥ 0 | ¥ 0 | |||||
Sino-Ocean Group Holding Limited ("Sino-Ocean") [member] | |||||||||
Disclosure of Significant Investments in Associates and Joint Ventures [Line Items] | |||||||||
Per share value | $ / shares | $ 5.39 | ||||||||
Ownership interest in associate | 29.79% | [2] | 29.991% | ||||||
Cash dividend declared, per share | $ / shares | ¥ 0.167 | ¥ 0.120 | |||||||
Cash dividend received | ¥ 314 | ¥ 239 | |||||||
Impairment loss | ¥ (1,010) | ¥ (1,010) | ¥ (1,010) | ¥ (1,010) | |||||
China Unicom [member] | |||||||||
Disclosure of Significant Investments in Associates and Joint Ventures [Line Items] | |||||||||
Per share value | ¥ / shares | ¥ 6.33 | ¥ 6.33 | |||||||
Total investment in associate | ¥ 21,700 | ||||||||
Ownership interest in associate | 10.56% | 0.08% | 10.56% | [3] | |||||
Impairment loss | ¥ 0 | ¥ 0 | |||||||
Number of shares acquired | shares | 3,177,159,590 | ||||||||
Top of range [member] | China Guangfa Bank Co. Ltd ("CGB") [member] | |||||||||
Disclosure of Significant Investments in Associates and Joint Ventures [Line Items] | |||||||||
Per share value | ¥ / shares | ¥ 7.01 | ¥ 7.01 | |||||||
[1] | The Company proposed to subscribe for 1,869,586,305 additional shares offering of CGB at no more than RMB7.01 per share, with a total consideration of RMB13.2 billion. The specific subscription price and quantity will be subject to the adjustment based on the valuation result filed to state-owned assets authority. Upon the completion of transaction, the Company will hold 43.686% of CGB's ownership interest, unchanged from prior to the transaction. As at 31 December 2017, the transaction has been reviewed and approved by the Board of Directors of the Company, and the relevant parties of the transaction have not entered into the contracts. | ||||||||
[2] | The 2016 final dividend of HKD0.12 in cash per ordinary share was approved and declared in the Annual General Meeting of Sino-Ocean on 18 May 2017. The Company received a cash dividend amounting to RMB239 million. The 2017 interim dividend of HKD0.167 in cash per ordinary share was approved and declared by the board of directors of Sino-Ocean on 23 August 2017. The Company received a cash dividend amounting to RMB314 million. Sino-Ocean, the Group's associate is listed in Hong Kong. On 29 December 2017 (the last trading day in 2017), the stock price of Sino-Ocean was HKD5.39 per share. As at 31 December 2017, an impairment loss of RMB1.01 billion for the investment in Sino-Ocean had been made by the Group. The Group performed an impairment test to this investment on 31 December 2017. The recoverable amount of this investment valued by the Group approximated to the carrying amount and therefore no impairment loss was made for this investment in 2017. | ||||||||
[3] | On 16 August 2017, the Company entered into an agreement to acquire 3,177,159,590 non-public offering of A ordinary shares of China Unicom, with a total consideration of RMB21.7 billion to participate into the Mixed Ownership Reform of China Unicom. Upon the completion of the transaction as at 31 October 2017, the Group's share percentage of China Unicom increased from 0.08% to 10.56%, making the Company the second largest shareholder of China Unicom. In accordance with the articles of China Unicom, the Company is entitled to nominate candidates for the Board of Directors and Supervisors. The candidate of Board of Directors nominated by the Company was approved in the General Meeting of China Unicom on 8 February 2018. The management considered that the Group can exert significant influence upon China Unicom, and therefore accounted for it as an associate. On 29 December 2017 (the last trading day in 2017), the stock price of China Unicom was RMB6.33 per share. As at 31 December 2017, the Company had not yet completed the valuation for fair value of the identifiable net assets of China Unicom. |
Investments in Associates and91
Investments in Associates and Joint Ventures - Major Associates and Joint Venture (Detail) | Oct. 31, 2017 | Oct. 30, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | |
China Life (Sanya) Health Investment Co. Ltd ("Sanya Company") [member] | |||||
Disclosure of Significant Investments in Associates and Joint Ventures [Line Items] | |||||
Country of incorporation | PRC | PRC | |||
Percentage of equity interest held | 51.00% | 51.00% | |||
China Guangfa Bank Co. Ltd ("CGB") [member] | |||||
Disclosure of Significant Investments in Associates and Joint Ventures [Line Items] | |||||
Country of incorporation | PRC | PRC | |||
Percentage of equity interest held | 43.686% | [1] | 43.686% | ||
Sino-Ocean Group Holding Limited ("Sino-Ocean") [member] | |||||
Disclosure of Significant Investments in Associates and Joint Ventures [Line Items] | |||||
Country of incorporation | Hong Kong, PRC | Hong Kong, PRC | |||
Percentage of equity interest held | 29.79% | [2] | 29.991% | ||
China Life Property and Casualty Insurance Company Limited ("CLP&C") [member] | |||||
Disclosure of Significant Investments in Associates and Joint Ventures [Line Items] | |||||
Country of incorporation | PRC | PRC | |||
Percentage of equity interest held | 40.00% | 40.00% | |||
COFCO Futures Company Limited ("COFCO Futures") [member] | |||||
Disclosure of Significant Investments in Associates and Joint Ventures [Line Items] | |||||
Country of incorporation | PRC | PRC | |||
Percentage of equity interest held | 35.00% | 35.00% | |||
Sinopec Sichuan to East China Gas Pipeline Co. Ltd ("Pipeline Company") [member] | |||||
Disclosure of Significant Investments in Associates and Joint Ventures [Line Items] | |||||
Country of incorporation | PRC | PRC | |||
Percentage of equity interest held | 43.86% | 43.86% | |||
China Unicom [member] | |||||
Disclosure of Significant Investments in Associates and Joint Ventures [Line Items] | |||||
Country of incorporation | PRC | ||||
Percentage of equity interest held | 10.56% | 0.08% | 10.56% | [3] | |
[1] | The Company proposed to subscribe for 1,869,586,305 additional shares offering of CGB at no more than RMB7.01 per share, with a total consideration of RMB13.2 billion. The specific subscription price and quantity will be subject to the adjustment based on the valuation result filed to state-owned assets authority. Upon the completion of transaction, the Company will hold 43.686% of CGB's ownership interest, unchanged from prior to the transaction. As at 31 December 2017, the transaction has been reviewed and approved by the Board of Directors of the Company, and the relevant parties of the transaction have not entered into the contracts. | ||||
[2] | The 2016 final dividend of HKD0.12 in cash per ordinary share was approved and declared in the Annual General Meeting of Sino-Ocean on 18 May 2017. The Company received a cash dividend amounting to RMB239 million. The 2017 interim dividend of HKD0.167 in cash per ordinary share was approved and declared by the board of directors of Sino-Ocean on 23 August 2017. The Company received a cash dividend amounting to RMB314 million. Sino-Ocean, the Group's associate is listed in Hong Kong. On 29 December 2017 (the last trading day in 2017), the stock price of Sino-Ocean was HKD5.39 per share. As at 31 December 2017, an impairment loss of RMB1.01 billion for the investment in Sino-Ocean had been made by the Group. The Group performed an impairment test to this investment on 31 December 2017. The recoverable amount of this investment valued by the Group approximated to the carrying amount and therefore no impairment loss was made for this investment in 2017. | ||||
[3] | On 16 August 2017, the Company entered into an agreement to acquire 3,177,159,590 non-public offering of A ordinary shares of China Unicom, with a total consideration of RMB21.7 billion to participate into the Mixed Ownership Reform of China Unicom. Upon the completion of the transaction as at 31 October 2017, the Group's share percentage of China Unicom increased from 0.08% to 10.56%, making the Company the second largest shareholder of China Unicom. In accordance with the articles of China Unicom, the Company is entitled to nominate candidates for the Board of Directors and Supervisors. The candidate of Board of Directors nominated by the Company was approved in the General Meeting of China Unicom on 8 February 2018. The management considered that the Group can exert significant influence upon China Unicom, and therefore accounted for it as an associate. On 29 December 2017 (the last trading day in 2017), the stock price of China Unicom was RMB6.33 per share. As at 31 December 2017, the Company had not yet completed the valuation for fair value of the identifiable net assets of China Unicom. |
Investments in Associates and92
Investments in Associates and Joint Ventures - Financial Information of Major Associates and Joint Venture (Detail) - CNY (¥) ¥ in Millions | Oct. 31, 2017 | Oct. 30, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
Disclosure of Significant Investments in Associates and Joint Ventures [Line Items] | ||||||||
Total assets | ¥ 2,897,591 | ¥ 2,696,951 | ||||||
Total liabilities | 2,572,281 | 2,389,303 | ||||||
Total equity | 325,310 | 307,648 | ¥ 326,214 | ¥ 287,331 | ||||
Accumulated amount of impairment | (1,010) | |||||||
Net carrying value of the investments | 161,472 | 119,766 | 47,175 | |||||
Total revenues | 643,355 | 540,781 | 507,449 | |||||
Net Profit/(loss) | 32,752 | 19,585 | 35,187 | |||||
Other comprehensive income | (7,926) | (25,776) | 7,137 | |||||
Total comprehensive income | 24,826 | (6,191) | ¥ 42,324 | |||||
China Life (Sanya) Health Investment Co. Ltd ("Sanya Company") [member] | ||||||||
Disclosure of Significant Investments in Associates and Joint Ventures [Line Items] | ||||||||
Total assets | 888 | 799 | ||||||
Total liabilities | 317 | 208 | ||||||
Total equity | 571 | 591 | ||||||
Total equity attributable to equity holders of the associates and joint ventures | 571 | 591 | ||||||
Total adjustments | [1] | 0 | 0 | |||||
Total equity attributable to equity holders of the associates and joint ventures after adjustments | ¥ 571 | ¥ 591 | ||||||
Proportion of the Group's ownership | 51.00% | 51.00% | ||||||
Gross carrying value of the investments | ¥ 291 | ¥ 301 | ||||||
Accumulated amount of impairment | 0 | 0 | ||||||
Net carrying value of the investments | 291 | 301 | ||||||
Total revenues | 0 | 1 | ||||||
Net Profit/(loss) | (20) | (9) | ||||||
Other comprehensive income | 0 | 0 | ||||||
Total comprehensive income | (20) | (9) | ||||||
China Guangfa Bank Co. Ltd ("CGB") [member] | ||||||||
Disclosure of Significant Investments in Associates and Joint Ventures [Line Items] | ||||||||
Total assets | 2,072,915 | 2,047,592 | ||||||
Total liabilities | 1,959,069 | 1,941,618 | ||||||
Total equity | 113,846 | 105,974 | ||||||
Total equity attributable to equity holders of the associates and joint ventures | 113,846 | 105,974 | ||||||
Total adjustments | [1] | 2,267 | 3,163 | |||||
Total equity attributable to equity holders of the associates and joint ventures after adjustments | ¥ 116,113 | ¥ 109,137 | ||||||
Proportion of the Group's ownership | 43.686% | [2] | 43.686% | |||||
Gross carrying value of the investments | ¥ 53,459 | ¥ 50,229 | ||||||
Accumulated amount of impairment | 0 | 0 | ||||||
Net carrying value of the investments | [2] | 53,459 | 50,229 | |||||
Total revenues | 50,531 | 55,276 | ||||||
Net Profit/(loss) | 10,204 | 9,504 | ||||||
Other comprehensive income | (2,332) | (1,070) | ||||||
Total comprehensive income | 7,872 | 8,434 | ||||||
Sino-Ocean Group Holding Limited ("Sino-Ocean") [member] | ||||||||
Disclosure of Significant Investments in Associates and Joint Ventures [Line Items] | ||||||||
Total assets | 191,894 | 151,265 | ||||||
Total liabilities | 133,166 | 101,935 | ||||||
Total equity | 58,728 | 49,330 | ||||||
Total equity attributable to equity holders of the associates and joint ventures | 48,502 | 43,999 | ||||||
Total adjustments | [1] | (2,617) | (1,576) | |||||
Total equity attributable to equity holders of the associates and joint ventures after adjustments | ¥ 45,885 | ¥ 42,423 | ||||||
Proportion of the Group's ownership | 29.79% | [3] | 29.991% | |||||
Gross carrying value of the investments | ¥ 14,636 | ¥ 13,690 | ||||||
Accumulated amount of impairment | (1,010) | (1,010) | ||||||
Net carrying value of the investments | [3] | 13,626 | 12,680 | |||||
Total revenues | 49,236 | 37,748 | ||||||
Net Profit/(loss) | 6,259 | 4,446 | ||||||
Other comprehensive income | 912 | (164) | ||||||
Total comprehensive income | 7,171 | 4,282 | ||||||
China Life Property and Casualty Insurance Company Limited ("CLP&C") [member] | ||||||||
Disclosure of Significant Investments in Associates and Joint Ventures [Line Items] | ||||||||
Total assets | 79,601 | 72,773 | ||||||
Total liabilities | 59,138 | 52,950 | ||||||
Total equity | 20,463 | 19,823 | ||||||
Total equity attributable to equity holders of the associates and joint ventures | 20,463 | 19,823 | ||||||
Total adjustments | [1] | 0 | 0 | |||||
Total equity attributable to equity holders of the associates and joint ventures after adjustments | ¥ 20,463 | ¥ 19,823 | ||||||
Proportion of the Group's ownership | 40.00% | 40.00% | ||||||
Gross carrying value of the investments | ¥ 8,185 | ¥ 7,929 | ||||||
Accumulated amount of impairment | 0 | 0 | ||||||
Net carrying value of the investments | 8,185 | 7,929 | ||||||
Total revenues | 61,142 | 55,728 | ||||||
Net Profit/(loss) | 820 | 1,157 | ||||||
Other comprehensive income | (35) | (526) | ||||||
Total comprehensive income | 785 | 631 | ||||||
COFCO Futures Company Limited ("COFCO Futures") [member] | ||||||||
Disclosure of Significant Investments in Associates and Joint Ventures [Line Items] | ||||||||
Total assets | 10,651 | 11,287 | ||||||
Total liabilities | 8,020 | 8,710 | ||||||
Total equity | 2,631 | 2,577 | ||||||
Total equity attributable to equity holders of the associates and joint ventures | 2,631 | 2,496 | ||||||
Total adjustments | [1] | 0 | 0 | |||||
Total equity attributable to equity holders of the associates and joint ventures after adjustments | ¥ 2,631 | ¥ 2,496 | ||||||
Proportion of the Group's ownership | 35.00% | 35.00% | ||||||
Gross carrying value of the investments | ¥ 1,466 | ¥ 1,419 | ||||||
Accumulated amount of impairment | 0 | 0 | ||||||
Net carrying value of the investments | 1,466 | 1,419 | ||||||
Total revenues | 399 | 375 | ||||||
Net Profit/(loss) | 135 | 66 | ||||||
Other comprehensive income | 0 | 0 | ||||||
Total comprehensive income | 135 | 66 | ||||||
Sinopec Sichuan to East China Gas Pipeline Co. Ltd ("Pipeline Company") [member] | ||||||||
Disclosure of Significant Investments in Associates and Joint Ventures [Line Items] | ||||||||
Total assets | 36,243 | 37,231 | ||||||
Total liabilities | 934 | 5,014 | ||||||
Total equity | 35,309 | 32,217 | ||||||
Total equity attributable to equity holders of the associates and joint ventures | 35,309 | 32,217 | ||||||
Total adjustments | [1] | 676 | 0 | |||||
Total equity attributable to equity holders of the associates and joint ventures after adjustments | ¥ 35,985 | ¥ 32,217 | ||||||
Proportion of the Group's ownership | 43.86% | 43.86% | ||||||
Gross carrying value of the investments | ¥ 21,347 | ¥ 20,000 | ||||||
Accumulated amount of impairment | 0 | 0 | ||||||
Net carrying value of the investments | 21,347 | 20,000 | ||||||
Total revenues | 5,644 | 2,339 | ||||||
Net Profit/(loss) | 3,055 | 631 | ||||||
Other comprehensive income | 0 | 0 | ||||||
Total comprehensive income | 3,055 | ¥ 631 | ||||||
China Unicom [member] | ||||||||
Disclosure of Significant Investments in Associates and Joint Ventures [Line Items] | ||||||||
Total assets | 573,617 | |||||||
Total liabilities | 266,599 | |||||||
Total equity | 307,018 | |||||||
Total equity attributable to equity holders of the associates and joint ventures | 135,393 | |||||||
Total adjustments | [1] | 0 | ||||||
Total equity attributable to equity holders of the associates and joint ventures after adjustments | ¥ 135,393 | |||||||
Proportion of the Group's ownership | 10.56% | 0.08% | 10.56% | [4] | ||||
Gross carrying value of the investments | ¥ 21,783 | |||||||
Accumulated amount of impairment | 0 | |||||||
Net carrying value of the investments | [4] | 21,783 | ||||||
Total revenues | 274,829 | |||||||
Net Profit/(loss) | 1,684 | |||||||
Other comprehensive income | (230) | |||||||
Total comprehensive income | ¥ 1,454 | |||||||
[1] | (i) Including adjustments for the difference of accounting policies, fair value and others. | |||||||
[2] | The Company proposed to subscribe for 1,869,586,305 additional shares offering of CGB at no more than RMB7.01 per share, with a total consideration of RMB13.2 billion. The specific subscription price and quantity will be subject to the adjustment based on the valuation result filed to state-owned assets authority. Upon the completion of transaction, the Company will hold 43.686% of CGB's ownership interest, unchanged from prior to the transaction. As at 31 December 2017, the transaction has been reviewed and approved by the Board of Directors of the Company, and the relevant parties of the transaction have not entered into the contracts. | |||||||
[3] | The 2016 final dividend of HKD0.12 in cash per ordinary share was approved and declared in the Annual General Meeting of Sino-Ocean on 18 May 2017. The Company received a cash dividend amounting to RMB239 million. The 2017 interim dividend of HKD0.167 in cash per ordinary share was approved and declared by the board of directors of Sino-Ocean on 23 August 2017. The Company received a cash dividend amounting to RMB314 million. Sino-Ocean, the Group's associate is listed in Hong Kong. On 29 December 2017 (the last trading day in 2017), the stock price of Sino-Ocean was HKD5.39 per share. As at 31 December 2017, an impairment loss of RMB1.01 billion for the investment in Sino-Ocean had been made by the Group. The Group performed an impairment test to this investment on 31 December 2017. The recoverable amount of this investment valued by the Group approximated to the carrying amount and therefore no impairment loss was made for this investment in 2017. | |||||||
[4] | On 16 August 2017, the Company entered into an agreement to acquire 3,177,159,590 non-public offering of A ordinary shares of China Unicom, with a total consideration of RMB21.7 billion to participate into the Mixed Ownership Reform of China Unicom. Upon the completion of the transaction as at 31 October 2017, the Group's share percentage of China Unicom increased from 0.08% to 10.56%, making the Company the second largest shareholder of China Unicom. In accordance with the articles of China Unicom, the Company is entitled to nominate candidates for the Board of Directors and Supervisors. The candidate of Board of Directors nominated by the Company was approved in the General Meeting of China Unicom on 8 February 2018. The management considered that the Group can exert significant influence upon China Unicom, and therefore accounted for it as an associate. On 29 December 2017 (the last trading day in 2017), the stock price of China Unicom was RMB6.33 per share. As at 31 December 2017, the Company had not yet completed the valuation for fair value of the identifiable net assets of China Unicom. |
Investments in Associates and93
Investments in Associates and Joint Ventures - Financial Information of Major Associates and Joint Venture (Parenthetical) (Detail) - CNY (¥) ¥ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Investments in subsidiaries, joint ventures and associates [abstract] | ||
Capital commitments | ¥ 20,996 | ¥ 2,991 |
Financial Assets - Summary of H
Financial Assets - Summary of Held-to-Maturity Securities (Detail) - CNY (¥) ¥ in Millions | Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of financial assets [Line Items] | |||
Held-to-maturity securities | [1] | ¥ 717,037 | ¥ 594,730 |
Debt securities [member] | |||
Disclosure of financial assets [Line Items] | |||
Held-to-maturity securities | 717,037 | 594,730 | |
Debt securities [member] | Listed in Mainland, PRC [member] | |||
Disclosure of financial assets [Line Items] | |||
Held-to-maturity securities | 91,631 | 64,192 | |
Debt securities [member] | Listed in Hong Kong, PRC [member] | |||
Disclosure of financial assets [Line Items] | |||
Held-to-maturity securities | 136 | 144 | |
Debt securities [member] | Listed in Singapore [member] | |||
Disclosure of financial assets [Line Items] | |||
Held-to-maturity securities | 19 | 20 | |
Debt securities [member] | Unlisted [member] | |||
Disclosure of financial assets [Line Items] | |||
Held-to-maturity securities | 625,251 | 530,374 | |
Debt securities [member] | Government bonds [member] | |||
Disclosure of financial assets [Line Items] | |||
Held-to-maturity securities | 125,866 | 97,196 | |
Debt securities [member] | Government agency bonds [member] | |||
Disclosure of financial assets [Line Items] | |||
Held-to-maturity securities | 241,808 | 169,001 | |
Debt securities [member] | Corporate bonds [member] | |||
Disclosure of financial assets [Line Items] | |||
Held-to-maturity securities | 200,869 | 178,444 | |
Debt securities [member] | Subordinated bonds/debts [member] | |||
Disclosure of financial assets [Line Items] | |||
Held-to-maturity securities | ¥ 148,494 | ¥ 150,089 | |
[1] | The fair value of held-to-maturity securities is determined by reference with other debt securities which are measured by fair value. Please refer to Note 4.3. The fair value of held-to-maturity securities under Level 1 was RMB55,137 million and that under Level 2 was 637,847 million as at 31 December 2017 (as at 31 December 2016: Level 1 RMB76,299 million and Level 2 RMB542,853 million). |
Financial Assets - Additional I
Financial Assets - Additional Information (Detail) - CNY (¥) ¥ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | ||
Disclosure of financial assets [Line Items] | |||
Fair value of all held-to-maturity securities | [1] | ¥ 717,037 | ¥ 594,730 |
Term deposits | ¥ 449,400 | 538,325 | |
Mandatory reserve deposit percentage | 20.00% | ||
CL hotel investor, L.P. [member] | |||
Disclosure of financial assets [Line Items] | |||
Overseas borrowings backed by domestic deposits | ¥ 6,861 | ||
Glorious Fortune Forever Limited [member] | |||
Disclosure of financial assets [Line Items] | |||
Overseas borrowings backed by domestic deposits | 7,080 | ||
Sunny Bamboo Limited and Golden Bamboo Limited [member] | |||
Disclosure of financial assets [Line Items] | |||
Overseas borrowings backed by domestic deposits | 750 | ||
Guo Yang Guo Sheng [member] | |||
Disclosure of financial assets [Line Items] | |||
Term deposits | 2,000 | ||
Current deposit | 1,247 | ||
Term deposits [member] | |||
Disclosure of financial assets [Line Items] | |||
Term deposits | 16,691 | 13,200 | |
Fair value [member] | |||
Disclosure of financial assets [Line Items] | |||
Fair value of all held-to-maturity securities | [1],[2] | 692,984 | 619,152 |
Term deposits | [2] | ¥ 449,400 | ¥ 538,325 |
[1] | The fair value of held-to-maturity securities is determined by reference with other debt securities which are measured by fair value. Please refer to Note 4.3. The fair value of held-to-maturity securities under Level 1 was RMB55,137 million and that under Level 2 was 637,847 million as at 31 December 2017 (as at 31 December 2016: Level 1 RMB76,299 million and Level 2 RMB542,853 million). | ||
[2] | The estimates and judgements to determine the fair value of financial assets are described in Note 3.2. |
Financial Assets - Contractual
Financial Assets - Contractual Maturity Schedule of Held-to-Maturity Securities (Detail) - CNY (¥) ¥ in Millions | Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of financial assets [Line Items] | |||
Held-to-maturity securities | [1] | ¥ 717,037 | ¥ 594,730 |
Not later than one year [member] | |||
Disclosure of financial assets [Line Items] | |||
Held-to-maturity securities | 22,496 | 30,615 | |
Later than one year and not later than five years [member] | |||
Disclosure of financial assets [Line Items] | |||
Held-to-maturity securities | 112,932 | 71,661 | |
After five years but within ten years [member] | |||
Disclosure of financial assets [Line Items] | |||
Held-to-maturity securities | 288,496 | 231,608 | |
After ten years [member] | |||
Disclosure of financial assets [Line Items] | |||
Held-to-maturity securities | ¥ 293,113 | ¥ 260,846 | |
[1] | The fair value of held-to-maturity securities is determined by reference with other debt securities which are measured by fair value. Please refer to Note 4.3. The fair value of held-to-maturity securities under Level 1 was RMB55,137 million and that under Level 2 was 637,847 million as at 31 December 2017 (as at 31 December 2016: Level 1 RMB76,299 million and Level 2 RMB542,853 million). |
Financial Assets - Summary of L
Financial Assets - Summary of Loans (Detail) - CNY (¥) ¥ in Millions | Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of financial assets [Line Items] | |||
Loans | [1] | ¥ 383,504 | ¥ 226,573 |
Policy loans [member] | |||
Disclosure of financial assets [Line Items] | |||
Loans | 107,957 | 92,442 | |
Other loans [member] | |||
Disclosure of financial assets [Line Items] | |||
Loans | [2] | ¥ 275,547 | ¥ 134,131 |
[1] | Investment contracts at fair value through profit or loss have quoted prices in active markets, and therefore, their fair value was classified as Level 1. The fair value of policy loans approximated its carrying value. The fair values of other loans, investment contracts at amortised cost and bonds payable were determined using valuation techniques, with consideration of the present value of expected cash flows arising from contracts using a risk-adjusted discount rate, allowing for the risk-free rate available on the valuation date, credit risk and risk margin associated with the future cash flows. The fair values of other loans and investment contracts at amortised cost, and bonds payable were classified as Level 3. | ||
[2] | Other loans mainly consisted of different types of asset management products. As at 31 December 2017, asset management products of RMB44,835 million (as at 31 December 2016: RMB37,679 million) were owned by the Group, which are issued by CL AMC (including its subsidiaries), a subsidiary of the Company. The total assets of those products were RMB62,015 million (as at 31 December 2016: RMB114,499 million). Meanwhile, the Group also owned asset management products of RMB202,255 million (as at 31 December 2016: RMB77,999 million) issued by other financial institutions. Asset management products are guaranteed by third parties or with pledge, or have the fiscal annual budget income as the source of repayment, or have higher credit rating borrowers. The Group did not guarantee or provide any financing support for other loans, and considers that the carrying value of other loans represents its maximum risk exposure. |
Financial Assets - Summary of98
Financial Assets - Summary of Loans Maturity (Detail) - CNY (¥) ¥ in Millions | Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of financial assets [Line Items] | |||
Loans | [1] | ¥ 383,504 | ¥ 226,573 |
Not later than one year [member] | |||
Disclosure of financial assets [Line Items] | |||
Loans | 128,856 | 112,592 | |
Later than one year and not later than five years [member] | |||
Disclosure of financial assets [Line Items] | |||
Loans | 132,575 | 70,978 | |
After five years but within ten years [member] | |||
Disclosure of financial assets [Line Items] | |||
Loans | 90,556 | 25,503 | |
After ten years [member] | |||
Disclosure of financial assets [Line Items] | |||
Loans | ¥ 31,517 | ¥ 17,500 | |
[1] | Investment contracts at fair value through profit or loss have quoted prices in active markets, and therefore, their fair value was classified as Level 1. The fair value of policy loans approximated its carrying value. The fair values of other loans, investment contracts at amortised cost and bonds payable were determined using valuation techniques, with consideration of the present value of expected cash flows arising from contracts using a risk-adjusted discount rate, allowing for the risk-free rate available on the valuation date, credit risk and risk margin associated with the future cash flows. The fair values of other loans and investment contracts at amortised cost, and bonds payable were classified as Level 3. |
Financial Assets - Summary of99
Financial Assets - Summary of Loans (Parenthetical) (Detail) - CNY (¥) ¥ in Millions | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Disclosure of financial assets [Line Items] | ||||
Loans | [1] | ¥ 383,504 | ¥ 226,573 | |
Investment income | 122,727 | 109,147 | ¥ 97,582 | |
China Life Asset Management Company Limited ("AMC") [member] | ||||
Disclosure of financial assets [Line Items] | ||||
Asset management fee income | 222 | 236 | ||
Other loans [member] | ||||
Disclosure of financial assets [Line Items] | ||||
Loans | [2] | 275,547 | 134,131 | |
Investment income | 10,150 | 6,820 | ||
Other loans [member] | China Life Asset Management Company Limited ("AMC") [member] | ||||
Disclosure of financial assets [Line Items] | ||||
Loans | 44,835 | 37,679 | ||
Amount of asset management products issued | 62,015 | 114,499 | ||
Other loans [member] | Other financial institutions [member] | ||||
Disclosure of financial assets [Line Items] | ||||
Loans | ¥ 202,255 | ¥ 77,999 | ||
[1] | Investment contracts at fair value through profit or loss have quoted prices in active markets, and therefore, their fair value was classified as Level 1. The fair value of policy loans approximated its carrying value. The fair values of other loans, investment contracts at amortised cost and bonds payable were determined using valuation techniques, with consideration of the present value of expected cash flows arising from contracts using a risk-adjusted discount rate, allowing for the risk-free rate available on the valuation date, credit risk and risk margin associated with the future cash flows. The fair values of other loans and investment contracts at amortised cost, and bonds payable were classified as Level 3. | |||
[2] | Other loans mainly consisted of different types of asset management products. As at 31 December 2017, asset management products of RMB44,835 million (as at 31 December 2016: RMB37,679 million) were owned by the Group, which are issued by CL AMC (including its subsidiaries), a subsidiary of the Company. The total assets of those products were RMB62,015 million (as at 31 December 2016: RMB114,499 million). Meanwhile, the Group also owned asset management products of RMB202,255 million (as at 31 December 2016: RMB77,999 million) issued by other financial institutions. Asset management products are guaranteed by third parties or with pledge, or have the fiscal annual budget income as the source of repayment, or have higher credit rating borrowers. The Group did not guarantee or provide any financing support for other loans, and considers that the carrying value of other loans represents its maximum risk exposure. |
Financial Assets - Summary of T
Financial Assets - Summary of Term Deposits Maturity (Detail) - CNY (¥) ¥ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of financial assets [Line Items] | ||
Term deposits | ¥ 449,400 | ¥ 538,325 |
Not later than one year [member] | ||
Disclosure of financial assets [Line Items] | ||
Term deposits | 97,076 | 185,835 |
Later than one year and not later than five years [member] | ||
Disclosure of financial assets [Line Items] | ||
Term deposits | 349,524 | 344,790 |
After five years but within ten years [member] | ||
Disclosure of financial assets [Line Items] | ||
Term deposits | ¥ 2,800 | ¥ 7,700 |
Financial Assets - Summary of R
Financial Assets - Summary of Restricted Statutory Deposits Maturity (Detail) - CNY (¥) ¥ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of financial assets [Line Items] | ||
Statutory deposits - restricted | ¥ 6,333 | ¥ 6,333 |
Not later than one year [member] | ||
Disclosure of financial assets [Line Items] | ||
Statutory deposits - restricted | 3,933 | 1,720 |
Later than one year and not later than five years [member] | ||
Disclosure of financial assets [Line Items] | ||
Statutory deposits - restricted | ¥ 2,400 | ¥ 4,613 |
Financial Assets - Summary of A
Financial Assets - Summary of Available-for-sale Securities (Detail) - CNY (¥) ¥ in Millions | Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of financial assets [Line Items] | |||
Available-for-sale securities | ¥ 810,734 | ¥ 766,423 | |
Debt securities [member] | |||
Disclosure of financial assets [Line Items] | |||
Available-for-sale securities | 455,124 | 399,758 | |
Debt securities [member] | Listed in Mainland, PRC [member] | |||
Disclosure of financial assets [Line Items] | |||
Available-for-sale securities | 44,929 | 37,163 | |
Debt securities [member] | Unlisted [member] | |||
Disclosure of financial assets [Line Items] | |||
Available-for-sale securities | 410,195 | 362,595 | |
Equity securities [member] | |||
Disclosure of financial assets [Line Items] | |||
Available-for-sale securities | 355,610 | 366,665 | |
Equity securities [member] | Listed in Mainland, PRC [member] | |||
Disclosure of financial assets [Line Items] | |||
Available-for-sale securities | 93,384 | 91,011 | |
Equity securities [member] | Listed in Hong Kong, PRC [member] | |||
Disclosure of financial assets [Line Items] | |||
Available-for-sale securities | 41,507 | 25,034 | |
Equity securities [member] | Listed overseas [member] | |||
Disclosure of financial assets [Line Items] | |||
Available-for-sale securities | 132 | 232 | |
Equity securities [member] | Unlisted [member] | |||
Disclosure of financial assets [Line Items] | |||
Available-for-sale securities | 220,587 | 250,388 | |
Financial assets at fair value, class [member] | Debt securities [member] | |||
Disclosure of financial assets [Line Items] | |||
Available-for-sale securities | 455,124 | 399,758 | |
Financial assets at fair value, class [member] | Debt securities [member] | Government bonds [member] | |||
Disclosure of financial assets [Line Items] | |||
Available-for-sale securities | 24,632 | 21,653 | |
Financial assets at fair value, class [member] | Debt securities [member] | Government agency bonds [member] | |||
Disclosure of financial assets [Line Items] | |||
Available-for-sale securities | 157,765 | 146,310 | |
Financial assets at fair value, class [member] | Debt securities [member] | Corporate bonds [member] | |||
Disclosure of financial assets [Line Items] | |||
Available-for-sale securities | 197,133 | 188,337 | |
Financial assets at fair value, class [member] | Debt securities [member] | Subordinated bonds/debts [member] | |||
Disclosure of financial assets [Line Items] | |||
Available-for-sale securities | 13,495 | 16,708 | |
Financial assets at fair value, class [member] | Debt securities [member] | Wealth management products [member] | |||
Disclosure of financial assets [Line Items] | |||
Available-for-sale securities | 430 | 11,321 | |
Financial assets at fair value, class [member] | Debt securities [member] | Others [member] | |||
Disclosure of financial assets [Line Items] | |||
Available-for-sale securities | [1] | 61,669 | 15,429 |
Financial assets at fair value, class [member] | Equity securities [member] | |||
Disclosure of financial assets [Line Items] | |||
Available-for-sale securities | 334,773 | 345,828 | |
Financial assets at fair value, class [member] | Equity securities [member] | Common stocks [member] | |||
Disclosure of financial assets [Line Items] | |||
Available-for-sale securities | 129,424 | 100,131 | |
Financial assets at fair value, class [member] | Equity securities [member] | Preferred stocks [member] | |||
Disclosure of financial assets [Line Items] | |||
Available-for-sale securities | 31,651 | 27,880 | |
Financial assets at fair value, class [member] | Equity securities [member] | Funds [member] | |||
Disclosure of financial assets [Line Items] | |||
Available-for-sale securities | 91,344 | 105,290 | |
Financial assets at fair value, class [member] | Equity securities [member] | Wealth management products [member] | |||
Disclosure of financial assets [Line Items] | |||
Available-for-sale securities | 40,327 | 81,854 | |
Financial assets at fair value, class [member] | Equity securities [member] | Others [member] | |||
Disclosure of financial assets [Line Items] | |||
Available-for-sale securities | [1] | 42,027 | 30,673 |
Financial assets at amortised cost, class [member] | Others [member] | |||
Disclosure of financial assets [Line Items] | |||
Available-for-sale securities | [1] | ¥ 20,837 | ¥ 20,837 |
[1] | Other available-for-sale securities mainly include unlisted equity investments, private equity funds and trust schemes. The Group did not guarantee or provide any financing support for other available-for-sale securities, and considered that the carrying value of other available-for-sale securities represents its maximum risk exposure. |
Financial Assets - Contractu103
Financial Assets - Contractual Maturity Schedule of Available-for-sale Securities (Detail) - CNY (¥) ¥ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of financial assets [Line Items] | ||
Available-for-sale securities | ¥ 810,734 | ¥ 766,423 |
Debt securities [member] | ||
Disclosure of financial assets [Line Items] | ||
Available-for-sale securities | 455,124 | 399,758 |
Debt securities [member] | Not later than one year [member] | ||
Disclosure of financial assets [Line Items] | ||
Available-for-sale securities | 42,410 | 33,261 |
Debt securities [member] | Later than one year and not later than five years [member] | ||
Disclosure of financial assets [Line Items] | ||
Available-for-sale securities | 153,630 | 144,443 |
Debt securities [member] | After five years but within ten years [member] | ||
Disclosure of financial assets [Line Items] | ||
Available-for-sale securities | 167,552 | 113,779 |
Debt securities [member] | After ten years [member] | ||
Disclosure of financial assets [Line Items] | ||
Available-for-sale securities | ¥ 91,532 | ¥ 108,275 |
Financial Assets - Summary of S
Financial Assets - Summary of Securities at Fair Value through Profit or Loss (Detail) - CNY (¥) ¥ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of financial assets [Line Items] | ||
Securities at fair value through profit or loss | ¥ 136,809 | ¥ 209,124 |
Debt securities [member] | ||
Disclosure of financial assets [Line Items] | ||
Securities at fair value through profit or loss | 82,891 | 154,406 |
Debt securities [member] | Listed in Mainland, PRC [member] | ||
Disclosure of financial assets [Line Items] | ||
Securities at fair value through profit or loss | 26,776 | 19,512 |
Debt securities [member] | Listed overseas [member] | ||
Disclosure of financial assets [Line Items] | ||
Securities at fair value through profit or loss | 292 | 89 |
Debt securities [member] | Unlisted [member] | ||
Disclosure of financial assets [Line Items] | ||
Securities at fair value through profit or loss | 55,823 | 134,805 |
Debt securities [member] | Government bonds [member] | ||
Disclosure of financial assets [Line Items] | ||
Securities at fair value through profit or loss | 2,081 | 380 |
Debt securities [member] | Government agency bonds [member] | ||
Disclosure of financial assets [Line Items] | ||
Securities at fair value through profit or loss | 9,084 | 6,762 |
Debt securities [member] | Corporate bonds [member] | ||
Disclosure of financial assets [Line Items] | ||
Securities at fair value through profit or loss | 66,915 | 144,131 |
Debt securities [member] | Others [member] | ||
Disclosure of financial assets [Line Items] | ||
Securities at fair value through profit or loss | 4,811 | 3,133 |
Equity securities [member] | ||
Disclosure of financial assets [Line Items] | ||
Securities at fair value through profit or loss | 53,918 | 54,718 |
Equity securities [member] | Listed in Mainland, PRC [member] | ||
Disclosure of financial assets [Line Items] | ||
Securities at fair value through profit or loss | 39,442 | 37,614 |
Equity securities [member] | Listed overseas [member] | ||
Disclosure of financial assets [Line Items] | ||
Securities at fair value through profit or loss | 7,187 | 6,284 |
Equity securities [member] | Listed in Hong Kong, PRC [member] | ||
Disclosure of financial assets [Line Items] | ||
Securities at fair value through profit or loss | 79 | 74 |
Equity securities [member] | Unlisted [member] | ||
Disclosure of financial assets [Line Items] | ||
Securities at fair value through profit or loss | 7,210 | 10,746 |
Equity securities [member] | Funds [member] | ||
Disclosure of financial assets [Line Items] | ||
Securities at fair value through profit or loss | 9,892 | 14,683 |
Equity securities [member] | Common stocks [member] | ||
Disclosure of financial assets [Line Items] | ||
Securities at fair value through profit or loss | ¥ 44,026 | ¥ 40,035 |
Financial Assets - Contractu105
Financial Assets - Contractual Maturity Schedule of Securities Purchased under Agreements to Resell (Detail) - CNY (¥) ¥ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of financial assets [Line Items] | ||
Securities purchased under agreements to resell | ¥ 36,185 | ¥ 43,538 |
Within 30 days [member] | ||
Disclosure of financial assets [Line Items] | ||
Securities purchased under agreements to resell | 36,055 | 43,518 |
After 30 but within 90 days [member] | ||
Disclosure of financial assets [Line Items] | ||
Securities purchased under agreements to resell | ¥ 130 | ¥ 20 |
Financial Assets - Summary o106
Financial Assets - Summary of Accrued Investment Income (Detail) - CNY (¥) ¥ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of financial assets [Line Items] | ||
Current | ¥ 44,789 | ¥ 44,722 |
Non-current | 5,852 | 11,223 |
Accrued investment income | 50,641 | 55,945 |
Bank Deposits [member] | ||
Disclosure of financial assets [Line Items] | ||
Accrued investment income | 24,942 | 35,763 |
Debt securities [member] | ||
Disclosure of financial assets [Line Items] | ||
Accrued investment income | 21,423 | 17,642 |
Other assets [member] | ||
Disclosure of financial assets [Line Items] | ||
Accrued investment income | ¥ 4,276 | ¥ 2,540 |
Fair Value of Financial Asse107
Fair Value of Financial Assets and Liabilities - Carrying Value and Estimated Fair Value of Major Financial Assets and Liabilities, and Investment Contracts (Detail) - CNY (¥) ¥ in Millions | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
Disclosure of fair value measurement of assets and liabilities [Line Items] | ||||||
Held-to-maturity securities | [1] | ¥ 717,037 | ¥ 594,730 | |||
Loans | [2] | 383,504 | 226,573 | |||
Term deposits | 449,400 | 538,325 | ||||
Statutory deposits - restricted | 6,333 | 6,333 | ||||
Available-for-sale securities, at fair value | 789,897 | 745,586 | ||||
Securities at fair value through profit or loss | 136,809 | 209,124 | ||||
Securities purchased under agreements to resell | 36,185 | 43,538 | ||||
Cash and cash equivalents | 48,586 | 67,046 | ¥ 76,096 | ¥ 47,034 | ||
Investment contracts | [2] | (232,500) | (195,706) | |||
Financial liabilities at fair value through profit or loss | (2,529) | (2,031) | ||||
Securities sold under agreements to repurchase | (87,309) | (81,088) | ||||
Bonds payable | (37,998) | [2] | ||||
Interest-bearing loans and borrowings | (18,794) | (16,170) | ||||
Fair value [member] | ||||||
Disclosure of fair value measurement of assets and liabilities [Line Items] | ||||||
Held-to-maturity securities | [1],[3] | 692,984 | 619,152 | |||
Loans | [2],[3] | 375,899 | 231,005 | |||
Term deposits | [3] | 449,400 | 538,325 | |||
Statutory deposits - restricted | [3] | 6,333 | 6,333 | |||
Available-for-sale securities, at fair value | [3] | 789,897 | 745,586 | |||
Securities at fair value through profit or loss | [3] | 136,809 | 209,124 | |||
Securities purchased under agreements to resell | [3] | 36,185 | 43,538 | |||
Cash and cash equivalents | [3] | 48,586 | 67,046 | |||
Investment contracts | [2],[3] | (229,222) | (192,373) | |||
Financial liabilities at fair value through profit or loss | [3] | (2,529) | (2,031) | |||
Securities sold under agreements to repurchase | [3] | (87,309) | (81,088) | |||
Bonds payable | [2],[3] | (38,204) | ||||
Interest-bearing loans and borrowings | [3] | ¥ (18,794) | ¥ (16,170) | |||
[1] | The fair value of held-to-maturity securities is determined by reference with other debt securities which are measured by fair value. Please refer to Note 4.3. The fair value of held-to-maturity securities under Level 1 was RMB55,137 million and that under Level 2 was 637,847 million as at 31 December 2017 (as at 31 December 2016: Level 1 RMB76,299 million and Level 2 RMB542,853 million). | |||||
[2] | Investment contracts at fair value through profit or loss have quoted prices in active markets, and therefore, their fair value was classified as Level 1. The fair value of policy loans approximated its carrying value. The fair values of other loans, investment contracts at amortised cost and bonds payable were determined using valuation techniques, with consideration of the present value of expected cash flows arising from contracts using a risk-adjusted discount rate, allowing for the risk-free rate available on the valuation date, credit risk and risk margin associated with the future cash flows. The fair values of other loans and investment contracts at amortised cost, and bonds payable were classified as Level 3. | |||||
[3] | The estimates and judgements to determine the fair value of financial assets are described in Note 3.2. |
Fair Value of Financial Asse108
Fair Value of Financial Assets and Liabilities - Carrying Value and Estimated Fair Value of Major Financial Assets and Liabilities, and Investment Contracts (Parenthetical) (Detail) - CNY (¥) ¥ in Millions | Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of fair value measurement of assets and liabilities [Line Items] | |||
Held-to-maturity securities | [1] | ¥ 717,037 | ¥ 594,730 |
Fair value [member] | |||
Disclosure of fair value measurement of assets and liabilities [Line Items] | |||
Held-to-maturity securities | [1],[2] | 692,984 | 619,152 |
Quoted prices in active markets level 1 [member] | Fair value [member] | |||
Disclosure of fair value measurement of assets and liabilities [Line Items] | |||
Held-to-maturity securities | 55,137 | 76,299 | |
Significant observable inputs level 2 [member] | Fair value [member] | |||
Disclosure of fair value measurement of assets and liabilities [Line Items] | |||
Held-to-maturity securities | ¥ 637,847 | ¥ 542,853 | |
[1] | The fair value of held-to-maturity securities is determined by reference with other debt securities which are measured by fair value. Please refer to Note 4.3. The fair value of held-to-maturity securities under Level 1 was RMB55,137 million and that under Level 2 was 637,847 million as at 31 December 2017 (as at 31 December 2016: Level 1 RMB76,299 million and Level 2 RMB542,853 million). | ||
[2] | The estimates and judgements to determine the fair value of financial assets are described in Note 3.2. |
Premiums Receivable - Additiona
Premiums Receivable - Additional Information (Detail) - CNY (¥) ¥ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of insurance [line items] | ||
Premiums receivable | ¥ 14,121 | ¥ 13,421 |
Not later than one year [member] | Cost [member] | ||
Disclosure of insurance [line items] | ||
Premiums receivable | ¥ 14,079 | ¥ 13,346 |
Reinsurance Assets - Summary of
Reinsurance Assets - Summary of Reinsurance Assets (Detail) - CNY (¥) ¥ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure Of Reinsurance [abstract] | ||
Long-term insurance contracts ceded | ¥ 2,351 | ¥ 1,783 |
Due from reinsurance companies | 64 | 123 |
Ceded unearned premiums | 527 | 125 |
Claims recoverable from reinsurers | 104 | 103 |
Total | 3,046 | 2,134 |
Current | 695 | 351 |
Non-current | 2,351 | 1,783 |
Total | ¥ 3,046 | ¥ 2,134 |
Other Assets - Summary of Other
Other Assets - Summary of Other Assets (Detail) - CNY (¥) ¥ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of other assets [abstract] | ||
Investments receivable | ¥ 15,466 | ¥ 911 |
Land use rights | 6,201 | 5,855 |
Automated policy loans | 3,050 | 2,814 |
Disbursements | 2,705 | 1,718 |
Due from related parties | 987 | 927 |
Prepaid to constructors | 403 | 6,571 |
Others | 5,140 | 3,217 |
Total | 33,952 | 22,013 |
Current | 25,933 | 15,665 |
Non-current | 8,019 | 6,348 |
Total | ¥ 33,952 | ¥ 22,013 |
Insurance Contracts - Summary o
Insurance Contracts - Summary of Assumed Discount Rates with Risk Margin (Detail) | Dec. 31, 2017 | Dec. 31, 2016 |
Investment returns of asset portfolio backing [member] | ||
Discount rates with risk margin [Line Items] | ||
Assumed discount rates with risk margin | 4.85% | |
Bottom of range [member] | Investment returns of asset portfolio backing [member] | ||
Discount rates with risk margin [Line Items] | ||
Assumed discount rates with risk margin | 4.45% | |
Bottom of range [member] | Yield curve of reserve computation benchmark for insurance contracts [member] | ||
Discount rates with risk margin [Line Items] | ||
Assumed discount rates with risk margin | 3.31% | 3.23% |
Top of range [member] | Investment returns of asset portfolio backing [member] | ||
Discount rates with risk margin [Line Items] | ||
Assumed discount rates with risk margin | 4.85% | |
Top of range [member] | Yield curve of reserve computation benchmark for insurance contracts [member] | ||
Discount rates with risk margin [Line Items] | ||
Assumed discount rates with risk margin | 4.86% | 4.68% |
Insurance Contracts - Summar113
Insurance Contracts - Summary of Components of Expense Assumptions (Detail) - $ / Policies | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Individual life policy [member] | ||
Disclosure of components of expense assumptions [Line Items] | ||
Cost per policy | 45 | |
Individual life policy [member] | Bottom of range [member] | ||
Disclosure of components of expense assumptions [Line Items] | ||
Cost per policy | 37 | |
Percentage of premium | 0.85% | 0.85% |
Individual life policy [member] | Top of range [member] | ||
Disclosure of components of expense assumptions [Line Items] | ||
Cost per policy | 45 | |
Percentage of premium | 0.90% | 0.90% |
Group life policy [member] | ||
Disclosure of components of expense assumptions [Line Items] | ||
Cost per policy | 25 | 15 |
Percentage of premium | 0.90% | 0.90% |
Insurance Contracts - Summar114
Insurance Contracts - Summary of Net Liabilities of Insurance Contracts (Detail) - CNY (¥) ¥ in Millions | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Liabilities under insurance contracts and reinsurance contracts issued [Line Items] | |||
Insurance contracts | ¥ 2,022,151 | ¥ 1,845,975 | |
Long-term insurance contracts [member] | |||
Liabilities under insurance contracts and reinsurance contracts issued [Line Items] | |||
Insurance contracts | 1,996,715 | 1,824,173 | |
Short-term insurance contracts [member] | |||
Liabilities under insurance contracts and reinsurance contracts issued [Line Items] | |||
Claims and claim adjustment expenses | 13,674 | 11,435 | |
Unearned premiums | 11,762 | 10,367 | ¥ 7,857 |
Gross [member] | |||
Liabilities under insurance contracts and reinsurance contracts issued [Line Items] | |||
Insurance contracts | 2,025,133 | 1,847,986 | |
Gross [member] | Long-term insurance contracts [member] | |||
Liabilities under insurance contracts and reinsurance contracts issued [Line Items] | |||
Insurance contracts | 1,999,066 | 1,825,956 | ¥ 1,698,773 |
Gross [member] | Short-term insurance contracts [member] | |||
Liabilities under insurance contracts and reinsurance contracts issued [Line Items] | |||
Claims and claim adjustment expenses | 13,778 | 11,538 | |
Unearned premiums | 12,289 | 10,492 | |
Ceded [member] | |||
Liabilities under insurance contracts and reinsurance contracts issued [Line Items] | |||
Insurance contracts | (2,982) | (2,011) | |
Ceded [member] | Long-term insurance contracts [member] | |||
Liabilities under insurance contracts and reinsurance contracts issued [Line Items] | |||
Insurance contracts | (2,351) | (1,783) | |
Ceded [member] | Short-term insurance contracts [member] | |||
Liabilities under insurance contracts and reinsurance contracts issued [Line Items] | |||
Claims and claim adjustment expenses | (104) | (103) | |
Unearned premiums | ¥ (527) | ¥ (125) |
Insurance Contracts - Summar115
Insurance Contracts - Summary of Movements in Liabilities of Short-Term Insurance Contracts (Detail) - Short-term insurance contracts [member] - CNY (¥) ¥ in Millions | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of types of insurance contracts [Line Items] | ||
Beginning balance - Gross | ¥ 11,435 | |
Ending balance - Gross | 13,674 | ¥ 11,435 |
Gross [member] | ||
Disclosure of types of insurance contracts [Line Items] | ||
Notified claims, beginning balance | 2,085 | 1,748 |
Incurred but not reported, beginning balance | 9,453 | 7,520 |
Beginning balance - Gross | 11,538 | 9,268 |
Cash paid for current year claims | (21,404) | (16,364) |
Cash paid for prior year claims | (10,460) | (8,877) |
Claims arising in current year | 33,926 | 27,120 |
Claims arising in prior years | 178 | 391 |
Ending balance - Gross | 13,778 | 11,538 |
Notified claims, ending balance | 2,672 | 2,085 |
Incurred but not reported, ending balance | ¥ 11,106 | ¥ 9,453 |
Insurance Contracts - Summar116
Insurance Contracts - Summary of Unearned Premium Reserves (Detail) - Short-term insurance contracts [member] - CNY (¥) ¥ in Millions | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Unearned premium reserves [Line Items] | ||
As at 1 January | ¥ 10,367 | ¥ 7,857 |
Increase | 11,762 | 10,367 |
Release | (10,367) | (7,857) |
As at 31 December | 11,762 | 10,367 |
Gross [member] | ||
Unearned premium reserves [Line Items] | ||
As at 1 January | 10,492 | 7,944 |
Increase | 12,289 | 10,492 |
Release | (10,492) | (7,944) |
As at 31 December | 12,289 | 10,492 |
Ceded [member] | ||
Unearned premium reserves [Line Items] | ||
As at 1 January | (125) | (87) |
Increase | (527) | (125) |
Release | 125 | 87 |
As at 31 December | ¥ (527) | ¥ (125) |
Insurance Contracts - Summar117
Insurance Contracts - Summary of Movements in Liabilities of Long-Term Insurance Contracts (Detail) - CNY (¥) ¥ in Millions | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Disclosure of types of insurance contracts [Line Items] | ||||
Liabilities arising insurance contracts at beginning of period | ¥ 1,845,975 | |||
Premiums | 511,966 | ¥ 430,498 | ¥ 363,971 | |
Liabilities arising insurance contracts at end of period | 2,022,151 | 1,845,975 | ||
Long-term insurance contracts [member] | ||||
Disclosure of types of insurance contracts [Line Items] | ||||
Liabilities arising insurance contracts at beginning of period | 1,824,173 | |||
Liabilities arising insurance contracts at end of period | 1,996,715 | 1,824,173 | ||
Gross [member] | ||||
Disclosure of types of insurance contracts [Line Items] | ||||
Liabilities arising insurance contracts at beginning of period | 1,847,986 | |||
Liabilities arising insurance contracts at end of period | 2,025,133 | 1,847,986 | ||
Gross [member] | Long-term insurance contracts [member] | ||||
Disclosure of types of insurance contracts [Line Items] | ||||
Liabilities arising insurance contracts at beginning of period | 1,825,956 | 1,698,773 | ||
Premiums | 464,898 | 390,438 | ||
Release of liabilities | [1] | (379,262) | (353,048) | |
Accretion of interest | 78,232 | 73,644 | ||
Change in discount rates | 6,599 | 14,262 | ||
Change in other assumptions | [2] | 2,424 | 474 | |
Other movements | 219 | 1,413 | ||
Liabilities arising insurance contracts at end of period | ¥ 1,999,066 | ¥ 1,825,956 | ¥ 1,698,773 | |
[1] | The release of liabilities mainly consists of release due to death or other termination and related expenses, release of residual margin and change of reserves for claims and claim adjustment expenses. | |||
[2] | For the year ended 31 December 2017, the change in other assumptions was mainly caused by the change in morbidity rate assumptions of certain products, which increased insurance contract liabilities by RMB1,718 million. This change reflected the Group's most recent experience and future expectations about the morbidity rates as at the reporting date. Changes in assumptions other than morbidity rates increased insurance contract liabilities by RMB706 million. For the year ended 31 December 2016, the change in other assumptions was mainly caused by the change in morbidity rate assumptions of certain products, which increased insurance contract liabilities by RMB464 million. This change reflected the Group's most recent experience and future expectations about the morbidity rates as at the reporting date. Changes in assumptions other than morbidity rates increased insurance contract liabilities by RMB10 million. |
Insurance Contracts - Summar118
Insurance Contracts - Summary of Movements in Liabilities of Long-Term Insurance Contracts (Parenthetical) (Detail) - Long-term insurance contracts [member] - Gross [member] - CNY (¥) ¥ in Millions | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Morbidity Rates [member] | ||
Disclosure of types of insurance contracts [Line Items] | ||
Contract liabilities | ¥ 1,718 | ¥ 464 |
Other than morbidity rates [member] | ||
Disclosure of types of insurance contracts [Line Items] | ||
Contract liabilities | ¥ 706 | ¥ 10 |
Investment Contracts - Summary
Investment Contracts - Summary of Investment Contracts (Detail) - CNY (¥) ¥ in Millions | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Investment contracts without DPF | ||||
Total | [1] | ¥ 232,500 | ¥ 195,706 | |
Financial liabilities at amortised cost, category [member] | ||||
Disclosure of amounts arising from investment contracts [line Items] | ||||
Investment contracts with DPF at amortised cost | 57,153 | 53,688 | ¥ 50,295 | |
Investment contracts without DPF | ||||
Investment contracts without DPF | 175,335 | 142,006 | ||
Financial liabilities at fair value through profit or loss, category [member] | ||||
Investment contracts without DPF | ||||
Investment contracts without DPF | ¥ 12 | ¥ 12 | ||
[1] | Investment contracts at fair value through profit or loss have quoted prices in active markets, and therefore, their fair value was classified as Level 1. The fair value of policy loans approximated its carrying value. The fair values of other loans, investment contracts at amortised cost and bonds payable were determined using valuation techniques, with consideration of the present value of expected cash flows arising from contracts using a risk-adjusted discount rate, allowing for the risk-free rate available on the valuation date, credit risk and risk margin associated with the future cash flows. The fair values of other loans and investment contracts at amortised cost, and bonds payable were classified as Level 3. |
Investment Contracts - Movement
Investment Contracts - Movements of Investment Contracts with DPF (Detail) - Financial liabilities at amortised cost, category [member] - CNY (¥) ¥ in Millions | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of amounts arising from investment contracts [line Items] | ||
Investment contracts liabilities at beginning of period | ¥ 53,688 | ¥ 50,295 |
Deposits received | 4,829 | 4,680 |
Deposits withdrawn, payments on death and other benefits | (2,510) | (2,357) |
Policy fees deducted from account balances | (37) | (36) |
Interest credited | 1,183 | 1,106 |
Investment contracts liabilities at end of period | ¥ 57,153 | ¥ 53,688 |
Interest-Bearing Loans and B121
Interest-Bearing Loans and Borrowings - Summary of Interest Bearing Loans and Borrowings (Detail) - CNY (¥) ¥ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | ||
Disclosure of detailed information about borrowings [line Items] | |||
Guaranteed loans | ¥ 18,794 | ¥ 16,170 | |
Guaranteed loan one [member] | |||
Disclosure of detailed information about borrowings [line Items] | |||
Guaranteed loans maturity date | Jun. 17, 2019 | ||
Guaranteed loans interest rate | 3.54% | ||
Guaranteed loans | ¥ 2,413 | 2,339 | |
Guaranteed loan two [member] | |||
Disclosure of detailed information about borrowings [line Items] | |||
Guaranteed loans maturity date | Sep. 27, 2019 | ||
Guaranteed loans interest rate | 2.30% | ||
Guaranteed loans | ¥ 6,338 | 6,579 | |
Guaranteed loan three [member] | |||
Disclosure of detailed information about borrowings [line Items] | |||
Guaranteed loans maturity date | Sep. 30, 2019 | ||
Guaranteed loans interest rate | 2.40% | ||
Guaranteed loans | ¥ 6,142 | 6,521 | |
Guaranteed loan four [member] | |||
Disclosure of detailed information about borrowings [line Items] | |||
Guaranteed loans maturity date | Jun. 9, 2017 | ||
Guaranteed loans interest rate | 1.50% | ||
Guaranteed loans | ¥ 0 | 731 | |
Guaranteed loan five [member] | |||
Disclosure of detailed information about borrowings [line Items] | |||
Guaranteed loans maturity date | Nov. 1, 2018 | ||
Guaranteed loans interest rate | 1.495% | ||
Guaranteed loans | ¥ 780 | 0 | |
Credit loan [member] | |||
Disclosure of detailed information about borrowings [line Items] | |||
Guaranteed loans maturity date | Dec. 6, 2020 | ||
Guaranteed loans | ¥ 3,121 | ¥ 0 | |
Credit loans interest rate, description | [1] | EURIBOR + 3.8% | |
Credit loan [member] | Bottom of range [member] | |||
Disclosure of detailed information about borrowings [line Items] | |||
Guaranteed loans interest rate | [1] | 3.80% | |
[1] | 3.8% when EURIBOR is negative. |
Bonds Payable - Additional Info
Bonds Payable - Additional Information (Detail) - CNY (¥) ¥ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | ||
Disclosure of detailed information about financial instruments [Line Items] | |||
Bonds payable carrying value | ¥ 37,998 | [1] | |
Bonds payable at par value | 0 | 38,000 | |
Subordinated bonds one [member] | |||
Disclosure of detailed information about financial instruments [Line Items] | |||
Bonds payable at par value | ¥ 0 | 28,000 | |
Subordinated bonds maturity term | 10 years | ||
Coupon rate per annum for remaining 5 years | 6.70% | ||
Redemption of subordinated bonds | ¥ 28,000 | ||
Subordinated bonds two [member] | |||
Disclosure of detailed information about financial instruments [Line Items] | |||
Bonds payable at par value | ¥ 0 | ¥ 10,000 | |
Subordinated bonds maturity term | 10 years | ||
Coupon rate per annum for remaining 5 years | 6.58% | ||
Redemption of subordinated bonds | ¥ 10,000 | ||
[1] | Investment contracts at fair value through profit or loss have quoted prices in active markets, and therefore, their fair value was classified as Level 1. The fair value of policy loans approximated its carrying value. The fair values of other loans, investment contracts at amortised cost and bonds payable were determined using valuation techniques, with consideration of the present value of expected cash flows arising from contracts using a risk-adjusted discount rate, allowing for the risk-free rate available on the valuation date, credit risk and risk margin associated with the future cash flows. The fair values of other loans and investment contracts at amortised cost, and bonds payable were classified as Level 3. |
Bonds Payable - Summary of Subo
Bonds Payable - Summary of Subordinated Bonds (Detail) - CNY (¥) ¥ in Millions | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of detailed information about financial instruments [Line Items] | ||
Bonds, par value | ¥ 0 | ¥ 38,000 |
Subordinated bonds one [member] | ||
Disclosure of detailed information about financial instruments [Line Items] | ||
Bonds issue date | Jun. 29, 2012 | |
Bonds maturity date | 29 June 2022 | |
Bonds interest rate p.a. | 4.70% | |
Bonds, par value | ¥ 0 | 28,000 |
Subordinated bonds two [member] | ||
Disclosure of detailed information about financial instruments [Line Items] | ||
Bonds issue date | Nov. 5, 2012 | |
Bonds maturity date | 5 November 2022 | |
Bonds interest rate p.a. | 4.58% | |
Bonds, par value | ¥ 0 | ¥ 10,000 |
Securities Sold under Agreem124
Securities Sold under Agreements to Repurchase - Summary of Securities Sold under Agreements to Repurchase (Detail) - CNY (¥) ¥ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of securities sold under agreements to repurchase [line Items] | ||
Securities sold under agreements to repurchase | ¥ 87,309 | ¥ 81,088 |
Within 30 days [member] | ||
Disclosure of securities sold under agreements to repurchase [line Items] | ||
Securities sold under agreements to repurchase | 87,309 | 81,088 |
Interbank market [member] | ||
Disclosure of securities sold under agreements to repurchase [line Items] | ||
Securities sold under agreements to repurchase | 75,002 | 65,479 |
Stock exchange market [member] | ||
Disclosure of securities sold under agreements to repurchase [line Items] | ||
Securities sold under agreements to repurchase | ¥ 12,307 | ¥ 15,609 |
Securities Sold under Agreem125
Securities Sold under Agreements to Repurchase - Additional Information (Detail) - CNY (¥) ¥ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Interbank market [member] | ||
Disclosure of securities sold under agreements to repurchase [line Items] | ||
Bonds pledged as collateral | ¥ 79,543 | ¥ 76,207 |
Stock exchange market [member] | ||
Disclosure of securities sold under agreements to repurchase [line Items] | ||
Securities deposited in collateral pool | ¥ 139,727 | ¥ 81,280 |
Other Liabilities - Summary of
Other Liabilities - Summary of Other Liabilities (Detail) - CNY (¥) ¥ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Other Liabilities 1 [Abstract] | ||
Salary and welfare payable | ¥ 10,129 | ¥ 7,234 |
Interest payable to policyholders | 9,614 | 8,006 |
Payable to third party holders of consolidated trust schemes and debt investment schemes | 6,252 | 5,488 |
Brokerage and commission payable | 5,659 | 3,713 |
Payable to constructors | 2,668 | 1,032 |
Agent deposits | 1,906 | 1,611 |
Stock appreciation rights | 833 | 654 |
Tax payable | 689 | 657 |
Interest payable of debt instruments | 127 | 813 |
Others | 9,553 | 7,628 |
Total | 47,430 | 36,836 |
Current | 47,430 | 36,836 |
Non-current | 0 | 0 |
Total | ¥ 47,430 | ¥ 36,836 |
Statutory Insurance Fund - Addi
Statutory Insurance Fund - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2017 | |
Statutory Insurance Fund [line Items] | |
Additional contribution to statutory insurance fund criteria | When the accumulated statutory insurance fund contributions reach 1% of total assets, no additional contribution to the statutory insurance fund is required. |
Life policies with guaranteed benefits [member] | |
Statutory Insurance Fund [line Items] | |
Percentage of statutory insurance fund contribution on premium and accumulated policyholder deposits | 0.15% |
Life policies without guaranteed benefits [member] | |
Statutory Insurance Fund [line Items] | |
Percentage of statutory insurance fund contribution on premium and accumulated policyholder deposits | 0.05% |
Short-term health policies [member] | |
Statutory Insurance Fund [line Items] | |
Percentage of statutory insurance fund contribution on premium | 0.80% |
Long-term health policies [member] | |
Statutory Insurance Fund [line Items] | |
Percentage of statutory insurance fund contribution on premium | 0.15% |
Accident insurance contracts [member] | |
Statutory Insurance Fund [line Items] | |
Percentage of statutory insurance fund contribution on premium | 0.80% |
Accident investment contracts with guaranteed benefits [member] | |
Statutory Insurance Fund [line Items] | |
Percentage of statutory insurance fund contribution on accumulated policyholder deposits | 0.08% |
Accident investment contracts without guaranteed benefits [member] | |
Statutory Insurance Fund [line Items] | |
Percentage of statutory insurance fund contribution on accumulated policyholder deposits | 0.05% |
Investment Income - Summary of
Investment Income - Summary of Investment Income (Detail) - CNY (¥) ¥ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of Investment Income [Line Items] | |||
Bank deposits | ¥ 23,827 | ¥ 27,851 | ¥ 32,285 |
Loans | 16,320 | 12,018 | 11,115 |
Securities purchased under agreements to resell | 746 | 971 | 368 |
Others | 0 | 0 | 89 |
Total | 122,727 | 109,147 | 97,582 |
Debt securities [member] | |||
Disclosure of Investment Income [Line Items] | |||
Debt securities - held-to-maturity securities | 30,669 | 24,854 | 24,541 |
Securities - available-for-sale securities | 19,608 | 17,499 | 18,526 |
Securities - at fair value through profit or loss | 3,618 | 5,683 | 1,382 |
Equity securities [member] | |||
Disclosure of Investment Income [Line Items] | |||
Securities - available-for-sale securities | 27,019 | 19,744 | 8,950 |
Securities - at fair value through profit or loss | ¥ 920 | ¥ 527 | ¥ 326 |
Investment Income - Additional
Investment Income - Additional Information (Detail) - CNY (¥) ¥ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of Investment Income [abstract] | |||
Interest income | ¥ 94,788 | ¥ 88,876 | ¥ 88,306 |
Net Realised Gains on Financ130
Net Realised Gains on Financial Assets - Summary of Net Realised Gains on Financial Assets (Detail) - CNY (¥) ¥ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of financial assets [Line Items] | |||
Realised gains | ¥ (15,003) | ¥ (44,509) | ¥ 54,080 |
Subtotal | 42 | 6,038 | 32,297 |
Debt securities [member] | |||
Disclosure of financial assets [Line Items] | |||
Realised gains | (9) | 189 | (4) |
Impairment | (114) | (143) | 0 |
Subtotal | (123) | 46 | (4) |
Equity securities [member] | |||
Disclosure of financial assets [Line Items] | |||
Realised gains | 2,808 | 8,505 | 32,622 |
Impairment | (2,643) | (2,513) | (321) |
Subtotal | ¥ 165 | ¥ 5,992 | ¥ 32,301 |
Net Realised Gains on Financ131
Net Realised Gains on Financial Assets - Additional Information (Detail) - CNY (¥) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Gains (losses) on financial instruments [abstract] | |||
Impairment charge of available-for-sale funds | ¥ 619,000,000 | ¥ 1,615,000,000 | ¥ 147,000,000 |
Impairment charge of available-for-sale common stocks | 2,024,000,000 | 898,000,000 | 174,000,000 |
Impairment charge of available-for-sale debt securities | ¥ 114,000,000 | ¥ 143,000,000 | ¥ 0 |
Net Fair Value Gains through132
Net Fair Value Gains through Profit or Loss - Summary of Net Fair Value Gains/(Losses) through Profit or Loss (Detail) - CNY (¥) ¥ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of detailed information about financial instruments [Line Items] | |||
Stock appreciation rights | ¥ (179) | ¥ 191 | ¥ 180 |
Financial liabilities at fair value through profit or loss | (275) | (48) | (61) |
Total | 6,183 | (7,094) | 10,209 |
Debt securities [member] | |||
Disclosure of detailed information about financial instruments [Line Items] | |||
Debt (Equity) securities | (1,542) | (918) | 766 |
Equity securities [member] | |||
Disclosure of detailed information about financial instruments [Line Items] | |||
Debt (Equity) securities | ¥ 8,179 | ¥ (6,319) | ¥ 9,324 |
Insurance Benefits and Claim133
Insurance Benefits and Claims Expenses - Summary of Insurance Benefits and Claims Expenses (Detail) - CNY (¥) ¥ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of net, gross and reinsurer's share for amounts arising from insurance contracts [Line Items] | |||
Life insurance death and other benefits | ¥ 259,708 | ¥ 253,157 | ¥ 221,701 |
Accident and health claims and claim adjustment expenses | 33,818 | 27,269 | 21,009 |
Increase in insurance contract liabilities | 172,517 | 126,619 | 109,509 |
Total | 466,043 | 407,045 | 352,219 |
Gross [member] | |||
Disclosure of net, gross and reinsurer's share for amounts arising from insurance contracts [Line Items] | |||
Life insurance death and other benefits | 260,853 | 253,824 | 221,949 |
Accident and health claims and claim adjustment expenses | 34,101 | 27,519 | 21,166 |
Increase in insurance contract liabilities | 173,085 | 127,156 | 109,847 |
Total | 468,039 | 408,499 | 352,962 |
Ceded [member] | |||
Disclosure of net, gross and reinsurer's share for amounts arising from insurance contracts [Line Items] | |||
Life insurance death and other benefits | (1,145) | (667) | (248) |
Accident and health claims and claim adjustment expenses | (283) | (250) | (157) |
Increase in insurance contract liabilities | (568) | (537) | (338) |
Total | ¥ (1,996) | ¥ (1,454) | ¥ (743) |
Finance Costs - Summary of Fina
Finance Costs - Summary of Finance Costs (Detail) - CNY (¥) ¥ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Finance Costs [abstract] | |||
Interest expenses for bonds payable | ¥ 1,033 | ¥ 3,126 | ¥ 3,430 |
Interest expenses for securities sold under agreements to repurchase | 3,144 | 1,460 | 784 |
Interest expenses for interest-bearing loans and borrowings | 424 | 181 | 106 |
Total | ¥ 4,601 | ¥ 4,767 | ¥ 4,320 |
Profit before Income Tax - Deta
Profit before Income Tax - Details of Profit before Income Tax (Detail) - CNY (¥) ¥ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Profit loss before income tax [abstract] | |||
Employee salaries and welfare costs | ¥ 18,741 | ¥ 15,955 | ¥ 13,045 |
Housing benefits | 933 | 838 | 824 |
Contribution to the defined contribution pension plan | 2,357 | 1,798 | 1,678 |
Depreciation and amortisation | 2,240 | 2,083 | 2,036 |
Foreign exchange (gains)/losses | (52) | (582) | (812) |
Remuneration in respect of audit services provided by auditors | ¥ 59 | ¥ 58 | ¥ 60 |
Taxation - Summary of Taxation
Taxation - Summary of Taxation Charge (Detail) - CNY (¥) ¥ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Major components of tax expense (income) [abstract] | |||
Current taxation - Enterprise income tax | ¥ 9,457 | ¥ 5,200 | ¥ 15,408 |
Deferred taxation | (538) | (943) | (4,664) |
Income tax at the effective tax rate | ¥ 8,919 | ¥ 4,257 | ¥ 10,744 |
Taxation - Additional Informati
Taxation - Additional Information (Detail) - CNY (¥) ¥ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Major components of tax expense (income) [abstract] | |||
Statutory tax rate | 25.00% | 25.00% | 25.00% |
Unrecognised deductible tax losses | ¥ 607 | ¥ 807 | |
Unrecognised deductible temporary differences | ¥ 243 | ¥ 219 |
Taxation - Summary of Reconcili
Taxation - Summary of Reconciliation Between Group's Effective Tax Rate and Statutory Tax Rate (Detail) - CNY (¥) ¥ in Millions | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Reconciliation of accounting profit multiplied by applicable tax rates [abstract] | ||||
Profit before income tax | ¥ 41,671 | ¥ 23,842 | ¥ 45,931 | |
Tax computed at the statutory tax rate | 10,418 | 5,961 | 11,483 | |
Non-taxable income | [1] | (7,847) | (6,080) | (3,324) |
Expenses not deductible for tax purposes | [1] | 6,105 | 4,259 | 2,655 |
Unused tax losses | 6 | 58 | 1 | |
Tax losses utilised from previous periods | (15) | (49) | (41) | |
Others | 252 | 108 | (30) | |
Income tax at the effective tax rate | ¥ 8,919 | ¥ 4,257 | ¥ 10,744 | |
[1] | Non-taxable income mainly includes interest income from government bonds, and dividend income from applicable equity securities, etc. Expenses not deductible for tax purposes mainly include brokerages, commissions, donations and other expenses that do not meet the criteria for deduction according to the relevant tax regulations. |
Taxation - Summary of Movements
Taxation - Summary of Movements in Deferred Tax Assets and Liabilities (Detail) - CNY (¥) ¥ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | ||
Movement In Deferred Tax Assets And Liabilities [Line Items] | |||
Deferred tax asset/(liability) at beginning of period | ¥ (7,768) | ¥ (16,953) | |
(Charged)/credited to net profit | 538 | 943 | |
(Charged)/credited to other comprehensive income | |||
- Available-for-sale securities | 3,759 | 12,639 | |
- Portion of fair value changes on available-for-sale securities attributable to participating policyholders | (1,401) | (4,343) | |
- Others | 1 | (54) | |
Deferred tax asset/(liability) at end of period | (4,871) | (7,768) | |
Insurance [member] | |||
Movement In Deferred Tax Assets And Liabilities [Line Items] | |||
Deferred tax asset/(liability) at beginning of period | [1] | (6,408) | (1,451) |
(Charged)/credited to net profit | [1] | 1,072 | (614) |
(Charged)/credited to other comprehensive income | |||
- Available-for-sale securities | [1] | 0 | 0 |
- Portion of fair value changes on available-for-sale securities attributable to participating policyholders | [1] | (1,401) | (4,343) |
- Others | [1] | 0 | 0 |
Deferred tax asset/(liability) at end of period | [1] | (6,737) | (6,408) |
Investments [member] | |||
Movement In Deferred Tax Assets And Liabilities [Line Items] | |||
Deferred tax asset/(liability) at beginning of period | [2] | (2,975) | (16,686) |
(Charged)/credited to net profit | [2] | (1,279) | 1,126 |
(Charged)/credited to other comprehensive income | |||
- Available-for-sale securities | [2] | 3,759 | 12,639 |
- Portion of fair value changes on available-for-sale securities attributable to participating policyholders | [2] | 0 | 0 |
- Others | [2] | 1 | (54) |
Deferred tax asset/(liability) at end of period | [2] | (494) | (2,975) |
Others [member] | |||
Movement In Deferred Tax Assets And Liabilities [Line Items] | |||
Deferred tax asset/(liability) at beginning of period | [3] | 1,615 | 1,184 |
(Charged)/credited to net profit | [3] | 745 | 431 |
(Charged)/credited to other comprehensive income | |||
- Available-for-sale securities | [3] | 0 | 0 |
- Portion of fair value changes on available-for-sale securities attributable to participating policyholders | [3] | 0 | 0 |
- Others | [3] | 0 | 0 |
Deferred tax asset/(liability) at end of period | [3] | ¥ 2,360 | ¥ 1,615 |
[1] | The deferred tax liabilities arising from the insurance category are mainly related to the change of long-term insurance contract liabilities at 31 December 2008 as a result of the first time adoption of IFRSs in 2009 and the temporary differences of short-term insurance contract liabilities and policyholder dividends payable. | ||
[2] | The deferred tax arising from the investments category is mainly related to the temporary differences of unrealised gains/(losses) on available-for-sale securities and securities at fair value through profit or loss, and others. | ||
[3] | The deferred tax arising from the others category is mainly related to the temporary differences of employee salaries and welfare costs payable. |
Taxation - Summary of Deferred
Taxation - Summary of Deferred Tax Assets and Deferred Tax Liabilities (Detail) - CNY (¥) ¥ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Deferred tax assets: | ||
Deferred tax assets to be recovered | ¥ 6,473 | ¥ 6,650 |
Deferred tax liabilities: | ||
Deferred tax liabilities to be settled | (11,344) | (14,418) |
Net deferred tax liabilities | (4,871) | (7,768) |
1 year later [member] | ||
Deferred tax assets: | ||
Deferred tax assets to be recovered | 1,980 | 3,024 |
Deferred tax liabilities: | ||
Deferred tax liabilities to be settled | (9,131) | (13,037) |
Not later than one year [member] | ||
Deferred tax assets: | ||
Deferred tax assets to be recovered | 4,493 | 3,626 |
Deferred tax liabilities: | ||
Deferred tax liabilities to be settled | ¥ (2,213) | ¥ (1,381) |
Earnings Per Share - Additional
Earnings Per Share - Additional Information (Detail) - shares | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Earnings per share [abstract] | ||
Weighted average of ordinary shares outstanding | 28,264,705,000 | 28,264,705,000 |
Stock Appreciation Rights - Add
Stock Appreciation Rights - Additional Information (Detail) shares in Thousands, ¥ in Millions | Aug. 21, 2006$ / sharesshares | Jan. 05, 2006$ / sharesshares | Dec. 31, 2017CNY (¥)shares | Dec. 31, 2016CNY (¥)shares | Dec. 31, 2015CNY (¥) |
Disclosure of defined benefit plans [Line Items] | |||||
Number of stock appreciation rights awarded | shares | 53,220 | 4,050 | |||
Exercise price of awards | $ / shares | $ 6.83 | $ 5.33 | |||
Stock appreciation right exercise period | 5 years | ||||
Stock appreciation right, shares outstanding | shares | 55,010 | 55,010 | |||
Stock appreciation right, shares exercisable | shares | 55,010 | 55,010 | |||
Stock appreciation right, intrinsic value | ¥ 820 | ¥ 641 | |||
Gain (loss) on net fair value through profit or loss | (179) | 191 | ¥ 180 | ||
Salary and staff welfare payable included under other liabilities for the units not exercised | 820 | 641 | |||
Salary and staff welfare payable included under other liabilities for the units exercised but not paid | ¥ 13 | ¥ 13 | |||
Bottom of range [member] | |||||
Disclosure of defined benefit plans [Line Items] | |||||
Stock appreciation rights, expected volatility | 20.00% | ||||
Stock appreciation rights, risk free interest rate | 0.51% | ||||
Top of range [member] | |||||
Disclosure of defined benefit plans [Line Items] | |||||
Stock appreciation rights, expected volatility | 32.00% | ||||
Stock appreciation rights, expected dividend yield | 3.00% | ||||
Stock appreciation rights, risk free interest rate | 1.02% |
Dividends - Additional Informat
Dividends - Additional Information (Detail) - CNY (¥) ¥ / shares in Units, ¥ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of Dividends [Line Items] | |||
Dividends per ordinary shares | ¥ 0.24 | ¥ 0.42 | ¥ 0.40 |
Dividends paid on ordinary shares | ¥ 6,784 | ¥ 11,871 | ¥ 11,306 |
Proposed dividend per share | ¥ 0.40 | ||
Proposed dividend | ¥ 11,306 | ||
Core tier 2 capital securities [member] | |||
Disclosure of Dividends [Line Items] | |||
Distribution approved | ¥ 380 | ¥ 386 | ¥ 185 |
Significant Related Party Tr144
Significant Related Party Transactions - Summary of Information of Parent Company (Detail) - China Life Insurance (Group) Company ("CLIC") [member] | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of transactions between related parties [Line Items] | |
Name | CLIC |
Location of registration | Beijing, China |
Principal business | Insurance services including receipt of premiums and payment of benefits in respect of the in-force life, health, accident and other types of personal insurance business, and the reinsurance business; holding or investing in domestic and overseas insurance companies or other financial insurance institutions; fund management business permitted by national laws and regulations or approved by the State Council of the People's Republic of China; and other businesses approved by insurance regulatory agencies. |
Relationship with the Company | Immediate and ultimate holding company |
Nature of ownership | State-owned |
Legal representative | Yang Mingsheng |
Significant Related Party Tr145
Significant Related Party Transactions - Summary of Names of Significant Related Parties and Nature of Relationship with Company (Detail) | 12 Months Ended |
Dec. 31, 2017 | |
China Life Real Estate Co., Limited ("CLRE") [member] | |
Disclosure of transactions between related parties [Line Items] | |
Relationship with the Company | Under common control of CLIC |
China Life Insurance (Overseas) Company Limited ("CL Overseas") [member] | |
Disclosure of transactions between related parties [Line Items] | |
Relationship with the Company | Under common control of CLIC |
China Life Investment Holding Company Limited ("CLI") [member] | |
Disclosure of transactions between related parties [Line Items] | |
Relationship with the Company | Under common control of CLIC |
China Life Ecommerce Company Limited ("CL Ecommerce") [member] | |
Disclosure of transactions between related parties [Line Items] | |
Relationship with the Company | Under common control of CLIC |
China Life Enterprise Annuity Fund ("EAP") [member] | |
Disclosure of transactions between related parties [Line Items] | |
Relationship with the Company | A pension fund jointly set up by the Company and others |
Significant Related Party Tr146
Significant Related Party Transactions - Summary of Registered Capital of Related Parties with Control Relationship and Changes (Detail) - 12 months ended Dec. 31, 2017 ¥ in Millions, $ in Millions | CNY (¥) | USD ($) | |
China Life Insurance (Group) Company ("CLIC") [member] | |||
Disclosure of transactions between related parties [Line Items] | |||
Registered capital of related parties with control, beginning balance | ¥ 4,600 | ||
Increase in registered capital of related parties with control | 0 | ||
Decrease in registered capital of related parties with control | 0 | ||
Registered capital of related parties with control, ending balance | 4,600 | ||
China Life Asset Management Company Limited ("AMC") [member] | |||
Disclosure of transactions between related parties [Line Items] | |||
Registered capital of related parties with control, beginning balance | 4,000 | ||
Increase in registered capital of related parties with control | 0 | ||
Decrease in registered capital of related parties with control | 0 | ||
Registered capital of related parties with control, ending balance | 4,000 | ||
China Life Pension Company Limited ("Pension Company") [member] | |||
Disclosure of transactions between related parties [Line Items] | |||
Registered capital of related parties with control, beginning balance | 3,400 | ||
Increase in registered capital of related parties with control | 0 | ||
Decrease in registered capital of related parties with control | 0 | ||
Registered capital of related parties with control, ending balance | 3,400 | ||
China Life (Suzhou) Pension and Retirement Investment Company Limited ("Suzhou Pension Company") [member] | |||
Disclosure of transactions between related parties [Line Items] | |||
Registered capital of related parties with control, beginning balance | 1,060 | ||
Increase in registered capital of related parties with control | 931 | ||
Decrease in registered capital of related parties with control | 0 | ||
Registered capital of related parties with control, ending balance | 1,991 | ||
China Life AMP Asset Management Company ("CL AMP") [member] | |||
Disclosure of transactions between related parties [Line Items] | |||
Registered capital of related parties with control, beginning balance | [1] | 588 | |
Increase in registered capital of related parties with control | [1] | 0 | |
Decrease in registered capital of related parties with control | [1] | 0 | |
Registered capital of related parties with control, ending balance | [1] | 588 | |
China Life Wealth Management Co., Limited ("CL Wealth") [member] | |||
Disclosure of transactions between related parties [Line Items] | |||
Registered capital of related parties with control, beginning balance | 200 | ||
Increase in registered capital of related parties with control | 0 | ||
Decrease in registered capital of related parties with control | 0 | ||
Registered capital of related parties with control, ending balance | 200 | ||
Shanghai Rui Chong Investment Co., Limited ("Rui Chong Company") [member] | |||
Disclosure of transactions between related parties [Line Items] | |||
Registered capital of related parties with control, beginning balance | 6,800 | ||
Increase in registered capital of related parties with control | 0 | ||
Decrease in registered capital of related parties with control | 0 | ||
Registered capital of related parties with control, ending balance | 6,800 | ||
China Life (Beijing) Health Management Co., Limited ("CL Health") [member] | |||
Disclosure of transactions between related parties [Line Items] | |||
Registered capital of related parties with control, beginning balance | [2] | 1,730 | |
Increase in registered capital of related parties with control | [2] | 0 | |
Decrease in registered capital of related parties with control | [2] | 0 | |
Registered capital of related parties with control, ending balance | [2] | ¥ 1,730 | |
China Life Franklin (Shenzhen) Equity Investment Fund Management Co., Limited ("Franklin Shenzhen Company") [member] | |||
Disclosure of transactions between related parties [Line Items] | |||
Registered capital of related parties with control, beginning balance | $ | $ 2 | ||
Registered capital of related parties with control, ending balance | $ | $ 2 | ||
[1] | In March 2017, the Company completed a RMB260 million capital contribution to Suzhou Pension Company, after which the paid-in capital of Suzhou Pension Company increased from RMB1,326 million to RMB1,586 million. As at 31 December 2017, Suzhou Pension Company completed its business registration modification procedure for the registered capital with the amount increased from RMB1,060 million to RMB1,991 million. | ||
[2] | In March and July 2017 respectively, the Company completed RMB370 million and RMB231 million capital contributions to Rui Chong Company, after which the paid-in capital of Rui Chong Company increased from RMB6,199 million to RMB6,800 million. |
Significant Related Party Tr147
Significant Related Party Transactions - Summary of Registered Capital of Related Parties with Control Relationship and Changes (Parenthetical) (Detail) - CNY (¥) ¥ in Millions | 1 Months Ended | ||||
Jul. 31, 2017 | Mar. 31, 2017 | Dec. 31, 2017 | Feb. 28, 2017 | Dec. 31, 2016 | |
China Life (Suzhou) Pension and Retirement Investment Company Limited ("Suzhou Pension Company") [member] | |||||
Disclosure of transactions between related parties [Line Items] | |||||
Capital contribution | ¥ 260 | ||||
Paid in capital | 1,586 | ¥ 1,326 | |||
Registered capital of related parties with control | ¥ 1,991 | ¥ 1,060 | |||
Shanghai Rui Chong Investment Co., Limited ("Rui Chong Company") [member] | |||||
Disclosure of transactions between related parties [Line Items] | |||||
Capital contribution | ¥ 231 | ¥ 370 | |||
Paid in capital | ¥ 6,800 | ¥ 6,199 | |||
Registered capital of related parties with control | ¥ 6,800 | ¥ 6,800 |
Significant Related Party Tr148
Significant Related Party Transactions - Summary of Percentages of Holding of Related Parties with Control Relationship and Changes (Detail) ¥ in Millions, $ in Millions, $ in Millions | 12 Months Ended | |||||||
Dec. 31, 2017CNY (¥) | Dec. 31, 2017USD ($) | Dec. 31, 2016CNY (¥) | Dec. 31, 2017USD ($) | Dec. 31, 2017HKD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2016HKD ($) | ||
China Life Insurance (Group) Company ("CLIC") [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Ownership interest | ¥ 19,324 | ¥ 19,324 | ||||||
Percentage of holding | 68.37% | 68.37% | 68.37% | 68.37% | 68.37% | 68.37% | ||
Increase in ownership interests | ¥ 0 | |||||||
Decrease in ownership interests | 0 | |||||||
China Life Asset Management Company Limited ("AMC") [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Increase in ownership interest in subsidiaries | ¥ 0 | |||||||
Ownership interest in subsidiary | ¥ 1,680 | ¥ 1,680 | ||||||
Percentage of holding | 60.00% | 60.00% | 60.00% | |||||
China Life Pension Company Limited ("Pension Company") [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Increase in ownership interest in subsidiaries | ¥ 0 | |||||||
Ownership interest in subsidiary | ¥ 2,746 | ¥ 2,746 | ||||||
Percentage of holding | 74.27% | 74.27% | 74.27% | |||||
China Life Franklin Asset Management Company Limited [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Increase in ownership interest in subsidiaries | ¥ 0 | |||||||
Ownership interest in subsidiary | $ | $ 130 | $ 130 | ||||||
Percentage of holding | 50.00% | 50.00% | 50.00% | |||||
China Life (Suzhou) Pension and Retirement Investment Company Limited ("Suzhou Pension Company") [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Increase in ownership interest in subsidiaries | ¥ 260 | |||||||
Ownership interest in subsidiary | ¥ 1,586 | ¥ 1,326 | ||||||
Percentage of holding | 100.00% | 100.00% | 100.00% | |||||
China Life AMP Asset Management Company ("CL AMP") [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Increase in ownership interest in subsidiaries | ¥ 0 | |||||||
Ownership interest in subsidiary | ¥ 500 | ¥ 500 | ||||||
Percentage of holding | 85.03% | 85.03% | 85.03% | |||||
China Life Wealth Management Co., Limited ("CL Wealth") [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Increase in ownership interest in subsidiaries | ¥ 0 | |||||||
Ownership interest in subsidiary | ¥ 200 | ¥ 200 | ||||||
Percentage of holding | 100.00% | 100.00% | 100.00% | |||||
Golden Phoenix Tree Limited [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Increase in ownership interest in subsidiaries | ¥ 0 | |||||||
Ownership interest in subsidiary | ¥ 0 | ¥ 0 | ||||||
Percentage of holding | 100.00% | 100.00% | 100.00% | |||||
King Phoenix Tree Limited [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Increase in ownership interest in subsidiaries | ¥ 0 | |||||||
Ownership interest in subsidiary | ¥ 0 | ¥ 0 | ||||||
Percentage of holding | 100.00% | 100.00% | 100.00% | |||||
Shanghai Rui Chong Investment Co., Limited ("Rui Chong Company") [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Increase in ownership interest in subsidiaries | ¥ 601 | |||||||
Ownership interest in subsidiary | ¥ 6,800 | ¥ 6,199 | ||||||
Percentage of holding | 100.00% | 100.00% | 100.00% | |||||
New Aldgate Limited [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Increase in ownership interest in subsidiaries | ¥ 0 | |||||||
Ownership interest in subsidiary | ¥ 1,167 | ¥ 1,167 | ||||||
Percentage of holding | 100.00% | 100.00% | 100.00% | |||||
Glorious Fortune Forever Limited [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Increase in ownership interest in subsidiaries | ¥ 0 | |||||||
Ownership interest in subsidiary | ¥ 0 | ¥ 0 | ||||||
Percentage of holding | 100.00% | 100.00% | 100.00% | |||||
CL hotel investor, L.P. [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Increase in ownership interest in subsidiaries | ¥ 0 | |||||||
Ownership interest in subsidiary | ¥ 0 | ¥ 0 | ||||||
Percentage of holding | 100.00% | 100.00% | 100.00% | |||||
Golden Bamboo Limited [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Increase in ownership interest in subsidiaries | ¥ 0 | |||||||
Ownership interest in subsidiary | ¥ 1,734 | ¥ 1,734 | ||||||
Percentage of holding | 100.00% | 100.00% | 100.00% | |||||
Sunny Bamboo Limited [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Increase in ownership interest in subsidiaries | ¥ 0 | |||||||
Ownership interest in subsidiary | ¥ 1,632 | ¥ 1,632 | ||||||
Percentage of holding | 100.00% | 100.00% | 100.00% | |||||
Fortune Bamboo Limited [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Increase in ownership interest in subsidiaries | ¥ 0 | |||||||
Ownership interest in subsidiary | ¥ 2,176 | ¥ 2,176 | ||||||
Percentage of holding | 100.00% | 100.00% | 100.00% | |||||
China Century Core Fund Limited ("Century Core Fund") [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Increase in ownership interest in subsidiaries | $ | $ 2 | |||||||
Ownership interest in subsidiary | $ | $ 896 | $ 894 | ||||||
Percentage of holding | 100.00% | 100.00% | 100.00% | |||||
China Life (Beijing) Health Management Co., Limited ("CL Health") [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Increase in ownership interest in subsidiaries | ¥ 0 | |||||||
Ownership interest in subsidiary | ¥ 1,730 | ¥ 1,730 | ||||||
Percentage of holding | 100.00% | 100.00% | 100.00% | |||||
China Life Franklin (Shenzhen) Equity Investment Fund Management Co., Limited ("Franklin Shenzhen Company") [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Increase in ownership interest in subsidiaries | ¥ 0 | |||||||
Ownership interest in subsidiary | $ | 0.6 | $ 0.6 | ||||||
Percentage of holding | 100.00% | 100.00% | 100.00% | |||||
Guo Yang Guo Sheng [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Increase in ownership interest in subsidiaries | [1] | ¥ 3,250 | ||||||
Ownership interest in subsidiary | [1] | ¥ 3,250 | ¥ 0 | |||||
Percentage of holding | [1] | 99.997% | 99.997% | 0.00% | ||||
New Capital Wisdom Limited [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Increase in ownership interest in subsidiaries | [1] | ¥ 0 | ||||||
Ownership interest in subsidiary | [1] | ¥ 0 | ¥ 0 | |||||
Percentage of holding | [1] | 100.00% | 100.00% | 0.00% | ||||
New Fortune Wisdom Limited [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Increase in ownership interest in subsidiaries | [1] | ¥ 0 | ||||||
Ownership interest in subsidiary | [1] | ¥ 0 | ¥ 0 | |||||
Percentage of holding | [1] | 100.00% | 100.00% | 0.00% | ||||
Wisdom Forever Limited Partnership [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Increase in ownership interest in subsidiaries | $ | [1] | $ 447 | ||||||
Ownership interest in subsidiary | [1] | ¥ 0 | $ 447 | |||||
Percentage of holding | [1] | 100.00% | 100.00% | 0.00% | ||||
Shanghai Yuan Shu Yuan Jiu Investment Management Partnership Limited Partnership [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Increase in ownership interest in subsidiaries | [1] | ¥ 606 | ||||||
Ownership interest in subsidiary | [1] | ¥ 606 | ¥ 0 | |||||
Percentage of holding | [1] | 99.98% | 99.98% | 0.00% | ||||
Shanghai Yuan Shu Yuan Pin Investment Management Partnership Limited Partnership [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Increase in ownership interest in subsidiaries | [1] | ¥ 606 | ||||||
Ownership interest in subsidiary | [1] | ¥ 606 | ¥ 0 | |||||
Percentage of holding | [1] | 99.98% | 99.98% | 0.00% | ||||
Shanghai Wansheng Industry Partnership Limited Partnership [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Increase in ownership interest in subsidiaries | [1] | ¥ 3,900 | ||||||
Ownership interest in subsidiary | [1] | ¥ 3,900 | ¥ 0 | |||||
Percentage of holding | [1] | 99.998% | 99.998% | 0.00% | ||||
Ningbo Meishan Bonded Port Area Bai Ning Investment Partnership [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Increase in ownership interest in subsidiaries | [1] | ¥ 1,680 | ||||||
Ownership interest in subsidiary | [1] | ¥ 1,680 | ¥ 0 | |||||
Percentage of holding | [1] | 99.98% | 99.98% | 0.00% | ||||
[1] | Guo Yang Guo Sheng, New Capital Wisdom Limited, New Fortune Wisdom Limited, Wisdom Forever Limited Partnership, Yuan Shu Yuan Jiu, Yuan Shu Yuan Pin, Wan Sheng, and Bai Ning are new subsidiaries set up or invested by the Company in 2017. |
Significant Related Party Tr149
Significant Related Party Transactions - Summary of Significant Transactions Carried Out by Group with Significant Related Parties (Detail) - CNY (¥) ¥ in Millions | 1 Months Ended | 12 Months Ended | ||||
Jul. 31, 2017 | Mar. 31, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Disclosure of transactions between related parties [Line Items] | ||||||
Payment of dividends from the Company to CLIC | ¥ 6,784 | ¥ 11,871 | ¥ 11,306 | |||
Property leasing expenses charged by CLI | 1,204 | 994 | ||||
Interest on deposits received from CGB | 23,827 | 27,851 | 32,285 | |||
Sino-Ocean Group Holding Limited ("Sino-Ocean") [member] | ||||||
Disclosure of transactions between related parties [Line Items] | ||||||
Cash dividend from significant related parties | 314 | 239 | ||||
Transactions between Sino-Ocean and group [member] | Sino-Ocean Group Holding Limited ("Sino-Ocean") [member] | ||||||
Disclosure of transactions between related parties [Line Items] | ||||||
Cash dividend from significant related parties | 553 | 248 | 422 | |||
Interest payment of corporate bonds received from Sino-Ocean | 27 | 38 | 34 | |||
Project management fee paid to Sino-Ocean | 55 | 60 | 59 | |||
Transactions Between Consolidated Structured Entities Or Other Subsidiaries And Company [Member] | ||||||
Disclosure of transactions between related parties [Line Items] | ||||||
Cash dividend from significant related parties | 3,944 | 443 | 187 | |||
Distribution of profits from the Group's other subsidiaries to the Company | 70 | 0 | 0 | |||
China Life Insurance (Group) Company ("CLIC") [member] | Transactions with CLIC and subsidiaries [member] | ||||||
Disclosure of transactions between related parties [Line Items] | ||||||
Policy management fee received from CLIC | [1],[2] | 740 | 869 | 950 | ||
Asset management fee received | [3] | 107 | 124 | 133 | ||
Payment of dividends from the Company to CLIC | 4,638 | 8,116 | 7,729 | |||
China Life Asset Management Company Limited ("AMC") [member] | Transactions with CLIC and subsidiaries [member] | ||||||
Disclosure of transactions between related parties [Line Items] | ||||||
Distribution of profits | 125 | 143 | 106 | |||
China Life Asset Management Company Limited ("AMC") [member] | Transactions between AMC and company [member] | ||||||
Disclosure of transactions between related parties [Line Items] | ||||||
Distribution of profits | 187 | 215 | 158 | |||
Payment of an asset management fee to significant related parties | [2],[4] | 1,154 | 1,081 | 1,020 | ||
China Life Insurance (Overseas) Company Limited ("CL Overseas") [member] | Transactions with CLIC and subsidiaries [member] | ||||||
Disclosure of transactions between related parties [Line Items] | ||||||
Asset management fee received | [5] | 119 | 74 | 39 | ||
China Life Property and Casualty Insurance Company Limited ("CLP&C") [member] | Transactions with CLIC and subsidiaries [member] | ||||||
Disclosure of transactions between related parties [Line Items] | ||||||
Asset management fee received | [6] | 14 | 36 | 26 | ||
Payment of insurance premium to CLP&C | 44 | 49 | 51 | |||
Claim and other payments received from CLP&C | 16 | 18 | 17 | |||
Agency fee received | [2],[7] | 3,030 | 2,337 | 1,464 | ||
Payment of an agency fee to CLP&C | [7] | 1 | 2 | 4 | ||
Rental and a service fee received from CLP&C | 59 | 43 | 49 | |||
Cash dividend from significant related parties | 69 | 135 | 0 | |||
China Life Real Estate Co., Limited ("CLRE") [member] | Transactions with CLIC and subsidiaries [member] | ||||||
Disclosure of transactions between related parties [Line Items] | ||||||
Payment of rental, project fee and other expenses to CLRE | 50 | 44 | 38 | |||
China Life Investment Holding Company Limited ("CLI") [member] | Transactions with CLIC and subsidiaries [member] | ||||||
Disclosure of transactions between related parties [Line Items] | ||||||
Asset management fee received | 9 | 13 | 17 | |||
Property leasing expenses charged by CLI | [8] | 78 | 81 | 84 | ||
Payment to CLI for purchase of fixed assets | 0 | 141 | 97 | |||
Payment of an asset management fee to significant related parties | [2],[9] | 396 | 298 | 167 | ||
Property leasing income received from CLI | 37 | 38 | 38 | |||
China Life Ecommerce Company Limited ("CL Ecommerce") [member] | Transactions with CLIC and subsidiaries [member] | ||||||
Disclosure of transactions between related parties [Line Items] | ||||||
Payment of a business management service fee to CL Ecommerce | [10] | 64 | 56 | 29 | ||
China Guangfa Bank Co. Ltd ("CGB") [member] | Transactions between CGB and group [member] | ||||||
Disclosure of transactions between related parties [Line Items] | ||||||
Interest on deposits received from CGB | 1,382 | 685 | 524 | |||
Commission expenses charged by CGB | [11] | 92 | 42 | 15 | ||
China Life Enterprise Annuity Fund ("EAP") [member] | Transactions between EAP and group [member] | ||||||
Disclosure of transactions between related parties [Line Items] | ||||||
Contribution to EAP | 700 | 337 | 303 | |||
Other associates and joint ventures [member] | Transaction Between Other Associates And Joint Ventures And The Group [member] | ||||||
Disclosure of transactions between related parties [Line Items] | ||||||
Distribution of profit from significant related parties | 1,240 | 437 | 0 | |||
Other associates and joint ventures [member] | Transaction between other associates and joint ventures and company [member] | ||||||
Disclosure of transactions between related parties [Line Items] | ||||||
Distribution of profit from significant related parties | 203 | 134 | 0 | |||
China Life Pension Company Limited ("Pension Company") [member] | Transactions between pension company and company [member] | ||||||
Disclosure of transactions between related parties [Line Items] | ||||||
Agency fee received | [12] | 42 | 31 | 20 | ||
Rental received from Pension Company | 43 | 34 | 24 | |||
Marketing fee income for promotion of annuity business from Pension Company | 10 | 14 | 14 | |||
China Life Franklin Asset Management Company Limited [member] | Transactions between AMC HK and company [member] | ||||||
Disclosure of transactions between related parties [Line Items] | ||||||
Payment of an investment management fee to AMC HK | [13] | 14 | 14 | 14 | ||
China Life (Suzhou) Pension and Retirement Investment Company Limited ("Suzhou Pension Company") [member] | ||||||
Disclosure of transactions between related parties [Line Items] | ||||||
Capital contribution to significant related parties | ¥ 260 | |||||
China Life (Suzhou) Pension and Retirement Investment Company Limited ("Suzhou Pension Company") [member] | Transactions between Suzhou Pension Company and Company [Member] | ||||||
Disclosure of transactions between related parties [Line Items] | ||||||
Capital contribution to significant related parties | 260 | 526 | 500 | |||
Shanghai Rui Chong Investment Co., Limited ("Rui Chong Company") [member] | ||||||
Disclosure of transactions between related parties [Line Items] | ||||||
Capital contribution to significant related parties | ¥ 231 | ¥ 370 | ||||
Shanghai Rui Chong Investment Co., Limited ("Rui Chong Company") [member] | Transactions between Rui Chong Company and company [member] | ||||||
Disclosure of transactions between related parties [Line Items] | ||||||
Capital contribution to significant related parties | ¥ 601 | ¥ 0 | ¥ 0 | |||
[1] | On 29 December 2014, the Company and CLIC signed a renewable insurance agency agreement, effective from 1 January 2015 to 31 December 2017. The agreement was subject to an automatic three-year renewal if no objections were raised by both parties. The Company performs its duties of insurance agents in accordance with the agreement, but does not acquire any rights and profits or assume any obligations, losses and risks as an insurer of the non-transferrable policies. The policy management fee was payable semi-annually, and is equal to the sum of (1) the number of policies in force as at the last day of the period, multiplied by RMB8.00 per policy and (2) 2.50% of the actual premiums and deposits received during the period, in respect of such policies. The policy management fee income is included in other income in the consolidated statement of comprehensive income. | |||||
[2] | These transactions constitute continuing connected transactions which are subject to reporting and announcement requirements but are exempt from independent shareholders' approval requirements under Chapter 14A of the Listing Rules. The Company has complied with the disclosure requirements in accordance with Chapter 14A of the Listing Rules. | |||||
[3] | On 30 December 2015, CLIC renewed an asset management agreement with AMC, entrusting AMC to manage and make investments for its insurance funds. The agreement is effective from 1 January 2016 to 31 December 2018. In accordance with the agreement, CLIC paid AMC a basic service fee at the rate of 0.05% per annum for the management of insurance funds. The service fee was calculated and payable on a monthly basis, by multiplying the average book value of the assets under management (after deducting the funds obtained from and interests accrued for repurchase transactions, deducting debt and equity investment schemes, project asset-backed schemes, the principal and interests of customised non-standard products) at the beginning and the end of any given month by the rate of 0.05%, divided by 12. At the end of each year, CLIC assessed the investment performance of the assets managed by AMC, compared the actual results against benchmark returns and made adjustment to the basic service fee. | |||||
[4] | On 29 December 2015, the Company and AMC renewed a renewable agreement for the management of insurance funds, effective from 1 January 2016 to 31 December 2018. In accordance with the agreement, the Company entrusted AMC to manage and make investments for its insurance funds and paid AMC a fixed service fee and a variable service fee. The fixed annual service fee was calculated and payable on a monthly basis, by multiplying the average net value of the assets under management by the rate of 0.05%; the variable service fee was payable annually, based on the results of performance evaluation, at 20% of the fixed service fee per annum. The service fees were determined by the Company and AMC based on an analysis of the cost of service, market practice and the size and composition of the asset pool to be managed. Asset management fees charged to the Company by AMC are eliminated in the consolidated statement of comprehensive income. | |||||
[5] | On 28 June 2017, CL Overseas renewed an investment management agreement with AMC HK, effective from 1 January 2016 to 31 December 2016. In accordance with the agreement, CL Overseas entrusted AMC HK to manage and make investments for its insurance funds and paid AMC HK a basic investment management fee and an investment performance fee. The basic investment management fee was accrued by multiplying the weighted average total funds by the basic fee rate. The investment performance fee was calculated based on the difference between the total actual annual yield and predetermined net realised yield. The basic investment management fee was calculated and payable on a semi-annual basis. The investment performance fee was payable according to the total actual annual yield at the end of each year. On 15 December 2017, CL Overseas renewed the agreement with AMC HK, effective to the next year when the contract is signed and sealed. The terms are applied in 2017. The agreement was subject to an automatic one-year renewal if no objections were raised by both parties with written consent in 5 years. | |||||
[6] | In 2015, CLP&C signed an agreement for the management of insurance funds with AMC, entrusting AMC to manage and make investments for its insurance funds. The agreement was effective from 1 January 2015 to 31 December 2016. The agreement was subject to an automatic one-year renewal if no objections were raised by both parties upon expiry. On 1 January 2017, the agreement was automatically renewed to 31 December 2017. In accordance with the agreement, CLP&C paid AMC a fixed service fee and a variable service fee. The fixed service fee was calculated and payable on a monthly basis, by multiplying the average net asset value of assets of each category under management at the beginning and the end of any given month by the responding annual investment management fee rate, divided by 12. The variable service fee was linked to investment performance. | |||||
[7] | On 8 March 2015, the Company and CLP&C signed a new 2-year framework insurance agency agreement, whereby CLP&C entrusted the Company to act as an agent to sell designated P&C insurance products in certain authorised jurisdictions. The agency fee was determined based on cost (tax included) plus a margin. The agreement was subject to an automatic one-year renewal if no objections were raised by both parties upon expiry. On 8 March 2017, the agreement was automatically renewed for one year. On 8 March 2015, the Company and CLP&C signed a new 2-year framework insurance agency agreement, whereby the Company entrusted CLP&C to act as an agent to sell designated life insurance products in certain authorised jurisdictions. The brokerage fee was determined based on market practice. The agreement was subject to an automatic one-year renewal if no objections were raised by both parties upon expiry. On 8 March 2017, the agreement was automatically renewed for one year. | |||||
[8] | On 31 December 2014, the Company signed a property leasing agreement with CLI, effective till 31 December 2017, pursuant to which CLI leased to the Company certain owned buildings. Annual rental payable by the Company to CLI in relation to the CLI properties is determined either by reference to the market rent, or, the costs incurred by CLI in holding and maintaining the properties, plus a margin of approximately 5%. The rental was paid on a semi-annual basis, and each payment was equal to one half of the total annual rental. | |||||
[9] | On 3 February 2016, the Company and CLI renewed a management agreement of alternative investment of insurance funds, which was effective from 1 January 2016 to 30 June 2017. In accordance with the agreement, the Company entrusted CLI to engage in specialised investment, operation and management of equities, real estate and related financial products, and securitised financial products under the instructions of the annual guidelines. The Company paid CLI an asset management fee and a performance related bonus based on the agreement. For fixed-income projects, the management fee rate was 0.05%-0.6% according to different ranges of returns and without a performance-related bonus; for non-fixed-income projects, the management fee rate was 0.3% and the performance-related bonus was linked to the return on comprehensive investment upon expiry of the project. On 30 June 2017, the Company and CLI renewed a management agreement of alternative investment of insurance funds, which is retrospectively effective from 1 January 2017 to 31 December 2018. The management fee rates of fixed-income projects and non-fixed-income projects remain the same as those in the previous agreement. In addition, the Company adjusts the investment management fees for fixed-income projects and non-fixed-income projects based on the annual evaluation results to CLI's performance. The adjustment amount (variable management fee) ranges from negative 10% to positive 15% of the investment management fee in the current period. | |||||
[10] | On 26 October 2016, the Company and CL Ecommerce renewed a one year agreement for managing the regional telemarketing centre, which was effective from 1 January 2016 and expired on 31 December 2016. The agreement is subject to an automatic one-year renewal if no objections are raised by both parties. On 1 January 2017, the agreement was automatically renewed for one year. Pursuant to the agreement, the Company entrusted CL Ecommerce to manage the operation of its telemarketing centre, and paid the management fee accordingly. The total amount of the management fee is not expected to exceed RMB100 million, but is still pending for negotiation between the two parties based on the actual circumstance. | |||||
[11] | On 12 August 2016, the Company and CGB renewed an insurance agency agreement to distribute insurance products. All individual insurance products suitable for distribution through bancassurance channels are included in the agreement. CGB provides agency services, including the sale of insurance products, and collecting premiums and paying benefits. The Company paid the agency commission by multiplying the net amount of total premiums received from the sale of each category individual insurance products after deducting the withdrawn policy premiums in the hesitation period, by the responding fixed commission rate. The commission rates for various insurance products sold by CGB are agreed based on arm's length transactions. The commissions are payable on a monthly basis. The agreement is effective for two years starting from the signing date and is subject to an automatic one-year renewal with no limitation of times if no objections were raised by either party upon expiry. On 23 March 2016, the Company and CGB signed another insurance agency agreement to distribute group insurance products. The group insurance products suitable for distribution through bancassurance channels are included in the agreement. CGB provides agency services, including the sale of group insurance products, collecting premiums and paying benefits, and so on. The Company paid the agency commission by multiplying the net amount of total premiums received from the sale of each category group insurance product after deducting the withdrawn policy premiums in the hesitation period, by the responding fixed commission rate. The commission rates for various insurance products sold by CGB are agreed by referring to comparable quoted market prices of independent third-parties. The commissions are payable on a monthly basis. The agreement is effective on 1 January 2016 for two years and is subject to an automatic one-year renewal if no objections were raised by either party upon expiry. | |||||
[12] | On 28 November 2016, the Company and Pension Company signed a new agency agreement for the distribution and customer service of enterprise annuity funds, the pension management business and the occupational pension management business. The agreement was effective from 28 November 2016 and expired on 31 December 2017. The agreement is subject to an automatic one-year renewal if no objections were raised by either party upon expiry. The commissions agreed upon in the agreement include the daily business commissions and the annual promotional plans commissions. According to the agreement, the commissions for the entrusting service of enterprise annuity fund management, which is the core business of Pension Company, are calculated at 30% to 80% of the annual entrusting management fee revenues, depending on the duration of the agreement. The commissions for account management service are calculated at 60% of the first year's account management fee and were only charged for the first year, regardless of the duration of the agreement. The commissions for investment management service, in accordance with the duration of the agreement, are calculated at 60% to 3% of the annual investment management fee (excluding risk reserves for investment), and decreased annually. The commissions of the group pension plan is, in accordance with the duration of the contracts, calculated at 50% to 3% of the annual investment management fee, and decreased annually; the commissions of the personal pension plan is calculated at 30% to 50% of the annual investment management fee according to the various rates of daily management fee applied to the various individual pension management products in all of the management years; the commissions of occupation annuity is in accordance with the provision of annual promotional plans, which should be determined by both parties on a separate occasion. The commissions charged to the Company by Pension Company are eliminated in the consolidated statement of the comprehensive income of the Group. | |||||
[13] | On 18 September 2016, the Company and AMC HK renewed the offshore investment management service agreement, which is effective from 19 September 2016 to 31 December 2018. In accordance with the agreement, the Company entrusted AMC HK to manage and make investments for its insurance funds and paid AMC HK an asset management fee. The asset management fee was calculated at a fixed rate of 0.40% of the portfolio asset value and a performance bonus capped at 0.15% of the portfolio asset value for assets managed on a discretionary basis. Management fees on assets managed on a non-discretionary basis are calculated at 0.05% of the portfolio asset value. The above management fee was calculated based on the net value of the entrusted asset from the monthly reports provided by the trustee, without deducting the monthly management fee payable. The fixed management fee was calculated monthly and payable quarterly. A performance bonus was calculated and payable on an annual basis. Asset management fees charged to the Company by AMC HK are eliminated in the consolidated statement of comprehensive income. |
Significant Related Party Tr150
Significant Related Party Transactions - Summary of Significant Transactions Carried Out by Group with Significant Related Parties (Parenthetical) (Detail) ¥ in Millions | Sep. 18, 2016 | Feb. 03, 2016 | Dec. 29, 2015 | Dec. 31, 2014 | Dec. 29, 2014 | Dec. 31, 2017 | Nov. 28, 2016 | Oct. 26, 2016CNY (¥) |
Transactions Between CLPC And AMC [member] | Insurance Funds Management Agreement [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Effective date of agreement | 1 January 2015 to 31 December 2016 | |||||||
Agreement renewal period | 1 year | |||||||
Description of agreement fee | In accordance with the agreement, CLP&C paid AMC a fixed service fee and a variable service fee. The fixed service fee was calculated and payable on a monthly basis, by multiplying the average net asset value of assets of each category under management at the beginning and the end of any given month by the responding annual investment management fee rate, divided by 12. The variable service fee was linked to investment performance. | |||||||
Transactions between parent company and CLPC [member] | Framework insurance agency agreement [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Agreement renewal period | 1 year | |||||||
Period of agreement | 2 years | |||||||
Transactions between parent company and CGB [member] | Insurance agency agreement one [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Effective date of agreement | Effective for two years starting from the signing date | |||||||
Agreement renewal period | 1 year | |||||||
Transactions between parent company and CGB [member] | Insurance agency agreement two [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Effective date of agreement | Effective on 1 January 2016 for two years | |||||||
Agreement renewal period | 1 year | |||||||
Period of agreement | 2 years | |||||||
China Life Insurance (Group) Company ("CLIC") [member] | Transactions Between Parent Company And CLI [member] | Insurance Agency Agreement [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Effective date of agreement | 1 January 2015 to 31 December 2017 | |||||||
Agreement renewal period | 3 years | |||||||
Description of agreement fee | The policy management fee was payable semi-annually, and is equal to the sum of (1) the number of policies in force as at the last day of the period, multiplied by RMB8.00 per policy and (2) 2.50% of the actual premiums and deposits received during the period, in respect of such policies. | |||||||
Management fee component rate per policy | 8 | |||||||
Percentage of premiums and deposits received | 2.50% | |||||||
China Life Insurance (Group) Company ("CLIC") [member] | Transactions Between CLIC And AMC [member] | Asset management agreement [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Effective date of agreement | 1 January 2016 to 31 December 2018 | |||||||
Description of agreement fee | In accordance with the agreement, CLIC paid AMC a basic service fee at the rate of 0.05% per annum for the management of insurance funds.The service fee was calculated and payable on a monthly basis, by multiplying the average book value of the assets under management (after deducting the funds obtained from and interests accrued for repurchase transactions, deducting debt and equity investment schemes, project asset-backed schemes, the principal and interests of customised non-standard products) at the beginning and the end of any given month by the rate of 0.05%, divided by 12. | |||||||
Dividend rate percentage | 0.05% | |||||||
China Life Asset Management Company Limited ("AMC") [member] | Transactions between AMC and company [member] | Insurance Funds Management Agreement [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Effective date of agreement | 1 January 2016 to 31 December 2018 | |||||||
Description of agreement fee | The fixed annual service fee was calculated and payable on a monthly basis, by multiplying the average net value of the assets under management by the rate of 0.05%; the variable service fee was payable annually, based on the results of performance evaluation, at 20% of the fixed service fee per annum. | |||||||
Fixed annual service fee percentage | 20.00% | |||||||
Variable annual service fee percentage | 0.05% | |||||||
China Life Insurance (Overseas) Company Limited ("CL Overseas") [member] | Transactions Between CL Overseas And AMCHK [member] | Investment management agreement [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Effective date of agreement | 1 January 2016 to 31 December 2016 | |||||||
Agreement renewal period | 1 year | |||||||
Description of agreement fee | The basic investment management fee was accrued by multiplying the weighted average total funds by the basic fee rate. The investment performance fee was calculated based on the difference between the total actual annual yield and predetermined net realised yield. The basic investment management fee was calculated and payable on a semi-annual basis. The investment performance fee was payable according to the total actual annual yield at the end of each year. | |||||||
China Life Investment Holding Company Limited ("CLI") [member] | Transactions Between Parent Company And CLI [member] | Alternative Investment Of Insurance Funds Management Agreement One [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Effective date of agreement | 1 January 2016 to 30 June 2017 | |||||||
Management fee for fixed income projects description | For fixed-income projects, the management fee rate was 0.05%-0.6% according to different ranges of returns and without a performance-related bonus. | |||||||
Management fee rate for non-fixed-income projects | 0.30% | |||||||
Management fee rate for non-fixed-income projects description | For non-fixed-income projects, the management fee rate was 0.3% and the performance-related bonus was linked to the return on comprehensive investment upon expiry of the project" with the element " | |||||||
China Life Investment Holding Company Limited ("CLI") [member] | Transactions Between Parent Company And CLI [member] | Alternative Investment Of Insurance Funds Management Agreement Two [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Effective date of agreement | 1 January 2017 to 31 December 2018 | |||||||
Description of variable management fee | The adjustment amount (variable management fee) ranges from negative 10% to positive 15% of the investment management fee in the current period. | |||||||
China Life Investment Holding Company Limited ("CLI") [member] | Transactions Between Parent Company And CLI [member] | Property leasing agreement [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Effective date of agreement | Effective till 31 December 2017 | |||||||
Description of agreement fee | Annual rental payable by the Company to CLI in relation to the CLI properties is determined either by reference to the market rent, or, the costs incurred by CLI in holding and maintaining the properties, plus a margin of approximately 5%. | |||||||
Annual rent margin percentage | 5.00% | |||||||
China Life Investment Holding Company Limited ("CLI") [member] | Bottom of range [member] | Transactions Between Parent Company And CLI [member] | Alternative Investment Of Insurance Funds Management Agreement One [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Management fee rate for fixed-income projects | 0.05% | |||||||
China Life Investment Holding Company Limited ("CLI") [member] | Bottom of range [member] | Transactions Between Parent Company And CLI [member] | Alternative Investment Of Insurance Funds Management Agreement Two [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Percentage of variable management fee | (10.00%) | |||||||
China Life Investment Holding Company Limited ("CLI") [member] | Top of range [member] | Transactions Between Parent Company And CLI [member] | Alternative Investment Of Insurance Funds Management Agreement One [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Management fee rate for fixed-income projects | 0.60% | |||||||
China Life Investment Holding Company Limited ("CLI") [member] | Top of range [member] | Transactions Between Parent Company And CLI [member] | Alternative Investment Of Insurance Funds Management Agreement Two [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Percentage of variable management fee | 15.00% | |||||||
China Life Ecommerce Company Limited ("CL Ecommerce") [member] | Transactions between parent company and CLE commerce [member] | Regional telemarketing centre management agreement [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Effective date of agreement | Effective from 1 January 2016 and expired on 31 December 2016 | |||||||
Agreement renewal period | 1 year | |||||||
Period of agreement | 1 year | |||||||
China Life Ecommerce Company Limited ("CL Ecommerce") [member] | Top of range [member] | Transactions between parent company and CLE commerce [member] | Regional telemarketing centre management agreement [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Amount of management fee paid | ¥ 100 | |||||||
China Life Pension Company Limited ("Pension Company") [member] | Transactions between pension company and company [member] | Distribution and customer service of enterprise annuity funds and pension management business and occupational pension management business agreement [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Effective date of agreement | Effective from 28 November 2016 and expired on 31 December 2017 | |||||||
Agreement renewal period | 1 year | |||||||
Description of agreement fee | According to the agreement, the commissions for the entrusting service of enterprise annuity fund management, which is the core business of Pension Company, are calculated at 30% to 80% of the annual entrusting management fee revenues, depending on the duration of the agreement. The commissions for account management service are calculated at 60% of the first year’s account management fee and were only charged for the first year, regardless of the duration of the agreement. The commissions for investment management service, in accordance with the duration of the agreement, are calculated at 60% to 3% of the annual investment management fee (excluding risk reserves for investment), and decreased annually. The commissions of the group pension plan is, in accordance with the duration of the contracts, calculated at 50% to 3% of the annual investment management fee, and decreased annually; the commissions of the personal pension plan is calculated at 30% to 50% of the annual investment management fee according to the various rates of daily management fee applied to the various individual pension management products in all of the management years; the commissions of occupation annuity is in accordance with the provision of annual promotional plans, which should be determined by both parties on a separate occasion. | |||||||
China Life Pension Company Limited ("Pension Company") [member] | Bottom of range [member] | Transactions between pension company and company [member] | Distribution and customer service of enterprise annuity funds and pension management business and occupational pension management business agreement [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Percentage of management fee revenues used to calculate commissions for annuity fund management | 30.00% | |||||||
China Life Pension Company Limited ("Pension Company") [member] | Top of range [member] | Transactions between pension company and company [member] | Distribution and customer service of enterprise annuity funds and pension management business and occupational pension management business agreement [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Percentage of management fee revenues used to calculate commissions for annuity fund management | 50.00% | |||||||
China Life Franklin Asset Management Company Limited [member] | Transactions between AMC HK and company [member] | Offshore investment management service agreement [member] | ||||||||
Disclosure of transactions between related parties [Line Items] | ||||||||
Effective date of agreement | 19 September 2016 to 31 December 2018 | |||||||
Description of agreement fee | The asset management fee was calculated at a fixed rate of 0.40% of the portfolio asset value and a performance bonus capped at 0.15% of the portfolio asset value for assets managed on a discretionary basis. Management fees on assets managed on a non-discretionary basis are calculated at 0.05% of the portfolio asset value. The above management fee was calculated based on the net value of the entrusted asset from the monthly reports provided by the trustee, without deducting the monthly management fee payable. The fixed management fee was calculated monthly and payable quarterly. A performance bonus was calculated and payable on an annual basis. fee was calculated at a fixed rate of 0.40% of the portfolio asset value and a performance bonus capped at 0.15% of the portfolio asset value for assets managed on a discretionary basis. Management fees on assets managed on a non-discretionary basis are calculated at 0.05% of the portfolio asset value. | |||||||
Asset management fee percentage based on fixed rate of portfolio asset value | 0.40% | |||||||
Asset management fee percentage based on performance bonus cap of portfolio asset value | 0.15% | |||||||
Asset management fee percentage based on non-discretionary basis of portfolio asset value | 0.05% |
Significant Related Party Tr151
Significant Related Party Transactions - Summary of Balances Due From and to Significant Related Parties (Detail) - CNY (¥) ¥ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of transactions between related parties [Line Items] | ||
Amount due from related parties | ¥ 987 | ¥ 927 |
China Life Insurance (Group) Company ("CLIC") [member] | ||
Disclosure of transactions between related parties [Line Items] | ||
Amount due from related parties | 420 | 529 |
China Life Insurance (Overseas) Company Limited ("CL Overseas") [member] | ||
Disclosure of transactions between related parties [Line Items] | ||
Amount due from related parties | 122 | 47 |
China Life Property and Casualty Insurance Company Limited ("CLP&C") [member] | ||
Disclosure of transactions between related parties [Line Items] | ||
Amount due from related parties | 428 | 332 |
Amount due to related parties | (6) | 0 |
China Life Investment Holding Company Limited ("CLI") [member] | ||
Disclosure of transactions between related parties [Line Items] | ||
Amount due from related parties | 9 | 12 |
Amount due to related parties | (265) | (206) |
China Life Real Estate Co., Limited ("CLRE") [member] | ||
Disclosure of transactions between related parties [Line Items] | ||
Amount due from related parties | 2 | 2 |
China Guangfa Bank Co. Ltd ("CGB") [member] | ||
Disclosure of transactions between related parties [Line Items] | ||
Amount deposited with related parties | 33,385 | 26,342 |
Interbank certificates of deposits of related parties | 199 | 0 |
Wealth management products of related parties | 330 | 0 |
Amount due from related parties | 1,041 | 365 |
Amount due to related parties | (31) | (17) |
China Life Ecommerce Company Limited ("CL Ecommerce") [member] | ||
Disclosure of transactions between related parties [Line Items] | ||
Amount due from related parties | 6 | 5 |
Amount due to related parties | (78) | (66) |
China Life Pension Company Limited ("Pension Company") [member] | ||
Disclosure of transactions between related parties [Line Items] | ||
Amount due from related parties | 57 | 47 |
Amount due to related parties | (19) | (17) |
China Life Asset Management Company Limited ("AMC") [member] | ||
Disclosure of transactions between related parties [Line Items] | ||
Amount due to related parties | (207) | (604) |
China Life Franklin Asset Management Company Limited [member] | ||
Disclosure of transactions between related parties [Line Items] | ||
Amount due to related parties | (4) | (8) |
Sino-Ocean Group Holding Limited ("Sino-Ocean") [member] | ||
Disclosure of transactions between related parties [Line Items] | ||
Corporate bonds from relate parties | 592 | 643 |
Amount due from related parties | ¥ 8 | ¥ 8 |
Significant Related Party Tr152
Significant Related Party Transactions - Key Management Personnel Compensation (Detail) - CNY (¥) ¥ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of key management personnel compensation [abstract] | |||
Salaries and other benefits | ¥ 18 | ¥ 28 | ¥ 25 |
Significant Related Party Tr153
Significant Related Party Transactions - Additional Information (Detail) ¥ in Millions | 12 Months Ended |
Dec. 31, 2016CNY (¥) | |
Disclosure of transactions between related parties [abstract] | |
Total compensation | ¥ 28 |
Deferred payment | ¥ 6 |
Share Capital - Summary of Shar
Share Capital - Summary of Share Capital Registered, Authorised, Issued and Fully Paid (Detail) - CNY (¥) ¥ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of classes of share capital [Line Items] | ||
No. of shares issued | 28,264,705,000 | |
Share capital | ¥ 28,265 | ¥ 28,265 |
Ordinary shares [member] | ||
Disclosure of classes of share capital [Line Items] | ||
No. of shares issued | 28,264,705,000 | 28,264,705,000 |
Share capital | ¥ 28,265 | ¥ 28,265 |
Share Capital - Summary of S155
Share Capital - Summary of Share Capital Registered, Authorised, Issued and Fully Paid (Parenthetical) (Detail) - ¥ / shares | Dec. 31, 2017 | Dec. 31, 2016 |
Ordinary shares [member] | ||
Disclosure of classes of share capital [Line Items] | ||
Ordinary share, par value | ¥ 1 | ¥ 1 |
Share Capital - Summary of S156
Share Capital - Summary of Share Capital (Detail) - CNY (¥) ¥ in Millions | Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of classes of share capital [Line Items] | |||
Share capital, shares | 28,264,705,000 | ||
Share capital | ¥ 28,265 | ¥ 28,265 | |
Domestic listed [member] | |||
Disclosure of classes of share capital [Line Items] | |||
Share capital, shares | 1,500,000,000 | ||
Share capital | ¥ 1,500 | ||
Overseas [member] | |||
Disclosure of classes of share capital [Line Items] | |||
Share capital, shares | [1] | 7,441,175,000 | |
Share capital | [1] | ¥ 7,441 | |
China Life Insurance (Group) Company ("CLIC") [member] | |||
Disclosure of classes of share capital [Line Items] | |||
Share capital, shares | [2] | 19,323,530,000 | |
Share capital | [2] | ¥ 19,324 | |
Other equity holders [member] | |||
Disclosure of classes of share capital [Line Items] | |||
Share capital, shares | 8,941,175,000 | ||
Share capital | ¥ 8,941 | ||
[1] | Overseas listed shares are traded on the Stock Exchange of Hong Kong Limited and the New York Stock Exchange. | ||
[2] | All shares owned by CLIC are domestic listed shares. |
Other Equity Instruments - Summ
Other Equity Instruments - Summary of Other Equity Instruments Basic Information (Detail) - CNY (¥) ¥ in Millions | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2015 | |
Other equity instruments, Beginning balance | ¥ 7,791 | |
Other equity instruments, Increase | ¥ 7,791 | |
Other equity instruments, Ending balance | 7,791 | |
Core tier 2 capital securities [member] | ||
Other equity instruments, Beginning balance | 7,791 | |
Other equity instruments, Increase | 0 | |
Other equity instruments, Decrease | 0 | |
Other equity instruments, Ending balance | ¥ 7,791 |
Other Equity Instruments - Addi
Other Equity Instruments - Additional Information (Detail) ¥ in Millions | 12 Months Ended | |||||
Dec. 31, 2017CNY (¥) | Dec. 31, 2016CNY (¥) | Dec. 31, 2015CNY (¥) | Dec. 31, 2015USD ($) | Dec. 31, 2017USD ($) | Jul. 03, 2015USD ($) | |
Issuance of capital securities | ¥ | ¥ 28,265 | ¥ 28,265 | ||||
Proceeds raised from issuance of capital securities | ¥ 0 | ¥ 0 | ¥ 7,791 | $ 1,274,000,000 | ||
Term of issued capital securities | 60 years | |||||
Initial distribution rate | 4.00% | |||||
Initial interest-bearing period | 5 years | |||||
US treasury yield plus a margin rate | 2.294% | |||||
Core tier 2 capital securities [member] | ||||||
Issuance of capital securities | $ 1,280,000,000 | |||||
Securities issued denomination amount | $ 200,000 | |||||
Securities issued integral multiples | $ 1,000 |
Other Equity Instruments - S159
Other Equity Instruments - Summary of Equity Attributable to Equity Holders (Detail) - CNY (¥) ¥ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Equity attributable to equity holders [abstract] | ||
Equity attributable to equity holders of the Company | ¥ 320,933 | ¥ 303,621 |
Equity attributable to ordinary equity holders of the Company | 313,142 | 295,830 |
Equity attributable to other equity instruments holders of the Company | 7,791 | 7,791 |
Equity attributable to non-controlling interests | 4,377 | 4,027 |
Equity attributable to ordinary equity holders of non-controlling interests | ¥ 4,377 | ¥ 4,027 |
Reserves - Summary of Reserves
Reserves - Summary of Reserves (Detail) - CNY (¥) ¥ in Millions | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Disclosure of reserves within equity [Line Items] | ||||
Beginning balance | ¥ 145,007 | |||
Other comprehensive income for the year | (7,926) | ¥ (25,776) | ¥ 7,137 | |
Ending balance | 145,675 | 145,007 | ||
Reserves [member] | ||||
Disclosure of reserves within equity [Line Items] | ||||
Beginning balance | 145,007 | 163,381 | 145,919 | |
Other comprehensive income for the year | (7,912) | (25,774) | 7,076 | |
Appropriation to reserves | 8,445 | 7,367 | 10,090 | |
Others | 135 | 33 | 296 | |
Ending balance | 145,675 | 145,007 | 163,381 | |
Share premium [member] | Reserves [member] | ||||
Disclosure of reserves within equity [Line Items] | ||||
Beginning balance | 53,860 | 53,860 | 53,860 | |
Other comprehensive income for the year | 0 | 0 | 0 | |
Appropriation to reserves | 0 | 0 | 0 | |
Others | 0 | 0 | 0 | |
Ending balance | 53,860 | 53,860 | 53,860 | |
Other reserves [member] | Reserves [member] | ||||
Disclosure of reserves within equity [Line Items] | ||||
Beginning balance | 1,146 | 1,113 | 817 | |
Other comprehensive income for the year | 0 | 0 | 0 | |
Appropriation to reserves | 0 | 0 | 0 | |
Others | 135 | 33 | 296 | |
Ending balance | 1,281 | 1,146 | 1,113 | |
Unrealised gains/(losses) from available-for-sale securities [member] | Reserves [member] | ||||
Disclosure of reserves within equity [Line Items] | ||||
Beginning balance | 5,100 | 29,963 | 23,254 | |
Other comprehensive income for the year | (7,086) | (24,863) | 6,709 | |
Appropriation to reserves | 0 | 0 | 0 | |
Others | 0 | 0 | 0 | |
Ending balance | (1,986) | 5,100 | 29,963 | |
Share of other comprehensive income of investees under equity method [member] | Reserves [member] | ||||
Disclosure of reserves within equity [Line Items] | ||||
Beginning balance | (738) | 180 | (184) | |
Other comprehensive income for the year | 21 | (918) | 364 | |
Appropriation to reserves | 0 | 0 | 0 | |
Others | 0 | 0 | 0 | |
Ending balance | (717) | (738) | 180 | |
Statutory reserve fund [member] | Reserves [member] | ||||
Disclosure of reserves within equity [Line Items] | ||||
Beginning balance | [1] | 30,166 | 28,239 | 24,801 |
Other comprehensive income for the year | [1] | 0 | 0 | |
Appropriation to reserves | [1] | 3,218 | 1,927 | 3,438 |
Others | [1] | 0 | 0 | 0 |
Ending balance | [1] | 33,384 | 30,166 | 28,239 |
Discretionary reserve fund [member] | Reserves [member] | ||||
Disclosure of reserves within equity [Line Items] | ||||
Beginning balance | [2] | 28,225 | 24,787 | 21,627 |
Other comprehensive income for the year | [2] | 0 | 0 | |
Appropriation to reserves | [2] | 1,927 | 3,438 | 3,160 |
Others | [2] | 0 | 0 | 0 |
Ending balance | [2] | 30,152 | 28,225 | 24,787 |
General reserve [member] | Reserves [member] | ||||
Disclosure of reserves within equity [Line Items] | ||||
Beginning balance | [3] | 27,241 | 25,239 | 21,747 |
Other comprehensive income for the year | [3] | 0 | 0 | |
Appropriation to reserves | [3] | 3,300 | 2,002 | 3,492 |
Others | [3] | 0 | 0 | 0 |
Ending balance | [3] | 30,541 | 27,241 | 25,239 |
Exchange differences on translating foreign operations [member] | Reserves [member] | ||||
Disclosure of reserves within equity [Line Items] | ||||
Beginning balance | 7 | 0 | (3) | |
Other comprehensive income for the year | (847) | 7 | 3 | |
Appropriation to reserves | 0 | 0 | 0 | |
Others | 0 | 0 | 0 | |
Ending balance | ¥ (840) | ¥ 7 | ¥ 0 | |
[1] | Pursuant to the relevant PRC laws, the Company appropriated 10% of its net profit under Chinese Accounting Standards ("CAS") to statutory reserve which amounted to RMB3,218 million for the year ended 31 December 2017 (2016: RMB1,927 million, 2015: RMB3,438 million). | |||
[2] | Approved at the Annual General Meeting in May 2017, the Company appropriated RMB1,927 million to the discretionary reserve fund for the year ended 31 December 2016 based on net profit under CAS (2016: RMB3,438 million, 2015: RMB3,160 million). | |||
[3] | Pursuant to "Financial Standards of Financial Enterprises-Implementation Guide" issued by the Ministry of Finance of the PRC on 30 March 2007, for the year ended 31 December 2017, the Company appropriated 10% of net profit under CAS which amounted to RMB3,218 million to the general reserve for future uncertain catastrophes, which cannot be used for dividend distribution or conversion to share capital increment (2016: RMB1,927 million, 2015: RMB3,438 million). In addition, pursuant to the CAS, the Group appropriated RMB82 million to the general reserve of its subsidiaries attributable to the Company in the consolidated financial statements (2016: RMB75 million, 2015: RMB54 million). |
Reserves - Summary of Reserv161
Reserves - Summary of Reserves (Parenthetical) (Detail) - Chinese accounting standards [member] - CNY (¥) ¥ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Statutory reserve fund [member] | |||
Disclosure of reserves within equity [Line Items] | |||
Percentage of net profit on statutory reserve | 10.00% | ||
Statutory reserve | ¥ 3,218 | ¥ 1,927 | ¥ 3,438 |
Discretionary reserve fund [member] | |||
Disclosure of reserves within equity [Line Items] | |||
Discretionary reserve fund | ¥ 1,927 | 3,438 | 3,160 |
General reserve [member] | |||
Disclosure of reserves within equity [Line Items] | |||
Percentage of net profit on general reserve | 10.00% | ||
General reserve for catastrophe | ¥ 3,218 | 1,927 | 3,438 |
Transfer of General reserve to subsidiaries | ¥ 82 | ¥ 75 | ¥ 54 |
Notes to the Consolidated St162
Notes to the Consolidated Statement of Cash Flows - Summary of Changes in Liabilities Arising From Financing Activities (Detail) ¥ in Millions | 12 Months Ended |
Dec. 31, 2017CNY (¥) | |
Disclosure of reconciliation of liabilities arising from financing activities [line items] | |
Liabilities arising from financing activities, beginning balance | ¥ 141,557 |
Changes from financing cash flows | (33,558) |
Foreign exchange movement | (497) |
Changes arising from losing control of consolidated structured entities | (7) |
Interest expense | 4,987 |
Liabilities arising from financing activities,ending balance | 112,482 |
Interest bearing loans and borrowings [member] | |
Disclosure of reconciliation of liabilities arising from financing activities [line items] | |
Liabilities arising from financing activities, beginning balance | 16,170 |
Changes from financing cash flows | 3,121 |
Foreign exchange movement | (497) |
Changes arising from losing control of consolidated structured entities | 0 |
Interest expense | 0 |
Liabilities arising from financing activities,ending balance | 18,794 |
Bonds payable [member] | |
Disclosure of reconciliation of liabilities arising from financing activities [line items] | |
Liabilities arising from financing activities, beginning balance | 37,998 |
Changes from financing cash flows | (38,000) |
Foreign exchange movement | 0 |
Changes arising from losing control of consolidated structured entities | 0 |
Interest expense | 2 |
Liabilities arising from financing activities,ending balance | 0 |
Securities sold under agreements to repurchase1 [member] | |
Disclosure of reconciliation of liabilities arising from financing activities [line items] | |
Liabilities arising from financing activities, beginning balance | 81,088 |
Changes from financing cash flows | 6,228 |
Foreign exchange movement | 0 |
Changes arising from losing control of consolidated structured entities | (7) |
Interest expense | 0 |
Liabilities arising from financing activities,ending balance | 87,309 |
Other liability payable to third party holders of consolidated trust schemes and debt investment schemes [member] | |
Disclosure of reconciliation of liabilities arising from financing activities [line items] | |
Liabilities arising from financing activities, beginning balance | 5,488 |
Changes from financing cash flows | 764 |
Foreign exchange movement | 0 |
Changes arising from losing control of consolidated structured entities | 0 |
Interest expense | 0 |
Liabilities arising from financing activities,ending balance | 6,252 |
Other liability interest payable related to financing activities [member] | |
Disclosure of reconciliation of liabilities arising from financing activities [line items] | |
Liabilities arising from financing activities, beginning balance | 813 |
Changes from financing cash flows | (5,671) |
Foreign exchange movement | 0 |
Changes arising from losing control of consolidated structured entities | 0 |
Interest expense | 4,985 |
Liabilities arising from financing activities,ending balance | ¥ 127 |
Provisions and Contingencies -
Provisions and Contingencies - Summary of Significant Contingent Liabilities (Detail) - CNY (¥) ¥ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Legal proceedings contingent liability [member] | ||
Disclosure of contingent liabilities [Line Items] | ||
Pending lawsuits | ¥ 493 | ¥ 588 |
Commitments - Capital Commitmen
Commitments - Capital Commitments Relating to Property Development Projects and Investments (Detail) - CNY (¥) ¥ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of commitments and contingencies [Line Items] | ||
Capital commitments | ¥ 91,784 | ¥ 45,079 |
Investments [member] | ||
Disclosure of commitments and contingencies [Line Items] | ||
Capital commitments | 86,582 | 39,616 |
Property, plant and equipment [member] | ||
Disclosure of commitments and contingencies [Line Items] | ||
Capital commitments | 5,202 | 5,462 |
Others [member] | ||
Disclosure of commitments and contingencies [Line Items] | ||
Capital commitments | ¥ 0 | ¥ 1 |
Commitments - Future Minimum Le
Commitments - Future Minimum Lease Payments under Non-cancellable Operating Leases (Detail) - Lessee [member] - CNY (¥) ¥ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure Of Future Minimum Lease Payments [Line Items] | ||
Future minimum lease payments | ¥ 1,929 | ¥ 1,423 |
Not later than one year [member] | ||
Disclosure Of Future Minimum Lease Payments [Line Items] | ||
Future minimum lease payments | 784 | 632 |
Later than one year and not later than five years [member] | ||
Disclosure Of Future Minimum Lease Payments [Line Items] | ||
Future minimum lease payments | 1,101 | 764 |
Later than five years [member] | ||
Disclosure Of Future Minimum Lease Payments [Line Items] | ||
Future minimum lease payments | ¥ 44 | ¥ 27 |
Commitments - Additional Inform
Commitments - Additional Information (Detail) - CNY (¥) ¥ in Millions | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Future Minimum Lease Payments [abstract] | ||
Operating lease payments before income tax | ¥ 1,204 | ¥ 994 |
Commitments - Future Minimum Re
Commitments - Future Minimum Rentals Receivable under Non-cancellable Operating Leases (Detail) - Lessor [member] - CNY (¥) ¥ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of future minimum rentals receivable [Line Items] | ||
Future minimum rentals receivable | ¥ 741 | ¥ 463 |
Not later than one year [member] | ||
Disclosure of future minimum rentals receivable [Line Items] | ||
Future minimum rentals receivable | 254 | 186 |
Later than one year and not later than five years [member] | ||
Disclosure of future minimum rentals receivable [Line Items] | ||
Future minimum rentals receivable | 411 | 267 |
Later than five years [member] | ||
Disclosure of future minimum rentals receivable [Line Items] | ||
Future minimum rentals receivable | ¥ 76 | ¥ 10 |