CNinsure Announces Strategic Partnership With Sunshine P&C Insurance

GUANGZHOU, China, February 23, 2010 /PRNewswire-Asia-FirstCall/ -- CNinsure Inc. (Nasdaq: CISG) (the “Company” or “CNinsure”), a leading independent insurance intermediary company operating in China, today announced the signing of a strategic partnership agreement  with Sunshine Property and Casualty Insurance Co., Ltd. (“Sunshine P&C Insurance”), one of the top ten property and casualty insurance companies in China, on 10 February 2010.

 

Pursuant to the Agreement, CNinsure and Sunshine P&C Insurance will conduct in-depth cooperation in the areas of product distribution, development of custom-designed insurance products, which will be underwritten by Sunshine P&C Insurance and exclusively distributed by CNinsure, as well as the outsourcing of claims adjusting services.

 

Commenting on the Agreement, Mr. Yinan Hu, CNinsure’s Chairman and Chief Executive Officer, stated: “The strategic partnership offers an exciting opportunity for both parties to deepen our cooperation, as well as forge a long-term and stable business relationship for mutual benefits.”

 

“We are proud that this is the fourth corporate-to-corporate agreement that CNinsure has signed with property and casualty insurance companies so far. We firmly believe that with CNinsure’s keen sense of the changes in customers’ demands and Sunshine’s underwriting expertise, we will better serve consumers’ diversified needs and differentiate ourselves from our competitors by introducing customized products and participating in the provision of after-sales services.” 
 
Founded on July 28, 2005, Sunshine P&C Insurance is a subsidiary of Sunshine Insurance Group, one of the seven leading insurance groups in China. It mainly engages in property and casualty insurance business, with a nation-wide service network. According to the China Insurance Regulatory Commission, Sunshine P&C Insurance generated insurance premiums of RMB 6.6 billion in 2009, ranking 9th among all the property and casualty insurance companies in China.

 

CNinsure is a leading independent intermediary company operating in China. CNinsure's distribution network reaches many of China’s most economically developed regions and affluent cities. The Company distributes a wide variety of property and casualty and life insurance products underwritten by domestic and foreign insurance companies operating in China, and provides insurance claims adjusting as well as other insurance-related services.

 

This press release contains statements of a forward-looking nature. These statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. You can identify these forward- looking statements by terminology such as “will,” “expects,” “believes,” “anticipates,” “intends,” “estimates” and similar statements. Among other things, the management's quotations and the Business Outlook section contain forward-looking statements. These forward-looking statements involve known and unknown risks and uncertainties and are based on current expectations, assumptions, estimates and projections about CNinsure and the industry. Potential risks and uncertainties include, but are not limited to, those relating to CNinsure's limited operating history, especially its limited experience in selling life insurance products, its ability to attract and retain productive agents, especially entrepreneurial agents, its ability to maintain existing and develop new business relationships with insurance companies, its ability to execute its growth strategy, its ability to adapt to the evolving regulatory environment in the Chinese insurance industry, its ability to compete effectively against its competitors, quarterly variations in its operating results caused by factors beyond its control and macroeconomic conditions in China and their potential impact on the sales of insurance products. All information provided in this press release is as of February 23, 2010, and CNinsure undertakes no obligation to update any forward-looking statements to reflect subsequent occurring events or circumstances, or to changes in its expectations, except as may be required by law. Although CNinsure believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that its expectations will turn out to be correct, and investors are cautioned that actual results may differ materially from the anticipated results. Further information regarding risks and uncertainties faced by CNinsure is included in CNinsure's filings with the U.S. Securities and Exchange Commission, including its annual report on Form 20-F.