AIA Group loses China bancassurance market share as sales fall

AIA Group experienced a 6% decline in its China bancassurance sales during the first half of 2026, even as the broader market expanded. This decline has resulted in a loss of market share for the insurer.

According to analysis by Jefferies, the performance dip is linked to new regulatory reforms in China that took effect in July 2026. These rules require increased transparency regarding commission payments to banks and compensation details for sales staff. The reforms aim to ensure commissions remain within regulatory limits and prevent undisclosed payments.

While these changes are expected to create near-term headwinds and potentially impact AIA China’s sales, Jefferies suggests the reforms may support AIA’s market share from 2027 onwards. The firm noted that some demand may have been pulled forward in the second quarter as insurers and customers moved to complete transactions before the new rules were implemented.