China-based Groupama SDIG enhances non-agri insurance strategy

Over the past three years, the company’s combined ratio averaged 98%.

Whilst underwriting results from non-agricultural insurance were initially weak, China-based Groupama SDIG Property Insurance Co., Ltd. has improved through risk segmentation, tighter expense control, and product optimisation, Fitch Ratings said. 

However, impairment losses from premium receivables have constrained overall operating profitability during this period.  

Over the past three years, the company’s combined ratio averaged 98%, supported primarily by the strong performance of its agricultural insurance policies.  

Groupama SDIG operates in 12 provinces in China, with strongholds in regions like Sichuan and Jilin. Despite this, its market share in China’s non-life insurance market was just 0.2% in 2023, with agricultural insurance remaining its primary focus.  

As an "Important" operating subsidiary, Groupama SDIG benefits from support under the Groupama Group framework, per Fitch’s insurance group criteria. 

The company operates as a 50-50 joint venture between Groupama Group and Shudao Investment Group Co., Ltd (SDIG), marketing its products under the "Groupama SDIG" brand in China.