"The company - ALLIANZ (China) Insurance Holding Company Limited - will be China's first-ever wholly-owned insurance holding company by a foreign insurer, and will be based in Shanghai", as the German insurer announced in a statement.
ALLIANZ expects the holding company to be established in 2019, and will work on the necessary preparatory work under the guidance and assistance of the regulatory authorities.
The regulatory approval follows a series of measures recently announced by the Chinese government to further open up and encourage investment in China by foreign financial insurance institutions.
This development follows the long-term positive bilateral relationship between China and Germany, and furthers its continued cooperation and collaboration.
"Allianz is proud to be the first foreign insurer to commence the establishment of a holding company in China - a significant milestone for us to expand our presence in this strategic market", said Oliver BAETE, Chairman and CEO, ALLIANZ Group
This marks the latest milestone for ALLIANZ in China, a market it has served since the early 1910s.
Today, with its 2,000 employees and affiliates in the country, ALLIANZ offers the full spectrum of protection, risk management and asset management solutions and services in China.
ALLIANZ expects China to continue setting the pace for global insurance market growth, with premiums expected to rise 14%per annum in the coming decade.