Hong Kong Insurers Step Up Partnerships as Cross-Border Tax Rules Tighten

Hong Kong insurers partnerships with technology, healthcare and professional-services companies are expanding as providers respond to changing client requirements and tighter mainland Chinese taxation of offshore investments.

Prudential has partnered with Alibaba Cloud to develop an artificial intelligence underwriting tool that can help financial consultants make preliminary decisions using clients’ financial and medical information.

Manulife has also signed agreements with Alibaba Cloud and AHA Healthcare Technology to develop AI solutions and explore cross-border healthcare services.

Meanwhile, BOC Life has partnered with Deloitte Private to address growing demand from wealthy families for succession planning and wealth advisory services.

The alliances come as Beijing strengthens taxation of offshore investments, including structures involving trusts and insurance policies.

For Hong Kong insurers, the changing environment is increasing the importance of technology, cross-border services and professional advisory partnerships as wealthy mainland clients face more complex tax, succession and wealth-planning requirements.