China’s five major A-listed insurance companies have abolished their supervisory boards and shifted to an audit committee-based governance structure. The move follows China’s new Company Law, which came into effect in 2024 and allows companies to replace supervisory boards with audit committees under the board of directors.
The reform is expected to streamline corporate governance, improve decision-making efficiency, and align insurers with evolving regulatory requirements. The change reflects a broader shift in China’s insurance sector toward stronger board-level oversight and more integrated governance practices.
For insurers, the audit committee model may strengthen internal controls, financial supervision, compliance monitoring, and risk management. The development also signals how major insurance institutions are adapting their governance frameworks to meet new legal standards and improve accountability.
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