In early 2025, the Insurance Authority of Hong Kong released draft proposals for the Insurance Public Disclosure Rules, including requirements for reporting risk-based capital results, and subsequently published its conclusions in August 2025. These rules specify detailed requirements under Pillar 3 of the Hong Kong Risk-Based Capital (HKRBC) regime regarding the type, timing, and format of information insurers must disclose to the public. This report analyses disclosures as of year-end 2024, providing a proxy for assessing capital adequacy in the Hong Kong life insurance industry.

• The top-10 selected life insurers in Hong Kong disclosed healthy solvency ratios as at year-end 2024, with an average solvency ratio of 230%
• None of the 10 insurers had a solvency ratio of below 199%.
• Participating business represents more than 70% of life insurance liabilities in Hong Kong.
• The equity backing ratio for participating business is relatively high at 40%, and may continue to rise.
• The most significant risks to Hong Kong Life insurers are market risk (e.g. equity, interest rate and credit spread risks) and insurance risk (e.g. lapse and disability risk).
• Overall market risk capital requirements remain relatively low—around 5% of total assets—due to the significant impact of the loss absorbing capacity of reserves for participating business.