Global insurance giant Allianz announced it recently expanded its entertainment insurance business to the Chinese mainland and Hong Kong due to the region's great potential in film and performance industry.The insurer, with more than 100 years of experience in the entertainment field, released two new products in the area last Friday - film and television production insurance and event cancellation insurance.The former covers extra expenses for actors, equipment, decorations, costumes and property damage, the company said.And the latter provides guaranteed coverage for accidents that may happen at events such as a live performance, concerts, sports events and exhibitions, it said."Asia shows a great demand for entertainment insurance due to the growing number of live events and growing interest of Chinese investors in Hollywood," said Michael Furtschegger, who leads global entertainment business of AGCS.Chinese conglomerate Dalian Wanda Group, for example, acquired US-based movie making company Legendary Pictures in 2016. Domestic internet giant Alibaba Group also announced it will cooperate with Steven Spielberg in film production, circulation and investment. In 2017, China invested more than billion in Hollywood. Following only the United States, the country has become the second largest film market, who contributed about 8 percent to films' production worldwide, industrial statistics showed.Allianz, in this case, expects to seize the chance to become a market leader in Asia in three to five years, Furtschegger said.According to accounting company PwC, the annual growth rate of the media and entertainment industry expects to reach 8 percent in China in the following five years, higher than the global level of 5 percent.Income for live music performances in China reached 2 million in 2011, which is expected to reach 4 million in 2020, it said. With more Chinese audiences participating in live events, related risk will become more complicated, and may drive organizers to ask for guaranteed coverage from insurance services, experts said.
Gavin Liu, Asia president of Westinghouse. [Photo provided to chinadaily.com.cn]
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