v2.3.0.11
Concentrations of Credit Risk
 12 Months Ended
Dec. 31, 2010
Concentrations of Credit Risk [Abstract]  
Concentrations of Credit Risk
(17) Concentrations of Credit Risk
Concentration risks
Details of the customers accounting for 10% or more of total net revenues from commissions and fees are as follows:
                                                 
    Year ended December 31,  
    2008     % of sales     2009     % of sales     2010     % of sales  
    RMB           RMB             RMB          
PICC Property and Casualty Company Limited (“PICC”)
    180,595       21 %     225,847       20 %     275,889       19 %
China Pacific Property Insurance Co., Ltd (“CPIC”)
    165,879       20 %     196,530       17 %     202,404       14 %
Aviva-Cofco Life Insurance Co., Ltd (“Aviva-Cofco”)
    *       *       *       *       192,670       13 %
Ping An Property & Casualty Insurance Company of China, Ltd (“Ping An”)
    98,410       12 %     140,057       12 %     156,251       11 %
 
                                   
 
    444,884       53 %     562,434       49 %     827,214       57 %
 
                                   
Details of the customers which accounted for 10% or more of accounts receivable are as follows:
                                 
    As of December 31,  
    2009     %     2010     %  
    RMB             RMB          
Aviva-Cofco
    26,176       14 %     62,509       26 %
PICC
    46,539       25 %     34,572       14 %
Ping An
    18,305       10 %     *       *  
CPIC
    17,638       10 %     *       *  
 
                       
 
    108,658       59 %     97,081       40 %
 
                       
 
     
*  
Less than 10%
The Group performs ongoing credit evaluations of its customers and generally does not require collateral on accounts receivable.
The Group places its cash and cash equivalents with financial institutions with high-credit ratings and quality.
Substantially all of the Group’s revenues for the three years ended December 31, 2008, 2009 and 2010 were generated from the PRC. A substantial portion of the identifiable assets of the Group is located in the PRC. Accordingly, no geographical segments are presented.
Currency risk
Except for the proceeds from initial public offering and follow-on offering are in USD, substantially all of the revenue-generating operations of the Group are transacted in RMB, which is not fully convertible into foreign currencies. On January 1, 1994, the PRC government abolished the dual rate system and introduced a single rate of exchange as quoted by the People’s Bank of China. However, the unification of the exchange rate does not imply convertibility of RMB into USD or other foreign currencies. All foreign exchange transactions must take place either through the People’s Bank of China or other institutions authorized to buy and sell foreign exchange or at a swap center. Approval of foreign currency payments by the People’s Bank of China or other institutions requires submitting a payment application form together with suppliers’ invoices, shipping documents and signed contracts.