Intermediate industry and country risk because inward property and casualty (P&C, non-life) reinsurance from China-based sister company China Pacific Property Insurance Co. Ltd. (CPPIC) accounts for a large portion of the business of China Pacific Insurance Co. (H.K.) Ltd. (CPIC HK). Less-than-adequate competitive position, reflecting CPIC HK's tiny market share in the competitive Hong Kong P&C market. Very strong capital adequacy relative to its risk profile, counterbalanced by its small capital base. Adequate financial flexibility and intermediate risk position. Adequate enterprise risk management and fair management and governance. Strong liquidity profile with no immediate refinancing needs and ample liquid assets. Strategically important subsidiary of China Pacific Insurance (Group) Co. Ltd. (CPIC Group). The stable outlook reflects our view that CPIC
