As the first city to fully open its insurance sector to foreign investors, Shanghai has drafted a plan according to the state’s eleventh 'Five Year Plan' to accelerate the growth of insurance income on the foundation that was established in 2005, the Economic Information Daily reported.   According to the estimation of the China Insurance Regulatory Commission in Shanghai, Shanghai’s insurance sector would undergo tremendous growth in next five years following the opening; it is expected that insurance income would total 538.8 million yuan by 2010, the depth of insurance reached 3.85 percent and insurance destiny would reach from 3169 yuan to 4496 yuan.   The newly-drafted plan shows Shanghai’s desire to lead the country’s development in insurance. With innovations of insurance products, techniques and servies, a range of new insurance types are expected to be launched.   The chief of the Shanghai Insurance Regulatory Commission, Sun Guodong, suggested one of the plan’s major efforts is to develop liability insurance and improve the structure of Shanghai’s insurance products. Directors & Officers (D&O) liability insurance, overseas listed companies’ D&O liability insurance, travel agency liability insurance and pharmaceutical products liability insurance would be among the first ones to be launched and developed.   Retirement insurance would be strengthened to meet the demand of the city’s aging population, health insurance would promote a managed medical insurance business. Targeting those without basic insurance coverage, the sector would develop accident and medical insurance for immigrants and the mobile populations. Innovative products such as investment-type family finance insurance would also be launched.   Lifting of regulations on capital flow Sun said that a freer business environment would be constructed to attract more international insurance firms and domestic firms to establish branches or headquarters in Shanghai. An optimized market structure needs to be established with modern auditing and risk management firms to complement the optimization of the insurance sector.   Shanghai would also introduce insurance asset management firms to the sector in order to encourage overseas investment and widen the range as well as types of securities products. Insurance firms are encouraged to invest in other fields and establish an investment fund.   Shanghai mayor, Han Zheng, also said that he has high hopes for the development of the city’s insurance sector and the improvement of the market due to the constant inflow of foreign investment.   Shanghai as the example of the country Wu Dingfu, the president of China Insurance Regulatory Commission, emphasized that Shanghai’s insurance sector needs to modernize its management, risk management systems, and innovations to serve as the prime example for insurance sector nationwide.   Sun added that the insurance sector needs to help establish a solid platform to complement the depth of the city’s economic development with better services and commercial flexibility as well as greater security.