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There are significant regional differences in the development of China’s insurance industry. An important question is that such regional differences are expanding or shrinking? Based on Barrow’s economic growth convergence model, this paper uses the σ convergence model to analyze the differences in the development of China’s insurance industry and its trends. It draws on the statistics data from 1990 to 2020. The empirical results show that the convergence of China’s insurance development is not obvious before 2006, but it shows a significant convergence after 2006. And, there are some differences between the Eastern, the Central, and the Western. Furthermore, when considering the spatial correlation, the convergence of insurance development among provinces in China is more obvious. This shows that the flowing of capital, technology, and labor force between regions may be beneficial to the balanced development of insurance among the regions.

A σ-Convergence Model for Analyzing the Balance of Insurance Industry in China