(Yicai Global) Aug. 19 -- AIA Group has kicked off China's first wholly foreign-owned life insurance company.

Shanghai-based AIA Life Insurance will operate AIA’s life insurance business in China's mainland and is already applying with regulators to set up new branches, the Hong Kong-headquartered parent said in a statement yesterday.

Late last year, AIA filed with regulators, looking to give its Shanghai life insurance unit a separate legal entity status amid loosening foreign ownership restrictions, taking effect this year.

Beyond Shanghai, AIA Life Insurance will open branches in 10 to 12 provinces, mainly densely populated and economically developed areas such as the Sichuan province, AIA's Chief Executive Li Yuanxiang told Yicai Global. Via expansion, the insurer will target middle-class and above consumers to provide them with long-term risk protection.

Editor: Emmi Laine