(Yicai Global) Jan. 7 -- Shares in New China Life Insurance have plummeted more than 8 percent after a report claimed that Chairman Wan Feng had resigned to join a rival firm.

The Beijing-based firm's share price [SHA:601336] slumped 6.7 percent to CNY40.5 (USD5.9) today, the first trading day since financial news site EOO reported on Jan. 5 that Wan would join Shin Kong-HNA Life Insurance.

Wan started at New China Life as president in 2014 and became chairman in March 2016, after which he began to quickly transform the company's approach to premiums, products, profit and costs.

His rebuilding did little for shareholders early doors, with net income during his first year as chairman falling more than 40 percent to CNY4.9 billion (USD1.4 billion). But it rebounded by 9 percent in 2017 and over the first three quarters of last year was 43 percent higher than 2017's full-year figure of CNY5.4 billion.

Wan said at a press event on Dec.6 that the company would turn its focus to health insurance as "China's life insurance market had just begun," suggesting the sector was too immature to reel in cash for the time being.

Editor: James Boynton