Sunshine Insurance Employee Borrows Millions for Gambling Under Pretext of Project Advance Funding with Promise of High Returns

Jimu News Reporter Chai Jing

Recently, multiple citizens reported to Jimu News that a senior employee with over ten years of experience at a branch of Sunshine Property & Casualty Insurance, named Ku (pseudonym), is suspected of defrauding several people under the pretext of “government vehicle insurance project advances,” involving hundreds of thousands of yuan. The employee has now been taken into police custody. When victims approached the insurance company for explanations, staff claimed they were unaware of Ku’s actions and advised them to seek compensation directly from him.

Screenshots of some victims’ messages

Senior Employee Suspected of Loan Fraud, Dozens of Victims’ Funds Difficult to Recover

According to victims, Ku is an insurance agent at Sunshine Property & Casualty Insurance’s branch, with over 10 years of local experience, mainly handling auto and property insurance. With his extensive experience, he has built a large base of stable clients. The victims involved in this case are mostly old clients, former colleagues, and business partners he met while expanding his business, with whom he has long-standing relationships.

Starting in 2025, Ku claimed that he needed to provide upfront funds for local township “government garbage truck insurance projects,” and provided relevant policy documents. He borrowed large sums from acquaintances nearby, promising high returns of about 6%. Several victims said that initially Ku was able to repay small principal and interest on time, which gained their trust and encouraged them to lend more money. Some also reported that the money was handed over to Ku by the insurance company.

Mr. Huang, a victim, said he worked at this Sunshine Life branch for four years and has known Ku for nine years. After leaving, they still maintained business contact. Trusting his former colleague and official employee status at the insurance company, he let his guard down and lent Ku 200,000 yuan in November 2025. As of the incident, he had only recovered 80,000 yuan, with 120,000 yuan remaining unrecovered. “He even personally taught me to borrow money from Huabei for him,” Huang said.

Screenshots of victims borrowing via Huabei

On February 9, 2026, after multiple unsuccessful attempts to contact Ku and to recover the funds, several victims went to the insurance company involved to seek answers but found no one, then reported to the police. They also formed a group to coordinate their rights protection efforts. As of March 13, the group had 47 members, with 18 having completed fraud reports, and the total amount involved, according to victims, reaching several million yuan.

What is the current progress of the case? Victims told reporters that police officers investigating the case revealed that the case is still under investigation. Ku has been detained for embezzling customer insurance premiums, which police have classified as fraud, involving several ten thousand yuan. Regarding Ku’s borrowing from multiple people under the guise of “project advances,” since it cannot yet be confirmed as illegal possession, no fraud charges have been filed. Police advised victims to pursue civil litigation.

Many victims have learned that Ku has long been addicted to online gambling and is already unable to repay debts. He also has no attachable assets, so even if they win a lawsuit, their losses are unlikely to be recovered. Additionally, Ku has been accused of using his position to secretly collect customer insurance premiums without submitting them to the company. After the incident, his family has paid back this portion of the premiums.

After the incident, some victims communicated with Ku’s family to negotiate repayment. His wife stated that the loans were Ku’s personal actions; his father said he would repay slowly once Ku is released.

Victims Question Company Negligence, Insurance Company Has Not Responded

After the incident was exposed, victims raised a core concern: that the involved Sunshine Property & Casualty branch had known about Ku’s gambling and debt issues for some time but failed to take any control measures, ultimately leading to more people being deceived.

Multiple victims confirmed that as early as October 2025, the insurance company was aware of Ku’s involvement in online gambling and large-scale borrowing. Ku’s relatives (also employees of the company) had privately warned others not to lend him money. However, the company did not report or disclose this information, nor did it issue any risk alerts to customers.

“We trusted Sunshine Insurance’s brand and Ku’s official employee status, which is why we lent money. This is not just a personal loan,” victims said. They find it hard to accept that the insurance company claims ignorance and asks victims to seek compensation from Ku personally. They believe the company clearly neglected management responsibilities and should bear corresponding liability and compensate victims.

Regarding this, the reporter repeatedly contacted Sunshine Insurance’s nationwide customer service hotline 95510 for verification. The customer service staff said they would report to relevant responsible persons, but as of the time of publication, Sunshine Insurance and the involved branch had not responded.

Lawyer: Whether the Company Is Liable Depends on Management Duty

Wu Yuanyuan, a lawyer at Hubei Dingjun Law Firm, believes that in such cases, the actions of employees and the management responsibilities of the company should be distinguished.

If an employee fabricates projects or commits fraud with the intent of illegal possession, they are subject to criminal liability. If there is evidence that the insurance company knew about the employee’s gambling or debt issues but failed to take measures such as suspension, warnings, or disclosures, leading victims to continue trusting the employee, then the company bears management fault and should be liable for civil compensation.

The lawyer stated that in this case, key evidence includes IOUs, transfer records, chat logs, and testimonies proving the company’s knowledge and inaction. Ultimately, responsibility will be determined by judicial authorities.

Industry Reminder: Do Not Lend Money to Insurance Employees Personally

Industry insiders note that according to regulatory requirements and internal company policies, insurance personnel are strictly prohibited from borrowing money, raising funds, providing advances, or engaging in financial management activities in their personal capacity.

However, in practice, some organizations prioritize performance over management, trusting senior employees and neglecting to investigate or address behaviors such as gambling, large debts, or private fundraising, which can easily lead to disputes or cases.

Public reminder: Any behavior claiming “insurance project advances” or “project financing” to borrow money from clients is not part of formal insurance business. Regardless of whether the other party is an employee or highly experienced, caution should be exercised—avoid advancing funds, borrowing, cashing out, or participating to prevent financial loss.

Public information shows that Sunshine Insurance Group Corporation Limited (referred to as “Sunshine Insurance”) is a Fortune 500 company in China, listed on the Hong Kong Stock Exchange in 2022 (stock code: 06963). It is a major private insurance group in China, mainly engaged in property and life insurance, with core subsidiaries including Sunshine Property & Casualty Insurance.

Will the losses of victims involved in this employee’s personal gambling-related borrowing dispute be recoverable? Jimu News will continue to follow the case.

(All images provided by victims)

(Source: Jimu News)