Abstract: This paper analyzes the influence factors of product diversification by 34 major property insurance company 2006-2012 panel data. The results show that diversification of insurance company has the motivation to pursue profit, scale, risk diversification, allocating capital, management control. ROA rather than market share, business growth has a significant influence on degree of diversification. Loss ratio, industry concentration, relative size, growth rate and other characteristics of the insurance business, and regional diversification, funds invest rate, own risk capacity, foreign company, conglomeration, firm size, set up time, state-owned company, ownership concentration and other factors also show significant impact.