Researche On Reason,Comptitive Effect And Regulation Of Property Insurance Company’s Market Erntry In China

The free entry and exit of enterprises is an important feature of market economy, a reasonable market entry and exit mechanism can be eliminated by the market competition, the enterprises can be eliminated, and the efficiency of the industry can be promoted. However, due to the complete competition market is only in the theoretical hypothesis, the enterprise in the market competition in the pursuit of scale economy and monopoly dilemma between the "Marshall conflict", for this, J.M.Clark put forward the concept of "workable competition", which is the most efficient resource allocation. Since the advent of the theory, countries in the implementation of industrial organization policies, especially market access policies will promote effective competition as the main objectives of the policy implementation; the insurance industry is no exception. Therefore, this paper chooses to study the reasons for the market entry of property insurance companies from the perspective of improving the market competition, and then put forward policy suggestions on improving and perfecting the market access system of the insurance company.At first, based on the theory of public interest and workable competition, an ideal market competition mode is proposed. Then use game theory model, analyze the property insurance market entry and the influencing factors. Use fixed effect variable coefficient panel data model, find the economic rapid development was the most important reason of insurance company.This paper use market concentration index analyzes the changes in the structure of the property insurance market, and through product categories, premium rates, commission’s rates, management fees, service levels, profits, return on capital, etc. analyzes the impact of property insurance companies’market entry on the property and casualty insurance industry. Use the P-R model to analyze the market competition, found Chinese property insurance market in 2002-2013 presents the monopolistic competition market structure; property insurance market competition have positive correlation with the number of insurance companies. Then introduces the related theories and models of the efficiency of insurance companies, and measures the efficiency of Chinese property insurance industry. Research shows that in 2002-2013, China’s insurance company efficiency have not improved significantly, the market competition degree has weak positive correlation with efficiency, with the rapid increase of insurance company, and the efficiency improvement is slow.there is a big gap with the market entry of the desired effect.Through a comprehensive analysis of the insurance company’s market entry, competition and efficiency, this paper point out the Chinese property insurance company efficiency is not significantly improved because of the low market entry standards, extensive competition of small and medium-sized insurance companies, and the current insurance market is a lack of market exit mechanism, have not establish a market restraint mechanism. Proposal to enhance market entry standards, accelerate the establishment of a scientific development plan, reasonable shareholder interests feedback mechanism and market entry and exit mechanism, and further improve the information disclosure mechanism, enhance the competitiveness of small and medium-sized insurance companies.