Research On Corporate Governance Of Insurance Companies In China

Insurance industry developed rapidly in China in the past few years, and played important role in the development of society and economy. But there are a lot of problems about corporate govenance in insurance industry. So the study of management in domestic insurance corporations has a great meaning to improve their competence.The first part of this paper briefly reviews the theory condition of the corporate governance, and points out that the insurance company should have social values about governance.The second part and the third part analyse the current situation and the problems of the internal governance structure and external governance mechanism and legislation in national insurance company.The fourth part discusses the causes of AIG crisis from the governance perspective of the insurance company, and it points out that the governance structure of AIG corporate is imbalance, the influence of key figure is greater than the whole system, all of the group doesn't work to the high-risk investment supervision, the salary incentive system just pursuit the short-term benefits, although shareholders have the high professional level, there are still problems of information asymmetry between shareholders and executives, and at the same time, the insurance supervision and administration department depended too much on the external market mechanism, and it is also one of the causes that is not enough to predict the financial crisis.The fifth part, It will be combined with the reality of the situation and the own particularity of the insurance company, if it will perfect the governance, we should put the internal management mechanism on the important part, assist in external governance mechanism, strengthen the supervision idea of the supervising agencies to the external market, the internal governance should optimize the equity structure and protect the legitimate interests of the shareholders, perfect the function of directors and supervisors, perfect the incentive-restricted mechanism, establish the equivalence salary system, strengthen the information disclosure of the insurance company, play the influence of external management mechanism, establish governance evaluation system, supervise strictly the insurance market, and improve the governance level of the national insurance company.