Study On The Efficiency Of Insurance Funds Utilization In China

The insurance companies as an important part in the national economy plays an important role in China's financial system and plays a risk-sharing, financing, and other important role in social stability in the modern financial system. In contemporary national insurance market, if providing insurance coverage and insurance business is the base of production and survival of insurance, then the use of insurance funds is the insurance company survival, development and growth of the important guarantee. Therefore, in open conditions, any insurance company in order to survive in the insurance market and development, must attach great importance to the insurance funds. China's insurance industry in the past 30 years has achieved rapid development, as of the end of 2009 a total of 148 various types of insurance companies, total assets reached 4.063475 trillion yuan. In recent years, with the rapid development of China's insurance industry, that foreign insurance companies continue to enter and the new insurance companies were set up makes the increasingly competitive insurance industry. Premium income have a downward trend after China's insurance industry underwriting profit margin on the decline, which makes use of insurance funds by insurance companies and create income. It is extremely necessary. So, how effective use of insurance funds and improve the efficiency of insurance funds, as the survival of China's insurance industry and development of key issues.This paper first studied the background, purpose, meaning, ideas and methods a brief description; Followed by the use of funds of insurance companies were combing the theory, including the possibility of insurance company funds, necessity, sources, principles and channels and to measure the efficiency of the relevant theory, the follow-up study of this paper lays a theoretical foundation; Followly the use of funds of insurance companies and analyzes the status of history, summed up in four stages and 4:00 the status quo; Followly the funds on the efficiency of insurance companies analysis, stochastic frontier analysis method used during the period 2005-2009,65 insurance companies on behalf of Insurance Companies capital efficiency was calculated to observe the changes in efficiency levels and the status quo. In the calculation of funds by insurance companies on the basis of efficiency, this article points of departure from the insurance company personnel and company size both in terms of the factors that affect the efficiency analysis; Finally, based on empirical results of the analysis, the insurance company to further improve the use of funds efficiency recommendations from the following aspects:the use of insurance funds and broaden the channels; improve the level of supervision an insurance company funds; strengthen the talent pool of insurance funds, insurance funds for the future to further develop the use of lay personnel base.