The Influence To The Insurance Business By The Operational Risk

Insurance companies face three major risks are credit risk, operational risk, and market risks. Credit is the prerequisite for the survival of the insurance company, is the most sensitive nerve, there is no doubt that the insurance company to the utmost good faith as their most important business principle; market risk is every individual, corporate, government is bound to face operational risks, it studies are more mature; operational risk is the behavior of non-compliance due to staff, the process is imperfect, system failure, or by external events, legal risk, directly or indirectly caused by the risk of loss. Can be understood in the sun on the insurance company the highest frequency of occurrence of operational risk, as growth in a mature market economy is not a new thing, inevitably experiencing reject bad practice, and explore the right path. So the insurance company to carry out operational risk of the insurance companies need for sustainable development.The first chapter describes the operational risk of the background and significance, research status, research methods and research. A large proportion of the occurrence of operational risk from improper operation of people, practice is inevitable. Mature foreign insurance companies have gone through studies on operational risk management process, operational risk of their successful experience in management of particular learned. Because of the proliferation of domestic insurance industry, operational risk, operational risk and research is almost empty, so the research carried out regardless of their academic or practical guidance on have great significance. This is one of the research method of combining theory with practice, the paper on China’s insurance industry is now operational risk for a very detailed classification, which helps further their research, according to the insurance companies can also strengthen management. There is the election of the three insurance companies of quantitative research data is very close and practice; the second chapter explains the insurance operational risk and insurance management. Only the first of the basic meaning of a concept under a standard definition of all other aspects of their research only basis. This essay gives the insurance risk and insurance management operations definition, characteristics and influence factors. Special emphasis on the operational risk is defined as acts of non-compliance due to staff, the process is imperfect, system failure, or by external events, legal disputes, directly or indirectly caused by the risk of loss. Conduct of members of non-compliance of which, the process is imperfect, system failure, a good understanding of these people for the operation because of operational risk arising from belonging to internal and external operational risk is also due to external events such as external acts, natural disasters and the losses caused by terrorist activities, acts and terrorist activities outside the operating risk of improper operation due to human caused and natural disasters can be understood as the natural environment precisely because of people not only increased regularly over a number of huge change the occurrence of such disasters as the tsunami, as legal disputes are legal provisions it is clear who developed a slight deviation would lead to operational risk; III and IV is the focus of this article, respectively, from the qualitative and quantitative point of view of the insurance operations the impact of risk on the insurance business. In qualitative research, this paper combined with the new Basel II, operational risk insurance experts classification of insurance, consider China’s actual situation in the insurance industry, operational risk, operational risk given the insurance industry, one, two, three, four categories This understanding of our operational risk is more clear. Operational risk and then three, four categories each of 23 categories of operational risk analysis, each of which includes the insurance industry occurred in case of operational risk loss events and risks of such operations harm the stability of the insurance business analysis. Finally, the China Insurance Regulatory Commission Web site nationwide insurance companies in January 2011, February’s total of 257 administrative penalty from the insurance operational risk events were sorted and found that the current operational risk against which the insurance industry, big, these are for the fifth Chapter effective measures to deal with operational risk provided the strongest evidence. This operation of the insurance industry business of insurance against the risk of qualitative research in support of both theoretical and practical cases with evidence of the insurance. Quantitative research, limited to the lack of operational risk loss data can only explore the basic indicator approach and standardized methods to quantify operational risk insurance company. China Life and Ping use the basic indicator approach, come to China than China Ping An Life Insurance of operational risk. Basic indicator approach to determine the dependent variable in the volatility of the market risk or credit can not be risk factors, explained that the insurance company’s operational risk is caused by that model to explain the variance can not be considered to be caused by the operational risk. China’s Ping An and PICC use the standard method, the results show that Ping An operational risk capital required is less than human security. Standardization Law of the insurance company’s business segments for the different product lines, each line of risk indicators using the corresponding 6 values. In the standard method, the total size of the premium on behalf of business, largely reflecting the operation of each line of business risk profile. In order to more accurately measure the risk of the insurance companies the size of the operation must be a gradual transition to advanced metering method, actuarial loss, cause law. These more advanced operational risk measurement model is subdivided into multiple dependent variables, have to rely on the insurance company’s operating data, to consider the specific operational risk loss events on the impact of each dependent variable to calculate the overall operational risk capital. Chapter V corresponds to Chapter III of the operational risk of the first, second and third categories, from five categories, second subclass level puts forward the response to operational risk solution. Which method to analyze the theoretical level, such as address operational risk aspects of business process solutions, insurance companies, commercial insurance companies allow employees to pay for the operating margin and part of the risk of loss compensation. This idea is based on quantitative risk of persons responsible for different levels of base salary, annual salary, operational risk loss rate coefficient of salary and wages to finalize the technical nature of the deposit model to arrive at operational risk margin; also successful response at home and abroad the case of operational risk, such as "BaselⅡ" regulations, commercial banks "must be established for the Board of Directors, senior management and operational risk management information on the operation of the daily reporting system"; "The board and management must be proactive operational risk management process to check. " hi early 2007, China Construction Bank set up operational risk management team members are risk managers, accounting managers, and other special discipline, discipline inspection commissioner in 2009 to change the primary agency responsible for monitoring operational risk, operational risk a move to prevent the accumulation of a certain experience; more on China’s insurance industry, particularly operational risk should a reasonable means of vision. Believe that these methods of operational risk management of insurance companies a great help; the final chapter is a summary of this article and thinking of further study. Indeed this paper operational risk of bias of the macro, and only from one point of view of operational risk is analyzed. The further development of the insurance industry needs to mature theoretical guidance for operational risk, operational risk that future research more comprehensive and more refined, not only of operational risk from the insurance company a detailed study of each category, but also for the quantification of operational risk allow insurance companies aware of their status and operational risk faced by an effective response measures need to be taken and need to extract the operational risk capital.In this paper, the characteristics and innovations:First, we use a variety of research methods, such as the combination of macro and micro, operational risk impact on the insurance business, this title is from a macro point of view that operational risk study, but the wording that is necessary at the micro-insurance companies from the actual conditions on an analysis of operational risk, operational risk loss event the insurance company and the quantification of operational risk is at the micro level. Another example of.qualitative analysis and quantitative analysis methods, this paper analysis of the insurance companies established operational risk impact on the insurance business, but also the use of insurance companies operating risk assessment-based on the basic indicator approach for operational risk measurement and insurance companies-based on standard method for the two methods of quantitative research of operational risk. Another example of comparative analysis method, this paper operational risk assessment on insurance companies-based on the basic indicator approach for operational risk measurement and insurance companies-the two methods based on standard methods from the common, difference, and less than three were compared. -Second, this paper gives comprehensive consideration of all factors of the operational risk of the insurance industry, one, two, three, four categories, so our understanding of operational risk is more clear. Because in order to guard against operational risks, we must first have a clear understanding of them, although the paper gives specific categories of operational risk for the insurance company is not entirely practical, but this classification generally reflects the current status of operational risk insurance industry.Third, this reality closely with the insurance industry. In this paper, three categories of operational risk in the 23 subclasses occurred in the insurance industry, operational risk loss events, China Insurance Regulatory Commission Web site nationwide insurance companies in January 2011, February’s total of 257 administrative penalty from the insurance operational risk events, and quantitative study of the three insurance companies in the actual data, these are the actual situation of China’s insurance industry, and fully reflects the relevance of this study.Fourth, the operational risk exploratory quantitative study. At present, our lack of knowledge of operational risk and operational risk loss data accumulated under poor conditions, in order to quantify the operational risk is not easy. This article can be found in the insurance industry is limited data on China Life and Ping use the basic indicator approach, operational risk Ping obtained is less than China Life, Ping An and PICC on the use of a standard method, the results show that the needs of the Chinese peace operational risk capital is less than human security. With China’s insurance operational risk loss events and the continued accumulation of data, more advanced measurement methods such as advanced metering method, actuarial loss, cause law will be put into practice.Fifth, respond to operational risk approach angles. Which method to analyze the theoretical level, but also deal with operational risk success at home and abroad the case, more of China’s insurance industry, particularly operational risk should a reasonable means of vision. Believe that these methods of operational risk management of insurance companies go a long way.Full compact, the argument is well argued and rigorous, fluently.