Moral Hazard Of Insurance Agents: Causes, Harm And Prevention

Since1979, nearly 20 years of stagnant domestic insurance industry to resume operations. With the continuous development of market economy in China, the premium scale of the insurance industry is developing rapidly, especially after entering the WTO, China's insurance industry has been in the fast lane of development. On the current insurance marketing model, the insurance agent has been playing the role of the main force, they have been the cornerstone of the rapid growth of China's Insurance premiums.However, in the process of real business management, the negative influence caused by the moral hazard of the insurance agent is more and more serious, resulting in some bad effects, and has seriously hindered the further development of the company and the industry.In this paper, the principal-agent theory as the main theoretical research foundation, through a large number of specific cases of personal insurance agent moral hazard of the performance, harm, reasons for in-depth qualitative analysis, and put forward preventive measures, in order to provide some reference for the management and development of insurance agents.First in the introduction, the author mainly describes the background, significance and the domestic and foreign about the moral hazard literature and the research results. There are more research on the moral hazard of the Policy-holder, which in the study on the moral hazard of the insurance industry and the insured both here and abroad.However,some scholars are less research on the moral hazard of the insurance in China.And then elaborate the performance of the insurance agent's moral hazard by combining the concrete case, mainly from the insurance agent does not fulfill the obligation to truthfully inform, explain the obligation, illegal occupation of the premium, the use of information to the insurance company to ask high fees and illegal propaganda and other four aspects of the specific case analysis.Next, it analyzes the causes of the moral hazard of the insurance agent and the harm of the moral hazard of the insurance agent. Combined with the specific examples, the current agency system?insurance company compensation system design?market regulation is not in place and the type of company's product is unreasonable and other factors cause or exacerbate the moral hazard of insurance agents. It not only hurt the interests of the insured and the insurance, but also makes the negative impact of the insurance industry becoming more and more prominent.Finally, I put forward the moral hazard prevention and measures of the agent. The concrete measures to solve the moral hazard of the insurance agent are put forward, which will gradually change the status of the insurance agent, the company will be incorporated into the formal establishment of insurance company; the insurance company's marketing promotion way, the compensation system, the profit model; the strengthening supervision, the insurance agent's illegal cost; strengthen internal management of insurance companies.