Study On The Management Effect Of Commercial Vehicle Insurance

In 2016,the first year of marketization of China's commercial vehicle insurance rate liberalization from pilot to nationwide,commercial vehicle insurance premium accounting for over 58%of total property insurance.Market-oriented commercial vehicle insurance business what kind of effect?Firstly,this paper standardizes the process of marketization reform of commercial vehicle insurance in China and the market structure of the current commercial vehicle insurance market.Secondly,using the commercial vehicle insurance business of 34 domestic insurance companies from 2010 to 2016 as samples,the DEA model was used to calculate the efficiency of the commercial vehicle insurance,and analyze the differences and causes in them.Finally,multivariate OLS and Tobit models are used to empirically analyze the operational effects of market-based rate marketization on commercial vehilce insurance,which are respectively measured from profitability,operational efficiency and operational risk.The empirical results show that:(1)The rate-based market reforms have a significant effect on the company's commercial auto insurance business "turning losses into profits," while also increasing operating risks.The initial stage of reform has a significant effect on the improvement of pure technological efficiency,but it has an impact on the technical efficiency of commercial auto insurance business operations.Not manifested in the short term.(2)The higher the degree of concentration of the insurance company's business,namely,the higher the proportion of commercial auto insurance business,has a negative impact on the profitability and operating efficiency of the business,and can not significantly reduce the business risk.(3)China's commercial auto insurance market is an oligopoly market.Each insurance company expands its business scale to its business goals.Most of these companies compete for market share through "rate wars" instead of optimizing insurance products and services.However,the increase in market share has no effect on the profitability and operating efficiency of the commercial automobile insurance business,nor can it reduce business risks.That is to say,in the current market structure,there is no scale effect in the commercial automobile insurance business.Based on the above conclusions,this paper further proposes corresponding policy recommendations from the perspective of insurance companies and regulatory agencies.