Research On The Impact Of China’s Environmental Liability Insurance On The Financing Behavior Of Heavy Polluted Enterprises

The rapid development of China’s industrial economy has also brought serious environmental pollution problems.The 19 th National Congress of the Communist Party of China in 2017 proposed to promote the development of green finance,and the introduction of green finance into environmental governance is of great significance for achieving ecological environment balance and sustainable economic development.At present,the development of green finance in China mainly relies on green credit,but the excessive punishment of financing by green credit policy will make the heavily polluting enterprises capable of green upgrade fall into a vicious circle of “difficult financing-insufficient environmental protection investmentdeteriorating operating performance".The financial support for heavily polluting enterprises to provide green transformation is still an urgent issue.As the country continues to promote the development of environmental liability insurance,environmental liability insurance not only effectively transfers the environmental risks of heavily polluting enterprises,but also facilitates external financing of heavily polluting enterprises,and ultimately helps heavy polluting enterprises achieve green transformation.Based on the theory of environmental externality,information asymmetry,and signal transmission,this thesis from the aspects of environmental liability insurance loss compensation function and external supervision function,discusses the mechanism and path of influence on the financing behavior of heavily polluting enterprises.At the same time,based on the environmental liability insurance insured list announced by the Ministry of Environmental Protection in 2014 and 2015,the data of 14 quoted companies in heavily polluting industries,doing the empirical analysis of the changes in the external financing methods and influencing channels of insured companies compared with uninsured companies.The main conclusions of this thesis include : First,compared to non-insured companies,enterprises purchase environmental liability insurance has a significant positive effect on corporate debt financing,but it has no significant impact on corporate equity financing.Second,the improvement of corporate management performance is the main channel for environmental liability insurance to affect corporate debt financing.By acting as a channel,the insurance company actively investigates the hidden risks of environmental risks for the enterprise before underwriting,and urges the enterprise to strengthen environmental risk management in production through the external supervision function of environmental liability insurance,so that the enterprise has a good environmental performance and increases external financing.This thesis enriches the relevant theories on the relationship between environmental liability insurance and corporate financing,and provides more targeted countermeasures for environmental liability insurance to help Green transformation of heavily polluting companies.Therefore we should continuously improving the disclosure of corporate environmental responsibility information,sharing the corporate environmental information,carrying out mandatory environmental liability insurance in the field of heavy pollution,use environmental liability insurance to accelerate the green transformation of heavily polluting enterprises,finally acheieve economic and social sustainable development.