Research On The Impact Of The Third Auto Insurance Rate Reform On The Cost Of P Property And Casualty Insurance Company Shandong Branc

P Property Insurance Company Shandong branch is the second largest property insurance company in Shandong’s auto insurance business.With the implementation of the third auto insurance rate reform on September 19,2020,the company’s auto insurance product liability is enlarged and the auto insurance indemnity is increased,corporate cost management is challenged.In order to guide the company to better respond to the reform of car insurance rates,and to help the change of power fees to a smooth landing,and further promote the marketization process of commercial car insurance,it is necessary to study the impact of the third car insurance rate reform on the cost of the Shandong branch of p property insurance company,predict the changing trend of the company’s cost rate,and provide countermeasures and suggestions for the company’s cost management based on the research results.In this paper,the cost of car insurance is divided into two parts: the total cost of Car Insurance and the total compensation of car insurance,the influence factor of indemnity is summed up as four parts: average indemnity,frequency of insurance,average premium and proportion of family car.At the same time,it analyzes the content of the third reform of automobile insurance rate from three aspects: The change of automobile insurance clause and rate,the change of motor vehicle transportation compulsory insurance clause and the change of commercial insurance clause,it is found that the lower upper limit of the handling fee after the reform of the insurance fee leads to the decline of the sales fee,the expansion of the insurance liability leads to the increase of the average indemnity,the optimization of the Indemnity Preferential Treatment Coefficient leads to the increase of the frequency of insurance exit,and the expansion of the range of the auto insurance self-pricing Coefficient leads to the increase of the floating range of the average premium.By using the method of comparative analysis,this paper compares the contents of the third fee change with the first fee change and the second fee change vertically,and analyzes the changing trend of the vehicle insurance fee change,and finds that with the deepening of the reform,the insurance liability gradually expands,with the gradual increase of the pricing power of insurance companies,the automobile insurance market puts forward higher requirements for the operating ability of insurance companies.The quantitative analysis method is used to study the impact of the third automobile insurance rate reform on the automobile insurance cost and compensation cost of P property insurance company Shandong branch and its future development trend,and the cost management countermeasures and suggestions are put forward according to the analysis results.Firstly,the general situation of P property insurance company Shandong branch is introduced.Through descriptive statistical analysis,it is found that its cost has been reduced after the third fee reform.Then a time series model AR(1)model is established after descriptive statistical analysis of the comprehensive expense rate data.It is predicted that the future expense rate will fluctuate around 24%.It is suggested to reduce the expense cost by strengthening communication and maintaining the low sales expense market and applying refined management strategies to optimize non sales expenses.Finally,a regression model is established after the descriptive statistical analysis of the average case loss,accident frequency,single average premium and comprehensive loss ratio to infer the impact of the average case loss,accident frequency and single average premium on the loss ratio and predict the future comprehensive loss ratio.It is found that the average loss per case is positively correlated with the loss ratio with a coefficient of 0.87,the frequency of occurrence is positively correlated with the loss ratio with a coefficient of 4.75,and the average single premium is negatively correlated with the loss ratio with a coefficient of 3.46.It is predicted that the comprehensive loss ratio will fluctuate around 70% in the future.It is suggested that the current situation of high compensation should be alleviated and the company’s profitability should be improved by improving the control ability of claims settlement,reducing the average case compensation,strengthening the control of the underwriting end,reducing the frequency of occurrence and increasing the average single premium.After the empirical analysis,it is found that the third automobile insurance rate reform has reduced the cost of P property insurance company Shandong branch from48.6% before the fee reform to 28.2% after the fee reform,and the future fee rate level will fluctuate around the level of 24%.The compensation cost has risen from 50.1%before the fee reform to 68.7% after the fee reform.The compensation ratio will fluctuate around 70% in a short period of time in the future.The average comprehensive cost rate has decreased from 98.7% before the fee reform to 96.7% after the fee reform.If other factors do not change,the comprehensive cost rate will fluctuate around 94% in a short period of time in the future.