Digital Empowerment And High-Quality Development Of Insurance Enterprises

On January 10,2022,the General Office of the China Banking and Insurance Regulatory Commission issued guidance on the digital transformation of the banking and insurance industry(China Banking and Insurance Regulatory Office[2022] No.2),emphasizing that digital transformation is an important support for the future development of the insurance industry.As an indispensable and important part of achieving common prosperity,the insurance industry still has many key points and difficulties in its digital transformation,such as weak sense of transformation,shortage of compound talents,and insufficient independent research and development capabilities.This article discusses how to realize the high-quality development of insurance enterprises with digital empowerment from the perspective of digital transformation of micro insurance enterprises.First of all,this paper takes a total of 170 insurance companies from 2010 to 2020 as the research object.Based on the computer software,system use rights and other data disclosed in the details of intangible assets,it measures the digital investment of insurance enterprises,and analyzes the digital empowerment of insurance companies from the perspective of the governance effectiveness of insurance companies.The causal relationship of the high-quality development of the industry.Secondly,this paper examines the mechanism of digital empowerment on the effectiveness of corporate governance according to the two aspects of the cost efficiency of the insurance company’s debt side and the investment management of the asset side.Then,in order to verify the reliability of the results,this paper uses the PSM tendency score matching and tool variable method to alleviate the endogenous problem,and carries out robustness tests by replacing interpreted variables and interpreted variables.Finally,in order to further explore the impact of digital investment on different characteristic insurance companies,the paper analyzes the heterogeneity from different angles of the nature,scale,and whether it is a state-owned enterprise.Research shows that:(1)the higher the degree of digital investment of the insurance company,the stronger the effectiveness of its governance;(2)The function mechanism test shows that digital investment can reduce costs and improve efficiency through the debt side,thus improving the operational effectiveness of insurance companies;improve the wind of insurance companies by improving investment income through the asset side.The effectiveness of risk control;(3)The results of endogenous analysis and robustness test show that whether it is the tool variable method,the tendency score matching method or the variable substitution method of replacing the explanatory variable or the explained variable,the result is still unchanged,with strong robustness and reliability;(4)Explanation of the heterogeneity analysis results For property insurance companies,small and medium-sized insurance companies,and non-state-owned insurance companies,their digital investment has a better effect on improving the effectiveness of corporate governance.Finally,based on the empirical conclusions of this article and the actual situation of different insurance companies,the corresponding policy inspiration is drawn.Compared with the existing research,the contributions of this article are mainly as follows:(1)This paper draws on the treatment methods of existing research,distinguishes the effectiveness of corporate governance into business effectiveness and risk control effectiveness,and further expands and enriches the relevant literature from the perspective of digital empowerment;(2)From the micro perspective of insurance companies,this paper provides more empirical evidence for the discussion of the impact of the digital transformation of insurance companies on the effectiveness of corporate governance;(3)This article further considers the mechanism of insurance digital empowerment to affect the high-quality development of insurance enterprises,which helps regulators and industry practitioners to better understand the specific role path of digital empowerment.