Analysis of commercial automobile insurance operating efficiency and Its influence factors of Chinese property insurance companies -An empirical analysis based on SBM-DEA method and Tobit model

Analysis of commercial automobile insurance operating efficiency and Its influence factors of Chinese property insurance companies. –An empirical analysis based on SBM-DEA method and Tobit model

Hong Han

Department University of Chinese Academy of Social Sciences, 11th, Beijing Fangshan District.

Journal of Theoretical and applied Economics LOGO

This paper selects the operation data of commercial car insurance of 25 companies in 2012-2016, and calculates the efficiency of commercial car insurance by using SBM-DEA model, also analyzes the main factors affecting the efficiency of commercial car insurance operation by using the Tobit panel data estimation model. The main conclusions are as follows:
1. The overall efficiency value of the commercial insurance company is low, and only 2 of the 25 property insurance companies tested reached the effective frontier, there is still a large space for improvement, the redundancy of low efficiency companies is more serious; In the past three years, the technical efficiency value has remained stable and the upward trend is not obvious.
2. Commercial car insurance premium income share, market share, cost rate, company asset size, all have different degrees of impact on the efficiency value of commercial car insurance.

Keywords: Commercial insurance efficiency; SBM-DEA model; Impact factors


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How to cite this article:
Hong Han. Analysis of commercial automobile insurance operating efficiency and Its influence factors of Chinese property insurance companies–An empirical analysis based on SBM-DEA method and Tobit model. Journal of Theoretical and Applied Economics, 2019;3:3. DOI:10.28933/jtae-2019-05-1805


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