Life insurance company efficiency: best method and proxies

Life insurance is a very important segment of the economy of most countries as demonstrated by the investments, premium revenue and numbers employed. Hence, it is paramount to determine accurately how well life insurance companies (LICs) perform and how viable they are for the benefit of both other...

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Main Author: William Wise
Format: Article
Language:English
Published: LLC "CPC "Business Perspectives" 2018-05-01
Series:Insurance Markets and Companies
Subjects:
Online Access:https://businessperspectives.org/images/pdf/applications/publishing/templates/article/assets/10329/IMC_2018_01_Wise.pdf
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spelling doaj-2c2efec5405944498b6c0c07df41ad642020-11-25T02:58:11ZengLLC "CPC "Business Perspectives"Insurance Markets and Companies 2616-35512522-95912018-05-019161910.21511/ins.09(1).2018.0210329Life insurance company efficiency: best method and proxiesWilliam Wise0MActSt & M.A. (Mathematics), School of Actuarial Studies, University of New South WalesLife insurance is a very important segment of the economy of most countries as demonstrated by the investments, premium revenue and numbers employed. Hence, it is paramount to determine accurately how well life insurance companies (LICs) perform and how viable they are for the benefit of both other industries and national economies.Three papers that investigate LIC efficiency directly analyze how efficiency affects LIC profits. One critical feature is that they show that the inefficiency of LICs can greatly affect their (financial) outcome and ultimately their survivorship. Thus, said research clearly indicates that life insurer efficiency is a crucial area to investigate and assess and that it could greatly enhance the ability to properly monitor and inspect the life insurers.This article co-ordinates information regarding life insurance efficiency studies to help researchers learn which approaches, methods and output/input proxies to use. While some papers do so for some of the aspects that are important and necessary for life insurance efficiency studies, this is the first to deal with said aspects together. More specifically, this paper especially considers and evaluates the different methods and output proxies used in life insurance efficiency studies, as they seem to be the elements where the most disagreement exists between researchers. In addition, this article is unique in examining how input (proxy) prices are used in life insurance efficiency studies.https://businessperspectives.org/images/pdf/applications/publishing/templates/article/assets/10329/IMC_2018_01_Wise.pdfefficiencylife insuranceoutputs_inputsparametric_nonparametric methods
collection DOAJ
language English
format Article
sources DOAJ
author William Wise
spellingShingle William Wise
Life insurance company efficiency: best method and proxies
Insurance Markets and Companies
efficiency
life insurance
outputs_inputs
parametric_nonparametric methods
author_facet William Wise
author_sort William Wise
title Life insurance company efficiency: best method and proxies
title_short Life insurance company efficiency: best method and proxies
title_full Life insurance company efficiency: best method and proxies
title_fullStr Life insurance company efficiency: best method and proxies
title_full_unstemmed Life insurance company efficiency: best method and proxies
title_sort life insurance company efficiency: best method and proxies
publisher LLC "CPC "Business Perspectives"
series Insurance Markets and Companies
issn 2616-3551
2522-9591
publishDate 2018-05-01
description Life insurance is a very important segment of the economy of most countries as demonstrated by the investments, premium revenue and numbers employed. Hence, it is paramount to determine accurately how well life insurance companies (LICs) perform and how viable they are for the benefit of both other industries and national economies.Three papers that investigate LIC efficiency directly analyze how efficiency affects LIC profits. One critical feature is that they show that the inefficiency of LICs can greatly affect their (financial) outcome and ultimately their survivorship. Thus, said research clearly indicates that life insurer efficiency is a crucial area to investigate and assess and that it could greatly enhance the ability to properly monitor and inspect the life insurers.This article co-ordinates information regarding life insurance efficiency studies to help researchers learn which approaches, methods and output/input proxies to use. While some papers do so for some of the aspects that are important and necessary for life insurance efficiency studies, this is the first to deal with said aspects together. More specifically, this paper especially considers and evaluates the different methods and output proxies used in life insurance efficiency studies, as they seem to be the elements where the most disagreement exists between researchers. In addition, this article is unique in examining how input (proxy) prices are used in life insurance efficiency studies.
topic efficiency
life insurance
outputs_inputs
parametric_nonparametric methods
url https://businessperspectives.org/images/pdf/applications/publishing/templates/article/assets/10329/IMC_2018_01_Wise.pdf
work_keys_str_mv AT williamwise lifeinsurancecompanyefficiencybestmethodandproxies
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