The Mode Of Development Guang Dong Insurance Research

The transformation and upgrading of the mode of development is a long-term mission for the Chinese insurance industry in the future. Currently, the global micro-economic situation has experienced significant transformation in general, and the international insurance market has undergone momentous adjustment in particular. At the same time, there is a closer connection between the insurance industry and economic and social development, which has brought the insurance industry into the national framework of the overall economic and social development. The transformation and upgrading of the mode of development in the insurance industry in China carries both important realistic meaning and enduring historical significance.On studying the mode of development in the insurance industry, it is recommendable to introduce the conception and theory of the mode of development in the economic realm, in order to make the in-depth analysis more comprehensive and systematic. Which are the deciding factors that have contributed to the development of the insurance industry? To what extent have they worked? What are the consequences? How do these factors constitute the mode of the development in the insurance industry? Which stand should one take concerning the problems of the mode of development in the insurance industry at present? In a time of rapid economic and social progress, how shall we do to transform the mode of development in the insurance industry to enhance the competitiveness of the industry and realize sustainable development? These are theoretical as well as practical questions posed nowadays in the reform and development process of the industry. And answers to these questions will not only facilitate the sustainable development in the insurance industry, but also better prepare the Chinese insurance industry for global competitions and challenges.Guangdong is the vanguard in the insurance industry nationwide. Meanwhile, its insurance industry is also a microcosm of the country as a whole. Since the resumption of insurance business in1980after years of abolishment during the Cultural Revolution, the insurance industry in Guangdong has made remarkable progress, boasting an annual growth of33.4%for the past30years.In2010, the premium income and the total assets of the insurance industry in Guangdong reached159.3billion Yuan and300billion Yuan respectively, which accounted for11.1%and6.43%of the nation’s total. The past30years have witness the insurance industry as one of the most rapidly growing industry in the national economy. Nowadays, the insurance industry in Guangdong stands at a new starting point and on a new stage. The traditional mode of development with the sole focus on scale has gradually lost relevance to the present-day situation. Whether the goal of sustainable development in the forthcoming20or more years is attainable depends on the pace we will take in transforming the mode of development with global perspective and world vision. It is no exaggeration to say that the study on the characteristics, problems, experiences, lessons and trends will carry great significance for the national insurance industry.Guangdong borders on Hong Kong, an international financial hub with a history of the insurance industry for more than100years. There are more than168insurance companies in Hong Kong. In2009, the premium income had reached179.85billion HK dollars, which was1.3times as that of Guangdong. The insurance density was25,620.85HK Dollars,18times as that of Guangdong. The absorption of the Hong Kong experience is of great significance to explore the reasons, the objectives and the methods for the insurance industry in Guangdong to transform its mode of development. Furthermore, the leading exploration in Guangdong will provide live experiences for the industry nationwide.Based on the background and considerations above, I select A Study on the Transformation of the Mode of Development in Guangdong’s Insurance Industry: in Light of the Hong Kong Experience as the title of my dissertation, in an attempt to provide reference to and support for practical work and relevant theoretical study.The thought line of this dissertation begins with an introduction to the conception of the mode of development in the economic realm, with a view to constructing a theoretical framework of the mode of development in the insurance industry. It continues with an analysis of the characteristics of the mode of development in the insurance industry in Guangdong, with Guangdong as the cutting point and Hong Kong the coordinate, to clarify the necessity and feasibility of the transformation of the mode of development in order to emulate Hong Kong. It also sums up the experience of the development of Hong Kong’s insurance industry. Next, it explores the approaches to realizing the transformation of the mode of development in the insurance industry in Guangdong, in light of insurance companies, the Hong Kong government and the insurance regulation. Finally, the dissertation takes Guangdong as its basis to analyze the new insurance market situation after the financial crisis and the positive meaning to the country for Guangdong to take the lead in the pilot move to transform the mode of development in its insurance industry.Organized in a gradually developed manner, chapters in this dissertation form an organic whole. In terms of analysis methodology, it follows the integration of qualitative analysis and quantitative analysis as well as the integration of dynamic analysis and static analysis. While basic theories of macroeconomics, microeconomics and institutional economics are employed in theoretical analysis, empirical analysis incorporates data, materials and policies pertain to insurance growth, insurance products, sales channels and many other aspects. Both theoretical analysis and empirical analysis have been applied to make an in-depth study on the question of transforming the mode of development in the insurance industry.The main contents and structure are as follows:The first chapter is an introduction, clarifying the background in selecting the title, its theoretical and practical significance, and contents and methodology of the study. The introduction also includes innovations and limitations in this dissertation.Chapter2introduces basic theories of the development mode in the insurance industry. This chapter introduces theories of economic growth, the connotation and denotation of economic development modes of Adam Smith, David Ricardo, Malthus, Harold, Kuznets and other economists. It also introduces the concept of the mode of development in the insurance industry, analyzes its influence factors, and constructs a theoretical framework of the mode of development in the insurance industry. A review of the evolution of the insurance industry in Guangdong and Hong Kong constitutes the third chapter. On the basis of the review, this chapter has made an analysis on the present-day insurance industry about its historical phase, basic characteristics, problems, trends, and has gained general grasp of the insurance industry in the past, the present and the future in Guangdong and Hong Kong.The forth chapter states the necessity and feasibility of the transformation of the mode of development in the insurance industry in Guangdong. Through an analysis of the necessity and feasibility of the transformation, this chapter explains why it is high time for Guangdong’s insurance industry to realize the transformation.The main content of chapter five illustrates Hong Kong as the emulating objective of Guangdong in the transformation of the mode of development in the insurance industry. Through comprehensive study on the development process of Hong Kong’s insurance industry and relevant data and materials in recent years, and analysis of realms including growth momentum, innovation capability, rules and mechanisms and market environment of the insurance industry in Hong Kong, a conclusion on the experience of the development of the insurance industry in Hong Kong has been drawn. At the end of this chapter, Hong Kong is defined as the emulating objective of Guangdong in the mission of the transformation of the mode of development in the insurance industry.The following chapter is a study on the transformation of the management mode of insurance companies in Guangdong. It sums up essential procedures in the management of insurance companies, and compares main practices of insurance companies in Guangdong and Hong Kong. It ends up with suggestions on aspects the transformation of the mode of management of insurance companies in Guangdong must deal with.Chapter seven is comprised of the study on the legal and policy system of the insurance industry in Guangdong’s transformation. It begins with an analysis of the positioning of the government, introduces main practices of the Hong Kong government to promote the transformation of the mode of development in its insurance industry, and analyzes the role the government could play in the transformation. At the end of this chapter, it puts forwards related advice and suggestions.The eighth chapter studies on the functions of insurance regulation in promoting the transformation of the mode of development in the insurance industry. It states the functions of insurance regulation, introduces basic situation of Hong Kong’s insurance regulatory mechanism, and explains the active role a insurance regulator could play in terms of policy, regulation and practice, in order to promote the transformation.Chapter nine examines the transformation of the mode of development from the standpoint of Guangdong’s insurance market. It analyzes new changes in the current international economic and financial situation, expounds revelation of the world financial reform for the transformation of the mode of development for the Chinese insurance market, and proposes Guangdong as the pilot place for the transformation. It also considers the approach to cooperation in the insurance industry in Guangdong and Hong Kong. The cooperation will, in the final analysis, promote the transformation of the mode of development in the insurance industry in Guangdong. And Guangdong’s lead will bring along the transformation for the Chinese insurance industry.Viewpoints in this dissertation are as follows:Firstly, the mode of development in the insurance industry refers to the combination of all influence factors and elements which promote the development of the industry. These factors and elements include the scale, setup, profit, structure, competitive capability, personnel, and status of the industry and policy-related environment. The objective, motivation, approaches and safeguard of development constitutes the theoretical framework of the mode of development in the insurance industry. The essence of the transformation of the development mode is to improve the quality, readjust the structure, increase the amount of the insurance supply to boost the insurance demand and form a new growth point for insurance.Secondly, transforming the mode of development in the insurance industry in Guangdong has become an objective requirement of the current economic and social development and an innate demand for an insurance market on the present stage of development. The transformation affords no hesitation, and carries with it historical significance and practical urgency. Thirdly, a successful transformation of the mode of development has been achieved in Hong Kong’s insurance industry, whose experiences and lessons in the transformation should be drawn on when Guangdong undertakes its own.Fourthly, government policies form an external environment for the-transformation of the development mode in the insurance industry, and the supervisory body is the leading and driving force behind the transformation. Government measures and market forces are both imperative to make the transformation successful. Supervision is helpful for the development, and only strict supervision can promote quality and rapid development. The mission of the transformation of the mode of development in Guangdong’s insurance market should pay attention both to the external environment created by the government regulator and the internal demands arising from the insurance market.Fifthly, as the biggest domestic insurance market, Guangdong is a forerunner in reform and opening up. Its relative liberalized market and important status nationwide make it a well-equipped place to take the lead in the transformation of the mode of development. The leading experiences in Guangdong will carry positive significance for the national insurance industry...