The Deviation Of Audit Independence And Research On Financial Statement Insurance System

Independent auditing information of high quality is beneficial to the healthy and stable development of market economy. Audit independence is a crucial factor to determine the quality of auditing information. In recent years, the independence was greatly doubted by public because of the emergence of a great deal distortion of auditing information at home and abroad. So it is of greatly theoretical and immediate significance to research on the general cause of low audit independence, the factors related to special institutions in our country, and the ways of improving audit independence.First, the author analyses the changes about characteristics of supply-demand sides in terms of the changes of auditing appointment system and the decision making of management and auditor with game theory, and points out the general cause of low audit independence at present is that the management with the demand of fraudulent information is the primary factor to determine the decision making of auditor.Second, the author analyses the specially domestic institutional factors leading to lowing audit independence: companies listed by embellishing, the corporate governance of listed companies, the influence of governments on the auditors and the legal sanction to the bodies who supply fraudulent information, and points out that nongovernment organization with independent interests in line with public's to perform auditing appointment right instead of the management is a better scheme, and insurers to do it is a good choice.Finally, it is the research on the basic theory of financial statement insurance system and how to implement it in our country. The system is that according to the agreement and laws the insurer appoints the auditor to audit the financial reports of the insured, and undertakes the responsibility for compensation to third parties' losses suffered as result of misrepresentation in financial reports.The author analyses the implemented feasibility from theory, market factors, laws and regulations, expounds some questions which we should pay attention to in designing financial statement insurance system and the positive roles after implementing it, suggests the specific way to build financial statement insurance system in our country.