Research On Solvency Regulation Of Insurance Companies In China

One of the important aims of insurance regulation authorities is to ensure the insurance company's solvency, so the regulation of insurance solvency has been the hot point of research and regulation in countries all over the world. In China, native insurance regulation system has been set up, basing on the regulation experiences of developed countries such as America and EU. The regulation of solvency has also been the center of insurance regulation system. The evaluation and regulation of insurance company's solvency is not only the key point of insurance theory, but also the precondition and foundation of the prosperous and healthy development of China's insurance industry. So developing and perfecting the regulation of insurance company's solvency in China enjoys great practical meanings.Firstly, the paper reviews the recognition history of insurance company's solvency, discusses the economic meaning of solvency and clarifies the scope of research and discussion by raising the definition of insurance solvency. Then the paper analyses different factors affecting insurance solvency, and the effects of those factors on insurance solvency from inside and outside. Factors from inside mainly includes: pure risk of insurance, management factors, arrangement of assets structure and investment factors. Factors from outside mainly includes social and economic factors, price in capital market, interest, inflation rate, exchange rate, natural environment and personal factors. Thereafter, the paper gives the definition of solvency regulation, which...