Competitiveness Of Life Insurance Companies In China

With the integration of the world economy, financial globalization was intensified. The insurance industry of China would be promoted to the ranks of the world's Insurance by the Chinese Reforming and Opening up. It has to follow the international standards for the insurance industry and face fierce international competition. The deepening reform of Chinese insurance industry and the commitment of the WTO promises made foreigner insurance companies rapidly enter domestic insurance market and a fair competitive market was gradually formed. Ether the international competition or the domestic competition, company's competitiveness was always the most important factor. The study of Life Insurance Company's competitiveness can help the Insurance regulators to take advanced measures and would have great guidance significance.Based on the original research, the paper constructed a scientific evaluation index system, which can reflect the Chinese Life Insurance Company's competitiveness. Expansion research methods were used in this paper. Based on the annual life insurance data, the paper adopted the BP neural network model to analysis the competitiveness evaluation index system of domestic life insurance company. Key factors were identified and the domestic life insurance company's competitiveness was evaluated from a key point. The important factors, which have great impact on competitiveness of domestic life insurance company, were also analyzed in this paper. BP neural network model is expert in making decisions under an approximate and uncertain environment. It can settle the problem of weight design and correlation coefficient calculation. In addition, it fits for solving problems which always meet in Industry competitiveness evaluation, such as the incomplete information,Multiple Indicator,Nonlinear correlation within Variables and so on. Wherefore, BP neural network model has advantages in identifying and judging the competitiveness of the life insurance company.Through the evaluation and empirical results, we can draw the conclusions that domestic life insurance company were less competitive. Finally, we put forward some related policies and suggestions as how to eliminate disadvantages, in order to promote the competitiveness of domestic life insurance company.