On Convergence Of Insurance And Other Financial Industry And Innovation

With the trend of unify and innovation of the world economy, The development of The financial industries has appeared some treads such as unify, liberalization and omnipotence since 1980. During this period, The former mode of the management of the financial industries is broke through continuously, and every one among the financial industries appears a trend of convergence and innovation, the convergence between insurance industry and the other financial industries is included. The convergence between insurance industry and the other financial industries is that during the process that insurance industry supply insurance products, insurance industry permeates and transforms to the other financial industries gradually, the limitation of the strictly respective management among insurance, bank and security is broke gradually, and insurance business, bank business and security business work in coordination. The convergence is not limited in the saving- function of some life insurance products and the investment of insurance funds, more important, insurance coverage extension to finance risk, the use of the other financial technique in insurance market, risk takers extension to the other financial market participants, the mutual participation and cooperation between insurance industry and the other financial industries, and the increasing M&A of insurance companies and the other financial organizations, and etc. All these are the key contents of convergence, and the convergence has become a development trend of world insurance. Be compared with them, Chinese finance stays in the primary stage of development, and has some restricted factors, however, since we have joined WTO, it is necessary that Chinese insurance industry converge with the other financial industries. Therefore, It is very important to our insurance industry that we inquire the proposition of the form and development stages of the convergence between Chinese insurance and the other financial industries, combining the existing questions of Chinese finance, based on the research of the reasons and present conditions of the convergence between the world insurance industry and the other financial industries. This article is a preliminary exploration, the introduction, three main chapters and the result are included here: The introduction briefly introduces the trend, connotation and the present conditions of the research in convergence between insurance industry and the other financial industries. Chapter one endeavors to describe and analyze various forms of convergence areas in the world, including the convergence in institution, management, and products. Chapter two includes the analysis of theoretic backgrounds and practical reasons, economical effects, and affecting factors of convergence between insurance industry and the other financial industries. Chapter three is the core of this article, first, introduces the present conditions of Chinese finance industry and the preliminary convergence between insurance industry and the other financial industries, then puts forward the schedule and form proposition of the convergence between the insurance industry and the other financial industries in china, and explores the steps that the government and the finance industry should carry out, based on the analysis of the necessity and feasibility of the convergence between Chinese insurance industry and the other financial industries . The concluding remarks is the conclusion of the article, and points out that it is a necessary road that China carries out convergence between the insurance industry and the other financial industries.