The Empirical Study Of China's Insurance Industry Performance

Firstly，based on the theory of industrial organization theory, the paper discussesthe definition of performance and determined the analysis angle of market performance;secondly, the paper determines the capital profit rate and total reserve for performanceappraisal according to the market performance evaluation criteria and the insurancefunction,the paper also analysed the market performance status of chinese insuranceindustry; thirdly, the paper analysed how the market structure and the domesticeconomic environment influensed the market performance, including CR4, HHI andGDP for further study of the factors affecting; lastly, building mathematical model toquantitativly analyse the influence factors on the performance of China Insuranceindustry, in order to find out reasons of low performance and put forward reasonablesuggestions.The empirical results show that the market concentration with CR4and HHI indexhas significant influence to performance of China Insurance industry and theperformance of China Insurance is more and more high with the market concentrationdegree declined, but should pay attention to the body quality of new market mains at thesame time. Gross domestic product has no significant effects to capital profit rate,thereason is that the supervisory system of the insurance industry is not standardized, lowlevel competition is serious and regional economic development level is not consistentleaded to low performance of the insurance industry.