The Research Of Management On Surrender Liquidity Risk Of Life Insurance

In recent years, the life insurance surrender is a problem which influences the sound and rapid development of life insurance in our county. Surrender is a behavior that the insured or the policy holders apply to remove the insurance legal relationship established by both parties according to the contract when the contract has not been fully performed in the insurance policy, the insurance company returns policy cash value to customer according to the relevant laws and regulations and the provisions of the insurance contract. Life insurance needs to pay a lot of surrender value to policy holder when there is a mass concentration of surrender, it will be facing liquidity risk if life insurance do not have enough cash or ability to raise funds in time. Therefore, for life insurance companies, analyzing and grasping the affecting factors to surrender, taking the corresponding assets and liabilities strategy has a important practical significance on guarding against surrender liquidity risk, keeping its operational stability, maintaining the reputation, increasing market competiveness.The article includes six parts. The first part analyzes the research background and significance, research ideas and research methods of this paper and summarizes the status quo at home and abroad. The second part States the liquidity risk management theory life insurance company (LTD.), including the concept and the forms of liquidity risk, the goals and approaches of liquidity risk management. The third section includes two aspects of content, fist of all it summarizes the status of life insurance surrender in China which is analysis from the perspective of overall, industry and space; Secondly, it studies of the influence factors of life insurance surrender from the policy-holder, life insurance company and the microeconomic environment. The fourth part analyzes life insurance surrender liquidity risk formation mechanism from two angles of cash inflow and assets realization. The fifth part puts forward some strategies to prevent and manage the surrender liquidity risk through managing the assets and liabilities as well as the method of combination of assets and liabilities for life insurance to choose on the basic of influence factors and formation mechanism of surrender. Debt strategy includes the optimization of product structure, the improvement of pricing rationality, the amendment of the policy terms, the innovation of the marketing pattern; Assets strategy includes the securitization of the insurance assets and strengthening the investment management. The sixth part proposes the concrete countermeasures and suggestions on the implementation of liquidity risk management strategy from constructing the brand, implementing surrender cash flow stress test and improving the quality of personnel.