Sustainability Study Of Internet Mutual Insurance Platform

Facing to the domestic simulation that social security system is still imperfect and stock insurance companies establish in primary stage, it is an optimal scheme to develop mutual insurance, which has the capacity to optimize risk guarantee function in insurance industry. However, longstanding policy vacancy retard the development of mutual insurance until Jan.2015 when the China insurance regulatory commission officially enacted the 《Trial Measures for Mutual Insurance Organization Regulation》There is a large number of members within those Internet mutual insurance platform which expands it influence. But its essence is different from insurance because such platforms have not yet implemented differential pricing to individuals by using insurance actuarial principle. I will cause serious moral hazard and adverse selection as time goes by, so will the reduction in memberships, all of which may lead to an unhealthy operation for such platforms.E mutual assistance is the largest domestic platform besides being more information availably, it also has most members. Therefore, fearless anti-cancer plan which is the core project in this platform is selected to be the research object. Strong representative is the shared trait among all those Internet mutual insurance platform.In this paper, the author simulates operational situation of the fearless anti-cancer plan by using actuarial, modeling, computer programming and other knowledge and verify unsustainability of the current pattern simultaneously. Similar to the combination of Internet and financial industry—AliPay, such platform is a blending outcome of Internet and insurance industry and is the future trend of development, which has a fatal research significance. By improving the existing mechanisms, author will find a pattern to make e mutual assistance works healthily and verify its sustainability. This practice will build such platforms a real part of the Internet insurance industry, which may enrich domestic insurance forms and promote the development of insurance industry.