The Influence And The Countermeasure Analysis For Foreign Insurance Company Enters The Insurance Market Of China

The compulsory insurance for traffic accident of motor-driven vehicle is formally implemented in China in 2006.Initially it only open for Chinese insurance company.In 2012,the two sides issued the joint case ‘on strengthening the economic relationship between China and the United States',which involves make the compulsory insurance for traffic accident of motor-driven vehicle open to foreign capital insurance company.In the same year,insurance law modified,allowing foreign insurance companies entered the compulsory insurance for traffic accident of motor-driven vehicle market.After entering the insurance market,the foreign insurance company to the possible impact of car insurance market has become a hot topic.The compulsory insurance for traffic accident of motor-driven vehicle is open to foreign capital insurance company,foreign insurance companies are girding,all in the effort to seize this opportunity.In the second half of 2012,Liberty Insurance become the first domestic car insurance market selling insurance business of the compulsory insurance for traffic accident of motor-driven vehicle of the foreign-funded insurance company,after the foreign-funded insurance companies have followed,on the sale of the compulsory insurance for traffic accident of motor-driven vehicle business.Foreign-funded insurance companies to join the compulsory insurance for traffic accident of motor-driven vehicle market competition,not only will the impact of the market,will also be a certain degree of influence on the whole car insurance market.Based on the analysis of the social environment,economic environment and management technology,further analysis after the the compulsory insurance for traffic accident of motor-driven vehicle market open to foreign capital insurance company,the influence of the foreign capital insurance company,the Chinese insurance companies and owners.For foreign insurance companies entered the insurance market is undoubtedly a opportunity to improve car insurance business.But for Chinese insurance companies,an increase in the compulsory insurance for traffic accident of motor-driven vehicle market management main body,also exacerbate the car insurance market competition,facing more fierce market competition,will need to improve the efficiency of the service quality and adjustments.For consumers,the competition make the prices tend to be more rational.At the same time,the increasing of the market main body,also increases the owner's purchase choice.In the long run,foreign insurance companies entered the compulsory insurance for traffic accident of motor-driven vehicle market is bound to a certain influence on the car insurance market in China.But in the short term,the foreign insurance company to break the monopoly situation of Chinese insurance company in the car insurance market,still has a lot of difficulty.Later,this paper compares two completely different mode of car insurance between the United States and Japan,from the comparison to find suitable development experience for car insurance system in China.After foreign capital insurance company entering the car insurance market,market regulation also need to improve,in order to better adapt to the development of the market.Chinese insurance companies face the competition,to improve their own weaknesses,strive to improve service quality,settling efficiency and operating technology.Because of the relatively small and the business network coverage is not complete,foreign-funded insurance company is not enough rich experience in domestic car insurance to a breakthrough in the car insurance market,that must take advantage of management technology and management idea,at the same time,pay attention to market segmentation,targeted high-end car market.Car owners when faced with a more car insurance market main body,also want to learn according to their own situation,choose more appropriate insurance cover,in order to maximize their own interests.