Research On The Impact Of Capital Structure Of Life Insurance Companies On Corporate Performance

Since the issuance of the "new ten principles" in 2014,the insurance industry has been attached importance to from top to bottom.Insurance has become an important pillar in China's social security system and an important channel for social financing.As an indispensable part of the financial industry,it plays an increasingly important role in the stability of the national economy and is a powerful guarantee and source of power for promoting economic development.At the same time,under the commitment of the wto accession agreement,China's insurance industry has become the earliest,largest and fastest developing industry in the financial industry.It can also be said that to some extent,the insurance industry is the vane of the financial industry's opening to the outside world.In recent years,with the great development of China's insurance industry,the capital structure and corporate performance of insurance companies are constantly changing,but the impact of the capital structure of insurance companies on their performance has not been systematically and deeply studied.This article first introduced the selected topic background and research significance,and review combed the domestic and foreign research achievements about the document of the capital structure and corporate performance,and established the theoretical system,using the historical data analysis of the insurance companies in our country the current trend of the capital structure and corporate performance after the asset-liability ratio,solvency ratio,equity capital and net premium as explained variable,as the insurance company capital structure index,return on net assets,return on investment and profit margins as interpreted variable corporate performance indicators,life insurance companies in China the relationship between capital structure and business performance has carried on the empirical analysis research,The quantitative conclusion of the relationship between the capital structure of life insurance companies and corporate performance is given.This paper finds that the capital structure of China's insurance companies has a significant impact on corporate performance,which can be affected by the adjustment of the capital structure of insurance companies.For life insurance companies,the methods to improve the return on equity include reducing the asset-liability ratio,improving the solvency ratio and increasing the capital stock,among which the methods to reduce the asset-liability ratio and increase the capital stock can be mainly considered.The methods to improve its return on investment include increasing capital stock and reducing net premium.The methods to improve its profit margin include reducing the asset-liability ratio,reducing the solvency ratio,increasing the capital stock and reducing the net premium,and all the methods to improve profit margin can be emphatically considered.Finally,the paper puts forward corresponding countermeasures and Suggestions according to the research results.