Research On The Operational Efficiency And Influencing Factors Of Auto Insurance Business In Shanxi Province

Shanxi Province has seen rapid development of auto insurance in recent years,with auto insurance premium income of 16.8 billion yuan by the end of 2021,accounting for72.88% of property insurance premium income,but while auto insurance is developing rapidly,the long-term sloppy business model of insurance companies has made auto insurance operation relatively inefficient and unprofitable,and consumers’ insurance needs are not effectively met,at the same time,China’s auto insurance market is under At the same time,China’s auto insurance market is being reformed,with commercial vehicle fee reform being implemented nationwide in 2016 and China’s comprehensive auto insurance reform starting in 2020,which brings opportunities as well as many challenges to China’s auto insurance market.Therefore,in the new development context,it is of great significance to study the operating efficiency of auto insurance and its influencing factors,and to propose targeted suggestions to improve the operating efficiency of auto insurance in Shanxi Province.Taking Shanxi Province as an example,this paper takes Shanxi Province as an example,based on the efficiency theory,with the help of data envelopment analysis method and Malmquist productivity index model,selects reasonable input and output indicators,selects the relevant data of the auto insurance business of 18 property insurance companies from 2014 to 2021,measures the operating efficiency value and its dynamic changes in the auto insurance business in Shanxi Province and analyzes it,and then summarizes the influencing factors of auto insurance business efficiency from a qualitative perspective.Then,according to the Tobit model,the relationship between the operation efficiency of auto insurance business and the influencing factors is established,and finally use stata software to conduct regression analysis of each influencing factor.The empirical results show that the operating efficiency of auto insurance business in Shanxi Province is relatively high on the whole,and the pure technical efficiency level is higher than the comprehensive technical efficiency level,and most insurance companies show an increasing return on scale during the study period.The operational efficiency of motor insurance business varies widely among insurance companies,and the operating efficiency of larger insurance companies is generally higher than that of smaller insurance companies.The total factor productivity of auto insurance business in Shanxi Province is greater than 1 and is in a state of continuous improvement,and this positive trend is the result of technological progress of each property and casualty insurance company.The regression analysis of the factors influencing the operating efficiency of auto insurance in Shanxi Province through Tobit model reveals that the payout rate,auto insurance market share and business share have positive effects on operating efficiency,operating expense rate and operating years have negative effects on operating efficiency,staff quality and rate marketization have positive effects on comprehensive technical efficiency and pure technical efficiency,the effects on scale efficiency are not significant,and finally network layout has no significant effect on operating efficiency.In view of the above conclusions,the paper concludes with relevant suggestions to improve the operational efficiency of auto insurance business in Shanxi Province: enhancing the ability of risk selection and scientific pricing;strengthening the industry synergy and self-regulation to reduce the auto insurance cost space: changing the business model to expand the market share of auto insurance;actively introducing outstanding talents to improve the core competitiveness;strengthening product and service innovation to increase customer viscosity.