Research On Reinsurance Enhancing Insurance Function Under The Background Of Frequent Natural Disasters

In recent years,with the deterioration of climate and environment globally,the occurrence of natural disasters has shown an obvious upward trend.Suffered from the complex geomorphology and various natural disasters,economic losses are huge in China.In this context,people are increasingly aware of the important role of insurance protection.However,faced with extreme natural disasters,insurance companies may not be able to fully cope with them.As "insurance of insurance",reinsurance plays a pivotal role in ensuring the stability of the insurance industry.Besides,China has called for insurance to return to the nature of protection recently,emphasizing the protection and service attributes.This paper studies the issue of reinsurance’s enhancement of insurance protection function and hopes to provide some useful advices for the development of reinsurance and insurance.This paper chooses the property insurance company as the research object,aims to select the comprehensive evaluation model of security attribute to quantitatively analyze the security attribute of property insurance company,and empirically test the influence effect of various factors.First,the paper clarifies related concepts and briefly analyzes the status of property insurance market.Secondly,the paper discusses the impact of natural disasters on the insurance and reinsurance market,and expounds the relevant paths for reinsurance to enhance the protection function of insurance companies.Third,the paper constructs an index system through entropy method,measures the protection attribute index,and constructs a multiple linear regression model to empirically analyze the effect of reinsurance use on the protection attributes of insurance companies,and introduces natural disasters as the adjusting variables.Finally,the paper draws empirical conclusions and puts forward relevant policy recommendations.We can conclude as followed:First,reinsurance can significantly enhance the protection function of insurance companies.Second,the occurrence of natural disasters will enhance the role of reinsurance in the promotion of insurance protection attributes.Third,the natural disaster loss itself will have a negative impact on the insurance company’s protection attributes.Fourth,the protection attribute of foreign insurance companies is more prominent,and the protection attribute of insurance companies is largely affected by the macro environment.The paper proposes the following recommendations from the research conclusions:First,solve the problem of weak reinsurance demand and insufficient reinsurance supply through environmental guidance and policy supervision;Second,strengthen the two-way promotion and improvement between insurance companies and reinsurance companies,and jointly improve through the benign interaction between domestic and international reinsurance markets and between insurance and reinsurance markets;Third,find a reasonable position in the construction of the catastrophe risk protection system to increase the participation of insurance and reinsurance.