Insurance company management efficiency of China's current situation and Countermeasures _ Paper Network

Thesis network: [Abstract] property insurance companies is to enhance the efficiency of the management level, thus forming the core competitiveness of enterprises an important factor, which is the majority of our property insurance companies in the development process by ignoring the problem, therefore, analysis of China's Insurance management process in the existence of "inefficiency" status quo, and thus enhance the property and casualty insurance company management to explore the efficiency of measures has a strong practical significance.

[Keywords] Insurance company risk management, management efficiency

In recent years China's property insurance industry has made tremendous development in the property insurance companies in the business, and the total premium income to maintain the momentum of rapid development in the prosperity behind our property insurance company there has long been inefficient management, companies less competitive and other issues, property insurance companies in order to further enlarge and strengthen it must start with improving the efficiency of company management, the expansion of the scale from extensive to intensive model of sustainable development paradigm shift.

First, the efficiency of China's Insurance Company of the status quo management
1. Diseconomies of scale is widespread
insurance companies in China for many years in the development process there is a "scale, grab the market" concept, which in the early development of China's property insurance market has a certain rationality, but with the increasingly fierce market competition, property insurance, which blindly increase the amount of the pursuit of the development model can not adapt to new situation demands, the company's development strategy formulation and resource allocation constraints on the further development of property insurance companies. After years of development, China's medium and small property company has formed a multi- the scale of the development of species co-existence of the situation, but from our Insurance company's actual situation, economies of scale and not reflected, on the contrary, many property insurance companies grow in size after it appeared in the case of lower earnings, which is one-sided pursuit of the company scale, leading to a sharp increase in operating costs has an important relationship, and, due to rapid expansion of business scale, companies can not guarantee high-quality underwriting, resulting in no increase in overall profitability declined.

2 did not form a distinctive type of business
As the prevalence of one-sided pursuit of business scale and market share of problems, different companies in the market for the company did not identify the development of market segments, can not focus on the introduction of risk for the company's economic strength and the affordability of insurance products, so there enterprises of different sizes are very similar insurance products launched in the situation. Similar insurance products can not meet the insurance needs of different market segments, but also makes property insurance companies in more direct competition between. Insurance Company to gain market share not allowed a higher "kickbacks" to use the salesman's personal ability and personal relationships, this invisible being to increase the company's operating costs, but also the entire property insurance market deviated from the "quality" of the track.

3. There is a big risk management deficiencies
China's property insurance company risk management deficiencies in the company's development strategy mainly the lack of risk prediction, in the business risk, financial risk control system and the lack of a sound operational mechanism, the risk of investigation, inspection and evaluation of such links does not follow the established program operations, resulting in the coexistence of multiple risk from business risk perspective, in the pursuit of "large-scale, fast development," the case, the annual premium for the completion of primary company mission, often the task by placing a mandatory target premium to quantitative assessment of operational staff, and sales in order to complete the task had to the terms of the insurance contract packaging, once the problem is likely to lead to contract claims disputes, on the development of enterprises and intangible losses from the financial risk point of view, too fast very easily lead to the development of corporate cash flow difficulties, and property insurance company in working capital management randomness is to increase the risk of financial crises.

Second, to enhance the efficiency of China's Insurance Company Management Suggestions
1 enterprise by the "quantitative" to "qualitative" leap
China Insurance's "quantitative" process is "qualitative" phase necessary preparations. Insurance companies in the early stages of development in China must go through a growing and expanding the market stage, which is a necessary process of its development and growth, but the entire property insurance market to a certain stage, when the market matures, this blind pursuit of the mode share should be made to "efficiency first" changes to achieve the amount of attention to the expansion of insurance business to shift attention to the quality of each business and this change core is not too much emphasis on how much the company has insured customers, but the emphasis on the analysis of a variety of client resources, the business focus from market share rate of return to business change.

(2) efforts for business innovation
Insurance companies should be based on the strength of their own development goals and target market to determine the business, market segments and then analyze the demand for insurance products, market-oriented to design their own insurance products, insurance products and services will be combined to form a unique business .

Enterprises to increase new product development and management in determining the company's target market, the Company shall, through business restructuring, the integrated use of various means to design and development of different insurance products, such as through the transformation to the existing insurance design new types of insurance, additional insurance can expand the range of, for example, in the original business property insurance on the basis of increased machinery damage insurance, and new product trial insurance, consequential loss insurance to meet different customer needs, for the same insurance company can also develop different Insurance levels for state-owned large enterprises, small and medium private enterprises to provide appropriate insurance, and improving the business ability to undertake, through the development of different risk levels corresponding to the premium rate, to measure and control risk, improve profitability. Share for free download http://www.hi138.com
3 property insurance companies to enhance risk management
Insurance companies face a variety of business risk management process, must develop a sound risk control procedures, according to the different types of risk using different coping strategies. Underwriting risk (business risk is the main risk property insurance companies, Insurance companies also the core of risk management. underwriting risk by underwriting material quantity, quality and environmental factors, with a sudden and strong features. Insurance companies should investigate the analysis of the customer's specific circumstances, to establish a sound customer database, and through the information system to achieve the dynamic management of customer information, time from the business of insurance customers to reflect the implementation of the situation. to the subject matter of the insurance situation analysis and review, according to the company's operating condition and ability to determine whether insurance coverage. Choi insurance companies underwriting the risk assessment should also do a good job, according to the degree of risk to develop underwriting rates, the risk for the enterprise to provide suitable compensation benefits, after all, good profitability of the enterprise based compensation expense in addition, companies must keep abreast of business financial condition and capital stock and the demand by financial calculations and the use of risk indicators to identify and maintain appropriate corporate compensation capital.

In short, the property company management efficiency is related to market our property insurance property insurance companies and the survival and development of the event, must be placed first in the development of enterprises to be resolved, companies must adhere to the principle of internally and externally, by providing high quality and efficiency of external insurance products and services to establish a corporate image, and gradually form their own brand, internal to the founding, control costs, improve risk management.

References:
[1] Yu Jinsong: China's property insurance company operating performance of empirical analysis [J]. Southwest University of Political Science, 2005.7 (2): 54-57
[2] Xi Hui Min Li Xin Dan: the insurance companies based on DEA efficiency analysis method [J]. Modern management science, 2003.6 (3) 7-8 Links to free download http://www.hi138.com