Compulsory Liability Insurance Research Articles

Compulsory liability insurance and excess cash holdings: Evidence from China

Our study examines how compulsory food safety liability insurance (CFSLI) relates to excess cash holdings. We use the implementation of CFSLI in different regions and at different times in China to identify its causal effects on the trust goods market using the difference-in-differences method. Our findings show that CFSLI significantly reduces excess cash holdings. Our results are robust to additional tests. The mechanisms that lead to this result are the mitigation of the precautionary motive arising from financing constraints and alleviation of the agency problem. Furthermore, we show that CFSLI plays a significant role in reducing excess cash holdings when there is considerable media coverage or a company is located in a region with a high level of marketization.

Can compulsory liability insurance reduce agency costs? Evidence from China

This paper discusses the impact mechanism of compulsory liability insurance on agency costs. Studying the companies listed in China’s food manufacturing industries in 2011–2018, we find that compulsory liability insurance significantly reduces the two types of agency costs, namely, alleviating the principal-agent problem and the principal–principal problem. Robustness tests confirm this finding. The reduction of information asymmetry and the improvement of internal control quality are the mechanisms leading to this result. Compulsory food safety liability insurance plays a significant role in reducing agency costs when company ownership is concentrated or when media coverage is high. This paper provides empirical evidence for joint regulation by the public and private sectors, also provides theoretical reference for further optimizing food safety governance mode.

Environmental Pollution Liability Insurance Pricing and the Solvency of Insurance Companies in China: Based on the Black-Scholes Model.

Environmental pollution liability insurance is becoming increasingly important for China to achieve its emission reduction targets. Insurance pricing is a crucial factor restricting the market share of environment pollution liability insurance, from the perspective of the Black-Scholes pricing model, which in turn has influenced the solvency of insurance companies in China. Firstly, this study analyzes the problems existing in compulsory liability insurance for environmental pollution in China. It proceeds with analyzing the price of compulsory environmental pollution liability insurance using the Black-Scholes pricing model, and derives a high premium insurance rate of 2.44%. Moreover, it performs a multivariate regression analysis using the asset and liability data, taken from the annual report, to identify three key factors affecting the solvency adequacy ratio, namely, capital debt ratio, reflecting the company asset structure; net interest rate on assets, reflecting the asset scale with actual solvency; and claim ratio, reflecting the business quality. Based on the results of regression analysis and robustness test for the China Insurance Clauses (CIC) company, People's Insurance Company of China (PICC), and Asia-Pacific Property & Casualty Insurance (API) company, it is shown that the effect of total asset, total debt, capital debt ratio, claim ratio, and net interest rate on assets on the solvency adequacy ratio is significant, with respect to the size of the coefficients. Based on the Black-Scholes pricing model found in the previous cycle of liability insurance, and keeping in view the existing problems of environmental pollution liability insurance expenditure, this paper presents suggestions that are conducive to improving the solvency of insurance companies in China.

Comparison of Compulsory Liability Insurance of Tax Advisors in Poland to the Czech Counterpart

Abstract This paper aims to assess the adequacy of obligatory tax advisors’ insurance to meet their needs in Poland and Czechia using the comparative-legal method. It is crucial, due to the need to protect the weaker party in a transaction and provide certainty in trading. The comparison is made between legislation concerning compulsory liability insurance for tax advisors and the general contracts negotiated by professional self-governing bodies. The Polish product is characterised by mandatory coverage and private initiative. Like other compulsory insurance, this product is more accessory than voluntary insurance because the insurer also provides protection in case of damage caused by gross negligence. In that insurance, there are no limitations of a financial nature (deductible, integral, and deductible franchise) on the liability of insurance companies. Consequently, the insurance company’s liability is even more similar to the insured’s. The reduction of accessoriality occurs only in regulated exclusions. The Czech legislator has only imposed the obligation to have this insurance without handling its details. The General Insurance Conditions regulate the remaining matter. The analysis indicated that the Polish regulations provide more complete protection. However, they require some modernisation—an increase in the sum assured (10,000 EUR is too low) or how it is calculated. Reasults show faults in existing Polish regulations and indicate ways to improve them.

Compulsory Liability Insurance of the Entity Conducting Medical Experiments – Polemical Remarks

Compulsory Liability Insurance of the Entity Conducting Medical Experiments – Polemical Remarks

AKIL HASTASI KISITLININ ARACININ KAZAYA KARIŞMASI HALİNDE SORUMLULUK VE SİGORTACININ RÜCU HAKKI

4760 Sayılı Özel Tüketim Vergisi Kanunu’nun 7/2-b maddesinde belirlenen engelli tanımı kapsamında bulunanların özel tüketim vergisinden muaf tutularak araç alımları kolaylaştırılmaktadır. Maddede belirtilen engelli kapsamına çoğunlukla akıl hastası olan kişiler de girmektedir. Akıl hastası bu kimselerin kısıtlanması için genellikle sulh hukuk mahkemesine başvurularak vasi atanması istenilmektedir. 4760 Sayılı Kanun uyarınca vergiden muaf olan araçlar kısıtlı adına alınarak bu kişiler malik olmakta, çoğu zaman da vasi bu aracı kullanmaktadır. Ancak motorlu araçlar işletilmesi sebebiyle her an tehlike yaratma ihtimali içindedir. Kısıtlı adına alınan aracın kazaya karışması durumunda akıl hastası kısıtlının ve vasinin sorumlulukları farklılık arz eder. Çalışmamızın konusunu kısıtlının malik olduğu aracın kazaya karışması halinde, zorunlu mali sorumluluk sigortası kapsamında kısıtlı ve vasinin zarar görene karşı sorumluluğu oluşturmaktadır.

중국 AI의사의 의료책임보험제도에 관한 고찰

Since artificial intelligence was proposed in the last century, the technological advancement has been promoting the development of AI doctor, which has already entered the medical life in China. As AI doctors are based on elements such as big data and evolutionary algorithms, they have new knowledge learning capabilities and massive information processing capabilities that far exceed those of human doctors, and can provide patients with more efficient and high-quality medical services. Its accuracy in diagnosing and treating diseases is also much higher than that of human doctors. Thus, AI doctors have bright future in the entire life cycle of medical activities such as medical consultation, intelligent diagnosis, intelligent treatment, and health management. At the same time, the continuous medical damages of AI doctors used in the market indicate that it has a huge potential risk, for the existence of technical black boxes may cause irreversible damage to the personal health of patients. As a financial way to protect victims and diversify social risks, medical liability insurance plays a vital role in promoting the development of new technologies and solving related medical damage.
 However, our nation's medical liability insurance system is facing difficulties and is currently unable to perform its due function. On the one hand, insufficient compulsory medical liability insurance has led to insufficient coverage, the coverage of insurance is too narrow, and the existing problems of imperfect supporting systems have not yet been resolved, and medical liability insurance has its own development difficulties; More importantly, the participation of AI doctors has a huge impact on the doctor's fault identification and traditional fault liability, and the relationship between the relevant insurance systems is also quite chaotic. Artificial intelligence poses a challenge to the current medical liability insurance legal system, and it is urgent to improve and reform medical liability insurance. In this regard, in the future medical liability insurance, these existing and new problems should be fully considered. The key points are the identification of fault, the introduction of no-fault compensation, and the linking to related insurance systems. This is the main direction for the improvement of the legal system in the future. Specifically, in the future, the improvement of our country's medical liability insurance legal system should conform to the technological development of AI doctors, improve the traditional fault identification, introduce no-fault compensation to reform the traditional principle of single fault, and clarify the relationship between various insurances to relieve the parties.
 
 自上世纪人工智能被提出以来，每一次的技术进步都推动着一波人工智能医生的发展，人工智能医生早已进入中国的医疗生活中,正在广泛应用于医疗活动。基于人工智能医生以大数据和演进算法等要素为基础，其具有远超人类医生的新知识学习能力和海量的信息处理能力，可以更高效更优质地为患者提供医疗服务。其诊断治疗疾病的准确率远高于人类医生，人工智能医生在医疗咨询，智能诊断，智能治疗，健康管理等医疗活动全生命周期都具有光明的发展前景。与此同时，市场上应用的人工智能医生产品不断爆出的医疗损害表明，它具有巨大的潜在风险，由于技术黑箱的存在可能会对患者人身健康造成难以逆转的。作为保护受害人、分散社会风险的金融途径，医疗责任保险在促进新技术发展、解决相关医疗事故中具有至关重要的地位。 然而，中国医疗责任保险制度面临困境，目前难以发挥应有的功能。一方面，医疗责任保险强制性不足自身覆盖率不足，保险范围过于狭隘，相关配套制度也不完善的既有问题尚未得到解决，医疗�

Artificial Intelligence and (Compulsory) Insurance

Abstract This article discusses the compulsory liability insurance for AI-related harm proposed in the ongoing EU policy debate. We not only explain from the demand side why liability insurance would not be the only financial security needed to deal with the risks created by emerging technologies, but we also clarify from the supply side the obstacles concerning the application of liability insurance in the digital age. This article argues that, even if policymakers are determined to mandate liability insurance for AI-related risks, it must be established in a balanced and evidence-based manner. Compulsory financial security is only indicated when there is a risk that the activity may cause serious damage and could lead to insolvency.

Risk Self-Selection and the Concept of Equilibrium in a Competitive Insurance Market

The purpose of this paper is an analysis of the presence of self-selection mechanisms on the market that could bring the market closer to the separating equilibrium state, in line with the Rothschild–Stiglitz equilibrium model and its subsequent modifications. An example is the Polish market of compulsory third-party liability insurance of vehicle owners. This paper describes this market in terms of both its structure and its financial results. The main focus is on describing the assumptions of the Rothschild–Stiglitz model for markets operating under the conditions of information asymmetry and based on the self-selection mechanism, allowing for an unequivocal determination of the insured’s profile without the need to actually observe the insured’s behaviour. Finally, we show that thanks to the self-selection induced by the possibility of driving behaviour monitoring, the industry can minimise the negative effect information asymmetry has on the motor insurance market. This can be achieved, for example, by observing the choices made by the insured after being offered a new voluntary contract with a premium based on telematics data. Our analysis was carried out with the use of three selected characteristics that can determine the insured’s risk profile, i.e., distance covered, self-assessment, and insurance premium paid; the significance of the latter—although it may be intuitive—is questionable at commonly accepted significance levels. Therefore, the main result is that although there is some evidence on the disputed matter, there can be no definitive conclusion—especially in terms of risk as measured by insurance premium.

INSURANCE COVERAGE IN CIVIL LIABILITY OF MOTOR VEHICLES OWNERS’ COMPULSORY INSURANCE (COMPARATIVE ANALYSIS OF THE LEGISLATION OF THE REPUBLIC OF TURKEY AND THE REPUBLIC OF AZERBAIJAN)

Both Turkish and Azerbaijani legislation requires motor vehicle owners to enter into a contract of compulsory civil liability insurance. The list of vehicles with compulsory civil liability insurance to third parties is reflected in Article 50.2 of the Law of the Republic of Azerbaijan on “Compulsory Insurance”. A similar list of vehicles with compulsory civil liability insurance is reflected in the Law of the Republic of Turkey “On Motor Roads”. Losses included in the coverage area of the insurance contract on compulsory civil liability insurance of motor vehicle owners are classified in the form of damage to vehicles, material damage and damage to life and health of the victim.

Compulsory civil liability insurance, financial security: An integral component of compensation for ship-source oil pollution damage

Oil pollution damage caused by oil spills at sea generally occurs on a large scale across numerous regions and countries, causing significant harm to marine ecosystems as well as worldwide economic loss. The costs are so severe in many instances that the owner of the ship responsible for the pollution cannot afford to pay compensation to those who have suffered loss. As a consequence, the need to cover oil pollution damages has given rise to compulsory liability insurance, which provides a financial guarantee against the costs of oil spills. Compulsory civil liability insurance has therefore become an indispensable part of the liability regime for owners of oil tankers and bunkers.

Implications of Compulsory Car Accident Insurance Comparative Study

Compulsory civil liability insurance on car accidents is one of the most important topics, which aims to achieve traffic safety and reduce car accidents. Today, car accidents constitute a great danger to human life as they cause different types of physical and moral damages. This study, however, attempts to highlight the effectiveness of compulsory insurance in providing legal protection for damages resulting from car accidents. Such protection can be achieved through the process of creating legal mechanism to enable injured people to refer to insurance companies. It is quite apparent that nobody can deny the importance of insurance and its influence on people’s lives. Insurance companies nowadays have become an essential cornerstone in the economy of any country. An insurance contract has legal consequences on the parties, which leads to corresponding obligations. These parties are committed to comply with these obligations otherwise, any violation will be treated as per the prescribed legal sanctions. In conclusion, any research or study on the compulsory insurance system whether in the Emirati law or in Islamic Sharia is highly recommended as part of the attempts to solve and rectify any legal and legitimate problems in this system. An essential objective of the Islamic Sharia is to achieve all fair interests of people. Arab and international legislation consider car insurance compulsory with some exceptions in order to compensate all those affected by a car accident. Arab and other foreign laws as well as the legitimate ones have differed in their choices of car insurance basis. Many legislations in the field of compulsory insurance have limited the right of compensation to body damage. Some other legislations have covered damages of property. Most legislations have not specified the amount of compensation that the insurer is obliged to pay in case of injury, death, or property damages. companies.

A munkahelyi egészségsérelmek kompenzációjának felelősségbiztosítási modellje Magyarországon és az Európai Unióban

"One of the most important issues in the design of national work injury compensation systems is how the two main possible routes of liability relate: on the one hand, the non-tort compensation (social security) model and, on the other, the tort compensation (employers’ liability under civil or labour law) model. In the Hungarian system of accident compensation in labour law, the employee is primarily entitled to certain benefits within the framework of social insurance and may claim damages in excess of this in damages lawsuits. Employers’ liability schemes can be supplemented by voluntary liability insurance solutions. Liability insurance contracts protect both parties: employers are protected against unplanned payments, possibly large amounts of compensation, and the outcome of potentially unpredictable compensation lawsuits, while it means guaranteed coverage for the employee in case of damage. The introduction of compulsory liability insurance for employers is an issue that arises from time to time. In some countries, employers are required to take out liability insurance, such as the United Kingdom, Germany, France, and Austria. In insurance-based models, the route of compensation plays a marginal role. In Hungary, the penetration of liability insurance is low; however, there is currently no legislative intention to make liability insurance more extensive or mandatory for employers. In general, however, there is no universal model for accident compensation in labour law. There is no such benchmark at the European Union level either, and it can be said that there is no explicit intention to fully harmonize Member State regulations. In this study, I examine the consequences of the mandatory or wider application of liability insurance, the regulatory concepts that exist, and the role that the European Union plays in regulating the issue."

Directions of improvement of economic and legal regulation of the activities of tour operators in due with COVID-19

Problem setting. COVID-19 and global quarantine have changed the lives of the world and dealt a devastating blow to business and the economy. The most affected industry, of course, can be considered tourism. According to Bloomberg, the global tourism industry in 2020 will lose $ 1.7 trillion. The tourism industry around the world and in Ukraine has virtually come to a complete halt. This is primarily due to the closure of borders, the cessation of passenger traffic, the shutdown of hotels, tour desks, guides and restaurants. The cancellation of tours and the refusal of tourists to travel, has led to the fact that many tourism entities suffer losses, and some are on the verge of bankruptcy. And those who want to start their own tourism business and develop the tourism industry have many difficulties. All these factors make it necessary to consider simplifying the activities of tour operators. All these factors together make it necessary to consider the issue of simplifying the activities of the main actors in the tourism industry and especially tour operators. The purpose of this study is to analyze the possibility of simplifying the activities of tour operators in terms of the abolition of licensing of tour operators in view of the priority of ensuring the interests of consumers of tourism services and taking into account the successful experience of the Baltic States. Analysis of resent researches and publications. The licensing of tourism in Ukraine and security in the field of tourism, including in the context of international experience, considered by the following scientists: S.S. Galasyuk, V.G. Gerasimenko, A.G. Okhrimenko and others. However, issues related to the liberalization of tourism need further research. Aricle’s main body. Based on the study and generalization of scientific sources and international experience of tourism licensing, taking into account the difficult situation in which tourism entities in connection with COVID-19, we consider it appropriate to propose the abolition of tour operator licensing, while providing for several existing legislation. at the same time other means of influence: 1) financial security in the amount which depends not only on the type of tourist activity, but also on the annual volume of provided tourist services. Establish the obligation of the tour operator to independently assess the adequacy of the amount of financial security and, if necessary, increase its size. Introduce a mechanism of liability for violation of the requirements for an adequate amount of financial security in the event of negative consequences; 2) the Unified State Register of Tour Operators, having established that tour operators may carry out activities only if information about them is entered into the Unified State Register of Tour Operators; 3) compulsory liability insurance of the tour operator. Conlusions and prospect of development. In turn, the imperfection of the legal regulation of tourism entities, the need to improve the mechanism of financial support of tour operators and travel agents, the conditions of the Unified State Register of Tour Operators and compulsory liability insurance of a tour operator, confirms the need and prospects for further research.

New technologies. Political, legal, economic and factual impact in Germany

New technologies influence the insurance sector in Germany in many ways. This is also reflected in changes in the legal framework. For example, the German legislator has introduced new rules for highly and fully automated driving. In the future, autonomous driving will raise the question of the effects of the fact that there is no longer a driver on liability and insurance. The article shows that the German system of owner (“holder” or “keeper”) liability in combination with compulsory liability insurance also offers a convincing solution for this challenge, especially with regard to an effective protection of traffic victims. Another field is cyber risks. They have led to the development of a new insurance cover. Digitalisation presents new opportunities for the contract conclusion process and the regulation of insurance claims, but there are also some legal challenges to be addressed. Last but not least, the use of robots and nanotechnology is leading to new types of risks and to modified coverage concepts. This article deals with current developments in Germany.

智能汽车环境下交强险制度改革研究

智能汽车环境下交强险制度改革研究

Motor Third-Party Liability of Personal Transportation Devices and Its Insurance

The aim of the article is to describe the principles of liability of autonomous and dependent possessors as well as of users of personal transportation devices for damage caused by their movement. The liability of holders of such devices is independent of their fault and is based on the principle of risk. However, in the event of a collision between two such transporters or a personal transportation device with a car or a motorcycle, the liability shall be based on the principle of guilt. The liability of the user of a personal transportation device is also fault-based. Owners of personal transportation devices are not subject to the motor third-party liability insurance. As long as these devices are not legally required to be registered, there is no effective mechanism to control the fulfilment of the third-party liability insurance obligation. It is therefore not possible to introduce compulsory liability insurance. However, it is necessary and important to popularize and strengthen the insurance coverage under liability insurance in private life, including liability for damage resulting from the usage of personal transportation devices.

Importance of Trace Evidence Study in Determining Road Traffic Accident Circumstances in order to Prevent Insurance Fraud

The authors, on the basis of analysis of growing motorization, particularly at the regional level (using the example of Penza region of the Russian Federation) confirm the urgency of the tasks of preserving life and health of road users, note changes in frequency of accidents of various origin, the positive role of insurance instruments in dealing with the consequences of road traffic accidents.At the same time, fraud in the field of compulsory motor third party liability insurance (MTPL) is one of the most important and urgent issues for insurance companies. One of the most common schemes of fictitious accidents is an attempt to get repair or replacement of existing damage at the expense of the insurer. In this regard, the use of transport trace evidence examinations has become widespread.It is this type of transport expertise that reliably and accurately determines conformity of damage to vehicles to the mechanism and circumstances of a road traffic accident. Trace evidence analysis is always assigned when it comes to currently notorious «staged crash». It is impossible to understand the nature of accidents associated with lane change by vehicles moving along the way without study of trace materials. Particularly many problems arise in a situation where both participants in the accident claim that they were moving without changing the direction of movement, and that was the opponent who made a maneuver of lane change not complying with the requirement of the road traffic rules of the Russian Federation on priorities in traffic movement.As an example, the article presents an expert study of a road traffic accident that raised doubts about reliability of circumstances set out by policyholders.

The status of the insurer on the Liability Insurance - From the Compulsory Liability Insurance’s viewpoint

개인이 문명의 이기를 사용하는 과정에서 발생하는 제3자에 대한 법률상의 손해배상책임을 부담하는 문제에서 책임보험이 생겨났다. 이후 기업가인 가해자의 배상책임을 담보하는 것과 엄격책임의 발달에 따라 그것이 일반 개인이든 또는 기업가이든 스스로 그 책임을모두 떠안기어려운상황으로진전됨에 따라해당개인책임을보험제도를 통하여사회책임으로 전환하고자 하는 논의에서 책임보험은 발전되었다. 책임보험은 피보험자의 책임에 관한 피보험이익을 담보하는 것이므로 그 책임이 확정되지 아니하면 보험자의 보상의무 역시 생기지 아니한다. 피보험자인 가해자의 책임확정과정에서 보험자의 역할이 중요하므로 책임보험에서 보험자의 지위를 확인할 필요가 있다. 책임 보험의 보험자는 선량한 관리자로서의 주의의무, 즉 선관의무에 따라 보험사고를 확정짓거 나 손해범위를 정하여야 하는데, 그 중요한 근거를 찾아내지 못하였거나 적절한 방어방법을 적용하지아니하면그자체로주의의무를게을리한것이된다. 피보험자는보험사고로인하여 피해자의 근거없는 배상청구에 대하여 방어할 의무를 부담하는 방어의무를 부담하여야 하는 것과 마찬가지로 보험자 역시 제3자의 청구에 대하여 방어하여야 한다. 이러한 보험자의 방어의무에 대하여 명문의 규정을 가지고 있는 독일 보험계약법에서는 보험자의 방어의무를 책임보험에서의 기본의무 내지 주요의무라고 한다. 그런데 보험자의 급부의무를 담보하는 것에 관해서는 가해자와 피해자 사이의 이해관계가 동시에 작동하는 것이므로 보험자의 방어의무는 방어권으로서의 성질을 가지고 있다. 보험계약자 입장에서는 제3자의 청구에 대하여 방어를 해야 하는 것인 반면, 제3자의 입장에서는자신의손해배상을우선적으로받는것에이해가상충하는것이다. 이때보험자는보험계약관계상 보험계약자의 채무자로서의 지위에서 제3자에 대한 책임관계의 당사자인 보험계약자(내지피보험자)의 권리승계자로서의역할을 충실히해야 한다. 이에 따르면피해자인 제3자의 책임청구의 상대방인 가해자가 가지는 방어권을 행사할 수 있는 근거가 보험자 에게있는것이다. 또한보험자의 방어권은소위보험자의개입권이라고도볼수 있다. 보험사고가발생하면피보험자뿐만아니라보험자도보험사고를조사하게되데이때에인정되는 보험자의개입권은책임보험에서신의칙상인정되는의무의성질을가진권리라고판단되고 보험의 단체성에 근거하여 허용되는 것이기도 하다. 그 외에도 보험자의 제3자에 대한 정보 제출요구권은 올바른 손해액 산정이나 보험사기 방지를 위한 측면에서 필요한 부분이다.

Research on the Coverage of Compulsory Liability Insurance for Environmental Pollution

前严峻的环境问题，我国初步建立了环境污染强制责任保险制度，承保范围作为制度 构建中需要重点关注的事项在实践中仍存诸多疑难问题与争议。在保险对象的选择中，对渐进性污 染事故责任是否属于保险对象的范畴模棱两可，有悖于制度目的。在具体承保事项上，虽然将生态 环境损害纳入事项范围内，但在公私法责任问题上界定不明，相关制度配套规范标准仍待厘清；将 精神损害赔偿排除在承保范围外，难以实现制度价值。In order to solve the current crucial environmental problems, China has initially established a system of compulsory liability insurance for environmental pollution. Coverage is still a matter of concern in practice in the construction of the system. This paper attempts to follow the basic principles and concepts of compulsory liability insurance for environmental pollution, combines the reality of China with law and economic theory to explore the controversial and specific risk responsibilities. While choosing the underwriting standards, it is ambiguous to clarify whether the liability for progressive pollution accidents falls within the coverage of insurance standards which is against the purpose of the system. On the specific underwriting matters, although the eco-environmental damage is included, the definition of public and private law liability is still unclear, and the relevant system supporting norm standards are still to be clarified; the compensation for mental damage co is excluded from the coverage, the value of the system cannot be achieved.