Insurance In China Research Articles

Directors' and Officers' Liability Insurance and Audit Fees: Evidence from China

This paper aims to deeply investigate the relationship between Directors' and Officers' Liability Insurance (hereinafter referred to as D&O insurance) and audit fees. Based on data from China's A-share listed companies from 2009 to 2022, this study empirically analyzes the specific impact of D&O insurance on audit fees. The results show that after purchasing D&O insurance, listed companies experience a significant increase in audit fees. This conclusion remains valid after robustness tests, confirming the positive role of D&O insurance in corporate governance. Further analysis of its mechanism reveals that the increase in audit fees stems from the demand for high audit quality driven by D&O insurance as a governance mechanism, reflecting its supervisory incentive effect rather than resulting from opportunistic and moral hazard behaviors. Additionally, the study finds a significant interactive effect between D&O insurance and audit fees, further validating the existence of its supervisory incentive effect. This paper provides strong evidence for the positive impact of D&O insurance on audit fees. These findings not only deepen our understanding of the governance effects of D&O insurance but also provide important theoretical support and empirical evidence for the future development of D&O insurance in China.

Does subjective life expectancy matter in purchasing life insurance among middle-aged and older adult? Evidence from China.

Population-wide increase in life expectancy is a source of aggregate longevity risk. Life insurance is a natural instrument to manage the risk. Previous studies used chronological age to examine the relationship between aging and life insurance purchase, which ignored the impact of subjective life expectancy-the real perception of remaining time. Therefore, this study aims to fill the lack in this area and to explore in depth the relationship between subjective life expectancy and purchasing life insurance among middle-aged and older adult at micro perspective. This paper utilizes data from the China Health and Retirement Longitudinal Study (CHARLS) over a period of 4 years to construct both Probit and Tobit models. The findings reveal that subjective life expectancy positively affects the likelihood of participation and the extent of life insurance among the middle-aged and older adult population in China. IV model estimation results show good robustness of the results. Meanwhile, there is also heterogeneity in the effect with respect to gender, hukou, education and wealth. The findings provide new perspective to explain the subjective motivation of purchasing life insurance in China.

The Impact of Personality Traits on Household Commercial Insurance Participation -- Evidence from China

This paper empirically investigates the impact of householders personality traits on the probability and depth of household commercial insurance participation at the micro level using the China Family Panel Studies (CFPS) 2018 data. After considering the robustness tests and endogenous issues, the regression results show that, among the five personality traits, the openness trait can significantly increase the probability of household commercial insurance participation, the annual expenditure on household commercial insurance, and the share of household commercial insurance expenditure in the annual household income, while the effects of other personality traits on commercial insurance are not significant. The mechanism analysis shows that the householders openness trait can significantly improve his sense of social trust, increase his financial literacy, and then effectively promote household commercial insurance participation. Heterogeneity analysis finds that the promotion effect of openness trait on commercial insurance is more obvious in urban households and the households with high levels of financial assets. The paper provides a new perspective to explain the current low participation rate of commercial insurance in China, and at the same time provides useful references for relevant departments to formulate policies and for commercial insurance companies to standardize their development strategies.

The Necessity and Feasibility of Usage-Based Insurance for New Energy Vehicles in China

Aims: With the continuous development and growth of China's new energy automobile market, new automobile owners desire exclusive auto insurance. However, most insurance companies use traditional automobile commercial auto insurance to cover them. Under this pricing model, there is little overall difference in premiums, regardless of whether the driver's driving behavior is good or not. This paper wants to implement usage-based insurance (UBI) in China because it can add more auxiliary pricing factors, adjust according to the driver's driving behavior changes, and make auto insurance pricing more scientific and fair.
 Study Design: This paper employs the literature review and market research methods to analyze the current product supply and consumer demand in the Chinese auto insurance market. Firstly, introduce the current situation of the development of the new energy automobile insurance market in China and its problems. Then, discuss the necessity and feasibility of developing UBI auto insurance for new energy vehicles in China. Finally, based on the reality of China's new energy vehicle UBI auto insurance gives some programs.
 Conclusion: This paper finds that from the perspective of insurance companies, consumers, and the social level, UBI auto insurance for new energy automobiles is necessary, and it is also the direction of future auto insurance reform and development. Subsequently, combined with China's current relevant policies and technologies, it is concluded that the development of UBI auto insurance for new energy vehicles in China is feasible.

Analysis of Temporal and Spatial Evolution of Coupling Coordination between Basic Old-age Insurance and Economic Development in China

Based on coupling coordination degree model, this paper calculates the coupling coordination between basic old-age insurance and Economic development in 30 provinces (municipalities and districts) in China from 1997 to 2017 (excluding Xizang, Hong Kong, Macao and Taiwan), and analyzes its influencing factors using the spatial Durbin model. Firstly, the coupling coordination between basic old-age insurance and Economic development is on the rise from the stage of reluctant coordination to the stage of primary coordination. However, the regional differences continue to expand, and the spatial subsidence pattern is "high on both sides, low in the middle". Secondly, the spatial correlation of coupling coordination degree is significant, but the degree of spatial agglomeration is weakening, and the pattern changes from "east-west symmetry" to "northeast dominated" unipolar pattern. Thirdly, the coupling coordination between basic old-age insurance and Economic development has obvious spatial positive spillover effect. Fund balance, payment base, fiscal decentralization and highly educated talents can significantly promote the coordinated development of pension insurance and economic growth, but increasing the contribution rate will worsen the relationship between the two.

Analysis of the current status and influencing factors of cross-regional hospitalization services utilization by basic medical insurance participants in China - taking a central province as an example.

The geographically uneven distribution of healthcare resources has resulted in a dramatic increase of cross-regional hospitalization services in China. The over-use of cross-regional hospitalization services may hinder the utilization and improvement of local hospitalization services. It is of great practical significance to study the utilization of cross-regional hospitalization services and its influencing factors in order to effectively allocate medical resources and guide patients to seek medical treatment rationally. Therefore, this study aims to analyze the current situation and influencing factors of the utilization of cross-regional hospitalization services by patients insured by basic medical insurance in China. A total of 3,291 cross-provincial inpatients were randomly selected in a central province of China in 2020. The level of medical institutions, hospitalization expenses and actual reimbursement rate were selected as indicators of hospitalization service utilization. Exploratory factor analysis was used to assess the dimensionality of influencing factors and reduce the number of variables, and binomial logistic regression analysis and multiple linear regression analysis to explore the influencing factors of the utilization of cross-regional hospitalization services. The proportion of cross-provincial inpatients choosing tertiary hospitals was the highest with average hospitalization expenses of 24,662 yuan and an actual reimbursement rate of 51.0% on average. Patients insured by Urban Employees' Basic Medical Insurance (UEBMI) were more frequently (92.9% vs. 88.5%) to choose tertiary hospitals than those insured by Urban and Rural Residents' Basic Medical Insurance (URRBMI), and their average hospitalization expenses (30,727 yuan) and actual reimbursement rate (68.2%) were relatively higher (p < 0.001). The factor "income and security," "convenience of medical treatment" and "disease severity" had significant effects on inpatients' selection of medical institution level, hospitalization expenses and actual reimbursement rate, while the factor "demographic characteristics" only had significant effects on hospitalization expenses and actual reimbursement rate. Cross-provincial inpatients choose tertiary hospitals more frequently, and their financial burdens of medical treatment are heavy. A variety of factors jointly affect the utilization of cross-provincial hospitalization services for insured patients. It is necessary to narrow down the gap of medical treatment between UEBMI and URRBMI patients, and make full use of high-quality medical resources across regions.

The “spillover effect” of long-term care insurance in China on spouses’ health and well-being

This study examined the spillover effect of long-term care insurance (LTCI) on the health outcomes and well-being of spouses for Chinese middle and old-aged adults with expected LTC demand or actual care burdens. Using panel data from the China Health and Retirement Longitudinal Study between 2011 and 2018, we investigated the impact of the introduction of LTCI pilots across several cities on old individuals by using the difference-in-differences (DID) approach. We found a spillover effect of LTCI on the health and well-being outcomes of spouses of middle and old-aged individuals with functional limitations. It might due to the fact that LTCI could relieve economic burden by reducing out-of-pocket medical expenditures, which further affects health and well-being of spouses. The spillover effect on health and well-being was found to be stronger for male spouses and low-educated spouses. Spouses of the individuals aged below 80 years old and those live without adult children were more likely to benefit from the introduction of LTCI. Moreover, providing combination benefits seems to make spouses better off than offering direct services. Therefore, the results implied that the expansion of LTCI not only helped the care recipients themselves but could also improve the health and well-being of the spouses of functionally impaired older adults.

Research on the Operational Efficiency of Basic Medical Insurance for Urban Employees in China-Based on Three-Stage DEA Model.

To conduct a three-stage data envelopment analysis (DEA) of the operational efficiency of urban employee basic medical insurance (UEBMI) across 31 provinces in China from 2012 to 2021. Utilized a three-stage DEA model, this study measured and evaluated the operational efficiency of urban employee basic medical insurance within China's 31 provinces. The operational efficiency of urban employee basic medical insurance in China was notably low, displaying significant disparities across different regions and periods. Substantial room for improvement exists. Environmental factors, including urbanization level and unemployment rate, wielded a pronounced influence on the operational efficiency of China's employee medical insurance. Conversely, the fiscal revenue and expenditure ratio hindered the enhancement of employee medical insurance efficiency. This study held valuable insights for enhancing the operational efficiency of China's urban employee basic medical insurance. To effectively improve insurance efficiency, the following recommendations are put forth: firstly, relevant departments should escalate resource investments and optimize resource utilization based on rational allocation; secondly, enhance legislation and regulations, fortify fund oversight, and ensure equitable and judicious utilization of the medical insurance fund; finally, leveraging modern high-tech advancements can comprehensively elevate the operational efficiency of the employee medical insurance fund. Ultimately, with the advent of cutting-edge technology, the operational efficiency of employee medical insurance fund can be comprehensively elevated.

Sensation seeking and automobile insurance coverage decisions: A moderated mediation model of gender and risk perception

We explored how and when sensation seeking influences consumers’ automobile insurance purchasing behavior by taking risk perception as a mediator and gender as a moderator. We collected data from 413 participants who purchased automobile liability insurance in China and employed the SPSS PROCESS macro for moderated mediation analysis. Our results revealed that sensation seeking had an indirect effect on insurance coverage purchasing behavior through risk perception, and that this mediating effect was moderated by gender. Men with higher (vs. lower) sensation seeking were more likely to have a lower risk perception and tended to purchase less insurance coverage. However, the indirect effect of sensation seeking was not significant among women. Our findings provide insight into the psychological mechanisms that influence consumers’ automobile insurance purchasing behavior.

Review of the Development of Internet Insurance in China and Countermeasures Research

Review of the Development of Internet Insurance in China and Countermeasures Research

Correlates of residents' enrolment intention toward inclusive commercial health insurance in China: involvement, perceived benefit, perceived sacrifice, and government participation.

As an application of inclusive finance in health insurance, inclusive commercial health insurance (ICHI) is a new public-private partnership-based health insurance scheme and has been vigorously promoted by the Chinese government in recent years to develop China Multi-level Health Insurance System, a system that aims to seek a mix of public and private sources to provide more affordable financial protection to all levels of society in line with their needs. However, the overall enrolment of ICHI scheme is still at a low level, and little is known about what influences residents' enrolment intentions. The aim of this study was to examine the multidimensional factors influencing residents' behavioral intentions and to develop a multivariate conceptual model to explore the psychographic process in the formation of enrolment intention. The empirical data used for model validation were obtained from a cross-sectional study conducted in Nanjing, China, a representative pilot city of ICHI scheme in 2022. Exploratory factor analysis, ANOVA, standard multiple regression, and hierarchical multiple regression were mainly employed for hypothesis testing. The findings revealed that involvement, perceived benefit, and perceived sacrifice are all crucial psychographic process factors in the formation of residents' enrolment intentions. Government participation positively moderates the influence path of "perceived benefit-enrolment intention" but negatively moderates the path of "perceived sacrifice-enrolment intention". Moreover, it was discovered that perceived benefit mediates the effect of involvement on enrolment intention, while perceived sacrifice does not. Improving residents' perceived benefit and involvement degree of the product, as well as reducing their perceived sacrifice, are both key to increasing their enrolment intentions. This study also points out that one of the main dilemmas in the current development of ICHI scheme is the low level of involvement among residents, and that optimizing the product design to make it more relevant to residents' lives is a more beneficial strategy to increase overall involvement.

Exploring the Effect of Policies on Environmental Pollution Liability Insurance in China’s Highly Polluting Industries: Applying Ajzen’s Theory of Planned Behavior

ABSTRACT This paper investigates the effects of different types of government policies related to environmental pollution liability insurance (EPLI) and how these policies promote the demand for EPLI of polluting enterprises. Based on the theory of planned behavior (TPB), we establish a research framework to analyze the effects and mechanisms of the three different policies (mandatory, incentive, and monitoring policies). Our empirical results suggest that the mandatory and monitoring policies can effectively promote companies to buy insurance, but the incentive policies have no significant impact on the insurance demand overall. Furthermore, companies with more positive environmental attitudes are not sensitive to mandatory policies. Although the overall effect of incentive policies is not significant, they have a significant positive impact on the EPLI demand of non-state-owned companies. The monitoring policies prompt enterprises to purchase insurance by strengthening information disclosure and compliant production.

Health spillover studies of long-term care insurance in China: evidence from spousal caregivers from disabled families

BackgroundTo alleviate the shortage of caregivers associated with disabled persons, China has implemented a pilot policy for long-term care insurance. This policy has the characteristics of "familialization" and "de-familialization" policy orientation, and it is indeed essential to clarify whether the policy has a positive spillover effect on the health of family caregivers, which is of great value to the pilot from local practice to national institutional arrangement.MethodsBased on the China Health and Retirement Longitudinal Study microdata and time-varying DID method, our study used the implementation of the pilot policy as a "quasi-natural experiment" to assess the health spillover effects of the pilot policy on family spousal caregivers.ResultsThis policy significantly improved the health of spousal caregivers, increasing self-rated health and life satisfaction, and reducing depression; Compared with female, urban and central-western spousal caregivers, male, rural and eastern spousal caregivers were "beneficiaries" in more dimensional health.ConclusionsOur research indicated that spousal caregivers of disabled people, particularly male, rural and eastern spousal caregivers, experienced positive health spillovers after implementing long-term care insurance. These results suggest that the imbalance between supply and demand of nursing staff could be solved in terms of de-familialization and familialization, spousal caregivers should be promoted to equally enjoy the policy benefits on gender, urban–rural and regions.

Comparison of Insurance Between China and the United States

China has made enormous strides in economic development since the reform and opening up., while medicine and health care are relatively backward. Medical insurance is a very important social insurance project and an important institutional arrangement in the modern social security system. In addition to the common functions of social insurance, it also protects the physical and mental health of workers timely. It has special functions such as repairing labor capacity, reducing the economic burden of workers and their families, improving the physical fitness of the whole people, and promoting the healthy development of health services. Research question: which is better, Chinese insurance or American insurance. This paper analyzes the advantages of American insurance and the disadvantages of Chinese insurance through comparative research. This paper compares the coverage and protection, objects of insurance in China and the United States. By summing up the advantages of American insurance, it hopes that it can play a reference role in improving China's insurance. After analysis, this paper can draw the conclusion that the state needs to strengthen the people's awareness of maintenance, control the growth of medical expenses, and implement nationwide medical insurance.

HIV/STD prevalence and test uptake among african in Guangzhou, China: an analysis of data from hospital-based surveillance

Human immunodeficiency virus (HIV) and sexually transmitted diseases (STDs) cause substantial morbidity and mortality both in African and China. However, there is limited data available on the prevalence of HIV/STDs and the uptake of testing experience ever during in China among African migrants. A venue-based survey was conducted at a tertiary hospital in Guangzhou to investigate the prevalence of HIV/STDs through laboratory testing and identify the associated factors. A total of 200 eligible participants completed the survey and bring into the analysis from April to October 2019, and the temporary visitors were excluded. The prevalence rates of HIV, syphilis, NG, CT, and HBsAg among the participants were 1.0%, 2.5%, 1.0%, 1.5%, and 5.5%, respectively. The overall reported rate of HIV/STD testing was 37.0%, with rates of 23.0% for HIV, 16.5% for syphilis, 12.5% for NG, 6.5% for genital herpes, 5.0% for condyloma acuminata, and 2.5% for CT. HIV/STD testing was associated with living environment in Guangzhou, having medical insurance in China, and utilizing health services in China in the past year. HIV/STDs are prevalent among Africans in Guangzhou, and the epidemic is likely to spread due to a significant proportion of unprotected sexual behaviors and low rates of HIV/STD testing. Urgent interventions, including targeted health education, promotion of health service utilization, and active surveillance of HIV/STDs, are needed to reduce the risk of HIV/STD transmission.

Effects of basic medical insurance integration on subjective wellbeing of residents in China: empirical evidence from a quasi-experiment.

Enhancing the wellbeing of residents through universal health coverage (UHC) is a long-term policy goal for China. In 2016, China integrated the New Rural Cooperative Medical Scheme (NRCMS) and the Urban Resident Basic Medical Insurance (URBMI) into the Urban and Rural Resident Basic Medical Insurance (URRBMI) to address the problem of fragmentation. The objective of this study was to investigate whether the integration of basic medical insurance had an impact on the subjective wellbeing of Chinese residents. Using the China Household Finance Survey data of 2015 and 2019, we empirically estimated the influence of the integration of basic medical insurance on Chinese residents through the difference-in-difference method based on propensity score matching (PSM-DID). Our findings indicate that the integration of basic medical insurance improved the subjective wellbeing of the insured population. Additionally, through heterogeneity testing, we validated that the integration increased the subjective wellbeing of residents from less developed regions in West China and rural areas, as well as those with older adult dependents. However, the subjective wellbeing of low-income groups, who were expected to benefit more from the URRBMI, did not improve significantly, at least in the short term. According to our research, the integration of basic medical insurance in China supports the country's objective of achieving equality and providing universal benefits for its residents. The introduction of the URRBMI has had a positive impact on the subjective wellbeing of insured individuals. This is particularly beneficial for disadvantaged groups in less developed regions, as well as for residents with older adult dependents. However, the subjective wellbeing of the middle-income group has improved significantly, whereas that of the low-income group, despite being the intended beneficiaries of the integration, did not show significant improvement. From a funding perspective, we recommend establishing a dynamic adjustment funding system that links residents' medical insurance funding standards with their disposable income. Regarding the utilization of the URRBMI, the benefit packages should be expanded, particularly by covering more outpatient services through risk pooling. We call for further research with additional data and continued efforts on improving wellbeing of residents, particularly for disadvantaged populations.

Applying Blockchain Technology and the Internet of Things to Improve the Data Reliability for Livestock Insurance.

Animal husbandry is a vital sector in China's agriculture sector, contributing to over one-third of its agricultural output, and more than 40% of farmers' income. However, this industry is vulnerable to risks arising from production and operation, such as disease outbreaks, natural disasters, and market fluctuations. Livestock insurance can help mitigate these risks, but the lack of reliable data on shed environments has hindered its effectiveness. The objective of this study is to propose a livestock shed environmental regulatory platform that utilizes blockchain and the Internet of Things to ensure data authenticity, real-time monitoring, and transparency in the regulatory process. The platform also automates the insurance process, reducing costs and improving efficiency. The proposed platform employs blockchain to ensure data authenticity and devices to monitor and collect real-time environmental data. It also utilizes smart contracts to automate the insurance process, from negotiating and signing contracts to making insurance claims. The system's design rationale, architecture, and implementation are detailed. The proposed platform has been implemented and currently manages over 300,000 livestock animals with more than 350,000 insurance contracts signed. The use of blockchain and the Internet of Things has ensured data authenticity, real-time monitoring, and transparency in the regulatory process, while the automation of the insurance process has reduced costs and improved efficiency. The proposed livestock shed environmental regulatory platform has the potential to improve the effectiveness of livestock insurance in China by addressing the critical issue of data reliability. The use of blockchain and the Internet of Things has enabled real-time monitoring, data authenticity, and transparency in the regulatory process, while the automation of the insurance process has improved efficiency and reduced costs. This platform could serve as a model for other countries looking to improve the effectiveness of their livestock insurance programs.

Events Recording Tools and Motor Liability Insurance in China : A Comparative Law Approach

Events Recording Tools and Motor Liability Insurance in China : A Comparative Law Approach

Сравнительный анализ систем здравоохранения в Китае и России на фоне социальной трансформации

The article analyzes the healthcare system of China and Russia from the point of view of the functioning of social insurance and the use of medical resources. The aim of the present article – to compare and analyze the values of key indicators in this area in order to guide countries towards strengthening cooperation and ex-change in the field of medicine. The results of the study showed that the concepts of health insurance in China and Russia are fundamentally different due to their focus on different social groups. It was also noted that Chi-na surpasses Russia in a number of indicators (financing, average life expectancy, etc.). The share of public spending on healthcare also exceeds the same indicator in Russia, but when calculated per capita, it does not meet the standards. The PRC has more medical resources than the Russian Federation, but in Russia the health protection of the nation is under the close attention of the government and is expressed in the action of state priority programs “Healthcare” and “Demography”. Conclusion dwells upon the fact that cooperation be-tween China and Russia in the field of healthcare will serve to improve medicine in both countries.

Study on the Dilemma of Implementing Rural LTC Insurance and the Implementation Path

Against the backdrop of China's ageing situation and the rising number of disabled persons, the Ministry of Human Resources and Social Security started to promote the construction of long-term care insurance in 2016. Compared to the mature LTC insurance models in developed Western countries, there are still many problems in the process of promoting LTC insurance in China due to the short duration of the pilot. This paper presents a synthesis of the dilemmas observed by different scholars in the process of promoting LTC insurance, and summarises the solutions and concrete implementation paths proposed by other scholars in response to these dilemmas. It can be found through the study that the lack of policies and laws, backward physical conditions and the difficulty in changing attitudes are the main reasons why it is difficult to promote LTC insurance in rural areas. Different scholars have accordingly put forward suggestions such as extending funding channels, strengthening the training of talents and creating a perfect care model.