Chapter 3 Enterprise countermeasures and suggestions to promote the sustainable and healthy developm

The development process of China's auto insurance:

1.Embryonic period.

The development of China's auto insurance business has gone through a tortuous process. Auto insurance entered China after the Opium War, but because China's insurance market is under the monopoly and control of foreign insurance companies, coupled with the underdeveloped industry of old China, China's auto insurance is essentially in the embryonic state, and its role and status are very limited

2.Trial period.

In 1950, after the founding of the People's Republic of China, the newly established Chinese People's Insurance Company opened automobile insurance. However, due to insufficient publicity and biased awareness, controversy soon arose over this insurance, and some people believed that car insurance and third-party liability insurance would lead to an increase in traffic accidents and have a negative impact on society by providing financial compensation to the perpetrators. As a result, the Chinese People's Insurance Company ceased its auto insurance business in 1955.

It was not until the mid-70s that in order to meet the needs of car insurance owned by foreigners such as embassies and consulates in China, the company began to handle auto insurance business, which mainly engaged in foreign-related business. [1]

3.Period of development.

In 1980, at the beginning of the recovery of China's insurance industry, the Chinese People's Insurance Company gradually and comprehensively resumed the automobile insurance business that had been interrupted for nearly 25 years, so as to meet the needs of domestic enterprises and units for automobile insurance, and to meet the objective needs of the rapid development of the road transportation industry and the increasingly frequent accidents. But at the time, auto insurance accounted for only 2% of the property insurance market share. PICC Group has now developed into a comprehensive insurance company, and the property insurance business still accounts for the majority in terms of scale premiums The Group's property insurance products are rich and cover different areas, among which the motor insurance business is the most important In terms of original insurance premium income, the motor insurance business accounts for about 70% of the property insurance business

With the development of the reform and opening up, the social economy and people's lives have also undergone tremendous changes, and the rapid development of motor vehicles has led to the rapid development of motor vehicle insurance business. In 1983, the auto insurance was changed to motor vehicle insurance to make it more adaptable, and in the nearly 20 years since then, motor vehicle insurance has always played an important role in China's insurance market, especially in the property insurance market. By 1988, the premium income of auto insurance exceeded 2 billion yuan, accounting for the share of property insurance, and for the first time, it surpassed that of enterprise property insurance.

Since then, auto insurance has always been the largest type of property insurance, and has maintained a high growth rate, and China's auto insurance business has entered a period of rapid development. In the first half of 2014, PICC's property and casualty auto insurance turnover reached 100 million yuan, a year-on-year increase.

At the same time, the terms, rates and management of motor vehicle insurance are also becoming more and more perfect, especially the establishment of the China Insurance Regulatory Commission, which has further improved the terms of motor vehicle insurance, increased the supervision of rates, insurance documents and insurers' business activities, accelerated the construction and improvement of the motor vehicle insurance intermediary market, and played a positive role in comprehensively standardizing the market and promoting the development of motor vehicle insurance business.

Extended reading: [Insurance] How to buy, which one is better, teach you to avoid these insurance"pits"

With the continuous development of economy and society, motor vehicle insurance has become the leading type of property insurance, and the premium income of motor vehicles accounts for more than 60% of the total premium income of property insurance companies. As we all know, the products operated by insurance companies are risks, and on the other hand, insurance companies also have various risks in the course of their operations. Risk management, then, is an extremely important topic for insurance companies.

The success or failure of motor vehicle insurance risk management will not only affect the survival and development of the insurance company itself, but also affect the stability of the whole society. After analyzing the development status and development trend of the auto insurance market, this paper puts forward the necessity of risk management in the development of auto insurance business. After studying the formation mechanism of insurance company risk, this paper divides the risk of the auto insurance market into internal risk and external risk according to the controllability of risk, and makes a specific analysis respectively.

This paper then discusses the risk management theory and risk control strategy in motor vehicle insurance from a micro perspective, proposes that the goal of risk management at this stage is to control the loss ratio, and according to the classification of risks, it puts forward the idea that internal risks mainly rely on strengthening internal management, while external risks are controlled by distinguishing underwriting conditions. Finally, from a macro perspective, some suggestions are put forward to improve the management of auto insurance, including improving the motor vehicle insurance system, realizing the "professional, institutionalized and standardized" management of auto insurance, strengthening the supervision of the insurance industry, and providing a good external environment for the healthy development of the insurance industry.

From human favor to the evolution of the system!

1. Welfare issues such as future development, pension, and medical care for employees. That is, the problem of the human system.

2. The profit of the insurance company. The state strictly controls the use of funds by insurance companies, and the investment channels are narrow.

3. The corporate governance structure of insurance companies. At present, there are no major problems in insurance companies, mainly because they are still in their infancy and have not encountered any problems, but no one can predict whether they can come out in the future.

4. Market development of insurance companies. There is huge room for the development of China's insurance market, but the development of the market economy is unbalanced, and there is a large gap between the east and the west, and the north and south, and there is a problem of convergence of insurance development.

1. Car insurance** is closely related to driving behavior.

After the rate of auto insurance is realized, the factor of auto insurance pricing will realize the transformation from "car" to "person". Once the rate of car insurance is truly marketized, the premium of good car owners will be reduced, because this part of the car owners who do not have insurance or have little insurance; For car owners who often go out of insurance, the premiums may be very expensive in the future, and the premiums may rise sharply for each insurance.

2. Car insurance for models of the same price range** is completely different.

After the reform of car insurance rates, when consumers buy a car, in addition to paying attention to the price of the model itself, the most concerned may be what the "basic premium" of the car is. This "base premium" comes from the standard based on the replacement of auto parts for this car. If you choose to buy a car with a high "base premium", no matter how good your driving habits are from the "human" factor in the future, then you must also be rich and handsome with the "car" factor.

3. The real condition of second-hand cars is no longer hidden.

After the market-oriented reform of automobile insurance premiums, the realization of pricing from "car" to "person" will fundamentally promote China's second-hand car trading. Because of the market-oriented reform of China's auto insurance premiums, we need to collect, analyze and apply the "human" factors from the driver, so we are fully aware of the factors of the driver's second-hand cars in the future. This "knowing" is the driving behavior of the owner, and every mileage and action of his will be digitized.

4. The current automobile maintenance system will face an impact.

If nothing else, there will soon be a large number of social maintenance agencies, which will become a new choice for hundreds of millions of private car owners to repair their cars after accidents. Maybe in the near future, after you report the accident, the loss assessor will not recommend you to the 4S shop for repair as before, but to some social maintenance companies certified by insurance companies.

5. The Internet of Vehicles grafts car insurance to become a terminal application.

In the reform of the marketization of China's auto insurance premiums, we used to need the "car" factor, and now we need the "human" factor even more. Where does the human factor come from? Data collection based on the hardware of the Internet of Vehicles is one of the important factors of "people".

6. It is possible to buy car insurance according to mileage and weather.

There will also be an "innovation clause" in the market-oriented reform of China's auto insurance rates - that is, to support and encourage qualified insurance companies to formulate their own innovative clauses based on free data, which together constitute the commercial terms of auto insurance. This means that not only the rate play is liberalized, but also the future play, that is, how to insure a car, may be played by different insurance companies. Different insurance companies, their market development positioning is different, some insurance companies need the scale of premiums, some insurance companies need high-quality customers, and some insurance companies need controllable comprehensive cost ratio.