Competition and risk-taking behaviour in the non-life insurance market in South Africa

<?xml version="1.0" encoding="UTF-8"?><modsCollection xmlns="http://www.loc.gov/mods/v3" xmlns:xsi="http://www.w3.org/2001/XMLSchema-instance" xsi:schemaLocation="http://www.loc.gov/mods/v3 http://www.loc.gov/standards/mods/v3/mods-3-8.xsd">
<mods version="3.8">
<titleInfo>
<title>Competition and risk-taking behaviour in the non-life insurance market in South Africa</title>
</titleInfo>
<name type="personal" usage="primary" xmlns:xlink="http://www.w3.org/1999/xlink" xlink:href="MAPA20150013941">
<namePart>Latif Alhassan, Abdul</namePart>
<nameIdentifier>MAPA20150013941</nameIdentifier>
</name>
<name type="personal" xmlns:xlink="http://www.w3.org/1999/xlink" xlink:href="MAPA20180012341">
<namePart>Biekpe, Nicholas</namePart>
<nameIdentifier>MAPA20180012341</nameIdentifier>
</name>
<typeOfResource>text</typeOfResource>
<genre authority="marcgt">periodical</genre>
<originInfo>
<place>
<placeTerm type="code" authority="marccountry">che</placeTerm>
</place>
<dateIssued encoding="marc">2018</dateIssued>
<issuance>serial</issuance>
</originInfo>
<language>
<languageTerm type="code" authority="iso639-2b">eng</languageTerm>
</language>
<physicalDescription>
<form authority="marcform">print</form>
</physicalDescription>
<abstract displayLabel="Summary">This study examines the non-linear effect of competition on risk-taking behavior in an emerging insurance market. The paper utilises annual firm-level data on 79 non-life insurance firms to estimate the Lerner index as the proxy for competition, while the z-score and standard deviation of loss ratio are employed as proxies for risk-taking behavior. Using the seemingly unrelated regression, quantile regression and system generalised method of moments techniques, we find evidence in support of the Martinez-Miera and Repullo hypothesis which suggests a non-linear inverted U-shaped relationship between competition and insurance solvency. We also document evidence to suggest that the competition-fragility effect is stronger for weaker insurers, indicating that competition has a greater destabilising effect on weaker insurers. Other significant predictors of solvency in the insurance market are identified as firm size, capitalisation, reinsurance, business line diversification and foreign ownership. Policy recommendations for improving industry stability are discussed.</abstract>
<note type="statement of responsibility">Abdul Latif Alhassan, Nicholas Biekpe</note>
<subject xmlns:xlink="http://www.w3.org/1999/xlink" xlink:href="MAPA20080573935">
<topic>Seguros no vida</topic>
</subject>
<subject xmlns:xlink="http://www.w3.org/1999/xlink" xlink:href="MAPA20080598358">
<topic>Productos de seguros</topic>
</subject>
<subject xmlns:xlink="http://www.w3.org/1999/xlink" xlink:href="MAPA20080586294">
<topic>Mercado de seguros</topic>
</subject>
<subject xmlns:xlink="http://www.w3.org/1999/xlink" xlink:href="MAPA20080557591">
<topic>Competencia</topic>
</subject>
<subject xmlns:xlink="http://www.w3.org/1999/xlink" xlink:href="MAPA20080590567">
<topic>Empresas de seguros</topic>
</subject>
<subject xmlns:xlink="http://www.w3.org/1999/xlink" xlink:href="MAPA20080591922">
<topic>Mercados emergentes</topic>
</subject>
<subject xmlns:xlink="http://www.w3.org/1999/xlink" xlink:href="MAPA20080614324">
<topic>Indice de siniestralidad</topic>
</subject>
<subject xmlns:xlink="http://www.w3.org/1999/xlink" xlink:href="MAPA20080552701">
<topic>Solvencia</topic>
</subject>
<subject authority="lcshac" xmlns:xlink="http://www.w3.org/1999/xlink" xlink:href="MAPA20090043985">
<geographic>Sudáfrica</geographic>
</subject>
<classification authority="">32</classification>
<relatedItem type="host">
<titleInfo>
<title>Geneva papers on risk and insurance : issues and practice</title>
</titleInfo>
<originInfo>
<publisher>Geneva : The Geneva Association, 1976-</publisher>
</originInfo>
<identifier type="issn">1018-5895</identifier>
<identifier type="local">MAP20077100215</identifier>
<part>
<text>02/07/2018 Volumen 43 Número 3 - julio 2018 , p. 492-519</text>
</part>
</relatedItem>
<recordInfo>
<recordContentSource authority="marcorg">MAP</recordContentSource>
<recordCreationDate encoding="marc">180808</recordCreationDate>
<recordChangeDate encoding="iso8601">20220911203349.0</recordChangeDate>
<recordIdentifier source="MAP">MAP20180025969</recordIdentifier>
<languageOfCataloging>
<languageTerm type="code" authority="iso639-2b">spa</languageTerm>
</languageOfCataloging>
</recordInfo>
</mods>
</modsCollection>