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Competition reduces profitability : the case of the Indian life microinsurance industry

Recurso electrónico / Electronic resource
Registro MARC
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100  ‎$0‎MAPA20160005172‎$a‎Savitha, Basri
24510‎$a‎Competition reduces profitability‎$b‎: the case of the Indian life microinsurance industry‎$c‎Subrato Banerjee, Basri Savitha
520  ‎$a‎We aim to understand the effect of market and firm-level concentration on return on equity in the Indian life microinsurance industry (LMI). This research is one of the first attempts to empirically test structure-performance issues in India. Using data on 14 companies that remained active in the LMI market during 2009-2019, we demonstrate that firms in the Indian LMI market scored better on profitability measures whenever competitive pressures were lower. We calculate Herfindahl-Hirschman concentration indexes (HHI), market share and entropy measures and use panel data techniques to find a positive effect of concentration and a negative effect of market share. We conclude that LMI-specialised insurers in India perform better than diversified insurers.
650 4‎$0‎MAPA20080586294‎$a‎Mercado de seguros
650 4‎$0‎MAPA20080563394‎$a‎Microseguros
650 4‎$0‎MAPA20080608538‎$a‎Seguros de vida riesgo
650 4‎$0‎MAPA20210022326‎$a‎Informe
651 1‎$0‎MAPA20080663636‎$a‎India
7730 ‎$w‎MAP20077100215‎$g‎01/07/2021 Volumen 46 Número 3 - julio 2021 , p.383-398‎$x‎1018-5895‎$t‎Geneva papers on risk and insurance : issues and practice‎$d‎Geneva : The Geneva Association, 1976-