Evaluation of Financial Competitiveness of the Listed Insurance Companies

Abstract

This paper through the combing of the relevant literatures of financial competitiveness of enterprises, combined with the financial characteristics of the insurance industry, build an index system to evaluate the financial competitiveness of listed insurance companies. Through the method of factor analysis, we extracted and defined two main factors, solvency and operation capacity, then scored each insurance company’s competitiveness from these two main factors aspects to reflect the development conditions of their financial competitiveness. After all, from the aspects of optimizing the assets scale and the investment portfolio, nurturing business growth, and moderate debt management, we propose countermeasures to enhance their financial competitiveness.