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Interactions Between Risk-Taking, Capital, and Reinsurance for Property- Liability Insurance Firms

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  • Selim Mankaï
  • Aymen Belgacem

Abstract

Theory and empirical evidence recognize interactions between capital and risk. This paper analyzes the effect of reinsurance, as a new endogenous decision variable, on this policy mix using simultaneous equations model. Empirical results obtained from a s

Suggested Citation

  • Selim Mankaï & Aymen Belgacem, 2014. "Interactions Between Risk-Taking, Capital, and Reinsurance for Property- Liability Insurance Firms," Working Papers 2014-154, Department of Research, Ipag Business School.
  • Handle: RePEc:ipg:wpaper:2014-154
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    References listed on IDEAS

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    Cited by:

    1. repec:ipg:wpaper:2014-468 is not listed on IDEAS
    2. repec:ipg:wpaper:2014-452 is not listed on IDEAS
    3. Eling, Martin & Jia, Ruo & Schaper, Philipp, 2017. "Get the Balance Right: A Simultaneous Equation Model to Analyze Growth, Profitability, and Safety," Working Papers on Finance 1716, University of St. Gallen, School of Finance.
    4. repec:ipg:wpaper:2014-604 is not listed on IDEAS
    5. repec:ipg:wpaper:2014-511 is not listed on IDEAS
    6. Shim Jeungbo & Lee Seung-Hwan, 2017. "Dependency between Risks and the Insurer’s Economic Capital: A Copula-based GARCH Model," Asia-Pacific Journal of Risk and Insurance, De Gruyter, vol. 11(1), pages 1-29, January.
    7. repec:ipg:wpaper:2014-531 is not listed on IDEAS
    8. repec:ipg:wpaper:2014-509 is not listed on IDEAS
    9. repec:ipg:wpaper:2014-394 is not listed on IDEAS
    10. repec:ipg:wpaper:2014-415 is not listed on IDEAS
    11. repec:ipg:wpaper:2014-451 is not listed on IDEAS
    12. repec:ipg:wpaper:2014-510 is not listed on IDEAS

    More about this item

    Keywords

    Risk-taking; Capital Regulation; Reinsurance; Simultaneous Equations; Instrumental Variables.;

    JEL classification:

    • G22 - Financial Economics - - Financial Institutions and Services - - - Insurance; Insurance Companies; Actuarial Studies
    • G28 - Financial Economics - - Financial Institutions and Services - - - Government Policy and Regulation
    • G32 - Financial Economics - - Corporate Finance and Governance - - - Financing Policy; Financial Risk and Risk Management; Capital and Ownership Structure; Value of Firms; Goodwill

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