1 option
Organizational Form and Insurance Company Performance: Stocks versus Mutuals / Patricia Born, William M. Gentry, W. Kip Viscusi, Richard J. Zeckhauser.
- Format:
- Book
- Author/Creator:
- Born, Patricia.
- Series:
- Working Paper Series (National Bureau of Economic Research) no. w5246.
- NBER working paper series no. w5246
- Language:
- English
- Subjects (All):
- Capital stock.
- Mutual funds--Economic aspects.
- Mutual funds.
- Physical Description:
- 1 online resource: illustrations (black and white);
- Other Title:
- Organizational Form and Insurance Company Performance
- Place of Publication:
- Cambridge, Mass. National Bureau of Economic Research 1995.
- Cambridge, Massachusetts : National Bureau of Economic Research, 1995.
- Summary:
- One unusual feature of the U.S. property-casualty insurance industry is the coexistence of stock and mutual companies. This paper explores the performance of these forms in the industry through a dynamic assessment of how mutual and stock insurance companies respond to differences in their underwriting environment. Agency theories suggest that the stock company may be more 'opportunistic' and less obligated to their insureds than mutuals. This article assesses the responses by stock and mutual firms to changes in the underwriting environment from 1984 to 1991, using measures of individual firms' performance, by state and by line, in eight different lines of insurance. Stock companies are more likely than mutuals to reduce their business in unprofitable situations, and have higher losses than mutuals for a given amount of premiums.
- Notes:
- Print version record
- September 1995.
The Penn Libraries is committed to describing library materials using current, accurate, and responsible language. If you discover outdated or inaccurate language, please fill out this feedback form to report it and suggest alternative language.