A<scp>RE</scp> G<scp>REEN</scp> C<scp>AR</scp> D<scp>RIVERS</scp> F<scp>RIENDLY</scp> D<scp>RIVERS</scp>? A S<scp>TUDY</scp><scp>OF</scp> T<scp>AIWAN'S</scp> A<scp>UTOMOBILE</scp> I<scp>NSURANCE</scp> M<scp>ARKET</scp>

Huang, Jerry S.; Wang, Kili C.

doi:10.1111/jori.12202

Cited by 6 publications

(5 citation statements)

References 13 publications

(20 reference statements)

Supporting

Mentioning

Contrasting

Order By: Relevance

“…The possible explanation is that vehicles with relatively more seats are used for family trips or to accommodate family members, which compels drivers to drive more cautiously. In contrast to Huang and Wang (2016), there are no significant effects of hybrid vehicles, possibly due to the lack of vehicle mileage data.…”

Section: Resultscontrasting

confidence: 62%

The relationships between vehicle characteristics and automobile accidents

Wu¹,

Li²,

Peng

2020

Risk Manage Insurance Review

View full text Add to dashboard Cite

In this study, the relationships between vehicle characteristics and automobile accidents are examined based on physical damage insurance claims data from a major property insurance company in Taiwan. For the whole sample, we find that the car characteristics index (an estimate for the replacement cost associated with claims) is negatively correlated with the claim probability and positively correlated with claim severity. New cars and sport utility vehicles (SUVs) (compared with Sedans) are associated with higher claim probability. However, SUVs (compared with Sedans) are associated with lower claim severity. Small (compared with large) vehicles are associated with lower claim probability and lower claim severity. Compared with the imported cars from Germany, policyholders with the imported cars from Japan or the US are more likely to file a claim but to have lower claim severity. On subgroup analyses, the relationship between car characteristics index and claim probability is positive for domestic cars and negative for imported cars, implying that imported car policies subsidize domestic car policies. We also find the impacts of vehicle characteristics on claim probability and claim severity differ for domestic cars and imported cars in subsamples. Our empirical evidence provides important implications for premium pricing in the automobile physical damage insurance industry.

show abstract

Section: Resultscontrasting

confidence: 62%

The relationships between vehicle characteristics and automobile accidents

Wu¹,

Li²,

Peng

2020

Risk Manage Insurance Review

View full text Add to dashboard Cite

show abstract

“…The paper deals with the problem of taking account of new risk factors resulting from the emergence of green technologies in the premium pricing process, cf. [4]. The GLMM extension of the commonly used Bühlmann-Straub model is studied.…”

Section: Discussionmentioning

confidence: 99%

“…The number of insurers who actively take into account different green factors in their risk assessment process is growing. The problem of including these factors in the prediction of different characteristics such as the total number of claims (e.g., [2]), crash severity (e.g., [3]) and accident risk (e.g., [4]) can play the crucial role from this perspective. A very basic feature of the non-life insurance portfolio of policies is its heterogeneity, which means that policies generate different values of claims.…”

Section: Introductionmentioning

confidence: 99%

The Measures of Accuracy of Claim Frequency Credibility Predictor

Wolny-Dominiak

Żądło

2021

Sustainability

View full text Add to dashboard Cite

Nowadays, the sustainability risks and opportunities start to affect strongly insurance companies in regard to the resulting additional variability of future values of variables taken into account in the decision processes. This is important especially in the era of sustainable non-life insurance promoting, among others, the use of ecological car engines or ecological systems of building heating. The fundamental issue in non-life insurance is to predict future claims (e.g., the aggregate value of claims or the number of claims for a single policy) in a heterogeneous portfolio of policies taking account of claim experience. For this purpose, the so-called credibility theory is used, which was initiated by the fundamental Bühlmann model modified to the Bühlmann–Straub model. Several modifications of the model have been proposed in the literature. One of them is the development of the relationship between the credibility models and statistical mixed models (e.g., linear mixed models) for longitudinal data. The article proposes the use of the parametric bootstrap algorithm to estimate measures of accuracy of the credibility predictor of the number of claims for a single policy taking into account new risk factors resulting from the emergence of green technologies on the considered market. The predictor is obtained for the model which belongs to the class of Generalised Linear Mixed Models (GLMMs) and which is a generalization of the Bülmann–Straub model. Additionally, the possibility of predicting the number of claims and the problem of the assessment of the prediction accuracy are presented based on a policy characterized by new green risk factor (hybrid motorcycle engine) not previously present in the portfolio. The paper presents the proposed methodology in a case study using real insurance data from the Polish market.

show abstract

“…Discounts in automobile insurance is a lucrative way of attracting customers and the paper by Chan et al [19] addresses the issues involved in deciding upon discounts offered to customers. Green fuel initiatives are becoming important in the automobile sector and the paper by Huang and Wang [20] examines the effect of such vehicles on the insurance market in Taiwan. The exact premium to be charged to customers is an important issue and the paper by Robinette and Wachtel [21] presents a case study on the effect on the overall revenue from the automobile insurance when the value of the insured amount is raised.…”

Section: Literature Reviewmentioning

confidence: 99%

A Study on Customer’s Preference for Personal Vehicle Insurance Provided by Different Insurance Companies in Bengaluru

Ghose

Akanchha²

2020

IJMTS

View full text Add to dashboard Cite

The primary purpose of vehicle insurance is to cover the vehicle against damage, personal injury, and third-party liability. In addition to this, some insurance companies also provide value-added services such as roadside assistance and other services in return of the amount called as premium which attracts a large number of customers. However, our study shows that vehicle owners give maximum importance to the cost of insurance in terms of the annual premium. Primary data has been collected through questionnaire and analysed to ascertain about the factors responsible for taking out vehicle insurance, choice between private and public sector insurance companies, preferred insurance companies among the major players in the field, factors that play a role in the customers’ choice of a particular insurance company, customers’ opinion about the affordability of the premium to be paid, customers’ satisfaction with their chosen company, whether customers consider fast and efficient service as a deciding factor, and whether the brand value of the company plays a role in the customers’ choice.

show abstract

ARE GREEN CAR DRIVERS FRIENDLY DRIVERS? A STUDYOF TAIWAN'S AUTOMOBILE INSURANCE MARKET

Cited by 6 publications

References 13 publications

The relationships between vehicle characteristics and automobile accidents

The relationships between vehicle characteristics and automobile accidents

The Measures of Accuracy of Claim Frequency Credibility Predictor

A Study on Customer’s Preference for Personal Vehicle Insurance Provided by Different Insurance Companies in Bengaluru

Contact Info

Product

Resources

About