IDEAS home Printed from https://ideas.repec.org/a/ris/actuec/v61y1985i3p350-361.html
   My bibliography  Save this article

Fusions et économies de dimension sur le marché des assurances générales au Québec

Author

Listed:
  • Outreville, J. François

    (Professeur agrégé de finance et assurance, Université Laval)

  • Proulx, Carol

    (MBA, diplômé de l’Université Laval)

Abstract

Cross section regressions are used to evaluate the extent of economies of scale in the property-liability insurance industry prior to 1978 and to explain the increased number of mergers between 1978 and 1981 in the Quebec market. The second and third section of this paper discusses the appropriate approach to the problem of measuring economies of scale in the insurance industry. The fourth section describes the data and the empirical results. À l’aide d’une analyse de régression en coupe instantanée l’auteur tente de mesurer l’importance des économies de dimensions dans l’industrie des assurances générales avant 1978 et d’expliquer l’augmentation des fusions dans cette industrie, au Québec, entre 1978 et 1981. Les deuxième et troisième sections portent sur la question du choix d’une approche pertinente au problème de mesure des économies de dimension dans cette industrie. La dernière partie présente les résultats empiriques.

Suggested Citation

  • Outreville, J. François & Proulx, Carol, 1985. "Fusions et économies de dimension sur le marché des assurances générales au Québec," L'Actualité Economique, Société Canadienne de Science Economique, vol. 61(3), pages 350-361, septembre.
    • Handle: RePEc:ris:actuec:v:61:y:1985:i:3:p:350-361
    as

    Download full text from publisher

    File URL: http://id.erudit.org/iderudit/601338ar
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Caleb A. Smith, 1955. "Survey of the Empirical Evidence on Economies of Scale," NBER Chapters, in: Business Concentration and Price Policy, pages 213-238, National Bureau of Economic Research, Inc.
    2. Houston, David B & Simon, Richard M, 1970. "Economies of Scale in Financial Institutions: A Study in Life Insurance," Econometrica, Econometric Society, vol. 38(6), pages 856-864, November.
    3. J. David Cummins & Jack VanDerhei, 1979. "A Note on the Relative Efficiency of Property-Liability Insurance Distribution Systems," Bell Journal of Economics, The RAND Corporation, vol. 10(2), pages 709-719, Autumn.
    4. Allen, Robert F, 1974. "Cross-Sectional Estimates of Cost Economies in Stock Property-Liability Companies," The Review of Economics and Statistics, MIT Press, vol. 56(1), pages 100-103, February.
    5. J. David Cummins & David J. Nye, 1981. "Portfolio Optimization Models for Property-Liability Insurance Companies: An Analysis and Some Extensions," Management Science, INFORMS, vol. 27(4), pages 414-430, April.
    6. Spence, Michael, 1978. "Product differentiation and performance in insurance markets," Journal of Public Economics, Elsevier, vol. 10(3), pages 427-447, December.
    7. Blair, Roger D & Jackson, Jerry R & Vogel, Ronald J, 1975. "Economies of Scale in the Administration of Health Insurance," The Review of Economics and Statistics, MIT Press, vol. 57(2), pages 185-189, May.
    8. Benston, George J, 1972. "Economies of Scale of Financial Institutions," Journal of Money, Credit and Banking, Blackwell Publishing, vol. 4(2), pages 312-341, May.
    9. Wilson, Charles, 1977. "A model of insurance markets with incomplete information," Journal of Economic Theory, Elsevier, vol. 16(2), pages 167-207, December.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Hanweck, Gerald A. & Hogan, Arthur M. B., 1996. "The structure of the property/casualty insurance industry," Journal of Economics and Business, Elsevier, vol. 48(2), pages 141-155, May.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Dionne, Georges & Harrington, Scott, 2017. "Insurance and Insurance Markets," Working Papers 17-2, HEC Montreal, Canada Research Chair in Risk Management.
    2. Henri Loubergé, 1998. "Risk and Insurance Economics 25 Years After," The Geneva Papers on Risk and Insurance - Issues and Practice, Palgrave Macmillan;The Geneva Association, vol. 23(4), pages 540-567, October.
    3. Andrea Attar & Thomas Mariotti & François Salanié, 2020. "The Social Costs of Side Trading," The Economic Journal, Royal Economic Society, vol. 130(630), pages 1608-1622.
    4. Kifmann, Mathias, 2002. "Community rating in health insurance and different benefit packages," Journal of Health Economics, Elsevier, vol. 21(5), pages 719-737, September.
    5. Daniel McFadden & Carlos Noton & Pau Olivella, "undated". "Remedies for Sick Insurance," Working Papers 620, Barcelona School of Economics.
    6. Keane, Michael, 2004. "Modeling Health Insurance Choices in “Competitive” Markets," MPRA Paper 55198, University Library of Munich, Germany.
    7. Georges Dionne & Casey G. Rothschild, 2011. "Risk Classification in Insurance Contracting," Cahiers de recherche 1137, CIRPEE.
    8. Sebastian Soika, 2018. "Moral Hazard and Advantageous Selection in Private Disability Insurance," The Geneva Papers on Risk and Insurance - Issues and Practice, Palgrave Macmillan;The Geneva Association, vol. 43(1), pages 97-125, January.
    9. Chu-Shiu Li & Chwen-Chi Liu & Chen-Sheng Yang, 2010. "Tax Deductions for Losses and Equilibrium in Competitive Insurance Markets," Atlantic Economic Journal, Springer;International Atlantic Economic Society, vol. 38(1), pages 51-63, March.
    10. Finkelstein, Amy & Poterba, James & Rothschild, Casey, 2009. "Redistribution by insurance market regulation: Analyzing a ban on gender-based retirement annuities," Journal of Financial Economics, Elsevier, vol. 91(1), pages 38-58, January.
    11. De Feo, Giuseppe & Hindriks, Jean, 2014. "Harmful competition in insurance markets," Journal of Economic Behavior & Organization, Elsevier, vol. 106(C), pages 213-226.
    12. Dietrich, Diemo & Gehrig, Thomas, 2021. "Speculative and precautionary demand for liquidity in competitive banking markets," LSE Research Online Documents on Economics 118869, London School of Economics and Political Science, LSE Library.
    13. Torben M. Andersen, 2024. "Hedging mortality risk over the life‐cycle—The role of information and borrowing constraints," Economic Inquiry, Western Economic Association International, vol. 62(4), pages 1449-1466, October.
    14. Lisa L. Posey & Paul D. Thistle, 2017. "Automobile Insurance and Driver Ability: Contract Choice as a Screening Mechanism," The Geneva Risk and Insurance Review, Palgrave Macmillan;International Association for the Study of Insurance Economics (The Geneva Association), vol. 42(2), pages 141-170, September.
    15. Wanda Mimra & Achim Wambach, 2011. "A Game-Theoretic Foundation for the Wilson Equilibrium in Competitive Insurance Markets with Adverse Selection," CESifo Working Paper Series 3412, CESifo.
    16. Anastasios Dosis, 2016. "An Efficient Mechanism for Competitive Markets with Adverse Selection," Working Papers hal-01282772, HAL.
    17. Alexander Braun & Niklas Haeusle & Paul Thistle, 2023. "Risk classification with on‐demand insurance," Journal of Risk & Insurance, The American Risk and Insurance Association, vol. 90(4), pages 975-990, December.
    18. Giuseppe, DE FEO & Jean, HINDRIKS, 2005. "Efficiency of Competition in Insurance Markets with Adverse Selection," Discussion Papers (ECON - Département des Sciences Economiques) 2005042, Université catholique de Louvain, Département des Sciences Economiques.
    19. Michael Hoy & Michael Ruse, 2005. "Regulating Genetic Information in Insurance Markets," Risk Management and Insurance Review, American Risk and Insurance Association, vol. 8(2), pages 211-237, September.
    20. Wanda Mimra & Achim Wambach, 2019. "Contract withdrawals and equilibrium in competitive markets with adverse selection," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 67(4), pages 875-907, June.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ris:actuec:v:61:y:1985:i:3:p:350-361. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Benoit Dostie The email address of this maintainer does not seem to be valid anymore. Please ask Benoit Dostie to update the entry or send us the correct address (email available below). General contact details of provider: https://edirc.repec.org/data/scseeea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.