Journal of Productivity Analysis

, Volume 4, Issue 1, pp 77–93

Productive performance of the French insurance industry

  • F. Fecher
  • D. Kessler
  • S. Perelman
  • P. Pestieau
Article

DOI: 10.1007/BF01073467

Cite this article as:
Fecher, F., Kessler, D., Perelman, S. et al. J Prod Anal (1993) 4: 77. doi:10.1007/BF01073467

Abstract

The purpose of this paper is to provide for both life and non-life insurance an assessment of the relative productive performance of French companies. We use parametric and nonparametric approaches to construct a frontier to be used as a yardstick of productive efficiency. Our data basis covers 84 life and 243 non-life companies for the period 1984–1989. The main findings show a high correlation between parametric and nonparametric results and a wide dispersion in the rates of inefficiency across companies. This dispersion can be reduced when controlling for variations in scale, ownership, distribution, reinsurance, and claims ratios.

Copyright information

© Kluwer Academic Publishers 1993

Authors and Affiliations

  • F. Fecher
    • 1
  • D. Kessler
    • 2
  • S. Perelman
    • 3
  • P. Pestieau
    • 4
    • 5
  1. 1.Department of EconomicsUniversity of LiègeLiège 1Belgium
  2. 2.EHESSParisFrance
  3. 3.Department of EconomicsUniversity of LiègeLiège 1Belgium
  4. 4.COREUniversity of LouvainLiège 1Belgium
  5. 5.Department of EconomicsUniversity of LiègeLiège 1Belgium