scholarly journals Risk factors identification and evolution analysis from textual risk disclosures for insurance industry

2019 ◽  
Vol 162 ◽  
pp. 25-32 ◽  
Author(s):  
Yinghui Wang ◽  
Bin Li ◽  
Guowen Li ◽  
Xiaoqian Zhu ◽  
Jianping Li
Keyword(s):  
Risk Factors ◽  
Insurance Industry ◽  
Evolution Analysis ◽  
Risk Disclosures

scholarly journals Review On Application of Data Mining in Life Insurance

2018 ◽  
Vol 7 (4.5) ◽  
pp. 159
Author(s):  
Vaibhav A. Hiwase ◽  
Dr. Avinash J Agrawa
Keyword(s):  
Risk Factors ◽  
Data Mining ◽  
Life Insurance ◽  
Insurance Industry ◽  
Feature Space ◽  
Machine Learning Techniques ◽  
High Dimensional ◽  
Insurance Company ◽  
Financial Loss ◽  
Life Insurance Company

The growth of life insurance has been mainly depending on the risk of insured people. These risks are unevenly distributed among the people which can be captured from different characteristics and lifestyle. These unknown distribution needs to be analyzed from        historical data and use for underwriting and policy-making in life insurance industry. Traditionally risk is calculated from selected     features known as risk factors but today it becomes important to know these risk factors in high dimensional feature space. Clustering in high dimensional feature is a challenging task mainly because of the curse of dimensionality and noisy features. Hence the use of data mining and machine learning techniques should experiment to see some interesting pattern and behaviour. This will help life insurance company to protect from financial loss to the insured person and company as well. This paper focuses on analyzing hidden correlation among features and use it for risk calculation of an individual customer.  

Firm Use of Cybersecurity Risk Disclosure

2021 ◽  
Author(s):  
Wanying Jiang ◽  
Joseph Legoria ◽  
Kenneth Reichelt ◽  
Stephanie Walton
Keyword(s):  
Risk Factors ◽  
Information Asymmetry ◽  
Response Behavior ◽  
Risk Disclosure ◽  
Market Reactions ◽  
External Stakeholders ◽  
Risk Disclosures

Increasingly, firms are subject to rising cybersecurity risks. One way that firms can communicate cybersecurity uncertainty and reduce information asymmetry with external stakeholders is through cybersecurity risk disclosures. SEC (2011, 2018) guidance encourages the disclosure of significant cybersecurity risk factors. However, not all firms provide informative or quality disclosures following a cybersecurity breach event. In this study, we examine the firm use of cybersecurity risk disclosures after a cybersecurity breach. We find that not all breached firms alter their cybersecurity disclosure behavior similarly following a breach. Rather, firm prior breach experience and breach-related market reactions impact the provision of additional cybersecurity disclosures. Our study provides initial evidence on when firms provide additional cybersecurity disclosures post-breach and informs regulators and policymakers on how firms utilize cybersecurity risk disclosures as a response behavior.

The nexus between risk factor disclosures and short-run performance of IPOs – evidence from literature

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Krishan Lal Grover ◽  
Pritpal Singh Bhullar
Keyword(s):  
Risk Factors ◽  
Risk Factor ◽  
Literature Review ◽  
Research Papers ◽  
Content Type ◽  
Ipo Performance ◽  
Short Run ◽  
Research Gap ◽  
Review Study ◽  
Risk Disclosures

PurposeThe main purpose of the present study is to stretch the theoretical framework of existing stock of literature with reference to Risk Disclosures in IPO Prospectus and IPO performance. The systematic literature review study endows easy and quick access to researchers as well as categorization of the available literature.Design/methodology/approachFifty research papers, which has been published or presented from 2000 to 2019 and are related to IPO risk disclosures and IPO performance, have been finalized. Further, these research papers were categorized based upon the five different variables to identify the probable research gap in the selected topic.FindingsThis review provides a coherent summary of past studies related to topic and develop a comprehensive evidence on relationship between disclosure of risk factors and IPO underpricing in short run. It shows the existing research gap that needs to be fulfilled to expand the research horizon of future research studies.Research limitations/implicationsThe sole limitation of the study is that being a systematic literature review study, it does not carry any empirical results.Practical implicationsThe investors will be able to identify the key risk factors, disclosed in IPO prospectus, that may have probable dent on the short-term return from IPO. The findings will further help the investors and financial analyst to identify the degree of impact of risk disclosures that are listed in IPO prospectus.Originality/valueThe paper is a first of its kind to stretch the existing literature and develop theoretical framework in the context of risk factor discloses in IPO prospectus and IPO performance with reference to India. The present study is an attempt to integrate the existing gap between empirical research and existing literature and suggest the techniques to the future practitioners to widen the horizon of their research.

scholarly journals Impact De-Tarrification in Modeling Motor Insurance Premium in Malaysia

2019 ◽  
Vol 8 (3) ◽  
pp. 7394-7400
Keyword(s):  
Risk Factors ◽  
Insurance Industry ◽  
Risk Profile ◽  
Insurance Premium ◽  
Insurance Companies ◽  
Good Service ◽  
Motor Insurance ◽  
Premium Calculation ◽  
Rating Factor ◽  
The Impact

De-tariffication has become a hot topic for Malaysian motor insurers after effectively implemented on 1 July 2017. Generally, the insurance companies need to set a rating factor for their premium before calculating the price on selected premium. Typically, these rating factors are based on the risk profile of the policyholder. That means, the price of the premium determined by the risk factors from the profile of the policyholder. The aim of this research to investigate the impact after de-tariff implemented among the motor insurance industry. This research also investigates the effect of de-tariff on the Good Service Tax (GST) in the premium calculation. Multiple Linear Regression (MLR) was used to determine the most significant rating factor that influence the calculation of the premium received by the motor insurance industry. Once these k rating factors and parameters are identified, the value of premiums can be calculated by taking into account these rating factors and parameters in the de-tariff formula and comparing with the existing model. The result of the study indicates that de-tariff model has lower premium compared to Malaysia tariff model. Furthermore, GST is also found to have a significant impact on the motor insurance premium, where policyholders are required to pay higher premiums than non-GST premiums. The results will help the insurance companies to find new formulas in considering new rating factors and improve the accuracy of premium calculations.

Developing a hierarchical system for energy corporate risk factors based on textual risk disclosures

2019 ◽  
Vol 80 ◽  
pp. 452-460 ◽  
Author(s):  
Lu Wei ◽  
Guowen Li ◽  
Xiaoqian Zhu ◽  
Xiaolei Sun ◽  
Jianping Li
Keyword(s):  
Risk Factors ◽  
Hierarchical System ◽  
Risk Disclosures ◽  
Corporate Risk

scholarly journals Importance of external environmental labour-related risk factors for financial investment decision-making

2002 ◽  
Vol 5 (3) ◽  
pp. 644-662
Author(s):  
J. H. Mostert ◽  
S. J. Steel ◽  
F J. Mostert
Keyword(s):  
Risk Factors ◽  
Insurance Industry ◽  
Investment Decision ◽  
Relevant Literature ◽  
Knowledge Worker ◽  
Work Force ◽  
Financial Investment ◽  
Investment Decision Making ◽  
Related Risk ◽  
Term Insurance

External environmental labour-related risk factors influence the relationship between management and the work force of an enterprise. It is therefore of prime importance to consider these labour-related risk actors in order to be able to take a comprehensive financial investment decision. The risk factors concerned come from the political, economic, social and technological environments. The views of the participating investment practitioners (who are active in the long-term insurance industry) regarding these aspects are analysed against the background of relevant literature. The responses with reference to these labour-related risks in manual and knowledge worker enterprises are presented simultaneously and significant similarities and differences are highlighted.

scholarly journals Comprehensive identification of operational risk factors based on textual risk disclosures

2018 ◽  
Vol 139 ◽  
pp. 136-143 ◽  
Author(s):  
Yinghui Wang ◽  
Guowen Li ◽  
Jianping Li ◽  
Xiaoqian Zhu
Keyword(s):  
Risk Factors ◽  
Operational Risk ◽  
Risk Disclosures

scholarly journals Trends and risks of modern insurance

2019 ◽  
Author(s):  
Nadiia SOLOVEI ◽  
Yana SUKHOPER
Keyword(s):  
Risk Factors ◽  
Insurance Industry ◽  
Insurance Market ◽  
Insurance Companies ◽  
Modern World ◽  
Present Stage ◽  
Business Partners ◽  
Management Measures ◽  
Systematic Risks ◽  
Insurance Business

The article is devoted to the analysis of trends in the development of the insurance market and the risks that accompany it. The factors of influence are investigated, the classification of risks of insurers on development of appropriate management measures is given. The specific nature of the risks associated with the digitalization of information in the insurance industry and the various options for protection against them are considered. Any activity of enterprises in the domestic market can be characterized by an increased degree of state or systematic risks, the influence of which in the modern world is compounded by the new risks for business of translating information into digital form. The functional purpose of an insurance business is to protect other entities from the possible risks, but the insurance business itself is also exposed to certain risk factors that may impede the performance of insurance activities. The functioning of the insurance market at the present stage is accompanied by new risks that may affect the effectiveness of insurers. It is this that raises the relevance and importance of this issue on the systematization of insurance business risks and the recommendations for managing them. The purpose of this article is to review the trend of development of the modern insurance market, to systematize risk factors and to develop recommendations for risk management of the insurance market at the present stage. The main reasons for which risk situations arise in the operation of insurance companies are external factors, namely the actions of competitors, insurers, business partners. Exacerbation of competition increases the dependence of performance indicators of the insurer on the level of competitiveness of the institution or its services.

The Perception of Risk Disclosure Characteristics on the Credit Default Swap Market - An Automated Analysis

2021 ◽  
Author(s):  
Deborah Yvonne Nagel ◽  
Stephan Fuhrmann ◽  
Raphael Tietmeyer ◽  
Thomas W. Guenther
Keyword(s):  
Risk Factors ◽  
Risk Management ◽  
Credit Default Swap ◽  
Automated Analysis ◽  
Securities And Exchange Commission ◽  
Risk Disclosure ◽  
Future Performance ◽  
Credit Default ◽  
Default Swap ◽  
Risk Disclosures

This paper evaluates the associations between credit default swap (CDS) spreads and risk disclosure characteristics, especially the expected qualitative and the expected quantitative impacts of risks on companies' future performance and information on risk management. We find that CDS investors can benefit from information on expected risk impacts and from information on risk management, which is important for the current discussion of the Securities and Exchange Commission (SEC) on risk disclosure regulation. However, for companies, the disclosure of such information can be either beneficial or costly, depending on the initial risk perception of CDS investors prior to the publication of risk disclosures and on the disclosed risk factors. Furthermore, we expand the literature by automatically measuring the mentioned risk disclosure characteristics using dictionary-based approaches.

Sign in / Sign up

Export Citation Format

Share Document