Efficiency Of Insurance Companies In Vietnam Using The Data Envelopment Analysis
Abstract
The insurance industry in Vietnam is a rapidly growing with an average annual growth rate of about 21%. However, up to now, few studies have paid attention to the problem of measuring the efficiency of this business. This is one of the first theses to attempt to carry out this research using Data Envelopment Analysis (DEA) combined with the Malmquist index. For the period 2016 to 2020, the dataset contains 37 insurance firms. This research investigates the following research questions:
1) How efficient are Vietnamese insurance companies?
2) How did the performance of insurance companies change during the period
examined?
The main results show that (1) most of Vietnam's insurance companies are operating quite effectively at its efficient level, (2) the non-life sector is more efficient than the life sector, (3) There is a regression in efficiency change, while there is a progression in technological change and total factor productivity change during the period.