Disruption of Life Insurance Profitability in the Aftermath of the COVID-19 Pandemic
Life insurance profitability depends on reliable mortality risk projections and pricing. While the COVID-19 pandemic has caused disruptions around the world, this is a temporary mortality shock likely to dissipate. In this paper, we investigate the long-run impact of COVID-19 on life insurance profi...
| Main Authors: | , , , , |
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| Format: | Article |
| Language: | English |
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MDPI AG
2022-02-01
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| Series: | Risks |
| Subjects: | |
| Online Access: | https://www.mdpi.com/2227-9091/10/2/40 |
| _version_ | 1827652855628038144 |
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| author | Maria Carannante Valeria D’Amato Paola Fersini Salvatore Forte Giuseppe Melisi |
| author_facet | Maria Carannante Valeria D’Amato Paola Fersini Salvatore Forte Giuseppe Melisi |
| author_sort | Maria Carannante |
| collection | DOAJ |
| description | Life insurance profitability depends on reliable mortality risk projections and pricing. While the COVID-19 pandemic has caused disruptions around the world, this is a temporary mortality shock likely to dissipate. In this paper, we investigate the long-run impact of COVID-19 on life insurance profitability. Due to the long-run dynamics of the mortality characterised by a decreasing effect of the COVID-19 mortality acceleration, we suggest proactive mortality risk management by implementing prompt premium adjustments, in order to increase the resilience of the business. |
| first_indexed | 2024-03-09T21:08:01Z |
| format | Article |
| id | doaj.art-424841685a0e4fcc8a358ab5af7956b8 |
| institution | Directory Open Access Journal |
| issn | 2227-9091 |
| language | English |
| last_indexed | 2024-03-09T21:08:01Z |
| publishDate | 2022-02-01 |
| publisher | MDPI AG |
| record_format | Article |
| series | Risks |
| spelling | doaj.art-424841685a0e4fcc8a358ab5af7956b82023-11-23T21:56:47ZengMDPI AGRisks2227-90912022-02-011024010.3390/risks10020040Disruption of Life Insurance Profitability in the Aftermath of the COVID-19 PandemicMaria Carannante0Valeria D’Amato1Paola Fersini2Salvatore Forte3Giuseppe Melisi4Department of Pharmacy, University of Salerno, Via Giovanni Paolo II, 132, 84084 Fisciano, ItalyDepartment of Pharmacy, University of Salerno, Via Giovanni Paolo II, 132, 84084 Fisciano, ItalyDepartment of Business and Management, Luiss Guido Carli, Viale Romania, 32, 00197 Rome, ItalyFaculty of Law, Giustino Fortunato University, Via Raffaele Delcogliano, 82100 Benevento, ItalyDepartment of Law, Economics, Management and Quantitative Methods, University of Sannio, Piazza Guerrazzi, 82100 Benevento, ItalyLife insurance profitability depends on reliable mortality risk projections and pricing. While the COVID-19 pandemic has caused disruptions around the world, this is a temporary mortality shock likely to dissipate. In this paper, we investigate the long-run impact of COVID-19 on life insurance profitability. Due to the long-run dynamics of the mortality characterised by a decreasing effect of the COVID-19 mortality acceleration, we suggest proactive mortality risk management by implementing prompt premium adjustments, in order to increase the resilience of the business.https://www.mdpi.com/2227-9091/10/2/40SCRprofitabilityannuitymortality projections |
| spellingShingle | Maria Carannante Valeria D’Amato Paola Fersini Salvatore Forte Giuseppe Melisi Disruption of Life Insurance Profitability in the Aftermath of the COVID-19 Pandemic Risks SCR profitability annuity mortality projections |
| title | Disruption of Life Insurance Profitability in the Aftermath of the COVID-19 Pandemic |
| title_full | Disruption of Life Insurance Profitability in the Aftermath of the COVID-19 Pandemic |
| title_fullStr | Disruption of Life Insurance Profitability in the Aftermath of the COVID-19 Pandemic |
| title_full_unstemmed | Disruption of Life Insurance Profitability in the Aftermath of the COVID-19 Pandemic |
| title_short | Disruption of Life Insurance Profitability in the Aftermath of the COVID-19 Pandemic |
| title_sort | disruption of life insurance profitability in the aftermath of the covid 19 pandemic |
| topic | SCR profitability annuity mortality projections |
| url | https://www.mdpi.com/2227-9091/10/2/40 |
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