Chief Executive Officer Incentives, Monitoring, And Corporate Risk Management: Evidence from Insurance Use. - Journal of Risk and Insurance

Chief Executive Officer Incentives, Monitoring, And Corporate Risk Management: Evidence from Insurance Use.

By Journal of Risk and Insurance

  • Release Date - Published: 2011-09-01
  • Book Genre: Business & Personal Finance
  • Author: Journal of Risk and Insurance
Our rating: 5/5 stars

Score: (From 0 Ratings)

Chief Executive Officer Incentives, Monitoring, And Corporate Risk Management: Evidence from Insurance Use. Journal of Risk and Insurance read online review & book description:

ABSTRACT Corporate governance and risk management issues have received prominent publicity in recent years following several major company failures such as Bear Stearns and Lehman Brothers. While prior studies have examined this issue within the context of derivatives' trading, little is known regarding the linkage between corporate governance and alternative corporate risk management activities such as insurance. Using a detailed firm survey conducted by the World Bank (2004), we examine the impacts of various governance monitoring mechanisms and chief executive officer (CEO) characteristics on the corporate insurance decision. Overall, our results suggest that both monitoring mechanisms and managerial incentives induce the corporate purchase of property insurance. However, the purchase of property insurance for managerial self-interest is only prevalent in firms subject to lax monitoring, and the determinants of insurance purchases are more in line with the prediction of the economic theory in firms with strong monitoring. In addition, our study contributes a number of new insights into the determinants of corporate purchase of property insurance.

@2019 – Go Read a Book. All Right Reserved. goreadabook.org is a participant in the Amazon Services LLC Associates Program, an affiliate advertising program designed to provide a means for website owners, to earn advertising fees by linking and advertising to amazon.com and any other website that may be affiliated with Amazon Service LLC Associates Program; As an Amazon Associate I earn from qualifying purchases.

Chief Executive Officer Incentives, Monitoring, And Corporate Risk Management: Evidence from Insurance Use. book review Chief Executive Officer Incentives, Monitoring, And Corporate Risk Management: Evidence from Insurance Use. ePUB; Journal of Risk and Insurance; Business & Personal Finance books.

Post a review about this book