Measuring Cost Efficiency of Indian Life Insurance Companies During the Post-liberalisation Era: A Farrell Approach

Authors

  • Mitrendu Narayan Roy Assistant Professor, Goenka College of Commerce & Business Administration, Kolkata
  • Siddhartha Sankar Saha Head & Professor of Commerce, Department of Commerce, University of Calcutta, Kolkata

DOI:

https://doi.org/10.33516/maj.v58i5.87-91p

Keywords:

No Keywords

Abstract

This article estimates the cost efficiencies of all Indian life insurance companies during the post-liberalisation era based on Farrell (1957) approach. Data on input and output variables and input price variables for all 24 companies have been collected from IRDA’s handbook on Indian insurance statistics. It is seen that the Indian life insurance sector is 63.5 per cent cost efficient. While LIC, Edelweiss Tokio, IndiaFirst, SBI Life, Canara HSBC OBC and HDFC Life consistently projected high cost efficiency, Future Generali, Bajaj Allianz, Aviva Life, Bharti AXA, Shriram and Reliance Nippon Life failed to achieve cost efficient status.

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Published

2023-05-01

How to Cite

Narayan Roy, M., & Sankar Saha, S. (2023). Measuring Cost Efficiency of Indian Life Insurance Companies During the Post-liberalisation Era: A Farrell Approach. The Management Accountant Journal, 58(5), 87–91. https://doi.org/10.33516/maj.v58i5.87-91p

Issue

Volume 58, Issue 5, May 2023

Section

Insurance
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