THE INFLUENCE OF INSURANCE COMPANY'S FINANCIAL HEALTH LEVEL ON PROFIT GROWTH (Empirical Study of Insurance Companies Listed on Indonesia Stock Exchange 2016- 2019 Period)

Abstract
This research aims to determine the effect of premium growth ratio, incurred loss ratio, and risk-based capital both partially and simultaneously on profit growth in insurance companies listed on the Indonesia Stock Exchange for the period 2016-2019. The methodologies used in this study are descriptive methods and explanatory methods. The sample determination technique used in this study is non-probability sampling with a saturated sample method, so the number of samples as many as 16 insurance companies listed on the Indonesia Stock Exchange for the period 2016-2019. The analysis method used in this study is the regression analysis of the data panel by using Eviews. 9. The results show that the premium growth ratio affects profit growth. Meanwhile, risk-based capital and incurred loss ratio do not affect profit growth. Also, the results of the study also showed that the influence of premium growth ratio, incurred loss ratio, and risk-based capital in contributing to profit growth of 12%.
Description
Keywords
Incurred Loss Ratio, Premium Growth Ratio, Profit Growth, Risk Based Capital
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