Corporate Diversification, Ownership, and Solvency in China’s Property-Liability Insurance Companies

Table 3

The impact of geographical diversification on solvency.

Variable	Full sample	Chinese-funded	Foreign-funded
	(1)	(2)	(3)
L.sol	0.033	0.004	0.037
	(21.315)	(1.684)	(25.938)
Geodiv	−15.158	−16.792	−5.977
	(−4.492)	(−15.085)	(−1.477)
Size	5.377	5.674	0.646
	(11.658)	(11.844)	(0.578)
Age	−10.152	−9.195	−11.972
	(−6.773)	(−5.931)	(−7.667)
Payrate	2.873	6.450	2.305
	(8.237)	(4.694)	(1.556)
Rein	10.461	9.314	32.272
	(2.154)	(2.391)	(4.912)
ms	−79.194	−88.264	−1,274.190
	(−1.058)	(−2.559)	(−0.694)
Investrisk	−4.685	0.141	−12.783
	(−3.626)	(0.119)	(−2.328)
gdp	11.789	−47.052	119.361
	(0.503)	(−2.498)	(5.212)
Constant	−5.220	−11.000	20.004
	(−1.968)	(−3.204)	(3.421)
N	268	170	98
AR (2) test	(0.194)	(0.085)	(0.829)
Sargan test	(0.365)	(0.405)	(0.958)

Note. ^∗∗∗ means , ^∗∗ means , and ^∗ means .