Investigating the effect of risk on life insurance return in the Iranian economy

Document Type : Research Paper


1 Department of Economics, Aligudarz Branch, Islamic Azad University, Aligudarz, Iran

2 Department of Economics, Faculty of Management and Economics, Lorestan University, Khorramabad, Iran.

3 Faculty of Humanities, Department of Economics, Ayatollah Ozma Boroujerdi University, Iran

4 Department of Economic, Al-Zahra University, Tehran, Iran


Examining the movement trend of life insurance returns shows, That the movement of income return has been less than the movement of return of life insurance claims. Fewer movements of income return than movements of life insurance claims in the economy arise from various variables, including life insurance management, Part of which is due to risk recognition. This helps life insurance industry executives, To the extent of the boundary between tolerable and intolerable risks in accepting or not accepting various swimming risks, And by managing them, they can play an important role in marketing and increasing the demand for insurance and, in general, for the optimal growth of life insurance. Hence the purpose of the article; Investigating the effect of risk on life insurance return during the period 1971-2019 using the ARIMA-GARCH / TARCH model and beta coefficient. The results show; There is a significant relationship between examining the impact of risk on life insurance return. Also in this research, systematic risk has been investigated using the beta coefficient method. Because the beta coefficient obtained is 17\% and is less than one and greater than zero. This result indicates that life insurance income is smaller than the general trend of market movement and risk aversion has a negative impact on the return on life insurance income.


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Volume 14, Issue 7
July 2023
Pages 243-254
  • Receive Date: 07 February 2022
  • Revise Date: 05 March 2022
  • Accept Date: 03 April 2022