Corporate Governance, Social Responsibility and Financial Performance of European Insurers
| Authors | |
|---|---|
| Year of publication | 2017 |
| Type | Article in Periodical |
| Magazine / Source | Acta Universitatis Agriculturae et Silviculturae Mendelianae Brunensis |
| MU Faculty or unit | |
| Citation | |
| Web | https://acta.mendelu.cz/65/6/1873/ |
| Doi | http://dx.doi.org/10.11118/actaun201765061873 |
| Field | Management and administrative |
| Keywords | insurance; corporate governance; corporate social responsibility |
| Attached files | |
| Description | In this paper, we focus on corporate governance and corporate social responsibility in European insurance industry and test its e ects on nancial performance. Using a sample of European insurance companies releasing corporate governance and social responsibility information available in Bloomberg Environmental, Social, and Governance disclosure, we provide evidence of better nancial performance of insurers with unbiased and objective boards, increased number of board members (indicating that investors trust independent directors as protectors of shareholder value), lower employee turnover and higher community spending. Compliance with UN Global Compact signatory also contribute to better market performance. As a result, we show that insurance companies can be socially responsible and nancially successful at the same time. |
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