An analysis on the efficiency of takaful and insurance companies in malaysia: a non-parametric approach
This study examines the efficiency of general or non-life takaful and insurance industry in Malaysia during the period 2007 to 2009. In order to measure their efficiencies, the output-input data consists of a panel of 28 general or non-life takaful and insurance companies are used. The most commonly...
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| Format: | Article |
| Language: | English |
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Society of Interdiciplinary Business Research
2012
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| Online Access: | http://irep.iium.edu.my/27270/ http://irep.iium.edu.my/27270/1/Takaful_Efficiency__RIBER2012-080_33-56.pdf |
| _version_ | 1848779793681612800 |
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| author | Md Saad, Norma |
| author_facet | Md Saad, Norma |
| author_sort | Md Saad, Norma |
| building | IIUM Repository |
| collection | Online Access |
| description | This study examines the efficiency of general or non-life takaful and insurance industry in Malaysia during the period 2007 to 2009. In order to measure their efficiencies, the output-input data consists of a panel of 28 general or non-life takaful and insurance companies are used. The most commonly used non-parametric approach, namely, Data Envelopment Analysis (DEA) is adopted to measure the efficiency of the Malaysian takaful and insurance companies. In the DEA technique, efficiency is measured by the Malmquist index. The Malmquist efficiency measures are decomposed into two components: efficiency change and technical change index. Efficiency change is again decomposed into pure efficiency and scale efficiency. It is found that, on average, the TFP of the non-life takaful and insurance industry in Malaysia is mainly due efficiency change and the main sources of the efficiency change are both scale efficiency and pure efficiency. |
| first_indexed | 2025-11-14T15:23:25Z |
| format | Article |
| id | iium-27270 |
| institution | International Islamic University Malaysia |
| institution_category | Local University |
| language | English |
| last_indexed | 2025-11-14T15:23:25Z |
| publishDate | 2012 |
| publisher | Society of Interdiciplinary Business Research |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | iium-272702012-12-05T23:32:50Z http://irep.iium.edu.my/27270/ An analysis on the efficiency of takaful and insurance companies in malaysia: a non-parametric approach Md Saad, Norma HG8011 Insurance This study examines the efficiency of general or non-life takaful and insurance industry in Malaysia during the period 2007 to 2009. In order to measure their efficiencies, the output-input data consists of a panel of 28 general or non-life takaful and insurance companies are used. The most commonly used non-parametric approach, namely, Data Envelopment Analysis (DEA) is adopted to measure the efficiency of the Malaysian takaful and insurance companies. In the DEA technique, efficiency is measured by the Malmquist index. The Malmquist efficiency measures are decomposed into two components: efficiency change and technical change index. Efficiency change is again decomposed into pure efficiency and scale efficiency. It is found that, on average, the TFP of the non-life takaful and insurance industry in Malaysia is mainly due efficiency change and the main sources of the efficiency change are both scale efficiency and pure efficiency. Society of Interdiciplinary Business Research 2012 Article PeerReviewed application/pdf en http://irep.iium.edu.my/27270/1/Takaful_Efficiency__RIBER2012-080_33-56.pdf Md Saad, Norma (2012) An analysis on the efficiency of takaful and insurance companies in malaysia: a non-parametric approach. Review of Integrative Business & Economics Research, 1 (1). pp. 33-56. ISSN 2304-1013 (Online), 2304-1269 (CDROM) http://www.sibresearch.org/riber.html |
| spellingShingle | HG8011 Insurance Md Saad, Norma An analysis on the efficiency of takaful and insurance companies in malaysia: a non-parametric approach |
| title | An analysis on the efficiency of takaful and insurance companies in malaysia: a non-parametric approach |
| title_full | An analysis on the efficiency of takaful and insurance companies in malaysia: a non-parametric approach |
| title_fullStr | An analysis on the efficiency of takaful and insurance companies in malaysia: a non-parametric approach |
| title_full_unstemmed | An analysis on the efficiency of takaful and insurance companies in malaysia: a non-parametric approach |
| title_short | An analysis on the efficiency of takaful and insurance companies in malaysia: a non-parametric approach |
| title_sort | analysis on the efficiency of takaful and insurance companies in malaysia: a non-parametric approach |
| topic | HG8011 Insurance |
| url | http://irep.iium.edu.my/27270/ http://irep.iium.edu.my/27270/ http://irep.iium.edu.my/27270/1/Takaful_Efficiency__RIBER2012-080_33-56.pdf |