Capital structure decisions in the insurance industry: Stocks versus mutuals

Journal of Financial Services Research

Volumn 21, Issue 1-2, 2002, Pages 145-163

  Harrington, Scott E ^a   Niehaus, Greg ^a  

^a UNIVERSITY OF SOUTH CAROLINA   (United States)

Author keywords

Capital structure; Insurance; Mutual

Indexed keywords

EID: 0036289906     PISSN: 09208550     EISSN: None     Source Type: Journal    
DOI: 10.1023/A:1014329903079     Document Type: Article

References (31)

1. Baskin, Jonathan. "An Empirical Investigation of the Pecking Order Hypothesis." Financial Management 18, (1989), 26-35.
2. Cagle, Julie, and Scott E. Harrington. "Insurance Supply with Capacity Constraints and Endogenous Insolvency Risk." Journal of Risk and Uncertainty 11, (1995), 219-232.
3. Chaplinsky, Susan, and Greg Niehaus. "Do Inside Ownership and Leverage Share Common Determinants?" Quarterly Journal of Business and Economics (1993), 61-78.
4. Cummins, J. David, and Patricia Danzon. "Price, Financial Quality, and Capital Flows in Insurance Markets." Journal of Financial Intermediation 6, (1997), 3-38.
5. Cummins, J. David, and David W. Sommer. "Capital and Risk in Property Liability Insurance Markets." Journal of Banking and Finance 20, (1996), 1069-1092.
6. Finsinger, Jorg, and Mark Pauly. "Reserve Levels and Reserve Requirements for Profit-Maximizing Insurance Firms." In G. Dionne and S. Harrington, eds., Foundations of Insurance Economics, Boston: Kluwer Academic 1992; earlier version in Lecture Notes in Economics and Mathematical Systems, v. 227, Risk and Capital, G. Bamberg and K. Spremann, eds., Berlin: Springer-Verlag, 1984.
7. Finsinger, Jorg, and Mark Pauly. "Reserve Levels and Reserve Requirements for Profit-Maximizing Insurance Firms." In G. Dionne and S. Harrington, eds., Foundations of Insurance Economics, Boston: Kluwer Academic 1992; earlier version in Lecture Notes in Economics and Mathematical Systems, v. 227, Risk and Capital, G. Bamberg and K. Spremann, eds., Berlin: Springer-Verlag, 1984.
8. Fischer, Robert Heinkel, and Josef Zechner. "Dynamic Capital Structure Choice: Theory and Tests." Journal of Finance 44, (1989), 19-40.
9. Froot, Kenneth, and Jeremy Stein. "Risk Management, Capital Budgeting, and Capital Structure Policy for Financial Institutions: An Integrated Approach." Journal of Financial Economics 47, (1998), 55-82.
10. Froot, Kenneth, David, Scharfstein, and Jeremy Stein. "Risk Management: Coordinating Corporate Investment and Financing Policies." Journal of Finance 48, (1993), 1629-1658.
11. Garven, James R. "Agency Costs, Organizational Form, and Capital Structure Policy: The Case of the Property Casualty Insurance Industry." Department of Finance Working Paper 90/91-2-3, University of Texas at Austin, 1990.
12. Godfrey, L.G. "Testing Against General Autoregressive and Moving Average Error Models When the Regressors Include Lagged Dependent Variables." Econometrica 46, (1978), 1293-1302.
13. Guo, Dajiang, and Ralph A. Winter. "The Capital Structure of Insurers: Theory and Evidence." Working paper, University of Toronto, 1997.
14. Hammermesh, Daniel, and Gerard Phann. "Adjustment Costs in Factor Demand." Journal of Economic Literature 34, (1996), 1264-1292.
15. Harrington, Scott E., Steven V. Mann, and Greg Niehaus. "Insurer Capital Structure Decisions and the Viability of Insurance Derivatives." Journal of Risk and Insurance (1995), 483-509.
16. Harrington, Scott E., and Greg Niehaus. "On the Tax Costs of Equity Financing: The Case of Catastrophe Insurance." Working paper, University of South Carolina, 2000.
17. Herring, Richard J., and P. Van Kudre. "Growth Opportunities and Risk-Taking by Financial Intermediaries." Journal of Finance 42, 1987, 583-600.
18. Kleffner, Anne, and Neil Doherty. "Costly Risk and the Supply of Catastrophe Insurance." Journal of Risk and Insurance 63, (1996), 657-671.
19. Lamm-Tennant, Joan, and Laura T. Starks. "Stock versus Mutual Ownership Structures: The Risk Implications." Journal of Business 66, (1993), 29-46.
20. Lee, Soon-Jae, David Mayers, and Clifford Smith. "Guaranty Funds and Risk Taking Behavior: Evidence from the Insurance Industry." Journal of Financial Economics 44, (1997), 3-24.
21. Mauer, David, and Alex Triantis. "Interaction of Corporate Financing and Investment Decisions: A Dynamic Framework." Journal of Finance 49, (1994), 1253-1277.
22. Mayers, David, and Clifford Smith. "Ownership Structure Across Lines of Property Casualty Insurance." Journal of Law and Economics 31, (1988), 351-378.
23. Myers, Stewart C. "Determinants of Corporate Borrowing." Journal of Financial Economics 5, (1977), 146-175.
24. Myers, Stewart C. "The Capital Structure Puzzle. " Journal of Finance 39, (1984), 575-592.
25. Myers, Stewart C., and Kolbe. 1998.
26. Myers, Stewart C., and Nicolas Majluf. "Corporate Financing and Investment Decisions when Firms have Information that Investors Do Not Have." Journal of Financial Economics 13, (1984), 187-221.
27. Rajan, Raghuram, and Luigi Zingalis. "What Do We Know About Capital Structure? Some Evidence from International Data." Journal of Finance 5, (1995), 1421-1460.
28. Shyam-Sunder, Lakshmi, and Stewart Myers. "Testing Static Tradeoff Against Pecking Order Models of Capital Structure." Journal of Financial Economics 51, (1999), 219-244.
29. Smith, Clifford W., Jr., and Ross L. Watts. "The Investment Opportunity Set and Corporate Financing, Dividend, and Compensation Policies." Journal of Financial Economics 32, (1992), 263-292.
30. Titman, Sheridan, and Roberto Wessels. "The Determinants of Capital Structure Choice." Journal of Finance 143, (1988), 1-19.
31. Winter, Ralph A. "The Dynamics of Competitive Insurance Markets." Journal Financial Intermediation 3, (1994), 379-415.