Risk Performance on Financial Assessment of Insurance Firms in Egypt

Abstract

The subject matter of this study is the analysis of the relationship between risk assessment and firm size on financial performance. The population encompasses thirty-nine listed insurance firms in Egypt during the period 1999 – 2019, whereas a sample of nineteen insurance companies was selected. The financial assessment is a dependent variable, while the independent variable is risk assessment. This study used general linear multivariate analysis and descriptive statistics. The article is an attempt to investigate the relationship between risk assessment and firm size on financial assessment of insurance sector in Egypt. The results indicate that there is significant positive linear relationship between standard deviation of return on equity, standard deviation of return on asset, and natural logarithm of total assets with return on equity. Moreover, there is significant positive linear relationship between standard deviation of return on equity, standard deviation of return on asset and natural logarithm of total assets where on return on asset. Therefore, there is significant positive linear relationship between standard deviation of return on equity and standard deviation of return on asset on liquidity. Nevertheless, there is a negative relationship between natural logarithm of total assets.