This paper is an effort to see how the crisis affected the level of efficiency and the process of insurance integration in the European Union. It uses Stochastic Frontier Analysis to estimate cost efficiency for a sample of 947 nonlife insurance firms operating in 24 European countries for the period 2006- 2014. In a second stage a two-step system Generalized Method of Moments (GMM) is used to examine cost efficiency convergence by looking at β-convergence and σconvergence criteria. |
