A Study on the Design of a Performance Bond for After-school Tutoring Institutions' Prepaid Consumption
DOI:
https://doi.org/10.64051/jhn.v1i2.44Keywords:
After-school Tutoring, Performance Bond, Prepaid ConsumptionAbstract
Against the backdrop of increasing consumer complaints about out-of-school education and training and the difficulty of refunding fees caused by the closure of training institutions, this paper analyses the development of China's education and training industry in the last decade and the risks it is currently facing, and designs an innovative after-school tutoring pre-paid consumption perfomance bond insurance based on 218 questionnaires collected. The product uses a big data platform to connect three different ports of the APP, drawing on the new model of “commercial insurance and e-CNY and platform supervision”. It uses credit rating to determine the cost, a credit level transfer matrix to calculate the probability of risk events and the average cumulative default rate to achieve reasonable pricing over a long period of time, and nearly a dozen calculation formulas to determine the balance of the advance receipts, which provides consumers with more comprehensive and flexible risk protection. At the same time, we have studied the user experience optimisation and marketing strategy of this insurance product, aiming to achieve a virtuous cycle for the insurance company. As an innovative insurance product, the product fills a gap in the market and is highly competitive in terms of future market demand. We hope that insurance can effectively protect the legitimate rights and we expect to provide realistic help for those of us who aspire to education and provide reference for other consumer protection.
References
[1] Kim S.M. Export Credit Guarantee and Prohibited Subsidies Under the SCM Agreement[J]. Journal Of World Trade, 2020,54(3), 439-453.
[2] Croll Y., Cohen A. Optimum pricing of mutual guarantees for credit[J]. Small Business Economics, 2013,41(1), 253-262.
[3] Yu X., Chen H.Z., Wan Z.K. Supply chain financing mechanism with guarantee insurance[J]. Managerial And Decision Economics, 2021,42(2), 308-318.
[4] Choi H., Kim K. Effect of Export Credit Insurance on Export Performance: An Empirical Analysis of Korea[J]. Asian Economic Journal, 2021,35(4), 413-433.
[5] Klasen A., Janus H. Improving Export Credit Agency Impact Through Full Faith and Credit[J]. Journal Of World Trade, 2023,57(5), 789-808.
[6] Hafeli M., Juttner M.P. The Value of the Liability Insurance for Credit Suisse and UBS[J]. Journal Of Institutional And Theoretical Economics-Zeitschrift Fur Die Gesamte Staatswissenschaft, 2012,168(4), 612-635.
[7] van der Veer K.J.M. The Private Export Credit Insurance Effect on Trade[J]. Journal Of Risk And Insurance, 2015,52(3), 601-624.
[8] Jia Y. Small business loan guarantees as insurance against aggregate risks[J]. Journal Of Macroeconomics, 2013,13(1).
[9] Saito K., Suruta D. Information asymmetry in small and medium enterprise credit guarantee schemes: evidence from Japan[J]. Applied Economics, 2018,50(22), 2469-2485.
[10] Eckert J., Gatzert N., Martin M. Valuation and risk assessment of participating life insurance in the presence of credit risk[J]. Insurance Mathematics & Economics, 2016,71, 382-393.
[11] Adhikari S., Knight T.O., Belasco E.J. Yield Guarantees and the Producer Welfare Benefits of Crop Insurance[J]. Journal Of Agricultural And Resource Economics, 2013,38(1), 78-92.
[12] Iqbal M.S., Luo B. Prediction of educational institution using predictive analytic techniques[J]. Education And Information Technologies, 2019,24(2), 1469-1483.
[13] Kaur M., Sidhu T.K., Kaur P. Evaluation of the institutional educational environment by using the dundee ready educational environment measure[J]. International Journal Of Applied And Basic Medical Research, 2021,11(2), 85-89.
[14] Murphy A. Open educational practices in higher education: institutional adoption and challenges[J]. Distance Education, 2013,34(2), 201-217.
[15] Yuan C., Jiang Y. Factors affecting the demand for insurance in China[J]. Applied Economics, 2015,47(45), 4855-4867.
[16] Lin J., Ge R.R., Tan X.T. Research and Practice on Innovative Application of SettlementPayment Guarantee Insurance Based on Underwriting Credit Risk Assessment[J]. China Market, 2025,(16), 21-24.
[17] Exploring the financial “five articles” of the guarantee program[J]. Financial Times, 2025-04-16, 004.
[18] Zhao X. Competency modeling of credit guarantee insurance customer manager[D]. Master's thesis, Central China Normal University, 2024.
[19] Tang J. Research on Performance Insurance Mechanism of Power Sales Company Based on Evolutionary Game[D]. Master's thesis, Chongqing University of Technology, 2024.
[20] Yang J.J. Analysis and Suggestions on the Development of Credit Guarantee Insurance Business[J]. Shanghai Insurance, 2023,(10), 57-60.
[21] Cheng F.F. Research on Competitive Strategy of Personal Credit Loan Guarantee Insurance Business of PICC Jinan Company[D]. Master's thesis, Shandong University, 2023.
[22] Gu M.S., Deng S.H. Research on risk control of loan guarantee insurance--Taking P property insurance company as an example[J]. Journal of Liaoning University (Philosophy and Social Science Edition), 2022,50(06), 54-63.
[23] Zhao Q. Research on Marketing Strategy of Personal Credit Guarantee Insurance Products of D Insurance Company Wuhan Central Branch[D]. Master's thesis, Lanzhou Jiaotong University, 2022.
[24] Xin H.P. Analysis of legal interpretation and application of collateral quality insurance in financing relationship[J]. Journal of Henan University of Finance and Economics and Law, 2022,37(05), 102-114.
[25] Wei H., Dale F. Research on the nature of guarantee insurance and its related legal issues[J]. Insurance Theory and Practice, 2022,(08),124-134.
[26] Zhou D.T. Research on Operation Efficiency and Influencing Factors of Credit Guarantee Insurance in China[D]. Master's thesis, Nankai University, 2022.
[27] Han S. Research on the Default Risk of Policyholders of Personal Credit Loan Guarantee Insurance[D]. Master's thesis, University of International Business and Economics, 2022.
[28] Kong S.B., Tian Y.X., Han T., Ma D.X. Innovative application of “credit+ bond” in enterprise-related security deposit--taking public resources transaction field as an example[J].Macroeconomic Management, 2022,(03), 70-76+82.
[29] Li J., Le Z.Y. Research on the application of loan guarantee insurance for small and micro enterprises--The case of Yunnan Province[J]. China Collective Economy, 2022,(01),103-105.
[30] Tang J.C., Qing H. Research on the quality development of credit guarantee insuranceempowered by knowledge graph technology[J]. Hainan Finance, 2021,(11), 62-75.
