Refer to the Texas data provided below.What is the market structure of the a) "Medical Professional Liability" and b) "Private Passenger Auto Liability" segments of the Texas Insurance Industry. This should be based on the characteristics of the market structure models. For a) and b), what is the market structure? Base your answer on the characteristics of the market structure chosen, supported by the data provided in the Competition Database Report
2018 Competition Database TEXAS (6A) (6B) (7A) (7B) Market Market Risk Risk (8A) (8B) (2) (5A) (5B) Growth: Growth: Retention Retention Surplus Surplus 191 Market (3) Number Number Group Group Lines Lines Return Shares: HHI (4) of Years Years Market Market Market Market on Net (1) Four Based Number Entries: Exits: 2015 2009 Shares: Shares: Shares: Shares: Worth Premiums Largest on of Last 5 Last 5 to to Latest 5-Year Latest 5-Year 10-Year Written Sellers Premium Sellers Years Years 2018 2018 Year Mean Year Mean Mean Commercial Lines Commercial Auto Liability 3,172,601,217 31.55% 466 129 44 12 39.45% 110.50% 0.82% 1.28% 5.55% 4.77% 1.63% Commercial Auto Physical 968,604.839 31.90% 456 114 28 32 36.82% 111.81% na na 5.63% 4.72% 0.45% Commercial Auto Total 4,141,206,056 30.52% 448 136 46 43 38.83% 110.81% 0.63% 0.98% 5.57% 4.76% 1.45% Commercial Multiple Peril 2.799.323.649 28.86% 405 100 27 34 4.67% 37.80% 0.00% 0.00% 15.00% 14.32% 2.96% Fire 1,755,094,416 39.08% 501 119 34 43 10.32% 20.54% 0.00% 0.00% 20.48% 22.89% 17.24% Allied Lines 1,819,979,967 36.18% 713 117 37 42 -0.52% 83.14% na na 22.62% 22.72% n/a Inland Marine 2,327,680,463 41.20% 722 138 35 48 17.24% 96.59% na 5.18% 6.06% 16.56% Mortgage Guaranty 430,307,383 79.00% 1,865 8 0 1 13.46% 0.97% 0.00% 0.00% 31.95% Financial Guaranty 15,901,672 100.00% 4,77 0 3 11.31% -77.80% na n/a 0.00% 0.00% 9.20% Medical Professional Liability 340,622.174 56.93% 1.078 75 29 35 15.35% -1.24% 8.11% 7.69% 38.32% 34.73% 18.11% Other Liability 5,454,039,513 25.65% 328 222 65 67 12.06% 58.93% 1.10% 1.13% 34.53% 35.18% 8.17% Workers Compensation 2,519.184.144 61.21% 2.074 97 36 37 -8.12% 15.27% na n/a 0.00% 0.00% 10.05% Products Liability 312,502,645 28.68% 441 65 14 27 4.93% 57.66% 0.01% 0.12% 39,96% 38.67% 12.35% Personal Lines Private Passenger Auto Liability 12,724,233,293 49.92% 835 77 28 35 31.40% 72.55% na na 0.00% 0.00% 3.48% Private Passenger Auto Physical 9,952.252,887 52.20% 903 76 25 33 27.13% 71.02% n/a 0.03% 0.02% 3.87% Private Passenger Auto Total 22,676,486,180 50.92% 860 79 30 37 29.49% 71.88% 0.01% 0.01% 3.63% Homeowners Multiple Peril 9.447,668,085 52.73% 870 87 37 24 18.18% 68.34% 1.06% 1.06% 7.42% Farmowners Multiple Peril 351,009.339 83.78% 3.562 16 6 4 23.15% 148.14% 0.19% 0.19% 5.76% Earthquake 33,530,428 42.59% 70 62 27 22 -6.09% 10.79% 60.64% 53.29% na Total Total All Property and Casualty Lines 58,712,809,382 28.93% 363 388 119 126 19.46% 61.25% 0.19% 0.22% 6.52% 6.92% 5.97% 2019 National Association of Insurance Commissioners 55
