The Impact of Electronic Accounting on Financial Performance of Insurance Companies listed in Amman Stock Exchange (Analytical Study)

Abstract

The objective of this study was to assess how electronic accounting affected the financial results of insurance companies that were listed on the Amman Stock Exchange. To assess the degree of electronic accounting implementation, an analytical-descriptive methodology was employed, utilizing a 17-item questionnaire. Financial managers and accountants in the target companies were given 155 questionnaires; 107 valid responses, or 69% of the sample, were received. Using metrics like return on equity, return on assets, and earnings per share, the financial performance of twenty insurance companies was evaluated. The results showed that insurance companies listed on the Amman Stock Exchange had embraced electronic accounting procedures on a large scale. It was clear that electronic accounting had a statistically significant impact on financial performance, exceeding the significance threshold of α ≤ 0.05. According to the study, insurance companies should make investments in ongoing, specialized training programs to improve the accuracy and caliber of their accounting procedures, which will ultimately improve their financial performance.