THE CURRENT STATE OF THE UKRAINIAN INSURANCE MARKET AND ITS FINANCIAL SECURITY

Abstract

The article explores the essence of the concepts «insurance market» and «insurance market safety». The urgency of the study of safety of the insurance market is emphasized. It is established that the state of safety of the insurance market is the main criterion for assessing the effectiveness of insurance companies, regulating state bodies in the process of forming insurance market of the country. The main indicators of functioning of the insurance market of Ukraine during the period of 2010-2017 are analyzed. The initial criterion for the state of the insurance market is the number of insurance companies and the size of the assets of insurers. It has been determined that for the period analyzed, the number of insurance companies decreased to 172 companies, including life ensuring to 54 companies and risk insuring – to 118 companies is carried out The calculation of indicators of the level of financial security of the insurance market of Ukraine – the insurance penetration rate and the share of insurance premiums received by the three largest insurance companies in the total amount of insurance premium receipts (except life insurance). The problems of functioning of the insurance market are identified, including: dependence on global economic events, political agreements, state subsidy programs, political instability, demographic structure of the population, its income and other factors. The measures aimed at eliminating existing problems: the development of the insurance market is closely linked with the legislative provision of the state, low solvency of the population; low demand for insurance services; lack of reliable investment sources of investment of the insurer, etc.; high competition with banking institutions in attracting funds from individuals and legal entities; lack of confidence in insurance companies are developed and proposed.