The influence of globalization and integration processes on the activity of insurance organizations

Maryna Demianchuk; Bekhruzkhon Hislatxon o'g'li Makhamadaliev; Viacheslav Kotlubai; Helen Shramko

doi:10.31520/2616-7107/2019.3.3-7

Maryna Demianchuk Odessa І.І. Mechnikov National University, Odessa, Ukraine http://orcid.org/0000-0002-3907-3464
Bekhruzkhon Hislatxon o'g'li Makhamadaliev Management Development Institute of Singapore in Tashkent (MDIST), Tashkent, Uzbekistan http://orcid.org/0000-0002-7975-5160
Viacheslav Kotlubai National University "Odessa Law Academy", Odessa, Ukraine http://orcid.org/0000-0002-4560-7063
Helen Shramko Odessa Institute of Trade and Economics of Kyiv National University of Trade and Economics, Odessa, Ukraine http://orcid.org/0000-0002-0404-9333

DOI: https://doi.org/10.31520/2616-7107/2019.3.3-7

Abstract

Introduction. The activity of each market entity is associated with the risk that must be prevented and reduced by the insurance target. World experience shows that well-established insurance business actively contributes to business development and solving social problems. The degree of insurance development is an indicator of the maturity of market relations.

Aim and tasks. The purpose of the study is to determine the impact of globalization and integration processes on the activities of insurance organizations.

Results. Therefore, the analysis of the world and insurance market of Ukraine was conducted in the work, which made it possible to establish that the latter is in a difficult situation, but a positive trend of its development exists. The problems of development of insurance organizations are revealed and the measures for their solution in the conditions of the present with the use of correlation-regression modeling are argued. The identified factors that slow down the development of insurance in Ukraine are presented by such groups as economic, organizational-legal, functional, information-analytical and social-psychological. On the basis of correlation-regression modeling and taking into account the trends of functioning of the domestic and world markets of insurance services, as well as taking into account the most acute problems faced by the market of insurance services of Ukraine, the priorities for promoting the development of the insurance market of Ukraine in order to overcome the influence of adverse factors have been established.

Conclusions. On the basis of the conducted researches concerning determination of influence of globalization and integration processes on activity of insurance organizations it can be stated that the insurance market of Ukraine is at the stage of development and integration into the world space. Despite certain achievements, it is characterized by shortcomings, the presence of which shows the prospects for development and, thus, the potential for Ukraine. Taking into account the trends of functioning of the domestic and world markets of insurance services, as well as taking into account the most acute problems faced by the market of insurance services of Ukraine, the priorities for promoting the development of the insurance market of Ukraine were established in order to overcome the influence of adverse factors.

Keywords:

globalization, integration, trends and problems of insurance market development, insurance organization, correlation-regression modeling.

References

1. Sibirskaya, E.V., Khokhlova, O.A., Oveshnikova, L.V., & Tulinova, E.I. (2017). Statistical research of voluntary medical insurance. Contributions to Economics, 9783319552569, 289–297.
2. Tikhomirov, N., Tikhomirova, T., Khamitov, E., & Ponomarev, V. (2017). Models of assessment of the influnce of insurance assets securitization on stability of mutual insurance societies. European Research Studies Journal, 20, 2, 321–333.
3. International Association of Insurance Supervisors (IAIS). (2018). Global Insurance Market Report [GIMAR]. Retrieved from https://www.iaisweb.org.
4. MARSH LLC. ALL RIGHTS RESERVED. (2018). Commercial Insurance Pricing Increased in First Quarter 2018. Retrieved from https://www.marsh.com.
5. State Statistics Service of Ukraine. (2019). Statistical information. Retrieved from https://www.nfp.gov.ua.
6. Forinsurer (2019). Results of activity of insurance companies for 2018. Retrieved from https://forinsurer.com.
7. Forinsurer (2019). Statistics of the insurance market in Ukraine. Retrieved from https://forinsurer.com/stat.
8. Baranovsky, OI (2004). Financial security in Ukraine (valuation methodology and collateral): monograph. Kyiv: Nat. trading econ. Univ.
9. Tkachenko, N. V. (2007). Reinsurance development as a lever for insurers' financial stability. Finance of Ukraine, 3, 118–123.
10. Kesan, J. P. & Hayes, C. (2017). Strengthening cybersecurity with cyber insurance markets and better risk assessment. Minnesota law review. 102(1), 191-276.
11. SwissRe Institute (2016). World insurance in 2015: steady growth amid regional disparities. Retrieved from https://www.swissre.com.
12. Petrova, M., Tepavicharova, M., & Boykova, L. (2017). Improvеment of the efficiency and competitiveness through the implementation of benchmarking in the organizations. Bulletin of Ablai Khan KazUIRandWL, 1 (27), 5-6, 79–85.
13. Koval, V., Duginets, G., Plekhanova, O., Antonov, A., & Petrova, M. (2019). On the supranational and national level of global value chain management. Entrepreneurship and Sustainability Issues, 6(4), 1922-1937. http://doi.org/10.9770/jesi.2019.6.4(27).
14. Labunska Sv., Petrova M., & Prokopishyna O. (2017). Asset and cost management for innovation activity, Economic Annals - XXI, 165(5-6), 13-18. DOI: https://doi.org/10.21003/ea.V165-03.