The Ukrainian reinsurance market: functioning and development features
The article is devoted to the study of the significance of reinsurance and its impact on the stability and dynamic development of the insurance market by analyzing reinsurance business within the country and abroad.
Theoretical aspects of reinsurance have been considered in the scientific works of various scholars. But almost all scholars and practitioners don’t stopping on the various aspects of the activity and development of the reinsurance market.
The essence of reinsurance terms have been specified in the article; the capacity of the domestic insurance market has been is analyzed; the structural fluctuations in cash flows received from the reinsurance operations have been defined and intensity of the reinsurance transactions during the calendar year has been studied in the article.
The article contains the patterns’ analysis of the domestic insurance market’s capacity, which indicates about the need of increasing the size of insurers’ insurance reserves and the revitalization of the reinsurance brokers. This is necessary for ensure of the necessary capacity market.
Financial flows in the reinsurance market characterized by seasonal cycles, the biggest surge in business activation observed in the 4th quarter of the year. This is a revival of working with Ukrainian and foreign partners at the end of each year and attempt to get the best financial result for the year activity.
The reinsurance activities’ absolute numbers in Ukraine are reduced significantly. At the same time, the structure of the Ukrainian insurers’ insurance portfolio by transferred and accepted reinsurance risks is remains unchanged. This is the certificate of the domestic reinsurance market’s infancy and economic development. This is helps the Ukrainian insurers’ competitiveness maintain, the confidence of policyholders and reinsurers in the insurance market of Ukraine build.
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Keywords: reinsurance, reinsurance market, capacity of insurance market, intensity of reinsurance operations. | 