INSURANCE INTEREST AS А DETERMINANT OF FINANCIAL MANAGEMENT OF INSURANCE COMPANIES

Abstract

The purpose of the article is to investigate the features of insurance interest as а determinant of financial management of insurance companies and to establish the stages of its implementation in the context of managing insurance contracts and insurance payments. The relevance of the topic is due to the fact that the insurance interest is the basis for the emergence of insurance relationships, that is why the management of insurance companies' finances should be considered in the context of its implementation, which will allow to reach a new level of management. The research used methods of systematic analysis, among the empirical methods used classification, grouping and description of the results of the study. According to the results of the research, it was found that insurance interest as a system-forming category in the formation of insurance relations, influences the whole management process of the insurer. Factors of influence on formation of insurance interest are generalized: economic, social, psychological. The insurance interest is realized at the conclusion of the insurance contract, so the need to protect the property interests of the insurer is satisfied at the time of concluding the insurance contract. The highest measure of realization of insurance interest arises at the moment of payment of insurance indemnity, after the emerging of an insured event. Therefore, the study of financial management of insurance companies was conducted in the context of realization of insurance interest: management of insurance contracts and management of insurance payments. It is substantiated that the quality of management of insurance contracts influents on the main source of income of insurance companies – the volume of receipts of insurance premiums. The financial component of managing insurance contracts requires the establishment of performance criteria, in particular the volume of premiums received and the number of insurance contracts signed in accordance with the amount of remuneration to the seller of the insurance service. The author analyzes the directions of financial management in the settlement of insurance losses and payment of insurance indemnity, the stages in the cycle of management of insurance payments are determined. The methodological basis of the settlement of losses is highlighted. The dynamics of indicators of influence on the financial management of insurance companies in the insurance market of Ukraine is analyzed.