ON THE ESSENCE OF THE INSURANCE SECTOR

Abstract

In the article on the basis of analysis of scientific sources theoretically substantiated the essence of the insurance sector for the development of the country's economy. The etymology of the words “market”, “system”, “sector” and the evaluation of the existing conceptual categorical apparatus of insurance science are explored, in particular, the terms “insurance market”, “insurance system”, “insurance sector” are explained.

It is determined that the insurance market is a place of interaction between buyers and sellers, resulting in the formation of demand, supply and prices for insurance services, as well as the sale and purchase of insurance capital within one country and internationally. It is substantiated that participants in the insurance market can be divided into direct and participants of the infrastructure. The first category includes insurers and insurers, reinsurers and reinsurers. Participants in the infrastructure of the insurance market are intermediaries. On an economic basis, the main members in the insurance market are households, business entities, state, financial intermediaries.

It is substantiated that the insurance system combines and includes all insurance companies of various organizational and legal forms, as result of the interaction between which it is possible to achieve national interests in terms of insurance protection. The participants in the insurance system are risk insurance companies, life insurance companies, reinsurance companies, mutual insurance companies.

It has been discovered that the insurance sector is an economic sector that includes non-bank financial and credit institutions involved in insurance and reinsurance activities, as well as indirectly involved in it. Insurance companies, reinsurance companies, insurance pools and insurance intermediaries form the insurance sector.

The types of insurance sector are considered, which are considered on the basis of such classification grounds - territorial division, branch, institutional and in directions of development. Further theoretical developments should aim at identifying the features and characteristics of the insurance sector's assessment, taking into account the current trends in its development.