Uman NUH | today: 07/08/2024
| Author(s) |
Prokopchuk O.T., Candidate of Economics, , Uman National University of Horticulture, Ukraine Клименко В. О., , , |
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|---|---|---|---|
| Category | Economics | ||
| year | 2024 | issue | Issue number 104. Part 2 |
| pages | 17-28 | index UDK | 368.5 | DOI | 10.32782/2415-8240-2024-104-2-17-28 (Link) |
| Abstract | The agricultural insurance market is one of the key sectors of the market infrastructure and a significant lever of the financial system of the agricultural sector of the economy and any country in general. Current global trends clearly demonstrate a direct correlation between the level of organization of the insurance business in the agricultural sector and the economic development of the latter. Insurance organizations play a crucial role in the agricultural insurance market, providing protection for agricultural producers against various risks. The development of agricultural insurance is closely related to the activities of insurance companies that provide a wide range of services and products to protect against losses related to weather conditions, crops, pests and other factors that may affect agricultural enterprises in one way or another. The study made it possible to outline the main trends in the work of insurance organisations in the agricultural insurance market, in particular - sufficient quantitative interpretation in this insurance segment (84 units in 2013 and 57 in 2022, or one third of all ICs on average for the period under study) - low activity of insurance organisations in the agricultural insurance segment (only 5% of licensed ICs are involved in providing services); - a small number of insurers with a level of paid claims exceeding 50 % (in 2022, out of the top 10 ICs, only two had a level of claims exceeding 50 %, including PZU Ukraine (53.2 %) and Etalon IC (177.7 %). Among the TOP-20 leading insurers in the insurance industry in 2022, in addition to the above insurers (TOP-10), the level of payments exceeded 50 %: IC "Providna" (418.8 %), IC "Persha" (60.6 %) and IC "Arsenal Insurance" (50.0 %); - a rather low level of payments in the agricultural insurance market (the average indicator for 2013–2022 does not exceed 50 % and actually amounted to almost 45 %, reaching a maximum value in 2020 – 201 % and a minimum value in 2016 – 7 %); - cooperation of insurance organisations with the Agrarian Fund of Ukraine and the State Food and Grain Corporation of Ukraine (8 out of 12 ICs represented in the agricultural insurance market cooperate with the Agrarian Fund of Ukraine and the State Food and Grain Corporation of Ukraine. The insurance parameters under such agreements are gradually approaching the insurance parameters under independent agreements, which proves the formation of real market insurance conditions); - leading positions among insurance organisations that provided agricultural insurance services in 2022 belong to PJSC "IC "PZU Ukraine". The study made it possible to identify key aspects of the functioning of insurers in this market, in particular: product development, risk assessment, marketing and sales, customer service and support, and technology development. Ensuring compliance with these aspects helps insurance organisations to successfully operate in the agricultural insurance market and meet the needs of their clients, agricultural producers. Thus, agricultural insurance is a key tool for ensuring the financial stability of agricultural producers and the development of the agricultural sector as a whole. Its importance lies in reducing financial risks, supporting investments, and ensuring the stability of agricultural production. | ||
| Key words | agricultural insurance, insurance organizations, agricultural insurance market, agricultural sector of the economy, insurance protection | ||