The Equilibrium on the Motor Insurance Market in Selected CEE Countries

Author(s):  
Adam Śliwiński ◽  
Łukasz Kuryłowicz
Author(s):  
Domenico Scalera ◽  
Alberto Zazzaro

Abstract In some European countries, the liberalization of the motor insurance market in the 1990s led to substantial increases in fares and claims throughout the whole decade. In this paper we argue that these phenomena are due to the impact of liberalization on companies' optimal incentives to fight fraud. By developing a circular city competition model with a cost-reducing stage prior to the price game and a settlement stage following it, we show that price deregulation entails decreasing monitoring investments and increasing claims both in the short and long run. Even equilibrium premiums may steadily increase if the ``competition effect" connected to new entries is outweighed by a ``monitoring effect" that raises marginal costs.


Author(s):  
Елена Смирнова ◽  
Илона Булавчик

Работа посвящена исследованию роли автотранспортного страхования в системе финансово-экономической без- опасности Российской Федерации, а также изучению факторов, влияющих на неё. Проведен анализ основных показателей страхового рынка, предоставлены данные о судебных выплатах автоюристам. При исследовании страхового рынка и рынка автотранспортного страхования были применены методы наблюдения и сбора фактов, при изучении динамики показателей рынка страхования в целом и показателей рынков ОСАГО и КАСКО в частности − метод анализа. Исследование изменения показателей страховых премий и страховых выплат проводилось методом сравнения. The purpose of the research lies in studying the role of the motor insurance in the economic and financial security of the Russian Federation. Hence, the purpose requires exploring the notions of ‘economic and financial security’ and ‘motor insurance’, moni- toring the indices of the motor insurance market as compared to other insurance market indices on average, considering factors and issues with a negative impact on the market of motor insur- ance and analyzing the ratio of payouts on claims under court decisions to such not based on court decisions. The study speci- fies different kinds of motor insurance, i.e. compulsory vehicle owners’ liability insurance, voluntary vehicle owners’ liability insurance, comprehensive cover and international insurance (Green Card). The dynamics of the insurance premiums and settlement payments have been studied over the period from 2014 to 2018, showing a tendency towards shrinking in motor insurance share of the total premiums and payments. Apart from eliciting the negative impact factors, the ways of eliminating them have been offered; the structure of judicial enforcement has also been in focus. The main findings may be summarized as fol- lows: payouts on claims under court decisions prevail over such not based on court decisions and motor insurance is of great significance for the economic and financial security of the Russian Federation.


2019 ◽  
Vol 10 (9) ◽  
pp. 852-860
Author(s):  
Mahmoud Elsayed ◽  
◽  
Amr Soliman ◽  

Grey system theory is a mathematical technique used to predict data with known and unknown characteristics. The aim of our research is to forecast the future amount of technical reserves (outstanding claims reserve, loss ratio fluctuations reserve and unearned premiums reserve) up to 2029/2030. This study applies the Grey Model GM(1,1) using data obtained from the Egyptian Financial Supervisory Authority (EFSA) over the period from 2005/2006 to 2015/2016 for non-life Egyptian insurance market. We found that the predicted amounts of outstanding claims reserve and loss ratio fluctuations reserve are highly significant than the unearned premiums reserve according to the value of Posterior Error Ratio (PER).


2014 ◽  
Author(s):  
Sabrina Corlette Corlette ◽  
Kevin W. Lucia Lucia ◽  
Justin Giovannelli Giovannelli

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