Insurance principles as a methodological framework for maintenance and growth of insurance relations in agriculture
DOI:
https://doi.org/10.35774/visnyk2017.04.038Keywords:
agricultural insurance, insurance principles, agricultural risks, insurance interests, insurance protection, insurers, insured parties, the insurance market.Abstract
The article emphasizes the necessity of adherence to the insurance principles as a decisive condition for maintenance and growth of mutually beneficial insurance relations in the agricultural sector. It is justified that reconciliation of social and economic interests between parties of the insurance market is based on a framework of principles that serve as guidelines for providing insurance coverage to entrepreneurial entities or individual customers and facilitating the pursuit of insurance / reinsurance activities by insurance companies. With the purpose of streamlining methodologies, the author’s approach to classifying insurance principles is developed. With the aim of striking a fair balance between the property interests of agents and insurance companies, the key insurance principles are divided according to the following three criteria: basic insurance principles; principles that are intended to neutralize financial and economic risks of insurance companies; fundamental principles of agricultural insurance.
Given the riskiness of agricultural production, it is found that relations between agricultural enterprises and insurance companies should be built on the following principles: actuarial balance; motivation for insurance protection; maintaining the circulation of current assets of agricultural enterprises; voluntary involvement, accessibility and subsidiarity. Presumably adherence to the above principles will create prerequisites for efficient distribution / redistribution of risks and responsibilities between insurance parties.
The need is stressed to practically implement the major principles established in Article 3 of the Law of Ukraine “On peculiarities of agricultural products insurance with state support” of 9 February 2012, which address insurance of agricultural production with state support for efficient interaction between insurers, insured parties and the state. This will guarantee insurance protection of agricultural enterprises, thereby enhancing food safety of the country in space and time.
References
Filosofskyy slovnyk [Philosophical dictionary] Edited by V. I. Shynkaruk, Kyiv, 1986, 525 p. [in Ukrainian].
Pukhtetska A. A. Yevropeyski pryntsypy administratyvnoho prava: monohr [European principles of administrative law: monograph]. Kyiv: Vyd-vo Logos, 2014, 592 p. [in Ukrainian].
Alekserova Y. U. Pryntsypy strakhuvannya silskohospodarskoho vyrobnytstva ta polityka strakhuvannya [Agricultural insurance principles and insurance policies]. Naukovyivisnyk LNUVMBT- Scientific Messenger of Lviv National University of Veterinary Medicine and Biotechnologies, 2012. Volume 14 No. 4 (54), pp. 10-14 [in Ukrainian].
Ubezpieczenia w Unii Europejskiej. Pod. red. J. Monkiewicza. Warszawa: Poltext, 2002, 83 p. [in Polish].
Shumelda Y. P. Strakhuvannya: navchanyy posibnyk. [Insurance: a study guide]. Ternopil: Vyd-vo Dzhura, 2006, 296 p. [in Ukrainian].
Bland D. Strakhovanie printsipy i praktika [Insurance: principles and practice]. Moscow: Finasy i statistika, 1998, 416 p. [in Russian].
Furman V. M. Strakhovyy rynok v Ukrayini: problemy stanovlennya ta stratehiya rozvytku [Insurance market in Ukraine: challenges and growth strategy], Kyiv, 38 p. [in Ukrainian].
Basilevich V.D., Basilevich K.S., Picos R.V. et al. Strakhuvannya: pidruchnyk [Insurance: textbook].Kyiv: Znannia, 2008, 1019 p. [in Ukrainian].
Kozmenko O. V. Strakhuvannya i strakhovyy rynok: terminolohiya, zakonodavstvo, dynamika rozvytku: monohr [Insurance and Insurance Market: terminology, legislation, growth dynamics: monograph]. Sumy: Dilovi perspektyvy, 2006, 68 p. [in Ukrainian].
Zakon Ukrainy “Pro strakhuvannya” vid 07.03.1996 r № 85/96-VR [The Law of Ukraine “On Insurance” of 07.03.1996, No. 85/96-VR], from http: //www.zakon 2.rada.gov.ua [in Ukrainian].
Tsyvilnyi kodeks Ukrainy vid 16.01.2003 r. № 435-IV [Civil Code of Ukraine, 16.01.2003, No. 435 -IV]. Vidomosti Verkhovnoi Rady Ukrainy - Bulletin of the Verkhovna Rada of Ukraine, from http: //www. liga.zakon.ua [in Ukrainian].
Forinshurer - zhurnal o strahovanii v Ukraine [For insurer - an insurance journal in Ukraine], from http://forinsurer.com [in Russian].
Pikus R. V. Klasyfikatsiya finansovykh ryzykiv strakhovykh kompaniy - osnova efektyvnoho ryzyk-menedzhmentu [Classification of financial risks of insurance com¬panies is the basis of effective risk management]. Visnyk Kyivskoho nacionalnoho universytetu imeni Tarasa Shevchenka - Bulletin of the Taras Shevchenko National University of Kyiv, Series: Economics, 2006, 21 p. [in Ukrainian].
Sorokivska M. V. Upravlinnya finansovymy ryzykamy strakhovykh kompaniy: avtoref. dys. na zdobuttia nauk. stupenia kand. ekon. nauk: spets. 08.00.08 [Management of financial risks of insurance companies: extended abstract of dissertation for the aca¬demic degree of Candidate of Economics in specialty 08.00.08]. Lviv, 2009, 22 p. [in Ukrainian].
Baranov A. L. Upravlinnya strakhovym portfelem: avtoref. dys. na zdobuttia nauk. stupenia kand. ekon. nauk: spets. 08.00.08 [Insurance portfolio management: extended abstract of dissertation for the academic degree of Candidate of Economics in specialty 08.00.08]. Kyiv, 2009, 24 p. [in Ukrainian].
Pakhnenko O. M. Upravlinnya katastrofichnymy strakhovymy ryzykamy pry formuvanni konverhentnoyi modeli finansovoho rynku: avtoref. dys. na zdobuttia nauk. stupenia kand. ekon. nauk: spets. 08.00.08 [Management of catastrophic insurance risks while establishing a convergent model of the financial market: extended abstract of dissertation for the academic degree of Candidate of Economics: extended abstract of dissertation for the academic degree of Candidate of Economics]. Sumy, 2011, 21 p. [in Ukrainian].
Remniova L. M. Lebedinska L. D. Strakhuvannya yak faktor finansovoyi stabilnosti ekonomiky [Insurance as a factor of financial stability of the economy]. Aktualni problem ekonomiky - Actual Problems of the Economics, 2006, No. 9 (63), pp.65-74[in Ukrainian].
Klapkiv Yu. M. Pryntsypy funktsionuvannya rynku strakhovykh posluh [Operation principles of the insurance services market]. Visnyk DonDUU - Bulletin of Donetsk State University of Management, 2017, No. 2(75), pp. 46-52 [in Ukrainian].
Alekserova Y. U. Rozvytok silskohospodarskoho strakhuvannya: teoriya, metodolohiya, praktyka: monohr. [Evolution of agricultural insurance: theory, practice, methodology: monograph]. Vinnitsa: Dilo, 2015, 368 p. [in Ukrainian].
Penc J. Zarzadzania personelem w przedsiçbiorstwie. Warszawa, 2001, 454 p. [in Polish].
Zakon of Ukraine “Pro osoblyvosti strakhuvannya silkohospodarskoyi produktsiyi z derzhavnoyu pidtrymkoyu” vid 09.02.2012 r. №4391-VI [The Law of Ukraine “On peculiarities of agricultural products insurance with state support” of 9 February 2012, No 4391-VI], from http: //www.zakon 2.rada.gov.ua [in Ukrainian] .
Matvienko G. A.Rol derzhavnoho rehulyuvannya v strakhuvanni ahrarnykh pidpryyemstv [The role of state regulation in insurance of agricultural enterprises]. AgroSvit - AgriWorld, 2009, No. 2, pp. 35-39 [in Ukrainian].
