An insurance company is a financial body that provides insurance services to individuals and organizations of various forms of ownership. In order to understand the mechanisms of work of insurance companies, it is necessary to consider the principles of providing monetary compensation to insured persons.
What is insurance?
Insurance is a way of protecting one’s own interests, welfare in case of adverse circumstances. The probability of occurrence of such events is relatively small, but in general is quite real. Based on statistical data, insurance risk, insurance amount and tariff are determined. Compensation for damage only occurs if an insurance contract is entered into. The source of funds is the reserves and funds of the insurance company (IC).
In our country, the legal basis for the provision of such services are:
- Law of 1992 on the organization of insurance in the Russian Federation.
- Civil Code of the Russian Federation.
- Other documents.
The result of the work is an insurance product, which is a list of the provided insurance services. Certificate of insurance is an insurance policy. It serves as a kind of guarantee that, in the event of certain circumstances, the insurance company undertakes to pay the indicated amount of money in favor of the final beneficiary.
What are insurance companies
A standard insurance company is a separate organization concluding contracts for the provision of insurance services and their servicing. In our country, any insurance company is a legal entity that has a certain authorized capital and offers its services on the basis of current legislation.
The provision of insurance products is the direct responsibility of insurance companies. Based on the probable occurrence of events and risk assessment, SK agents offer insurance policies and guarantee compensation for damage in the event of an unfavorable combination of circumstances.
Of course, like any commercial structure, the company's goal is to profit. But a special kind of activity allows you to accumulate huge amounts of money on accounts, which the insurance company can rightfully dispose of. This financial splendor may be granted to other commercial organizations on credit terms. The terms of such investments are regulated by national insurance legislation and financial authorities. In the Russian Federation it is the Ministry of Finance and the Central Bank.
Types of Insurance Companies
The classification of insurance companies is quite diverse. For example, Moscow insurance companies in their statutory documents define themselves as enterprises that are in state, private or municipal ownership. Similar organizations differ in the nature of the services provided. There are narrowly specialized companies that have made a business of providing several insurance services, for example, car insurance.
There are multidisciplinary insurance companies that can insure everything and from everything. There are reinsurance insurance companies and non-state pension funds, which , incidentally, are also related to insurance organizations. SK also differ in the service area in which they offer insurance. The insurance company needs buyers of policies - because the more contributions the agents collect, the faster the company's profit will increase. Insurance companies operate in a certain territory, opening branches and representative offices. Geographically, such enterprises are divided into:
- local - offer insurance policies in a particular area or area;
- regional - have representative offices in several areas, autonomous centers;
- national - operate throughout the country;
- international - have representative offices or branches in other states.
Insurance Company Ratings
Regularly in the media there are reports about what place in the ratings of reliability or popularity takes a particular insurance company. This abundance of information is supposed to attract the attention of potential policyholders and stimulate them to purchase insurance services in this particular company. From this point of view, one can consider the attractiveness of several insurance companies offering their services in the capital and beyond. What do insurers write about themselves? What own achievements do they bring to the fore? For analysis, we’ll go through the sites of insurance companies, and two reference points can be taken as reference points - the amount of insurance fees - that is, the amount of payments made for insurance policies and the amount of insurance payments that the company sold in 2015.
"RESO-guarantee"
The company "RESO-Garantia" positions itself as one of the largest players in the insurance market of Russia. Currently, she is the winner of the national contest “People’s Brand / Brand No. 1 in Russia”, multiple laureate of the Golden Salamander Award, winner of the national award “Financial Olympus”, winner in the categories “VHI Insurer” and “Auto Insurance”.
In addition, RESO-Garantia took the third place last year in collecting insurance premiums - 276 billion rubles. Payments amounted to 124.2 billion - that is, almost half of the collected funds the company gave to the insured.
IC "MAX"
The company was established back in 1991. Priority for itself calls auto insurance; CASCO and CTP, voluntary medical and property insurance. The list of achievements includes a high reliability indicator from the national rating agency Expert RA. Over the past 2015, the MAKS insurance company collected more than 37.2 billion rubles, and payments amounted to almost 92%.
SOGAZ
An insurance company with this name can rightfully be considered national - its branches are located in every region of our country. An analysis of the financial performance report indicates that in 2015 the volume of insurance premiums amounted to about 78 billion rubles. The volume of payments as a result of insured events is 27.3 billion rubles.
"Consent"
An insurance company with this name has been operating in the insurance market for over 22 years. Actively collaborates with the media, has an extensive network of its own representative offices, and also sells its services through intermediaries. At the end of 2015, the company received 56 billion rubles of insurance premiums, and paid 46.5 billion rubles.
For potential customers, high insurance premiums indicate the reliability of the UK, its financial stability. And the payment figures serve as a determination for the readiness of IC to meet its customers. Another question is how true these indicators are. To determine the reliability of the insurance organization, it will be useful to look into its reports, according to the requirements of the Ministry of Finance, such information is certified by the management of the UK, in the future it should be available on the websites of this insurance company. Financial reports will show the reliability and functionality of dedicated insurers. An analysis of reviews by insurers is also interesting, although it is worth believing less of these data - some positive reviews are simply paid, and some negative reviews can be written by citizens who were unable to receive payment for objective reasons. An analysis of this information can give an interesting assessment of the development trends of the allocated insurance companies and the entire insurance market of Russia as a whole.