Issue #1 (Volume 10 2019)

The aim of this article is to analyze the role of insurance for the coverage of damages deriving from natural disasters, focusing on the specific case of the Italian cathedrals. In this sense, a survey was conducted among the Italian Dioceses asking them to complete a questionnaire, through which the data useful for the analysis of the spread of insurance contracts and for other qualitative and quantitative elements linked to the decisional process of being insured were collected. The achieved coverage is equal to 29.02% of the Italian Dioceses, corresponding to 65 answers of a total of 224 contacts. In particular, the questionnaires investigate insurance presence, perception and awareness, willingness to pay and future prospects. An in-depth analysis about all the data deriving from the survey is provided, trying to compare some results and finally some considerations are presented on future research perspectives. What emerges is in some aspects surprising, because it allows to identify a significant financial culture and knowledge of the importance covered by insurance in the governance of disaster risk: for 62% of the cases analyzed, they have already underwritten this type of contract.

The Ukrainian stock market is rated as an emerging market, which is characterized by high profitability and higher risk level as compared to developed economies. Securities transactions on the Ukrainian stock market are accompanied by stable uncertainties. Moreover, insurance is the most effective way to reduce financial risks and their negative effects. Given the current economic and political instability, financial risk insurance can ensure the economic performance of business entities and stimulate their further economic development. Financial risk insurance is the liability insurance in its nature, but its terms are often included in property insurance. This insurance sector has considerable facilities, which require activation of new insurance products that will be able to protect individual and institutional investors. Insurance and stock markets are direct competitors for limited investor resources, including strategic sources such as temporarily free institutional investor funds and household savings. In general, although there is a significant interaction between the insurance and other financial markets in Ukraine, it is hardly realized at all, unlike foreign economies, where it is used to its maximum. With the development of the insurance culture of the population and insurance in general, the relevance of insurance services in a high-risk segment like the stock market increases. The article harmonizes types of financial risks arising on the stock market with the methods of their leveling (insurance, hedging, diversification, etc.), determines the risk factors of the investor in the stock market, and specifies the professional risks of financial institutions. For the Ukrainian stock market participants, the use of two types of insurance coverage, namely, Bankers Blanket Bond and Financial Institution Professional Indemnity, is proposed.

This study seeks to explore the possibility of adopting parametric insurance to manage disaster risk in Zimbabwe. The background of the research is caused by recurrent natural disasters and the failure of the government to offer disaster relief after such events. The main objective of the research is to come up with the success factors of adopting parametric insurance to manage disaster risk and its effectiveness in African countries. The study population consists of 32 employees from seven reinsurance companies and 5 from a regulatory body. Self-administered questionnaires and interviews were used to collect the data. The study assumes that Zimbabwe does not have sufficient infrastructure to establish parametric insurance, and the lack of financial capacity is another major problem. 61% of respondents confirmed that they were underwriting natural disasters and the remaining 39% were not. The natural disasters that are being covered in insurance market and under which insurance products are used were at 61%. About 39% of the reinsurance companies that are not underwriting natural disasters cited the major reasons why they do not. Most of respondents confirmed that there was no support from the government to underwrite catastrophic risks. 57% of the respondents indicated that it is not possible to adopt parametric insurance, whilst 43% of the respondents agreed that it was practical. Recommendations are made for the government and insurance providers, which include use of catastrophe bonds, government incentives and support, the creation of a clearing house and the involvement of international organizations and developing countries in adopting parametric insurance.

Insurers’ understanding of reputation importance is a key factor of their successful performance at the market. It particularly concerns life insurance sector, which has a significant development potential in Ukraine.
The article aims at deepening scientific and practical essentials concerning the formation of life insurance companies’ reputation in conditions of market competition aggravation and insurance market conjuncture volatility.
Based on ranking assessments used in Ukraine (Insurance Top, Mind, “My insurance agent” and the ranking of the corporate reputation management quality “REPUTATIONAL ACTIVists”), the need for ensuring the insurers’ reputation stability in conditions of acute competition at the market was substantiated. The results of financial statements analysis and corporate governance reporting of insurance companies ASKA-LIFE, TAS, KD Life, PZU Ukraine, UNIQA Life, MetLife were presented. It was substantiated that, within studying the life insurance companies’ reputation, along with main financial indicators, there is a need to analyze in details such indicators as insurance premiums and investment income for one insured from savings life insurance, average payments, current accounts payable, etc.
It was proved that for reputation capital development, it is worth strengthening the role of corporate social responsibility, and to consider insurance companies’ assessment on the part of clients and employees who are brand advocates and affect the companies’ reputation formation.