INVESTMENT POLICY OF INSURANCE COMPANIES WITH SPECIAL REFERENCE TO THE REPUBLIC OF SERBIA IN THE EU ACCESSION PERSPECTIVE1

Kostić, Jelena and Ranaldi, Valentina (2021) INVESTMENT POLICY OF INSURANCE COMPANIES WITH SPECIAL REFERENCE TO THE REPUBLIC OF SERBIA IN THE EU ACCESSION PERSPECTIVE1. In: Zbornik radova / XXIV Međunarodni naučni skup Prouzrokovanje štete, naknada štete i osiguranje, Beograd-Mionica, 2021. Insitut za uporedno pravo, Beograd, pp. 311-323. ISBN 978-86-80186-69-6

Text 2021 - Prourzokovanje štete, naknada štete i osiguranje - 2021 - Kostić, Ranaldi.pdf - Published Version Available under License Creative Commons Attribution Non-commercial No Derivatives. Download (214kB)

Abstract

Insurance companies are considered to be stabilizers of the capital market. However, during the business they should also take into account their own solvency, which depends on the level of technical reserves for insurance liabilities. Increasing solvency can also be achieved by investing in insurance companies. During 2018, we analyzed the investment policy of insurance companies at the level of the Republic of Serbia for the period from 2013 to 2018. Based on that analysis, it could be concluded that insurance companies decided mainly to invest in government debt securities. They are less risky to invest, but also bring less income. The way insurance companies invest depends on both the regulations and their investment policy, which adapts to changes in the market and changes in relevant regulations. In this paper, we start from the assumption that in relation to the previous period, the investment policy of insurance companies has not changed at all, and that a similar investment policy is present at the level of other countries. Apart from the legal-dogmatic method, the dominant method in this paper is the analysis of the content of the reports of the Insurance Supervision Department of the National Bank of Serbia, as well as other relevant reports. Using the above methodology, we try to confirm the assumptions and give recommendations for improving the investment policy of insurance companies, but with reference to the potential consequences caused by the COVID-19 which could be felt in the coming period.

Actions (login required)

View Item