FEATURES OF INVESTMENT ACTIVITIES OF INSURANCE COMPANIES IN UKRAINE

Abstract

Considered problems of financial and investment activity of economic entities in the market of insurance services was and remains the subject of scientific interest of many domestic and foreign scientists. To reveal the theoretical foundations of the investment activities of insurance companies in Ukraine; to analyze the main financial instruments used by insurers in their activities, including government securities, stocks, bonds and other assets; to assess the impact of economic and legal conditions on the financial activities of insurance companies, in particular through the prism of legislative changes and macroeconomic factors; to formulate recommendations for improving the investment and financial activities of insurance companies in the face of modern economic challenges. Investment and financial activity of insurance companies – key aspects of their overall functionality and financial stability. The study of these functions allows a better understanding of how insurers use funds received from policyholders to achieve not only financial stability, but also risk optimization, ensuring liquidity and profitability. In Ukraine, as in many other countries, these processes are important for the development of the insurance market and the stability of the financial system as a whole. Investment activity of insurance companies involves effective placement of received insurance premiums to ensure future payments and profit. Insurance reserves formed from these funds must be invested taking into account the principles of safety, liquidity and profitability. This allows companies to ensure their financial growth. However, for this, a clear regulation is needed, which defines the permitted investment directions and restrictions on the assets in which funds can be invested. Investment and financial activity of insurers is a necessary condition for their successful functioning. They make it possible to ensure the fulfillment of obligations to clients, increase profitability, strengthen financial stability and develop business. At the same time, to achieve these goals, it is important to optimize financial flows, ensure effective risk management, and strictly comply with legislative requirements. Therefore, the correct investment and financial policy of insurers is an important component of the development of both the insurance sector itself and the country's economy as a whole.