1. Serbia Financial Sector Assessment Program Update : Insurance Sector
- Author
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World Bank and International Monetary Fund
- Subjects
INSURANCE LAW ,FINANCIAL ANALYSIS ,TAX DEDUCTIBLE ,WORLD TRADE ,GROUP LIFE INSURANCE ,FRONTING COMPANY ,SHAREHOLDERS ,FINANCIAL ARRANGEMENTS ,INFLATION ,LIQUIDATION ,NON-LIFE INSURANCE ,RISK ASSESSMENT ,DIRECT ACCESS ,STRATEGIC INVESTOR ,INFORMATION TECHNOLOGY ,INTERNATIONAL ACCOUNTING STANDARDS ,RISK MANAGEMENT POLICY ,INSOLVENT COMPANIES ,ECONOMIC STAGNATION ,DISPOSABLE INCOME ,COMPETITIVENESS ,CAPITAL REQUIREMENTS ,RETURNS ,TAX TREATMENT ,PENSION ,REINSURANCE CONTRACTS ,ANNUAL FINANCIAL STATEMENTS ,BROKER ,ACCOUNTING STANDARDS ,REGULATORY REGIME ,GOVERNMENT BUDGET ,MORTGAGE ,INSURERS ,LIQUIDITY POSITION ,CREDITORS ,MOTOR INSURANCE ,SETTLEMENTS ,NEW MARKET ,INSURABLE RISKS ,ASSET MANAGEMENT ,BALANCE SHEET ,INDEPENDENT AUDITOR ,UNDERWRITING ,INTERNAL CONTROLS ,MARKET SUPERVISION ,DOUBTFUL DEBTS ,LIQUIDITY ,ARREARS ,CLAIM ,DEBTS ,CASH FLOW ,INSURANCE PENETRATION ,INSOLVENT INSURERS ,LOCAL MARKET ,CONSUMERS ,INSURANCE FRAUD ,MONEY MARKET INSTRUMENTS ,CATASTROPHIC INSURANCE ,PREMIUM PAYMENT ,BANKRUPTCY LEGISLATION ,PORTFOLIO ,BANKRUPTCY ,COMMISSIONS ,BANKRUPTCY PROCEEDINGS ,OUTSTANDING CLAIMS ,INSURER ,MARKET PARTICIPANTS ,INSURANCE MARKET ,INTERNATIONAL ACCOUNTING ,CAPITAL MARKETS ,REGULATORY FRAMEWORK ,LIFE INSURANCE PRODUCTS ,LIABILITY ,EXCHANGE RATE ,NET PROFIT ,EARNED PREMIUM ,COURT PROCEEDINGS ,CORE BUSINESS ,CURRENCY ,RECEIVABLES ,BANKRUPT COMPANIES ,BROKERAGE OPERATIONS ,NATURAL DISASTERS ,RISK INSURANCE ,INSURANCE RESERVES ,BODILY INJURY ,BANKRUPTCY COURT ,PRIVATIZATION ,MARKET PLAYERS ,MARKET SHARE ,INSURANCE PROPERTY ,INSURANCE AGENTS ,ISSUANCE ,CREDIT QUALITY ,SUPERVISORY FRAMEWORK ,INSOLVENCIES ,CAPITALIZATION ,INSURANCE LICENSES ,RISK TRANSFER ,TRADING ,RECEIVERS ,LAWS ,SOCIAL CAPITAL ,INSURANCE PREMIUMS ,FOREIGN COMPANIES ,MONEY LAUNDERING ,INSURANCE REGULATION ,LEVERAGE ,VOLATILITY ,RISK EXPOSURE ,TAX ,MARGIN REQUIREMENTS ,TREATIES ,GROSS DOMESTIC PRODUCT ,REINSURANCE ,ACCIDENT INSURANCE ,INSURANCE COMPANIES ,BROKERAGE ,INSURANCE SUPERVISION ,INSURANCE COMPANY ,INSURANCE PLANS ,BROKERAGE FIRMS ,TECHNICAL ASSISTANCE ,INSURANCE COVERAGE ,FINANCIAL SECTOR ,VOLUNTARY LIQUIDATION ,REINSURANCE COMPANIES ,LIQUIDITY RATIO ,LONG-TERM DEBT MARKET ,INSURANCE POLICIES ,TERRORISM ,INTERNATIONAL STANDARDS ,BROKERS ,STATUTORY REQUIREMENT ,ECONOMIC CRISIS ,FINANCIAL CRISIS ,INSOLVENT ,REINSURANCE REQUIREMENTS ,CONSUMER EDUCATION ,BALANCE SHEETS ,RISK MANAGEMENT SYSTEMS ,REINSURERS ,MARKET LIQUIDITY ,ASSETS ,CONSUMER PROTECTION ,FINAL SETTLEMENT ,SETTLEMENT ,RISK MANAGEMENT ,GUARANTEE FUND ,LIFE INSURANCE PREMIUMS ,SOLVENCY ,CLAIMANTS ,IMMEDIATE PAYMENT ,PUBLIC EDUCATION ,RATES ,REGULATORY REQUIREMENTS ,LIFE INSURANCE COMPANY ,POLICYHOLDERS ,MARKET CONCENTRATION ,MARKET TRANSPARENCY ,BANKRUPTCY PROCEDURES ,INSURANCE STATISTICS ,PERSONAL PROPERTY ,INSOLVENT COMPANY ,RETURN ,MARKET DISCIPLINE ,POTENTIAL LIABILITY ,LONG-TERM DEBT ,INSUFFICIENT ASSETS ,REINSURANCE REQUIREMENT ,BANKRUPTCY COURTS ,CAPITAL MARKET ,TAX INCENTIVES ,INSURANCE PREMIUM ,INSURANCE INDUSTRY ,SOLVENCY REQUIREMENTS ,BANKRUPT ,ACCOUNTING ,LIBERALIZATION ,PORTFOLIOS ,INDEPENDENT INSURANCE AGENTS ,LIABILITY INSURANCE ,LONG-TERM BORROWINGS ,RISK CAPITAL ,FINANCIAL INDICATORS ,RESERVE ,FINANCIAL STABILITY ,PRIVATE INVESTORS ,DISASTERS ,INSURANCE ,SHORT-TERM BANK DEPOSITS ,MORTGAGE LOANS ,TREASURY ,MARKET CONDITIONS ,PROPERTY INSURANCE ,OVERDUE RECEIVABLES ,SUPERVISORY BOARD ,INTERNATIONAL BANK ,MONEY MARKET ,UNPAID CLAIMS ,PRICE COMPETITION ,DEPENDENT ,VALID CLAIMS ,MONETARY FUND ,PRIVATE SECTOR DEVELOPMENT ,INSURANCE PRODUCTS ,LEGAL FRAMEWORK ,INSURANCE REGULATIONS ,TAX CREDIT ,DISPOSABLE INCOMES ,OUT-OF-COURT SETTLEMENT ,EQUITY STAKE ,SAVINGS ,STATUTORY REQUIREMENTS ,PROPERTY MARKET ,LIQUID ASSETS ,NEW CREDIT ,FINANCIAL REPORTING ,LEVEL PLAYING FIELD - Abstract
The Serbian insurance sector remains small and underdeveloped. Over the last three years, the market experienced very little growth in real terms mainly due to weak economic growth, premium payment difficulties in the industrial sector, which forced many corporate policyholders to cancel their insurance, and fierce price competition among the growing number of players. With consumption of 76 Pounds and 10 Pounds per capita for non-life and life insurance, respectively, Serbia lags behind most of its neighbors in Southeastern and Central Europe. In 2009 the industry accounted for only 4.6 percent of total assets and 5.6 percent of total capital in the Serbian financial sector. Although in 2008 the total gross premium written (GPW) for both life and non-life was SRD 52.2 billion (dinars), representing a 5.3 percent annual inflation-adjusted increase over the previous year, in 2009 the sector is likely to experience an 8 percent contraction due to the impact of the economic crisis.
- Published
- 2009