Summary of System Error auto insurance market, which lay in the period of prosperity in 2009 will be the causes of the crisis in this market. Error first - focus on the imputed insurance. Market growth was caused by auto lending boom. In this case, the voluntary market segment of car insurance practically not developed. As a result, the market was characterized by low quality of service, lack of specific insurance products, tailored to the needs of certain categories of consumers, low-level training of insurance companies. II error - impermissibly close the planning horizon. A significant part of market players decide to only short-term goals - to attract as many customers due to dumping and exorbitant commissions to insurance brokers. Tariffs were set deliberately lower than statistically reasonable level. Such a business model similar to the classical version of the financial pyramid, in which payments to old clients come from contributions received from new, borrowed low price policy. Figure 1. Dynamics of insurance premiums hull (Source: Expert RA) outcome of the first - auto insurance market in the most affected by the crisis. According to forecasts, "Expert RA" as a result of the sharp contraction of credit market, the market for auto insurance in 2009 compared to 2008 dropped by 25% or 44 billion rubles. Those who insure their cars in the presumptive insurance, payment of loan waive insurance services. To cope with falling contributions from insurers can only turning his face to the customer, focusing on higher-quality voluntary demand. Consequence of the second - in 2009, will a number of high-profile bankruptcies of auto insurers. According to the "Expert RA", due to the crisis situation of dumping on the market, auto insurance has changed for the worse: more market participants have become dumping. The devaluation of the ruble has already led to a significant increase in the average insurance payments. "Expert RA" warning: the current situation of dumping is a clear sign of a sharp decline in the liquidity of assets of the insurer, the deterioration of its financial condition. Past three years, namely hull played the role of locomotive of the Russian insurance. It is no coincidence now, in the midst of financial crisis, the state of this particular type of insurance as a litmus test, shows the trends of the Russian insurance market. In 2008, the crisis has not had a significant impact on market indicators hull. According to preliminary data, the rating agency "Expert RA, the market volume hull for 2008 totaled 176 billion rubles., An increase compared with 2007 by 15%. The real problems ahead: the forecast agency, for the current year, Russian insurers will collect contributions at 25% less than in the previous year (excluding inflation). Market growth hull depends on the volume of car loans - before the financial crisis on loans buy about half of all cars. Currently, banks significantly tightened lending conditions for the purchase of machinery, have dramatically increased their value. In addition, the financial crisis first time in several years, real incomes have fallen. As a consequence of significantly reduced demand for the purchase of automobiles, and with it, and the market is auto insurance. Given the sharp fall of the market all the problems that were laid during the years of "prosperity", and went outside. Survive these difficulties, not all. The root of evil - in prohibitively close to the insurer the planning horizon, which was typical of many participants in the Russian insurance market in recent years. A significant part of market players decide to only short-term goals - to attract as many customers due to dumping and exorbitant commissions to insurance brokers. Tariffs were set deliberately lower than statistically reasonable level. Such a business model similar to the classical version of the financial pyramid, in which payments to old clients come from contributions received from new, borrowed low price policy. Formed insurance reserves at such a tariff policy as soon as the growth rate of contributions will be negative, would be insufficient to make payments, which will inevitably lead to a default of the insurer. The owners of these companies in formulating their development objectives and assign tasks to management, understood that the long run because they can not. The calculation was based on to score a significant client portfolio and to sell at the height of the investors with considerable financial resources. The crisis has destroyed the plans - were able to profitably sell a unit. Companies that increase their insurance portfolios by dumping, unable to cope with their obligations, would be forced to withdraw from the market. The sharp contraction of bank sales channel will lead to depletion of positive cash flows to the company. In such circumstances, in the best position would be companies that have highly diversified insurance portfolios as the types of insurance, as well as by sales channels. The critical question for the development of the market - what will happen to dumping in the hull. The devaluation of the ruble has already caused a rise in prices for parts and services to service stations, increased the average insurance payments. Under these conditions, increased pressure on insurance rates. However, many insurance companies, on the contrary, trying all means to obtain positive cash flow, reduce insurance rates. In such a situation dumping - tantamount to suicide and is a clear sign of a sharp deterioration in the liquidity of the insurer, the deterioration of its financial condition. Figure 2. Dynamics of insurance premiums OSAGO (Source: Expert RA) It would seem that the crisis had to sober fans dumping - because there is a question actually about survival of the company. However, according to most market participants, due to the crisis situation of dumping on the market of car insurance has changed for the worse: more market participants have become dumping. This is a clear indication of a close failure of many insurers - at best, they will be sold for a token money more stable market players, at worst - will go bankrupt, leaving no insurance coverage of hundreds of thousands of automobile owners. Part of the problem of dumping is also extremely sensitive issue of magnitude commissions of intermediaries in the sale of insurance policies hull. The increase in commissions without increasing the fare - it is also unnecessary dumping. Companies that are going to fulfill obligations to their clients, rather than seeking to capture the market, gaining a losing portfolio should try to maintain or even reduce the size of commissions. The financial crisis will play an important role in purifying the market hull - insurers who survive him, will come out of his entrenched switched to a new level. The crisis situation should facilitate the formation of approaches to address the most fundamental problems of the market hull. First among them is the actual presumptive large part of the formal voluntary hull. Most of the sales in the period of rapid market growth hull was not due to the knowledge of the real needs of policyholders in insurance protection. Because of this, buying a policy, in many cases perceived as an unpleasant "requisitions" required to obtain a car loan. In combination with the relatively low insurance and financial literacy, this led to the fact that as the sole criterion for choosing an insurer acted for money, which renders meaningless the efforts of honest companies on the development process of settlement of losses - the most important constituent element of insurance services. As a result, the market based on imputed insurance (when buying a car on credit), was characterized by low quality of service, lack of specific insurance products, tailored to the needs of certain categories of consumers, low-level training of insurance companies. Solve all these problems can only be turning his face to the customer, focusing on higher-quality voluntary demand. Insurers should create adequate insurance products and promote them wisely in the market, build effective marketing network, to build the tariff policy, based not on immediate results and long-term. Need to make sure that insurance was perceived as an integral part of civilized life. Only companies that can meet these challenges will be successful in the market in the long term. Important role in developing the market for corporate insurance should play an insurance brokers. The relationship between insurers and insurance brokers are not built on short-term basis receive immediate benefit, as usually happens with insurance agents in the retail segment, but on the basis of long-term cooperation. Long-term relationship improves the quality of insurance products offered by both value and on the fullness of services. Brokers often serve clients and to other types of insurance, worrying about their reputation, monitor the level of financial stability of insurers, partners, and try not to offer services to insurers, which potentially can not fulfill their obligations.
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