Analysis of the Present State of the Insurance Market: From the Company's Strategy to Project Portfolio

Abstract

During the years of independence, the economy of Kazakhstan shows a rapid growth rate [1, c. 4]. So, in 2014 the country's GDP reached 38,033 billion tenge, which is 7.8% more than GDP in 2013. Consider two key economic indicators of GDP and the volume of insurance premiums. In 2004, the share of insurance premiums in GDP was only 0.66%. In 2004-2014, the maximum value of the share of insurance premiums was observed in 2006, which was only 1.09%, while the minimum value of 0.59% was observed in 2010. The development of the insurance market directly depends on the dynamics of the country's GDP. Comparison of GDP and insurance premiums in dynamics confirms the close interdependence of the republic's economic growth with changes in the insurance market. The penetration of the insurance market into the economy of the country remains still low. In Kazakhstan, according to the NB RK, the share of insurance premiums under insurance and reinsurance contracts in GDP is less than 1%. In developed countries, this figure exceeds 5%.