Gross Prize, or Insurance Contributionis the amount of insurance payments under the insurance contract paid by the Fear of the Insurer (insurance organization) for a certain period of operation from the entire sum insured.

The gross premium depends on the amount of the sum insured, the degree of risk and the period for which this insurance premium is made. This period by duration may not coincide with total Insurance. The structure of the gross premium reflects the economic mechanism of insurance.

It can be allocated in it. two elements — net Prize, intended for insurance payments under the terms of the insurance contract, and loaddesigned to cover the costs of doing business and make profits from insurance operations (Fig. 1). Note that a net premium designed for a unit of the sum insured, equal, usually 100 rubles, is called net bet.

Fig. 1. Gross premium structure

The ratio of net premium and load depending on the type and volume of insurance, as well as on the level of costs of doing business can be different.

Currently, this ratio changes in the direction of increasing the share of loads up to 15-20%, as is accepted in world practice. This trend is mainly due to the increase in the structural element of the load - the commission of the commission, which indicates the strengthening of the importance of working through the insurance (agent, broker), and to a large extent correspond to global practice.

In general net premium may include the following structural elements — risky fee, risk (warranty) over-lack and accumulative (savings) fee (Fig. 2).

Fig. 2. Possible Structure of Net Prize

Risky fee is designed To cover the risk for all types of insurance, i.e. it is used for insurance payments in an imaging insurance case. In the structure of the net premium, it is always present.

Risk (warranty or stabilization) surcharge It is intended to compensate for the possible exceeding the actual payments over the calculated, challenged in the form of a risky contribution. In the structure of the net premium, this surcharge may not be turned on - it all depends on the selected insurer of the management strategy. If his goal is to win the insurance market due to lower prices compared to other insurers, this element (risk surcharge) is not included in the structure of the net premium. If the insurer wishes to strengthen his financial sustainabilityThis element is included in the net premium.

Cumulative (savings) fee It is intended for the accumulation of the amount paid under the terms of the long-term contract of life insurance - in case of harvesting the insured to a certain date (at risk of survival). The accumulative contribution must be in-part in order to obtain income. It is a structural element of a non-prize of long-term life insurance contracts, for example, when insuring surviving, mixed life insurance, pensions insurance (in this case, the Russian classification of insurance types is used).

Risk premium size The net premium depends on the insurance sum and the probability of the occurrence of the insured event.

The size of the risk surcharge Depends on the adopted probability of exceeding actual payments over the calculated. The smaller the given probability exceeds the actual payments above the calculated, the higher the size of the risk surcharge. The ratio between the risk contribution and the risky over the lawls for different species Insurance may be different.

Accumulative contribution size Depends on the adopted rule of de-gentle turnover (simple or complex percent), the size of the insurance (accumulated) amount paid at the risk of recovery, the assessment of the rate of income and the term of the contract (period of accumulation). For the accumulative type of insurance, the ratio of risk and accumulative contributions is determined by the contracts of the contract.

The inclusion of risk and accumulative contributions to the structure of a net premium is determined by the type of insurance - risky wear Prak is fully included in all types of insurance, as it provides for the risk coating, and the accumulative - only in long-term up-talk life insurance.

So, with short-term insurance against accident and bole medical insurance Or insurance in case of death, with the insurance of property and responsibility (risky countries) in the structure of a net premium necessarily includes a risky contribution and, depending on the company's chosen management strategy, may include or not enter into a risky surcharge.

When insuring pensions ( long-term view Life insurance) The structure of a net premium includes a cumulative contribution, which is designed for payments to the insured at risk of recovery up to a certain date, for example, before the date of the next payment. Note that for long-term life insurance agreements, which is envisaged by one-time coating of the risk (risk of death and may be, the risk of accident) and the accumulation of funds in case of survival, an example, for the agreements of mixed life insurance, the need for The inclusion in the net premium of the risk surcharge disappears - the role of rice-kova (warranty) surcharge performs a storage contribution.

In tab. 1 presented options for possible gross premium structures for different species Insurance.

Table 1

Options for the structure of gross premiums for various types of insurance

Net-prize elements - risky contribution, risk premium and accumulative contribution - are sources of formation of special insurance funds - insurance reserves intended for payments under the terms of the insurance contract.

As already noted, the load is part of the gross premium, designed to cover the costs of doing business and for profit from insurance operations (Fig. 3).

Fig. 3. Load structure

First Structural Load Element — business costs - refers to the cost of insurance services, the second element is a planned profit of an insurance organization from insurance operations.

The cost of doing business is divided into traditionalwho have a place for any kind of business, and specificCharacteristic precisely for the insurance business.

Specific types of costs from Commission remuneration to agents and brokers for in average activities in the dissemination of insurance products, expenses for warning (preventive) measures, costs related, for example, with the initial examination (at the conclusion of the Agreement), as well as expertise associated with on the onset of the insured event, etc.

Experience economically developed countries It shows that the share of races to conduct warning events may be 4-6% of the gross premium, and the share of commission remuneration may reach up to 20% of the gross premium.

Economic Growth and Economic Security

According to the theory of risk, the amount of payment on a specific insurance contract is a random variable. Consequently, the amount of payments on all contracts will also be a random variable. That is, it can take any value from zero to the maximum possible amount of payments equal to the aggregate insurance amount across all contracts.

To ensure 100% guarantees of insurance payments, the insurer must form an insurance fund in the amount of the total insurance amount. In this case, the net premium for each contract will be equal to the sum insured. Thus, taking into account the load, the insured must pay more than he will receive when the insured event occurs. Therefore, when calculating insurance premiums, insurers are forced to accept security guarantee less than 100%. In practice, its value is ranging from 85 to 99.9%.

The initial inequality for determining the values \u200b\u200bof net premiums has the form:

probability (payout amount< величина insurance Fund) ³ g,

where Γ is the value security guarantees.

Net prizes are determined based on the required size of the insurance fund, which is formed by them.

Net prizes reflect the risk that is this contract for the insurer. Quantitatively, this risk is estimated through the likely amount of payment, and the maximum possible payment, by definition, is equal to the insurance amount.

The expected amount of payment, and, therefore, a net premium can be expressed:

Net prize \u003d Insurance amount * Net rate / 100,

The net rate (net tariff) reflects the degree of risk of the insurer and is expressed in either% of the sum insured, or in rubles with 100 rubles of the sum insured. Two factors affect the size of the net rate:

Probability of the occurrence of the insured event under this contract;

The expected severity of the insured event, which is determined by the attitude of the expected amount of payment for the insurance case to the insurance amount under the contract.

The amount of the sum insured is chosen by the insured. The upper limit is the cost of insured property.

Net prize is the main part of the gross premium. The gross premium can be represented as a work of the sum insured on the insurance rate or tariff rate. Tariff rate that determines the amount insurance fee, called gross rate And represents a payment with 100 rubles an insurance amount or% bid from the sum insured:

Insurance premium \u003d Insurance amount * gross rate / 100,

The gross rate consists of a net betting and load. The share of load in the gross rate is indicated f. And expressed in% or fractions of the unit. The general formula for calculating the gross bet has the form:

f.

If the share of load is expressed in%, then:

Gross rate \u003d net rate / 1- f * 100.

This formula for determining the gross bet is common to all types of insurance. However, the methods of calculating the net-rates included in this formula differ by types of insurance.

Plan of practical lesson:

1. The composition and structure of the tariff rate.

2. General principles Net calculation - and gross rates.

Questions discussed in a practical lesson:

1. The price of insurance services and factors affecting its magnitude.

2. The structure of the insurance premium.

3. Networking methodology Net - risk premium. Security guarantee level.

4. Methodological foundations Calculation of gross - bets and gross awards.

Net Net Prize

The definition of a net risk premium traditionally refers to the field of actuarial calculations and insurance mathematics. Pure net premium is calculated on the basis of damages for damages last period And it is a product of the frequency of the insured event on the average amount of damage along the entire totality of the insurance claims that occurred in the past.

Pure risk premium \u003d damage frequency x average damage

Frequency of damage is defined as a particular damage from dividing the number of cases in the observed set, the number of observation units included in it.

The average damage is a private from division. total amount Damage for the observed period by the number of damage cases during the same period.

Risk (insurance) allowance

Risk surcharge is designed to increase the reliability of insurance protection.

When identifying the patterns of damage as a result of random events in the past and determination on the basis of this past experience of unprofitability in the future, the errors of two species are inevitable:

• A diagnosis error that appears as a result of incomplete information. This is due to the fact that the statistical sample is limited and does not meet the requirements of the law of large numbers.
• The error of the forecast, which is that in the future there will be no complete coincidence with the circumstances of the previous period, on the basis of which the net risk premium was determined. This may be a consequence of the influence of unrecorded or changed factors. It has been proven that even with very good information about damages, the future damage exceeds its value in half cases.

In order to guarantee reliable insurance protection, i.e. increase the likelihood that money collected Enough for the payment of damage in the future in all cases, a risk (insurance) premium is added to the net native premium.

The magnitude of the risk surcharge cannot be less than the value of the standard deviation of the sumprintment of the sum insured.

Using the net raising of the insurance factor to determine the net premium

The expected amount of net premium can be defined as a work of the sum insured on the net rate. The net rate is a percentage that reflects the likelihood of a loss, calculated on the basis of the ratio of the aggregate insurance sum of the insured objects.

Net prize size is determined by the formula:

Net Prize \u003d Insurance Sum X Net-Bet / 100

Notes

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Watch what is a "net premium" in other dictionaries:

SUBS., Number of synonyms: 1 Net rate (1) Dictionary of Synonyms ASIS. V.N. Trishin. 2013 ... Synonym dictionary

Net prize - element gross bets; Designed to form resources for payment for payment insurance compensation. Overhead costs of the insurer for doing business net bet not accepted. In the actuarial calculation of the net, the bet is accepted ... ... Large accounting dictionary

See Tariffs Insurance Dictionary Business Terms. Academician. 2001 ... Business Terms Dictionary

Net prize

A bonus directed to the formation of the insurance fund from which insurance payments, in domestic practice is called net prize. It turns out by adding risky award and risk surcharge:

If the contract provides for insurance of one facility in several insurance risks, then a net premium is usually determined separately for each of them. For example, car insurance includes payments obligations in the event of "damage" (damage / destruction) and theft. These two risks have different nature. They are characterized by their indicators of the probability of the onset and the amount of payment. Therefore, risky premiums, and therefore, the net premium for each risk should be calculated separately.

The method of determining the net premium and its constituents depends on the type of insurance and the nature of the obligations of the insurer. From the point of view of the specifics of the calculations, two substantially distinguished areas can be distinguished: risky insurance and life insurance. Features of determining the insurance price for these species are further discussed in the relevant paragraphs.

Load

Properly calculated net premium provides break-even operation of the insurance fund with a given security guarantee level. However, the insurance fund is formed and managed by an insurance organization. This activity requires certain expenses that are funded including from the funds paid by the Insured in the form of contributions. Therefore, another premium is introduced into the premium structure, which is called - Part of the insurance premium intended to cover the costs and deductions of the insurance company other than insurance payments and costs for the settlement of insured events.

To carry out their activities to create and manage the insurance fund, insurance Society First of all, should ensure its functioning. To do this, it is necessary to purchase or rent premises, ensure their electrical and water supply, pay for employees, acquire office equipment, blank documents, stationery, etc. That is, the insurer, like any other enterprise carries administrative and economic costs (AHR).

But except normal expensesInherent in any company, the insurance company has specific costs associated with the search and attracting customers, the design of contracts, etc. These costs are sometimes called akvizilation (from English, Fr. acquisition - acquisition, conquest). If the sale of insurance services is carried out through the agency network or independent brokers, then the main part of the activation costs is the payment of intermediary data services in the form commission remuneration. Its size is fixed as a certain percentage of the received premium and depends on the type of insurance (insurance product) and the sales channel. Commission remuneration is also taken into account in the load and is usually its main part. The most "expensive" from the point of view of accomicious expenses is considered to be sales through insurance agents and brokers who do not receive wages and work only for commission remuneration. Here it can reach up to 25-30% of contributions. A more "cheap" channel are sales through the company's staff members who receive a relatively small commission as an addition to their fixed wages.

In the domestic insurance practice, administrative and economic costs and commission rewards are combined with the concept costs for business.

If the Insurance Society is commercial organization (for example, a joint-stock insurance company), the goal of his work is to receive profits. It can be formed due to exceeding premiums over payments (technical profit) or due to successful investment activity Companies (financial profits) or to form at the expense of planned deductions. For this, a certain percentage is sometimes provided in the structure in the load planned profit (PP).

Thus, the load serves to cover the costs of doing business and for the formation of planned profit. In turn, the costs of doing business are addressed from administrative and economic expenses and commission remuneration.

Net prize - Part of the insurance premium intended directly to cover damage. Net prize is the main part of Gross premium ..

The net premium consists of a pure net risk premium and risk (insurance) surcharge.

Net Net Prize

The definition of a net risk premium traditionally refers to the field of actuarial calculations and insurance mathematics. Pure net premium is calculated on the basis of damages data over the past period and is a product of the frequency of the insured event on the average damage at the entire population of the insurance cases in the past.

Pure risk premium \u003d damage frequency x average damage

Frequency of damage is defined as a particular damage from dividing the number of cases in the observed set, the number of observation units included in it.

The average damage amount is a private amount from dividing the total amount of damage for the observed period by the number of damage cases during the same period.

Risk (insurance) allowance

Risk premium is designed to increase the reliability of insurance protection.

When identifying the patterns of damage as a result of random events in the past and determination on the basis of this past experience of unprofitability in the future, the errors of two species are inevitable:

• A diagnosis error that appears as a result of incomplete information. This is due to the fact that the statistical sample is limited and does not meet the requirements of the law of large numbers.
• The error of the forecast, which is that in the future there will be no complete coincidence with the circumstances of the previous period, on the basis of which the net risk premium was determined. This may be a consequence of the influence of unrecorded or changed factors. It has been proven that even with very good information about damages, the future damage exceeds its value in half cases.

In order to guarantee reliable insurance protection, i.e. Increase the likelihood that the money collected is enough for the payment of damage in the future in all cases, a risk (insurance) premium is added to the net native award.

The magnitude of the risk surcharge cannot be less than the value of the standard deviation of the sumprintment of the sum insured.

Using the net raising of the insurance factor to determine the net premium

The expected amount of net premium can be defined as a work of the sum insured on the net rate. The net rate is a percentage that reflects the likelihood of a loss, calculated on the basis of the ratio of the aggregate insurance sum of the insured objects.

Net prize size is determined by the formula:

Net Prize \u003d Insurance Sum X Net-Bet / 100