CRISIS MANAGEMENT IN THE INSURANCE SYSTEM: GLOBAL EXPERIENCE AND UKRAINIAN REALITIES

Abstract

Introduction. The article is devoted to the study of crisis management in the insurance system of Ukraine. At the initial stage of the research, theoretical foundations of crisis management in insurance were explored. The analysis of international experience in crisis management within the insurance systems of the EU, the USA, and Asia was conducted. The current Ukrainian realities of crisis management in insurance were identified. The relevance of the study is driven by the increasing frequency of crises, ranging from financial shocks to military conflicts, which significantly affect the stability of the insurance market. The research problem lies in the insufficient preparedness of insurance systems for large-scale shocks, manifested in loss of liquidity, decreased solvency of companies, and a decline in consumer trust. Purpose. The purpose of this study is to analyze effective crisis management practices in the global insurance industry and assess their applicability to the Ukrainian market. Methods. The study employed comparative analysis of international practices, case studies of leading Ukrainian insurance companies, and examination of regulatory responses by the National Bank of Ukraine. The research also included an evaluation of systemic tools such as Solvency II, catastrophe bonds, guarantee funds, and public-private reinsurance mechanisms. Results. The study resulted in a systematization of international approaches to crisis management (Solvency II, Cat Bonds, guarantee funds, state reinsurance); identification of key challenges for Ukrainian insurers in wartime conditions (liquidity, insolvency, loss of trust); analysis of actions taken by the NBU and leading companies (TAS, ARX, UNICA) to stabilize the insurance market; and an outline of innovative products and digital transformations as tools for adaptation. Proposals were developed to strengthen the financial stability of insurance companies, and institutional and regulatory recommendations were provided. Prospects for integrating European crisis management practices into the insurance system were also identified. Conclusion. The conclusions emphasize the importance of a comprehensive approach to crisis management, which includes financial resilience, regulatory flexibility, digitalization, and social responsibility. Among the specific proposals are the launch of a Guarantee Fund, the introduction of mandatory stress tests, transition to Solvency II standards, development of reinsurance partnership models, and the integration of European practices into national regulation.