Financial Analysis of an Insurance Organization within the Framework of Internal Control

A task. The article reveals basic knowledge about internal control and its impact on the development of insurance organizations. The internal control of an insurance organization, successfully integrated into the activities of insurers, allows at any time to use reliable, complete and timely information necessary for making the right operational management decisions in order to improve the quality of the insurance business and comply with the control ratios of financial and non-financial indicators to the requirements of supervisory authorities. The assessment of the impact of internal control on the financial result of an insurance organization is a subject for practical application in insurance, which was the reason for the study of this area. Model. Determine the criteria for assessing the level of the financial condition of the organization and make a correlation between the two positions under consideration. Apply correlation analysis and elements of internal control of the insurance company to determine the components of the assessment. Conclusions. Provided that the relationship between the indicators under consideration when approaching the study of certain procedures for the reporting period does not show a direct relationship, then we believe that this will mean the ineffectiveness of the control procedures carried out, which led to a decrease in profits or inefficiency of the insurance organization. Practical value. The results of the correlation analysis showed a high dependence of the financial result of the insurance company on the quantity and quality of internal control procedures, and the correlation coefficient is close to one. Originality. The correlation between the conducted internal control and the financial result of the insurer is presented. Criteria for assessing the impact of internal control on the performance of an insurance organization are identified. An assessment of the proposed indicators is given.

internal control, insurance companies, correlation, control procedures, risks, assessment