Models of Assessment of the Influnce of Insurance Assets Securitization on Stability of Mutual Insurance Societies

Nikolay Tikhomirov, Tatiana Tikhomirova, Eldar Khamitov and Vladimir Ponomarev

European Research Studies Journal, 2017, vol. XX, issue 2B, 321-333

Abstract: The article reviews approaches to assessing the effectiveness of the mechanism of insurance assets securitization used to enhance the financial stability of the mutual insurance society, determined by the level of probability of its default. The approaches are based on the methods of simulation modeling of the financial flows of the society formed taking into account the patterns of random payments, deterministic premiums, proceeds and securitization costs. Following the results of a series of simulation experiments, the peculiarities of the influence of securitization on stability of a MIS are identified, and recommendations for its use are justified. The estimates of the costs of structuring the transaction are obtained, based on which a certain minimum volumes of securitization are determined, at which its use is appropriate.

Keywords: mutual insurance; securitization; stability; risk; financial flow; probability of default; insurance premium. (search for similar items in EconPapers)
JEL-codes: G20 G22 (search for similar items in EconPapers)
Date: 2017
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
http://www.ersj.eu/repec/ers/papers/17_2_B_p20.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ers:journl:v:xx:y:2017:i:2b:p:321-333

Access Statistics for this article

More articles in European Research Studies Journal from European Research Studies Journal
Bibliographic data for series maintained by Marios Agiomavritis ().