SPECIAL LAWS REGULATING INSURANCE ACTIVITIES

One of the notable aspects of the new law, in which, to be more precise, its Article 4 states that insurers cannot engage in entrepreneurial activities that are not directly related to the implementation of insurance. It should be noted that insurance activities are also a manifestation of entrepreneurship. At a time when the processes of liberalization of the economy in our country are taking place and a wide path is opening up to entrepreneurial actions, which are important links of the entrepreneurial system-what is the reason for such a restriction for insurers to be established by law? the experience of past years shows that many insurance organizations, under the guise of an "insurer", carried out various commercial operas, in particular, trade-mediation. There were cases when insurance premiums that came at the expense of insurance for legal entities and individuals, as a rule, were spent not on the creation of reserve funds intended to pay insurance coverage, but on the implementation of entrepreneurial activities that are not related to insurance activities. One of the most basic principles of insurance is that insurers have insurance reserves that ensure the fulfillment of their obligations. Alas, it is no secret that some of our insurers have experienced a complex financial situation as a result of the fact that they did not form such reserves. This, in particular, can create an unfavorable situation for a large number of insurers.