OREANDA-NEWS. March 23, 2011. A round table organized by the League of the Insurance Organizations of Ukraine (LIOU) in partnership with the Investgazeta newspaper and the Maybutne magazine has been conducted at the business center "Parus" in Kyiv. The event was attended by the top executives of the major insurance companies of Ukraine and the LIOU management. At the round table Oranta was represented by the Deputy Chairman of the Board, Mr. Vladimir Mushinskiy.

In course of the discussion the results of 2010, the market situation and major challenges of coming 2011 year has been discussed, and the predictions for 2011 has been voiced. The participants touched upon the most pressing issues today: the licensing and the taxation of the insurance sales agents, who are private entrepreneurs, the issue of creation of the state-owned insurance company and the pension reform.

"The need to reform the tax system is long overdue, so that the reform was expected. Oranta will not suffer any significant losses due to new tax legislation. The majority of our sales agents - 70%, are working under the labor contracts, approximately 22% are the newcomer agents who work for us under the civil-legal contracts. These 92% last year provided the Company with 77% of the total premiums. And only 8% the agents that sell Oranta’s insurance services are private entrepreneurs. We expect that starting April, 1 some of them might terminate the agents’ agreements with the Company, but the planned extension of the insurance contracts will be provided by the remaining agents. But for those companies where the private entrepreneurs formed the largest part of the agents network, the process of collecting the insurance premiums can be seriously affected thus influencing the budget, "- shared his views on the tax changes Mr. Mushinskiy.

"In 2011 Oranta celebrates its 90th anniversary, and we are ready to meet the date with dignity. Already we are witnessing an increase of 8% over the same period of the previous year. We expect that the overall increase in premiums will be about 20% compared to the results of 2010. Although the realization of these expectations depends largely on the overall economic situation in the country, in particular, on the restoration of the consumer lending process by the banks and on the legislation climate of the agricultural insurance.

Last year, a number of our regional offices started implementing a pilot program named “The City Agent”. We started involving the intern students in sales. I should note that the results were very positive. This year the program became permanent, we plan to recruit about 900 city agents, both among the students whose majors are in economics, and the other citizens of Ukraine. We have specifically created a special insurance product "The Property Amulet” to be sold by the city agents, as it is very simple and easy event for inexperienced agent. Our strategic goal is to develop the property portfolio. The second priority is the voluntary health insurance ", - commented Mr. Mushinsky about the plans of Oranta for 2011