Question

you are required to write a short report discussing how the lack of a perfectly competitive insurance market in palestine can limit the development and the spread of more comprehensive. and what are the mail challenges that face the insurance industry in palestine

Answer 1

Lack of perfectly competitive insurance market in Palestinian can limit the development as when there would be a lack of insurance market, it would mean that there would be a lack of risk management in the securities market because the insurance market will be providing with the additional benefit in regards to the risk management of various other exposures in the market as insurance company are one of the most important features of the financing system and they are providing with the adequate risk management strategies.

insurance companies are generally offering with various kinds of insurance in order to help with any kind of uncertainty is related to future of various companies and individuals so these insurance companies are providing with the additional security as well as they are also investing the premium money into the markets as well so they are also providing a methods of credit and liquidity and creation of rate of return for their investors in the long run and hence, these insurance companies are highly important in order to maintaining a high degree of transparency in the overall financing system and there are various challenges faced by the insurance sectors in Palestine like lack of appropriate management of the risk and there is also a lack of willingness of the persons to insure themselves and lack of collection of the premium and lack of sustainability of the insurance company in Palestine.