Non-State Pension Insurance as a Promising Area of Social Policy of Ukraine

Abstract

The article is devoted to the study of the peculiarities of the development of the pension system in Ukraine and the characteristics of its three levels. The state and problems of functioning of the first level of the pension system (solidarity) are characterized, the forecast of its development is made taking into account demographic changes and deficit of the Pension Fund of Ukraine. An analysis of the dynamics and structure of revenues and expenditures to the budget of the Pension Fund of Ukraine for 2017-2020 and a comparison of expenditure and revenue of the budget as a whole are committed. Changes in the minimum pension in Ukraine and its inability to ensure a decent standard of living when reaching retirement age are studied, based on which the relevance of launching the second level of the pension system and the transition to personalized funded pension accounts of employees are justified. A number of unresolved problems of launching the second level of the pension system in Ukraine are outlined and the main ones are singled out. Prospects for further development of the third level of the pension system are considered. The main indicators of activity of non-state pension funds and tendencies of their further development are given. A comparison of payments from the State Pension Fund of Ukraine and non-state pension funds with a conclusion on the growing relevance of the latter and their strong investment potential for the Ukrainian economy are carried out. The place and role of life insurance in the pension savings market are highlighted. The advantages of the pension insurance system in comparison with the existing models are substantiated. The calculation of the pension in the insurance company as an alternative method of long-term accumulation is conducted. The high prospects for the accumulation of pension capital to achieve prosperity through the system of non-state pension insurance are argued. Recommendations for reforming the pension system in Ukraine are given. The directions of state support of the third level of the pension system are substantiated, namely accumulative life insurance and its positive impact on economic processes in Ukraine, reduction of social tension and indirect reduction of budget payments to socially vulnerable groups.