ALL-RUSSIAN INSURANCE ASSOCIATION
SERVICES AND FUNCTIONAL ADMINISTRATIVE STRUCTURE
Introduction.
This document outlines the current services provided by the All-Russian Insurance Association (ARIA)
and the functions of those departments, which provide the services. A description of ARIA and its
services are contained in the status quo report produced by the Tacis project/ (Appendix 1)
The document also describes services and functions that are in the process of being implemented as
a result of technical support from the Tacis project ‘Advisory Services to the Russian Insurance
Industry’, Component II (Institution Building). As part of this project, discussions have been held with
other Insurance Associations in the European Union and based on these discussions, and on
technical advice, the membership of ARIA has decided to expand the services provided in a number of
areas described below.
It can be summarised that the nature and quantity of the services provided today and which ARIA plan
to provide in the future derive from three main sources:
1
ARIA’s constitution, which lists the services that ARIA will provide/ (Appendix 2)
2
Decisions of the membership as expressed in resolutions passed at the Presidium of ARIA
to provide further services;
3
Information about membership services that are commonly provided by insurance
associations. This information has been gained in part through consultation with
Insurance Associations in Europe as part of the Tacis project “Services to the Russian
Insurance Industry’.( Appendix 3).
The overall objective of the development plan is to identify the services that are to be provided and
then to set out clearly the functions that are required efficiently and effectively to implement these
services. A clear description of these functions will then be used to calculate the personnel and
technical inputs needed by ARIA to satisfy the requirements of its members.
The main services
The main services of ARIA have been agreed as above and are as follows:

Representative: to represent the interests of ARIA members to Government and to other
public bodies.

International: to represent the interests of Russian insurance companies internationally;

Informative: to promote the interests of its members amongst the public and to inform the
public about the activity of the insurance industry.

Protective: to protect the interests of ARIA members against fraud and crime;

Specific insurance company services: to provide a number of specific services for
individual companies or for groups of companies.

Regional: to provide services based on the specific needs of the regions of Russia.
The organisational structure of ARIA has been designed to carry out these services. Each of the
services is the responsibility of a department, although some services are provided with the support of
other departments. For example, the statistical collection and analysis department provides a specific
service for insurance companies in providing date of value for their operations. This department also
supports the informative service by producing industry wide data to inform the general public about the
insurance industry.
The various services have certain common administrative needs. As a result, there is a department
that provides support for all the service departments.
Representative services.
The need of the insurance industry to have a coherent and unified voice in legislative and regulatory
decision making to insure that the interests of insurance companies are not neglected is a vital one in
Russia today. Consultation with other Insurance Associations in Europe has confirmed that the
representational function is always of great importance to the members of the association.
In ARIA, the President’s department has the responsibility for co-ordinating this service. Support for
the president can be provided by a number of advisors and by other departments, depending on the
issues that are of importance at the time.
It is vital that ARIA is able to provide legislators and Government officials with accurate information
and can develop clear policy proposals based on the real needs of the membership. The President’s
department must therefore be in a position to have access to all the data about the industry and also
to communicate with the membership quickly and effectively when issues arise at Governmental level.
The President’s department consists of the President and his personal assistant. In addition there are
a number of Presidential advisors who support the president, but who have other functions in addition.
Support is provided by advisors in the following areas:

International

Legal

Statistical

The Regions

PR and Press
International
ARIA provides services for its members by representing the combined interests of Russian insurance
companies internationally. Its main contacts are other national insurance associations who
themselves represent the interests of their own national markets in the international sphere. ARIA also
works with other international organisations to further the interests of its members.
This service is the responsibility of the President’s department.
Informative services
Consultation with European colleagues has demonstrated that it is usual for Insurance industry
associations to provide an information service for the General public about insurance or about specific
issues relating to the conduct of insurance companies. ARIA is planning to expand this area with the
support of the Tacis project by producing industry wide statistics and by providing material to support
the introduction of compulsory motor Third Party Liability insurance.
This service is a responsibility of the Presidents department. It is the President’s responsibility to
ensure that there is clear co-ordination between ARIA and the members on the information that is
provide to the public. Advisors as noted above will therefore support the President.
In addition, the development of this service calls for an expansion of the designing and printing
capacity of the association so that it can produce effective informational and promotional material that
can be widely distributed either by ARIA itself or by its members.
Protective Services
Insurance companies throughout the world have discovered that they can protect themselves against
certain fraudulent activities by common action. Often this common action is provided by the Industry
Association or is co-ordinated by the Industry Association.
ARIA, following consultation with its members and with European colleagues has recently founded an
organisation to combat insurance fraud and its development plan for this association to develop
databases and other systems to combat fraud.
Support for this organisation is provided by a number of departments within ARIA at present, but it is
proposed that further personnel and technical resources will be utilised in the future as the service
increases.
Specific services for insurance companies.
ARIA, in common with many of its European colleague industry associations provides a number of
services for individual insurance companies or for the insurance market as a whole. These services
can be listed as follows:

The collection and analysis of statistics to assist insurance companies in marketing and
tariff setting;

The development of education and training for insurance personnel;

Assisting insurance companies in their relations with the licensing and regulatory
authorities;

Providing legal advice to insurance companies;

Developing standard industry wide insurance policy forms and contracts.
ARIA uses a number of experts to assist the association in these areas and these experts need
technical support in different areas.
Regional services.
ARIA is expanding the services that it provides for insurance companies that are located or operate in
the regions of Russia. ARIA is providing these services by the foundation of regional offices. These
offices will provide a number of the services noted above at regional level (Representational,
Information, Protective etc.). They will need to have close links with the central office and will also
require stand-alone capability to be able to provide specifically regional services.
Central Administration.
The central administration of ARIA provides services fro the association itself and also provides
support for many other departments that provide membership services. The main central services are
as follows:

Membership records, recruiting and database.

Regular communication with the membership

Collection of membership subscriptions and accounting

General accounts department, salaries, expenses etc.
Other services provided centrally that require technical support are:

Printing

IT support