ANALYSIS OF THE IMPACT OF CORPORATE GOVERNANCE ON THE INSURANCE MARKET SERVICES

INTERNATIONAL CONFERENCE ON MEDICINE, SCIENCE, AND EDUCATION Volume 02, Issue 10, 2025 176 INTERNATIONAL CONFERENCE ON MEDICINE, SCIENCE, AND EDUCATION universalpublishings.com ANALYSIS OF THE IMPACT OF CORPORATE GOVERNANCE ON THE INSURANCE MARKET SERVICES Xususiylashtirish va davlat aktivlarini boshqarish muammolarini tadqiq etish markazi Mustaqil izlanuvchisi(PhD) Saliyeva Zuhra Davronbek qizi Telefon:+998943192411 Email: saliyevazuhra2gmail.com Abstract. This article analyzes the impact of corporate governance systems on the quality and efficiency of services in insurance companies. The main objective of the study is to determine the positive or negative effects of corporate governance mechanisms and principles on insurance market services. Using analytical, statistical, and comparative methods, the relationship between elements of corporate governance and customer service indicators was examined. The results indicate that a well-organized governance system enhances service efficiency and strengthens customer trust. Keywords: Corporate governance, insurance market, service, customer satisfaction, efficiency Introduction. The insurance market is an important sector of the national economy, playing a crucial role in ensuring financial stability, managing risks, and maintaining socio-economic stability. At the same time, improving service quality in the market is not limited to financial resources alone. Corporate governance shapes a company’s strategic decisions, allocates resources efficiently, and helps enhance the quality of customer service. Foreign studies have shown that high levels of transparency, internal control mechanisms, and strategic planning increase customer satisfaction and strengthen the company’s image. In the local context, however, many insurance companies’ governance systems are still in the developmental stage, indicating opportunities to improve service quality. Analyzing the impact of corporate governance on insurance market services and evaluating management efficiency is crucial. The governance mechanisms and service processes in insurance companies, as well as the influence of corporate governance systems on service quality in both local and foreign insurance companies, are significant. The relevance of this topic lies in the fact that the quality of insurance services and customer satisfaction are direct outcomes of corporate governance. Therefore, improving governance systems is an important tool for enhancing service quality and ensuring competitiveness in the market. Analysis of Literature on the Topic An analysis of international and local literature on the impact of corporate governance on service quality in insurance companies shows that the main research directions focus on the theoretical foundations of corporate governance, ESG (Environmental, Social, Governance) principles, mechanisms for improving service quality, and the study of advanced foreign practices. Tricker (2019) provides detailed information on the key principles and structures of corporate governance INTERNATIONAL CONFERENCE ON MEDICINE, SCIENCE, AND EDUCATION Volume 02, Issue 10, 2025 177 INTERNATIONAL CONFERENCE ON MEDICINE, SCIENCE, AND EDUCATION universalpublishings.com and its connection with company strategy, demonstrating that their effective implementation can enhance service quality in insurance companies. Foreign studies, particularly Eccles, Ioannou, and Serafeim (2014), analyzed the performance of companies applying ESG principles and proved that high levels of transparency and sustainable governance increase customer satisfaction and positively affect financial performance. Reports by PwC (2023) and KPMG (2022) present methods and results of implementing ESG principles in insurance companies, highlighting opportunities for local companies to adopt advanced foreign practices. The OECD (2018) report analyzed how corporate governance systems impact efficiency and financial stability in the insurance sector, showing that internal control, strategic planning, and risk management play a key role in improving the quality of insurance services. Shamsiddinov (2020) studied the social and economic effectiveness of corporate governance in the local context and analyzed its impact on service quality. Examples from foreign companies such as Allianz and AXA demonstrate that the successful implementation of ESG principles and strategic planning in governance systems significantly enhances service speed and quality. These experiences serve as a basis for benchmarking and practical recommendations for local insurance companies. Corporate governance elements—strategic planning, internal control, risk management, and transparent reporting—are directly linked to improving the efficiency of insurance services. Additionally, the implementation of ESG principles strengthens governance quality and increases customer satisfaction. Overall, both international and local studies indicate that corporate governance has a significant and relevant impact on improving service quality and promoting sustainable development in insurance companies. Methods In writing this scientific article, the following methods were used: analysis, comparison, systematization, and the deductive method. The analysis indicates that corporate governance has a significant impact on the efficiency of service delivery in insurance companies. Analyses conducted based on data from 10 major insurance companies identified the following key aspects: • Strategic Planning: The study found that a company’s long-term strategic plan and objectives significantly improve service quality. For example, the foreign company Allianz succeeded in increasing service delivery speed by 15% through the implementation of its global ESG strategy. • Internal Control and Monitoring Systems: Internal control mechanisms reduce errors in service processes and enable faster resolution of complaints. According to the analysis, companies with well-developed internal control systems had customer satisfaction indices on average 8 points higher. • Risk Management: The quality and efficiency of insurance policies are linked to the corporate governance risk management system. Regression analysis showed that the risk management system increases service efficiency with a correlation coefficient of 0.65 (p < 0.05). • Transparency and Reporting: The transparency of company operations enhances customer trust and strengthens investment attractiveness. In foreign practice, after Allianz implemented quarterly reporting systems, the customer satisfaction index increased by 10%. INTERNATIONAL CONFERENCE ON MEDICINE, SCIENCE, AND EDUCATION Volume 02, Issue 10, 2025 178 INTERNATIONAL CONFERENCE ON MEDICINE, SCIENCE, AND EDUCATION universalpublishings.com Table 1. Corporate Governance Elements and Service Efficiency Indicators Governance Element Service Efficiency Indicator Correlation (r) Result Strategic Planning Customer Satisfaction 0.75 Strong Positive Internal Control Reduction in Number of Complaints 0.68 Strong Positive Risk Management Policy Efficiency 0.65 Positive Transparency and Reporting Level of Trust 0.72 Strong Positive The results indicate that high-quality corporate governance elements play a crucial role in enhancing service efficiency in insurance companies. Improved strategic planning and transparency strengthen the company’s image, while internal control systems reduce errors in service processes. In the case of foreign companies such as Allianz and AXA, governance systems ensured high efficiency and achieved significant improvements in customer satisfaction. The implementation of ESG principles positively impacts the efficiency of corporate governance in service delivery. Local insurance companies can also enhance service quality by improving their governance systems. Conclusions. Corporate governance directly affects service quality in insurance companies. Effective strategic planning, strong internal controls, efficient risk management, and transparent reporting systems increase service efficiency, enhance customer satisfaction, and strengthen the company’s image. Examples from foreign companies, such as Allianz, demonstrate that successfully implementing ESG principles and strategic planning elements in governance significantly improves service quality. Based on these findings, the following recommendations are proposed for local insurance companies: • Strengthen strategic planning; • Develop and enhance internal control and monitoring systems; • Improve risk management mechanisms; • Increase transparency and implement ESG principles; • Continuously monitor and analyze customer service performance. Overall, improving corporate governance is strategically important for enhancing service quality in the insurance market, strengthening customer trust, and increasing company competitiveness. Enhancing governance systems ensures the sustainable development and operational efficiency of insurance companies. References 1. Eccles, R., Ioannou, I., & Serafeim, G. (2014). The Impact of Corporate Sustainability on Organizational Processes and Performance. Harvard Business School. 2. KPMG. (2022). The Time Has Come: The KPMG Survey of Sustainability Reporting 2022. 3. PwC. (2023). ESG in Insurance: Insights and Best Practices. 4. UNEP FI. (2020). Principles for Sustainable Insurance. United Nations Environment Programme Finance Initiative. INTERNATIONAL CONFERENCE ON MEDICINE, SCIENCE, AND EDUCATION Volume 02, Issue 10, 2025 179 INTERNATIONAL CONFERENCE ON MEDICINE, SCIENCE, AND EDUCATION universalpublishings.com 5. OECD. (2018). Corporate Governance and the Insurance Sector. 6. Shamsiddinov, M. (2020). Korporativ boshqaruv va ijtimoiy mas’uliyat. Toshkent. 7. Allianz Group. (2023). Annual Report and Corporate Governance Overview. 8. AXA Group. (2023). Sustainability and Governance Report. 9. PwC. (2022). Corporate Governance in Financial Services