Influence of Shift of Insurance Coverage Value on Banking Licence Revocation

At the present time, the Central Bank is constantly forced to carry out a "sweep" of unfavorable banks - for effective regulation of monetary relations. Until now, there has been no unambiguous answer as to what factors are worth assessing for predicting the probability of revoking a license from banks, so the ongoing research does not continue to lose its relevance. The research method is the construction of a probability model of binary selection on a sample from Russian banks during the period from 2005 to 2016. The purpose of the study is to identify and evaluate the impact of the shifts of insurance compensation on the probability of revoking a license from Russian banks. In addition, the paper verified the assumption of a non-linear relationship between some independent variables and the probability of license revocation, including the joint influence of the indicators. For example, a U-shaped form of dependence for the variable "size" of the bank was identified. And the conclusion is that even large banks can get under the influx of reviews of licenses, despite their stability and significance.