Abstract
The main objective of this research is to clarify the vital role of insurance in supporting the Iraqi economy and developing national investments when providing financial protection for individuals and enterprises against various risks The research also shows how the insurance industry can be considered as one of the main channels for collecting savings to finance national investments to create employment opportunities and reduce inflation effectsTo achieve the objectives and test hypothesis of the study, we used the annual reports and statistics of the Iraqi public insurance company, and we applied the correlate one equation style and structural modeling. The research found during the period 2002-2011 that there was a strong link between premium growth and investment revenues also between insurance sense in the market and weak of the financial position of insurance companies was reason for weak performance and challenge to their economic and social roleThe study concluded a set of recommendations addressed to the insurance companies to enhance performance in order to support Iraqi economic development; most important recommendation was to the company management team to clarify the important role of insurance companies, and increases insurance companies capital in order to keep pace with economic developments.
