BULGARIA: The insurance business down 13% with GDP up by 12% for the last four years

2 October 2013 —
The insurance business has seen a decrease of 13% in the last 4 years (until 2012) reaching a level of BGN 1,34 bn. in revenues, according to data from the Financial Supervision Commission.

There is no fall in the property insurance sector with revenues of BGN 260 mln. both in 2008 and 2013. In the Third party liability insurance for vehicles there is a 36% increase in the sector's revenues, reaching BGN 523 mln. in 2012. The motor insurance "Casco" (covering all land vehicles excluding rail) revenues plunge 40%  to reach BGN 417 mln. for 2012.

Over the last four years  Bulgaria's GDP grows 12% to BGN 77,6 bn.

Bulgaria's GDP has been increasing faster than the insurance business for the last nine years. GDP is up 95%, while the insurance revenues go up 80% forthat period. Again the biggest increase is in the Third party liability vehicle insurance with revenues up by 188%.

One of the main reasons for the decline in the insurance business after 2008 is joining the European open market, which make possible for a lot the big industrial and other companies to ensure their activities and assets with big foreign companies. Another main reason is the serious fall in the number of new cars purchased, which caused a 40% decrease in the "Casco" motor insurance revenues.

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BULGARIA: The insurance business down 13% with GDP up by 12% for the last four years
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