The premium in non-life insurance was EUR 226.4 million, 35% more year-on-year. This accounts for 90% of the total premium charged. As in 1H/2011, MTPL insurance increase by 82% to EUR 75 million (33% of non-life, and 30% of total market). In life insurance, the gross premium was down 14% to EUR 25 million (10% of total premium).
Speaking about the Latvian insurance market perspectives in 2012, ERGO officials, quoted by bnn-news.com, "estimate a rise in every aspect of insurance". ERGO representatives explain this with economy recession recovery, which had a positive impact on the field of insurance and supported the stabilization of the market as a whole. "The growth of the market in 2012 will largely depend on the general economic situation in the country. An accurate prediction on the influence of recent events in the financial sector on the field is impossible. ERGO representatives say that the commercial sector recovered from the recession much faster than the private sector, but household solvency is still on a low level", shown the article.
According to the insurance company BALTA, it is expected that also the local insurance market will continue to grow in 2012: "The main factor influencing growth of the market is the low price level. Besides, it kept dropping in early 2011. A 9% climb in road traffic accidents also had a negative impact on the industry. Similarly, 2011 was unsuccessful for insurers in terms of the weather as well as increasing reimbursements in property and auto insurance sectors. Thus insurers had to pay out more than planned," says Kristians PUDANS, the company's board member and Strategic Marketing Director, quoted by bnn-news.com.
Access www.xprimm.com and download the Latvian insurance market statistics.
Market portfolio (in EUR and LVL):
- Gross written premiums
- Paid claims
- Growth rates