At the same time, paid claims of life insurers for the period reached almost RUB 72 billion, which is 59.1% more y-o-y, noted the President of ARIA Igor YURGENS. The number of insured events for the period increased by 4.9%.
Accumulative life insurance remains one of the main drivers of the life insurance market - this segment in 1Q2021 grew by 18% y-o-y, to RUB 32.7 billion. Whereas the former leader, investment life insurance continued to decline - by 4.4%, to RUB 46.3 billion. During the quarter, credit insurance grew by 23.3% to RUB 25.5 billion.
As of March 31, 2021, the reserves of life insurers almost reached RUB 1.36 trillion, having increased by 2.8% y-o-y.
"We see that life insurers firmly entrenched among the key investors in the Russian economy and in government securities: reserves in the amount of RUB 1.36 trillion to a large extent are just such investments, and they are showing growth despite a difficult period for the Russian economy. I am sure that this trend will continue in the future. Like any rapidly growing market, life insurance is experiencing some difficulties, which, however, have already been largely resolved. I am convinced that existing constructive interaction with the regulator in the future will allow the life insurance market to develop successfully and occupy a prominent place in the country's economy", said the President of ARIA.
According to Viktor DUBROVIN, vice-president of ARIA, the market dynamics does not correspond to expectations and only a few companies demonstrate growth. This is because traditional market drivers are gradually reducing their effect and the need to search for new ones is obvious. However, among the positive trends, Viktor DUBROVIN noted the speed of new product introduction, big volume of paid claims, development of online interaction and regulatory changes that are aimed at helping the market.
ARIA collected and analyzed data from 23 insurance companies, which together represent almost 100% of the life insurance market.
It is worth noting that, according to the results of the first quarter of 2021, GWP of KAPITAL LIFE exceeded RUB 5 billion. The company's agent network is the largest in the life insurance market, and it provided 82% of the company's premiums, the company said in its press release.
According to the ARIA, in 1Q2021 KAPITAL LIFE has confirmed its leadership in the accumulative life insurance in terms of the number of existing contracts and volume of paid claims. The company serves 40% of the total accumulative life insurance market in the country in terms of the number of contracts.
KAPITAL LIFE's GWP in accumulative life insurance in 1Q2021 increased by 1.3% y-o-y and amounted to RUB 2.7 billion. Paid claims increased by 85% to RUB 1.8 billion, which is the highest amount of paid claims in this segment on the market. The share of accumulative life insurance in the company's portfolio reached 53%.
Total paid claims of KAPITAL LIFE under various life and health insurance programs in the first quarter of 2021 increased by 2% and exceeded RUB 10 billion under life and health insurance contracts in 76 regions of Russia.
* at the following exchange rate:
1 EUR = 88.7452 RUB (01.04.2021)