According to Igor YURGENS, President of ARIA (All-Russian Insurance Association), universal life insurance is now leading in the life sector in terms of growth rates (+55%, up to RUB 44.7 billion; its life share increased from 13% to 23%). As YURGENS noted, this trend can be explained by a decrease in attractiveness of insurance products with non-guaranteed income against the growing fixed-income products. This was also impacted by new standards for life insurer operations and new requirements for the sale of life products, he believes.
At the end of June 2019, the TOP-5 life insurers accounted for 69% of the life market, which indicates continued high concentration. The leader's share, SBERBANK life insurance, accounted for 39% of life GWP.
Paid claims of SBERBANK life insurance for January-June 2019 amounted to RUB 14 billion, which is almost three times higher than a year ago. The company's assets at the end of June amounted to RUB 424 billion (+18%), insurance reserves were RUB 368 billion (+16%), ASN wrote.
*EUR 1 = RUB 71.8179 (01.07.2019)