RUSSIA: in 1Q2020 accumulative insurance share reached 26% of the life GWP

19 May 2020 —
For the first quarter, GWP of KAPITAL Life (among TOP-5 life insurers) increased by 14% y-o-y, exceeding RUB 5.3 billion (~EUR 61.82 million). Besides, based on the quarterly results, the company maintained leadership in terms of the number of effective accumulative life insurance contracts, ASN reports based to the data of the All-Russian Insurance Association (ARIA).

According to the company's press-service, in 1Q2020, KAPITAL Life was also the leader in terms of paid claims in accumulative life insurance (over RUB 1 billion). Evgeniy GUREVICH, Director general, KAPITAL Life, commented:

"We continue to develop accumulative life insurance sales through our agent network. We also paid increased attention to keep uninterrupted remote customer service at all stages of interaction with the company: from buying a policy on the company's website to remote processing of indemnity payments."

At the beginning of 2020, according to the Bank of Russia, the agent network of KAPITAL Life was the largest on the local life insurance market, counting over 7,300 agents. As GUREVICH explained, the company has a developed system of remote recruiting and training and can accept any number of new applicants, regardless of their experience in the insurance industry.

According to the preliminary data of ARIA, the Russian life insurance market in 1Q2020 grew by 15% y-o-y, to RUB 108.6 billion. The largest positive dynamics has been observed in accumulative life insurance (+53%). As GUREVICH noted, accumulative life insurance increased its share in life GWP from 19% to 26%. It indicates that during a period of crisis and uncertainty, this segment is one of the most popular type of insurance in terms of insurance protection and financial security in unforeseen situations, emphasized the CEO of KAPITAL Life.

*1 EUR = 85.7389 RUB (April 1st, 2020)