According to the President of the All-Russian Insurance Association (ARIA) Igor YURGENS, GWP of investment life insurance, which used to be the life market leader before, amounted to RUB 139.9 billion / ~EUR 1.98 billion, with a decrease by 32% y-o-y. The decline, according to YURGENS, comes mainly from the saturation of the market with investment life products and the growing demand for less risky products, as well as introduction of new standards and more stringent requirements for the sale of life products.
In credit insurance, another large life segment, the GWP of insurers amounted to RUB 72.2 billion (+7%), and while the GWP from other life insurance types grew by 6% y-o-y, to RUB 21.3 billion.
Total life paid claims in the reporting period reached RUB 94.5 billion / ~EUR 1.33 billion. Market data of ARIA in terms of life GWP and paid claims represents data, provided by 23 companies, covering almost 100% of the life market.
Life sector continues to be highly concentrated. From January to September 2019 the share of TOP-5 life insurers amounted to 69.7% of total life GWP. The share of the life insurance market leader, SBERBANK Life, reached 38.7% life market share.
GWP of SBERBANK Life insurance at the end of September amounted to RUB 119.3 billion, with a slight decrease by 3% y-o-y. GWP of the company from investment life insurance reached RUB 56.6 billion, and from universal life insurance - over RUB 32 billion (+130%). The insurer's GWP from credit insurance reached RUB 26 billion (+5.4%), while accident and illness insurance was RUB 4.2 billion (+76.6%). The company's paid claims for the period grew to RUB 26 billion.
As of the end of September 2019, assets of SBERBANK Life insurance increased by 41% y-o-y, to RUB 456.2 billion, and the reserves under life insurance contracts amounted to RUB 393.6 billion, writes ASN.
*EUR 1 = RUB 70.7169 (as of 01.10.2019)