According to the 3Q2024 results, the market grew by 46.20% y-o-y, amounting to RUB 2.40 trillion (EUR 23.26 billion). Investment and accumulative life insurance segments were a powerful driver of the insurance market – they grew to record levels, according to a review of key performance indicators of insurers published by the Central Bank.

The growth of non-credit life insurance was supported by active sales of short-term programs against the backdrop of an increase in disposable income of the population, as well as conclusion of large contracts.

In non-life insurance, growth was mainly provided by voluntary health insurance, motor hull insurance and corporate insurance. At the same time, a noticeable decrease in premiums was recorded in credit life insurance and accident and illness insurance through the banking channel. This is due to the transition to collective insurance schemes, refusal of individual partner banks to insure consumer loans in favor of analogues, reclassification of some premiums into other accounting groups, as well as a decrease in the volume of mortgage loans against the backdrop of rising rates and ending of the preferential mortgage program. The growth in motor insurance was supported by an increase in new car sales. There is also demand for used car insurance - mainly for policies with deductibles and/or a limited set of risks.

Insurers' total paid claims increased by 35.16%, to RUB 1.02 trillion (EUR 9.91 billion).

The net profit of the insurance market for the first 9 months of 2024 decreased. This was due to a decrease in income from investment activities against the backdrop of a decrease in profit from revaluation of assets denominated in foreign currency and losses from transactions with financial instruments, resulting from a decrease in prices in the debt and stock markets. At the same time, the y-o-y growth of interest rates in the economy for 9M2024 contributed to an increase in interest income and limited the decline of the financial results of insurers. The results of insurers' insurance activities for the reporting period also slightly decreased - due to a decline in the life insurance sector.

As a result, profitability of the insurance market for the first 9 months of 2024 decreased: return on assets amounted to 4.8% (-4.4 p.p.), return on equity was 18.3% (-17.2 p.p.).

According to the accounting statements, total capital of insurers at the end of September 2024 exceeded RUB 1.5 trillion, insurance reserves amounted to RUB 4 trillion, primarily thanks to life insurance reserves. Total assets of insurers in 3Q2024 increased to RUB 6.1 trillion.

The number of insurance companies on the market increased to 134 in the third quarter of 2024. The concentration of the Russian insurance market rose slightly. The share of the top 20 in total GWP was 89.4%. The leader in terms of GWP is Sberbank Life Insurance (RUB 585.90 billion), its market share increased from 11.81% a year earlier to 24.34%. SOGAZ, which was the leader in the same period last year, moved to third place.

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