However, experts note that the quarterly dynamics of the insurance sector in 2020 was uneven due to the volatility of the economic situation. The main contribution to the market growth among the segments was made by accumulative life insurance and credit insurance. At the same time, forced accelerated development of digitalization in 2020 created new opportunities for the development of insurance.
During the year, GWP declined in the second quarter, in which the country had the most restrictive measures due to the pandemic, but in the third quarter, thanks to gradual "softening" and removal of most restrictions, the market came back to the level of the first quarter.
Paid claims by the end of 2020 recorded an increase of about 8% to RUB 658 billion. At the same time, their quarterly dynamics were also uneven last year. The minimum volume of paid claims was also recorded in the second quarter, when they dropped by 6% y-o-y due to a decrease in economic activity, decrease of traffic, which led to a decrease in the number of insured events. Experts note that the main impact on the growth of paid claims at the end of the year was made by paid claims under expired investment life insurance policies, as well as paid claims in segments where the average claim amount increased due to the depreciation of the ruble - this was primarily observed in motor insurance with rising prices for repairs and spare parts.
Total profit of insurers in 2020 slightly increased to RUB 247.5 billion, which was associated with an increase in insurers' income from investment activities vs a decrease in their income from insurance activities.
SOGAZ remains the market leader - its GWP grew by almost 48% to RUB 287.3 billion, SBERBANK Life Insurance moved down to 5th place in the overall ranking, giving its second position to AlfaStrakhovanie, RESO-Garantia moved up to the third, and INGOSSTRAKH continues to be the fourth. At the same time, SBERBANK Life Insurance is still leading the ranking of life insurers, despite a decrease in its share in the total volume of life insurance GWP by more than 11%.
* at the following exchange rate:
1 EUR = 90.6824 RUB (December 31st, 2020)
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- Market portfolio of Russia in 2020
- Total, life and non-life ranking of insurance companies of Russia in 2020