About 68% of the total GWP was generated by voluntary insurance, while the rest of 32% was brought in by mandatory insurance classes. At the same time, voluntary insurance grew by 13% y-o-y, outpacing mandatory segments, which grew by 6.61%.
Although the market in general showed positive dynamics, the negative impact of the coronavirus pandemic affected the performance of certain segments. GWP fell significantly in travel insurance (by almost 61%) and in mandatory insurance of liability of motor vehicle owners (-15.0%). At the same time, GWP grew significantly in voluntary and mandatory life insurance (+19.4% overall), mandatory insurance of immovable property (+39.5%) and voluntary cargo insurance (+101.9%).
Market paid claims jumped by 55% y-o-y, to about AZN 185 million. The biggest contribution to the market paid claims growth was made by life insurance sector, which saw an impressive increase by almost 164% y-o-y. On the contrary, the paid claims of non-life sector recorded a slight decrease. Segment wise, paid claims increased only in voluntary insurance, while paid claims in mandatory classes decreased.
At the end of 1H2020, 21 insurance companies were active on the Azeri market. TOP-5 insurers accounted for over 78% of total GWP (their share increased by almost 4 percentage points y-o-y). Only 6 companies out of 21 faced a reduction in GWP for the first half of the year. The overall market leader in terms of GWP was PASHA life insurance (over 33% of the market), followed by PASHA Insurance, and Azersigorta.
1 EUR = 1.9105 Manat - AZN (June 30th, 2020)