STATISTICS: BELARUS, 1Q2020: paid claims ratio went up exceeding 50%

18 June 2020 —
STATISTICS: BELARUS, 1Q2020: paid claims ratio went up exceeding 50%
In 1Q2020, the GWP of Belarusian insurance market amounted to BYN 379.9 million (~EUR 132 million*), in local currency reflecting an increase of 13% year-on-year, while in European currency the market growth rate was negative (-6.3%), as the data published by the Ministry of Finance show.

The share of life insurance in the market portfolio increased to 12% and its GWP grew by 27.43% y-o-y. The share of the non-life sector dropped to about 88%, due to a slower GWP growth rate of 11.19%.

Voluntary insurance types (including life and non-life) in the market premiums increased by 68.4% to BYN 260 million. Under mandatory insurance local insurers generated premiums of about BYN 120 million during the first quarter of 2020. However, the market share of mandatory insurance decreased from 33.3% to 31.6%.

Market paid claims increased by more than 22% in local currency, to BYN 191.3 million (~EUR 66.45 million). Of that amount, voluntary insurance contribution was BYN 115.4 million and mandatory insurance reached BYN 75.9 million in premiums. Paid claims ratio in the market's total GWP exceeded 50% (vs 46.6% a year ago).

The three market leaders rankings remained unchanged. About 44% of the market was held by BELGOSSTRAKH, followed by PROMTRANSINVEST and BELNEFTESTRAKH. The highest growth rate in TOP-5 insurance companies was demonstrated by STRAVITA (+26.5%). Only 2 companies out of 15 market participants recorded even negative GWP dynamics - BELEXIMGARANT and ERGO.

* For the following exchange rates:
1 EUR = 2.3889 BYN (March 31st, 2019)
1 EUR = 2.8793 BYN (March 31st, 2020)

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