The Bulgarian insurance market closed the first half of 2014 with a 7.5% y-o-y growth in GWP, to EUR 456.7 million. Paid claims for the same period amounted to EUR 203.5 million, growing by only almost 1pp despite the floods affecting the north-eastern part of the country, including the seaside resorts on the Black Sea shore.

Life insurance premium went up by 14.6%, to EUR 88.3 million, entirely driven by the positive evolution recorded on the traditional segment (life insurance and annuities). The unit-linked line continued to fall at a high pace, of over 20%. Still, as it accounts for only a tiny share of the market portfolio, the negative trend didn't affect the market performance.

GWP in non-life insurance grew by almost 6%, to EUR 368.45 million. In absolute terms, half of the market's EUR 20.6 million extra premium production came from the health insurance segment, as a result of the Bulgarian health insurance reform. The second half is owed mostly to the 3% in motor insurance GWP. In fact, both Motor Hull and MTPL business recorded a positive dynamic, with about 3% growth in GWP, following the reinvigoration of the car sales in the country.

The aggregated market net profit amounted to EUR 15.2 million, with 19 of the 31 insurers recording a positive financial result.

ALLIANZ Bulgaria Life, BULSTRAD Life VIG and UNIQA Life are the Top 3 life insurance market leaders, with an aggregate share of 50.3% of the total GWP for this segment (up by 2pp as compared with 1H2013).

ARMEEC, BULSTRAD VIG and LEV INS are leading the non-life insurance segment, accounting together for almost 39% of the segment's GWP.

Access www.xprimm.com and download the 1H2014 Bulgarian insurance market statistics (in EUR and BGN).