STATISTICS: CEE Region, 1Q2020: the GWP volume remained, overall, at the 1Q2019 level

13 August 2020 — Daniela GHETU
STATISTICS: CEE Region, 1Q2020: the GWP volume remained, overall, at the 1Q2019 level
The CEE insurance market saw a rather stable Q1. Despite the beginning of the Coronavirus crisis, that impacted most markets starting the second half of March, GWP in the region remained at a stable level y-o-y, of EUR 9.95 billion (0.26% up y-o-y).

For the first quarter, one may say that we can speak rather of lost growth opportunities, than an obvious loss. Only four markets recorded a negative dynamic: Albania, Estonia, Hungary and Poland. Yet, the positive change in GWP recorded in all other markets has barely been able to offset the about EUR 180 million aggregated negative impact in the four afore mentioned markets. In fact, Poland and Hungary accounted together for almost 97% of the lost premiums volume. Life insurance and motor insurance lines were, in both cases, the segments most affected by the crisis. In life insurance the trends recorded by the two markets were quite opposite, with the Unit-Linked products being the main driver of the negative trend in Poland and, at the same time, recording a 22% increase in Hungary. On the non-life side, though, the MTPL insurance line was definitely the most affected.

Claims paid increased by 2% y-o-y, to EUR 5.74 billion. While a few markets saw a slightly decreasing trend, there were several other markets where claims increased at double digit rates, mostly because of the severe weather events losses.

As the Coronavirus crisis started close to the end of the first quarter, it is for the half-year results to show the real impact suffered by the insurance industry in the region.