STATISTICS: Hungarian H1 2023 net profits decreased to EUR 45 million

28 September 2023 — Andrei VICTOR
STATISTICS: Hungarian H1 2023 net profits decreased to EUR 45 million

Hungarian insurers' end-June 2023 GWP decreased by 0.8% y-o-y to HUF 779 billion (EUR 2.1 billion), according to the quarterly statistics published by the National Bank of Hungary (MNB).

MNB H1 statistics show that at the end of June 2023 the aggregate market gross profit of Hungarian insurers was down by 31.08% y-o-y to HUF 19.26 billion the equivalent of EUR 51.92 million (vs. HUF 27.96 billion). At the same time, the value of net profit decreased by 37.3% y-o-y to HUF 16.67 billion (EUR 44.9 million).

The technical result (life and non-life, summed-up) decreased by 4.3% y-o-y to HUF 24.59 billion (~EUR 66.3 million) vs. HUF 25.71 billion a year before.

In terms of GWP, Life insurance segment compressed by 17% y-o-y to HUF 294.6 billion (EUR 794 million), while non-life GWP rose by 12.5% to HUF 484.4 billion (EUR 1.3 billion). About 38% of premium income originated from the life insurance business and 62% from the non-life insurance business.

In terms of claims, total incurred claims (payments and change of reserves summed-up) was down by 6% y-o-y to HUF 389 billion. Life incurred claims decreased by 13% y-o-y to HUF 219.4 billion, while the same indicator in non-life totaled HUF 169.5 billion, 5.1% more y-o-y.

At the end of 2023 Q2, the total contract portfolio of insurance companies rose by 0.3% from its level a year earlier, reflecting a growth of over 44,000 in the number of new contracts to14,917,777. This mainly resulted from a 0.6% rise in the number of non-life insurance contracts to 12,641,662 accompanied by a declining number of life insurance contracts (a decrease of 1.4% to 2,276,115.

At the end of June 2023, on the Hungarian insurance market were active 22 insurers: 4 specialized life insurers, 9 non-life, and 9 composite insurers.

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