ALBANIA: about 72% of total paid claims amount is motor insurance

29 June 2023 — Marina MAGNAVAL
GWP for January-May 2023 amounted to ALL 8,959 million (~EUR 81.91 million), which is 15.29% more y-o-y. During the reporting period, the number of concluded insurance contracts reached 505,098 with an increase of 13.36%, the Albanian Financial Supervisory Authority (AFSA) informed.

The market remains non-life oriented with non-life insurance generating almost 92% of the total, while life insurance has 7.93% and reinsurance 0.10%. Type-wise, voluntary insurance occupies 46.50% and compulsory insurance accounts for 53.50% of the total market.

During January-May 2023, paid claims reached about ALL 2,706 million (~EUR 24.74 million), or 0.32% less than in January-May 2022. This was mainly because of property insurance as a result of the end of the 2019 earthquake damage payments.

Total value of paid damages in motor insurance for January-May 2023 reached ALL 1,953 million, or 72.16% of the total claims paid, indicating an increase of about 9.44% y-o-y.

Compulsory motor insurance reached about ALL 4,793 million, or 8.12% more than in January-May 2022. Domestic MTPL in January-May 2023 saw an increase of 8.24% and this was accompanied by an increase in the number of contracts of 9.22% compared to the same period of the previous year.

The Green Card segment in January-May 2023 had an increase of 7.50% GWP-wise and an increase in the number of contracts of 55.38% compared to January-May 2022. The border policies had a 7.63% increase in premiums, the number of contracts also increased by 19.92%.

Voluntary insurance during January-May 2023 reached about ALL 4,166 million (+24.83%), the number of voluntary insurance contracts increased by 2.88% y-o-y. Voluntary non-life saw an increase of 25.62%, the regulator's report said.

*EUR 1 = ALL 109.37 (01.06.2023)