ARMENIA: MTPL loss ratio in 2024 increased to 81.8%

27 January 2025 — Marina MAGNAVAL
In 2024, MTPL loss ratio in Armenia increased from 71.7% to 81.8% driven by deterioration in the annual dynamics of the number of active contracts - from a 11.7% increase a year earlier to a 0.7% decline, moderate GWP growth and double-digit growth in paid claims, according to data from the Bureau of Motor Insurers of Armenia, ArmInfo writes.

According to the Bureau, the number of vehicles with MTPL policies increased by only 1.1% in 2024, while a year ago the growth was 10%. It is noted that in the total number of MTPL contracts, the share of e-policies rose from 25% to 31% over the year.

At the end of 2024, GWP collected under effective contracts exceeded AMD 29.7 billion (USD 75 million), while paid claims reached AMD 21.9 billion (USD 55.1 million).

According to the Bureau, the largest number of vehicles with MTPL policies belong to LIGA Insurance (138,347 thousand units), which also has the highest MTPL loss ratio at 90%. In second and third place in terms of the number of vehicles with MTPL policies are Nairi Insurance and Sil Insurance - 132.8 thousand units and 132.4 thousand units, respectively, MTPL loss ratio of which is 73% and 83%. The largest contribution in GWP collected under effective MTPL contracts is also made by Nairi Insurance and LIGA Insurance – AMD 6.7-6 billion (23-20% of the total), and they are also leaders in MTPL paid claims – AMD 4.8-5.8 billion (22-27% of the total).

* 396.56 AMD = 1 USD (as of December 31, 2024)



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