The growth of the loss ratio from January to October was observed against the backdrop of a deterioration in the annual dynamics of the number of active contracts - from a 13% increase a year earlier to a 0.8% decline, a moderate acceleration in the GWP growth, and a double-digit increase in paid claims (from 13.9% a year earlier to 22.9%).
According to the Bureau, the number of vehicles with MTPL policies increased by 3.4% y-o-y in January-October 2024 (a year ago, the growth was 8.6%).
According to the 10M2024 results, GWP collected under current contracts reached AMD 23.9 billion (USD 61.6 million), and paid claims exceeded AMD 17.8 billion (USD 45.9 million).
According to the Bureau, the largest number of vehicles with MTPL policies is covered by LIGA Insurance (152.4 thousand units), which also has the highest MTPL loss ratio at 90%. A slightly smaller number of vehicles with MTPL policies is covered by Nairi Insurance and Sil Insurance - 134.2 thousand units and 128.4 thousand units, respectively, which have MTPL loss ratio at 72% and 84%. The largest GWP under current MTPL contracts is generated by Nairi Insurance and LIGA Insurance – AMD 5.3-5.1 billion (22-21% of the total), and they are also leaders in terms of paid claims in the segment – AMD 4-4.9 billion (23-28% of the total paid claims), the source writes.
It is noted that in April 2023 the transition to liberalization of MTPL tariffs started in the Armenian insurance market and after a quarter, the MTPL loss ratio began to grow.
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