According to the National Bank of Kazakhstan, from January to October, Motor Hull increased by 31.4% y-o-y, to KZT 21.8 billion (~EUR 50.25 million), and its share in the portfolios of local insurers, as of November 1, 2019, amounted to roughly 8.3%, writes Allinsurance.kz.

The first noticeable growth of Motor Hull in Kazakhstan was observed in 2004, along with active growth of bank loans for vehicles. In 2007, due to the economic crisis and decline in lending, Motor Hull GWP started to decline as well. From 2008 to 2012, insurers tried to keep their customer base and maintain the GWP levels. The recovery of the segment began in 2013-2014 thanks to the launch of state programs for vehicle loans. Motor Hull premiums also kept growing in 2017-2018 along with the growth of consumer lending.

It's worth noting that Motor Hull is highly dependent on the banking sector. TOP-3 insurers in terms of GWP on this class are more or less affiliated with banks actively involved in sales of vehicle loans. As of November 1, 2019, the share of TOP-3 Motor Hull insurers in the segment reached 67.8% (vs 45.8% a year ago). For the same period, the share of TOP-3 insurers in Motor Hull paid claims was 56.9% and their paid claims ratio 21.2% (vs. the ratio of 33.7% in the case of smaller Motor Hull insurers).

*EUR 1 = KZT 433.83 (as of 01.11.2019)