According to the LAA, in 2022 GWP in the segment reached EUR 63.6 million, in 2023 - only EUR 39.5 million, and last year – EUR 43 million, which represents a reduction of about a third. However, last year there was a 9% y-o-y increase in premiums written, and in the first quarter of this year an even faster growth was recorded – by 21%.
Despite the GWP reduction, paid claims continued to increase in previous years. In 2022, EUR 27.7 million were paid out, in 2023 – EUR 29.5 million, or 6.5% more y-o-y, and in 2024 – EUR 32.4 million, which is 9.8% more than in 2023.
The LAA noted that in 2023 life pension insurance was affected by regulatory changes, and other conditions for payment of accumulated capital came into force. “Since the introduction of lifelong pension insurance in 2013, interest of residents in this service has been constantly growing, reaching its highest point in 2022. The recent decline is most likely due to legislative changes that no longer provide for three different stages of lifelong pension payments. In the past, many clients chose to receive a larger portion of their pension at the beginning of retirement, but this option is no longer available, and this most likely reduced their interest in this insurance product”, explained the LAA President Jānis Abāšins.
At the same time, he added that this year there has been an increase in interest again, and in the first quarter of the year, around 830 new pensioners have already concluded a lifelong pension insurance contract.
Continuing the educational campaign on various types of insurance, the LAA, together with its partners, has prepared a roadmap for lifetime pension insurance, which explains how this insurance works. So far, the LAA has published road maps for property insurance, life insurance with savings, health insurance and accident insurance. It is planned to distribute road maps for life insurance without savings, Motor Hull, MTPL and travel insurance during the campaign. The campaign will last until mid-2025.
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