Driven by a recovery in the economy and an almost 7% increase over 2014, the insurance market this year is likely to maintain a similar growth rate, forecasts the Bank of Lithuania.
Payouts to participants of pension funds are increasing every year in
Lithuania. Participants of pension funds, or their relatives who
inherited the rights to payouts, were paid EUR 14.3 million in 2014,
The Polish PZU, one of the largest CEE insurance groups, announced, on February 3rd, that it agreed to sell 99.88% shares in its Lithuanian subsidiary PZU Lietuva to Norway 's GJENSIDIGE Forsikring for EUR 54 million, to complete last year's EUR 360 million takeover of RSA Group's assets in Baltic States. PZU said that the final price may change and will be adjusted for a difference between from the valuation date (September 30, 2014) to the transaction closing.
According to website vz.lt, US insurance giant AIG is going to establish
400 new jobs in Vilnius by the end of 2015. AIG customer service centre
in Vilnius will provide services to foreign markets, reports LETA/ELTA.
Over the three quarters of 2014, the Lithuanian insurance market, in terms of premiums written, increased by 6.3% and amounted to almost LTL 1.5 billion (EUR 433 million). Such growth was driven by rapid expansion of the life assurance sector. The non-life insurance sector was distinguished by high competition and more modest growth, the Bank of Lithuania reported.
On November 17th, Polish Business Awards were handed out for the third
time in Lithuania in 2014. Trade and Investment Promotion Section of the
Polish Embassy is organising Polish Business Awards, informs LETA/ELTA.
For the third year in a row, the winners of Best Employers in Lithuania
were announced. In 2014, the Best Employers awards went to the digital
advertising software company Adform, Cramo, a service company
specialising in equipment rental services, and the insurance company
Lietuvos Draudimas, informs LETA/ELTA.
Over the period of 3 years the non-life insurance company BTA registered
almost 13,000 car accidents in the three largest cities of Lithuania as
58% were registered in Vilnius, 27% - in Kaunas and 14% - in Klaipeda,
In the first half of 2014, the Lithuanian insurers wrote insurance premiums amounting to LTL 1,013.7 million (EUR 293.6 million), a year-on-year increase of 7.8%, but still 2.9% less than in the first half of 2008, when the volume of Lithuania's insurance market was the highest, Bank of Lithuania informed. According to the half-year review published by the market authority, the life insurance market grew by even 18.3% (to LTL 331.0 million / EUR 95.9 million), while the non-life insurance market was up by 3.4% (to LTL 682.8 million / EUR 197.7 million) over the year.
Eastern Europe's largest insurer, Poland's PZU, has agreed to spin off
part of its Lithuanian business to assuage competition concerns and pave
the way for its purchase of Lithuanian rival Lietuvos Draudimas.
The Lithuanian League ( LKL ) and insurance company IF have become partners ahead of the 2014-15 season. Both companies signed a cooperation agreement under which the League will receive assistance. LKL President Remigijus Milasius is glad that If joined the League, as the insurance company has earned international recognition, and says he's convinced this will be a fruitful cooperation. "I am glad that there are companies, such as IF, which are willing to contribute to the promotion of sports".
Poland's insurance group PZU, which has reached a 360-million-euro deal
to buy RSA's business in the Baltics and Poland, so far failed to
convince the Lithuanian Competition Council that its planned takeover of
the country's leading non-life insurer Lietuvos Draudimas (Lithuanian
Insurance) will have no negative effects on the market, the business
daily Verslo Zinios reported on Wednesday.
During the first five months of 2014, Lithuanian non-life insurance company BTA generated almost LTL 76 million (EUR 22 million) of insurance premiums, while the volume of written gross premiums amounted to LTL 40 million (EUR 12 million), informs LETA/ELTA.
Based on the data of non-life insurance company BTA, July is the most dangerous month for Lithuania's motorcycle drivers. Statistics for the last three years show that the number of accidents caused by motorcycle drivers in July increases three times compared to other warm-season months, informs LETA/ELTA.
The insurance undertakings registered in the country and branches of insurance undertakings of other European Union Member States established in Lithuania wrote, in the first quarter of 2014, LTL 486.9 million (or EUR 141 million) of insurance premiums, a one-tenth increase year on year.
Largest Lithuanian insurance company Lietuvos Draudimas earned LTL 17.2
million (EUR 4.9 million) in pre-tax profit while non-life premiums
written amounted to LTL 92.5 million (EUR 26.7 million) in Q1of 2014,
PZU, eastern Europe's biggest insurer, is close to acquiring Lithuanian
rival Lietuvos draudimas from British group RSA in a deal valued at
around 100 million euros ($139 million), sources with knowledge of the
matter said on Monday. Last month Lithuanian media reports said that the
PZU, the Polish state-controlled group, was bidding in competition with
Austria's Vienna Insurance Group but PZU offered better conditions.
The largest insurer of the Central and Eastern Europe, the Polish company PZU, and the Austrian group VIENNA Insurance Group are the main competitors in the race for acquisition of DRAUDIMAS Lietuva, the top insurer in Lithuania, in a deal estimated at around EUR 100 million, informs REUTERS, quoting local press.
A study by non-life insurance company BTA revealed that each year thefts
account for 2% of all CASCO (full-coverage car insurance) insured
events in Lithuania. According to the data of the Police Department,
3,166 thefts were registered in Lithuania in 2013, or by 7% less
year-on-year, informs LETA/ELTA.
Lithuanian insurance market increased to EUR 563 million (LTL 1.95 billion) in 2013 from the previous year, as reported by the Bank of Lithuania. Non-life insurance accounted for 68% of all market, increasing by 8.7% to EUR 382 million (LTL 1.32 billion). The number of policyholders increased by 4% to around 5.25 million, due to the 4% increase in the non-life insurance segment to around 5.2 million.