Polish insurance market may witness a new round of increasing MTPL tariffs following a recent Supreme Court ruling, asking insurers to pay compensations for permanent disability not also to the victim, but also to his/hers close relatives.

The court has yet to publish a verdict justification which might help insurers define costs. The Polish market's watchdog, KNF, has put the estimated costs at anywhere between PLN 600 million and PLN 16 billion and has demanded insurers run stress tests. Minister of Finance Teresa Czerwinska has promised to draw up guidelines in tandem with the Justice Ministry, wrote the local media.

Motor insurance recorded an interesting evolution last year in Poland, GWP for MTPL insurance going up by an impressing 34.7%, thanks mainly to the increase in tariffs, but also to increasing cars sales. On the other hand, Polish insurers' expenses with motor claims have increased by about 7.2% on the MTPL segment (to PLN 8.6 billion). The President of the Polish Chamber of Insurance said, commenting on the 2017 results, that "more and more money goes to victims in road accidents and their families". Despite this trend, the MTPL market remained profitable last year, the balance of the technical account moving from the PLN 1.08 billion loss of 2016, to a positive PLN 482 million.