The Latvian insurance market saw a 10% increase in GWP, in 2024, to almost EUR 1.23 billion, data provided by the National Bank of Latvia show. However, in the context of decreasing inflation, the market growth pace also slowed last year, as compared with 2023. The growth in claims paid was also slower, of only 5%.

Premiums written in Latvia account for 67% of the total, an amount that is by 9% more than in 2023. Claims paid in Latvia account for 68% of the total, while they reached a volume by 8% higher than in 2023.

At the same time, the business of the insurers who are members in the Latvian Insurers Association (LAA), increased by 11%, to EUR 800 million, while the amount of paid premiums was around EUR 500 million, which is an increase of 8.5%.

In 2024, health insurance experienced the fastest growth in terms of both premiums and claims. This is due to the increase in the prices of health products and services. In turn, the largest decrease was observed in life insurance with savings, as insurers gradually abandon this type of insurance. However, life insurance saw a positive overall dynamic, with premiums increasing by 7.9%, to EUR 252.7 million.

The next largest types of insurance in terms of the amount of written premiums last year were property insurance – EUR 188 million (15.3% of the market), land vehicle insurance CASCO – EUR 224.5 million (18.3% of the market), and MTPL – EUR 127.5 million (10.4% of the market).

According to the NBL, the largest share of insurance companies' portfolios was in investments in funds (34%), and 71% of them were investments in equity funds. In 2024, higher profit opportunities in the stock market encouraged insurance companies to shift their focus to investments in equity funds, as a result of which their share in the portfolio increased by 44 percentage points.

All Latvian insurance companies together ended 2024 with a profit - the total profit reached EUR 59.4 million, which is 19% higher than the previous year, the market authority (NBL) said.

Access xprimm.com database and download the Latvian insurance market statistics.