At the end of 3Q2022, the market saw a slight decrease, amounting to RUB 1,327.93 billion (EUR 23.96 billion). It is worth noting the rapid growth in the European currency due to the positive dynamics of the ruble exchange rate against the euro (from ~84 rubles / euro in 2021 to ~50 rubles / euro at the end of September 2022), according to the market data published by the Central Bank.

The dynamics of the main performance indicators of Russian insurers improved in the third quarter following stabilization of economic activity. A reduction in GWP was replaced by a slight increase. The main contribution to the improvement in dynamics was made by such segments as accumulative life insurance, MTPL, insurance of other property of legal entities, as well as Motor Hull.

The negative dynamics was still demonstrated by credit types of life and health insurance. Investment life insurance continued to decline, partly due to the flow of customer funds into the accumulative life insurance segment. There was also stagnation in voluntary health insurance, largely because of a decrease in demand from individuals and choosing of less risky (cheaper) programs by corporate clients, the Central Bank said in its review.

Paid claims increased by 10.11% to RUB 646.89 billion (EUR 11.67 billion). In the third quarter of the year, growth of paid claims was related to inflation (for example, in motor insurance and voluntary health insurance segments). Growth in paid claims was observed in almost all major segments.

According to 9M2022 results, the profit of Russian insurers fell by 31.2% y-o-y, to RUB 130.5 billion. due to losses in the second quarter. In the third quarter, insurers improved their financial results (+22.7% y-o-y) thanks to growth in profits from investment activities. In contrast, results from insurance operations declined in the third quarter.

As a result of the decrease in profits for 9 months of 2022, profitability of insurance companies also slightly decreased, but remained at a high level. ROE was 18.5%, ROA was 4.3%. In the third quarter, the dynamics of assets and capital of Russian insurers improved. Total assets at the end of September 2022 amounted to RUB 4.4 trillion, total equity - RUB 1.1 trillion.

The number of insurance organizations for the third quarter decreased to 143 companies. At the same time, concentration of the Russian insurance market has intensified. The share of the top-20 in terms of GWP amounted to 87.9% (+1.8 p.p. y-o-y), follows from the review of the Central Bank.

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