Development trends on the Moldovan insurance market
"The insurance market in Moldova is now at an early stage, the total underwriting volume amounting to EUR 50 million for 2009, about 1.4% of the GDP ", stated Veaceslav IONITA, representative of the Commission for Budgetary and Finance Affaires of the Parliament, Republic of Moldova.
According to the Moldovan official, property insurance accounts for less than 1% of the entire market. Last year`s experience, when the Republic of Moldova, following a series of massive floods, paid compensations amounting to EUR 20 million (more than the claims paid in 2009 by all Moldovan insurance companies.), created the premises for a first reform. The aim was to modernize the insurance market, creating a natural disasters fund and promoting this type of insurance.
"The objective is to have the property insurance market rise 10 times over the next 2-3 years. Our goal is that these policies represent over 0.3% of GDP and, last but not least, to relieve the Government of the burden posed by the compensation effort and focus it towards the insurance companies", added the Moldovan official.
Moreover, the Republic of Moldova plans to significantly increase the agricultural insurance segment and the development of Pillars II and III of the pensions system.
