Nine months 2008: EUR 1.8 billion underwritings have brought claims of EUR 830 million
The insurance market gross written premiums' value reached RON 6.68 billion in the first nine months of 2008, according to the Insurance Supervisory Commission (CSA) data. As to the average currency RON/EUR for the analyzed period, the insurance market value outran EUR 1.8 billion. In comparison to the results of the same period of last year, the insurance market really grew with more than 17%, in national currency and with 13.83% nominally in EUR.
The general insurance segment growth was of approximately 13.6%. The underwritings on this class represent 80.30% from the total market, meaning almost EUR 1.5 billion (RON 5.36 billion). The general insurance had a growing level slightly under the market average.
Life insurance grew with almost 1% above the market average. Gross written premiums in the above mentioned insurance class summed up to EUR 360 million, up 14.85% in European currency compared to the value of the same index recorded in the correspondent period of last year. Life insurance represents 19.7% of the insurance market, with almost 0.3 percentage points more than the share held last year at the end of September.
According to the data published by the supervisory authority, the highest nominal growth in national currency was noted on Class 12 - Ships Third Party Liability +63.37%, Class 3 - Motor Hull Insurance +42.27%, Class 15 - Warranties 41.51 % and Class 8 - Fire 38.87%.
Insurers paid, in the analyzed period, claims whose cumulated value on life and non-life insurance has exceeded EUR 830 million, in nominal growth, in European currency, 14.17% more compared to the correspondent period of last year. The damages' dynamics slightly surpassed the growth recorded in the gross written premiums.
Damages paid related to Motor Hull Insurance grew in absolute value, in the analyzed period, with over EUR 140 million more than the value of this indicator recorded at the end of the same period of last year.
At the end of the third quarter of 2008, insurers had gross technical reserves, for general insurance business, of about RON 5.8 billion, which were covered with admitted assets of about RON 6.9 billion worth, that is in proportion of 118.4%. For the life insurance activity, the insurers had, at the same time, gross technical reserves amounting to approximately RON 3.3 billion, covered by admitted assets of RON 3,787 million, which means a degree of coverage of 115.14%.
"Presented in the context of the recent evolution on the international financial markets, the figures regarding the gross technical reserves made by the insurers indicate that a lot of the assets covering the gross technical reserves for general insurance are represented by instruments with low risk and that may quickly gain liquidity. We can say that the Romanians have assets to fulfill their obligations to policyholders, even to their gross value, which includes the amounts covered by the reinsurance contracts", Angela TONCESCU, President, CSA, said.
"However, the Insurance Supervisory Commission closely monitors the prudential indicators of all insurance companies and it has close collaboration relationships with similar supervisory authorities in other states, so that it can take rapid action, if necessary, to prevent any negative impact on the market stability", Angela TONCESCU concluded.
Author: Alex ROSCA
on 26.11.2008
Comment this article
0 comments
|
