The life insurance market recovered in 2010 and registered a 2.32 pc increase of gross subscribed premiums (GSP), with the positive trend being present in Q1 this year, when life insurances registered a GSP growth of 3.34 pc against the similar interval of 2010, up to RON 433.83 M, the president of the Insurance Supervisory Commission (CSA), Angela Toncescu announces in a press release issued yesterday.
“In my opinion, consumers’ confidence in life insurance products is increasing. The total value of repurchases has declined by 1.8 pc in the first three months of this year, against the similar period of 2010, down to RON 90.15 M,” Toncescu mentioned. According to the CSA official, more consumers understand that life insurances represent a very good alternative to traditional money saving products provided by the bank and capital markets.
On the other hand, the economic crisis had as effect a change of insurers’ investment policies, in the attempt to find those financial instruments that will generate higher yields, Angela Toncescu believes. “One can thus notice a drop in the share held by bank deposits in the total assets admitted to cover the technical reserves set for life insurances, simultaneously with state bonds gaining precedence, along with the fund units issued by collective investment institutions,” the CSA official explained. The economic crisis also had other influences upon the life insurance activity. Insurers diversified their products, modified the costs paid by customers, new products appeared upon the request of potential customers, and the quality of services provided by insurance brokers increased, Toncescu mentioned.
Generali and Allianz-Tiriac Asigurari, rising trends on non-car segment
Generali Asigurari reported, in the first three months of 2011, total gross premiums of RON 96.6 M, slumping by 15.6 pc compared to the same interval of the preceding year, a slump resulting from the reduction of sales on the car segment, the insurer announced, yesterday, in a press release remitted to “Nine O’Clock”. On the other hand, the insurer reported rising figures on non-car segments, such as travel and home insurance, as well as on the life insurance segment, where revenue rose by 13 pc compared to the first quarter of 2010, to RON 23.7 M.
The rising trend of the non-car general insurance portfolio also accounted for a rise in revenue within the company Allianz-Tiriac Asigurari, Mediafax reports. On this segment, revenue rose by over 14 pc, at RON 66.5 M. At the same time, the company reported a rise on the life insurance segment, by nearly 10 pc, at RON 24.7 M. However, premiums subscribed at Allianz-Tiriac Asigurari slumped by 7 pc in the first quarter, at RON 256.4 M, from RON 277 M at the end of March 2010, and earnings before taxation amounted to approximately RON 3 M, the company announced.