Editorial

What if ...

After five years of crisis, the CEE insurance market managed to get in 2012 back to the 2008 level of gross written premiums. This is the first conclusion drawn from the 2012 figures that we have gathered for the forthcoming issue of XPRIMM Insurance Report - CEE, SEE & CIS. For a region whose markets were booming at the crisis' onset, this seemingly positive news hides in fact a painful reality: 5 years of delay on the development road. What if ... the crisis had not existed?

Buying reinsurance in CEE

A few days after the L'Aquila earthquake four years anniversary, it is maybe the right time to bring into question the CAT risks insurance issue. Although since the 6th of April, 2009 dramatic moment no other European catastrophic event produced such an impressive result, the peril is still out there and the European countries with a high CAT risk exposure should be prepared. With this in mind, a natural question arises: are we really prepared to face the human and financial losses of a great catastrophic event? Or maybe, hardly challenged by the financial turmoil which has shaken Europe in the latest years, we are taking advantage of the relative respite in terms of natural disasters to ignore the problem?

The future begins ... yesterday

A new financial supervisory authority is under construction in Romania. In the CIS countries, an interstate insurers' union was created with the main purpose of improving the Eurasian Economic Community's insurance markets coherence. New insurance laws are on their way to enforcement in the countries of the ex-Yugoslavian space. Across the entire CEE region sustained efforts are made to find legislative solutions to keep under control the moral claims phenomenon. And all these are only some facts picked up from today's news. The number of changes in preparation is much higher. In this context, what can be said about the future of the industry?

What makes a market's attractiveness?

In the emerging insurance markets of the CEE and CIS regions, motor insurance is not only the main non-life business line, but almost without exception, the main component of the entire insurance portfolio. Moreover, besides this regional characteristic, motor insurance remains, because of its large addressability and contribution to the cash flow, a "must have" item for any non-life insurance undertaker. Therefore, analyzing the motor insurance business' status and perspectives may be instrumental for any decision regarding the entrance on a new insurance market.

The first step

There are only three days to go until the starting date of the International Insurance Forum 2013 in Istanbul. Focusing on the motor insurance issues, the event will offer to its participants the opportunity of being the first readers of a new editorial premiere: the XPRIMM MOTOR INSURANCE REPORT, containing the most relevant information regarding the motor insurance business of 30 emerging markets from the CEE, RUSSIA&CIS and SEE regions.

Love and ... Revenge?

Life insurers could see in Valentine's Day a good occasion for speaking about protecting your loved ones and their future financial stability. But we have chosen to use this opportunity for speaking about a "love - hate" relationship: the one established between motor insurers and their customers.

Motor insurers on thin ice

Optimistic or not, all analysts agree that 2013 will be - again - a challenging year. The macroeconomic environment remains volatile, still affected by the potential impact of the sovereign debt defaults and recession-driven difficulties. Low interest rates will further affect the financial results of insurers. Moreover, they will need to recalibrate their systems and operations in response to the new regulations. Altogether, the best case scenario shows a year of hard work and continuous change.

How much would you pay for a life?

Far be it from us to propose you a cynical discussion about the financial evaluation of the human life. However we choose to consider this matter ... life is priceless. Yet, when it comes to insurance, there are certain situations when assessing a life's value is instrumental. What is the right price to pay for a car accident victim?

XPRIMM News has also arrived at its last issue for 2012. After 12 months of ups and downs, of volatility but also of good signs of recovery, our hope here, in the editorial offices of xprimm.com is that, among the pleasant memories of 2012 you will also put the consistent news stream flowing to you from the 32 countries of the Central and South-Eastern Europe and the CIS regions.

Long term... short

In this era of global financial crisis, the pressure put on the insurers, whether it is coming from shareholders or they are driven by higher costs and falling sales, is set to rapidly change priorities and dilute good intentions in terms of tracking rapid gains at the expense of healthy gradual developments. And to better understand this phenomenon all we need to do is look at how long-term planning works for each and every one of us.