General Insurance of Cyprus (GIC) - member of the Bank of Cyprus Group has entered into a cooperation agreement with ERGO in Greece, for the gradual transfer to ERGO of the existing insurance policies which were issued by KYPROU Asfalistiki - the branch of GIC in Greece.
Because of the impact of the economic crisis on household budgets, about
one million vehicles are currently in circulation in Greece without
insurance, Kathimerini online reports quoting Costas Bertsias, Chairman
of Car Insurance Companies Association in Greece.
The average retirement age in Greece stands at just 57 years and eight
months according to a survey conducted by the Hellenic Statistical
Authority (ELSTAT). The survey used a sample from the quarterly work
force report from the April-June 2012 period for people aged between 50
and 69 years, and reached some very interesting conclusions.
In 3Q2013, the Greek insurance market totaled EUR 2.86 billion, 10.1% less y-o-y, according to the figures presented by the Hellenic Association of Insurance Companies (HAIC). Life insurance segment decreased 16.2% y-o-y at approximately EUR 1.2 billion, while the non-life segment reported a negative dynamic of 5.2% y-o-y, due a 10.3% decrease in motor hull insurance, while the MTPL insurance sector - the most representative non-life insurance class (29.3% of total market) went down by 6.5% y-o-y.
The price war in Greece's car insurance premiums is behind the dramatic
drop in the sector's turnover, which declined by 15.2 percent last year
compared to 2011 and another 6.5 percent on a yearly basis in the first
nine months of this year, according to a report on the sector issued by
the Hellenic Association of Insurance Companies.
The Greek economy will shrink again, according to IMF estimates. In 2012 the GDP fell for the fifth consecutive year, while in 2013 it is expected to decrease by 5.3% to EUR 183.5 billion. At the same time, the private consumption will remain at a low level due to a record-high of unemployment: the unemployment rate at the end of 2013 will be 27% as compared with 7.7% in 2008 (IMF statistics). Under these circumstances, the financial industries continued to suffer.
Marsh & McLennan Cos. Inc.'s Guy Carpenter & Co. L.L.C. unit has
made a "major strategic investment" in a new venture designed
specifically to help develop business in Greece, Cyprus and adjacent
countries, Guy Carpenter said Wednesday.
"Greece Insurance Report Q3 2013" reports that the news flow and data
from Greece's insurance sector highlights three key themes. First, the
economic crisis has finally had a (brutal) impact on the non-life
segment. Second, premiums in the life segment have held up remarkably
well. Third, the consolidation of Greece's banking sector is something
of a wildcard, and may bring around a consolidation among insurance
companies as well.
The Greek insurers reported gross written premiums of EUR 1.02 billion in the first quarter of 2013 as compared with EUR 1.18 billion a year earlier, according to the 1Q2013 Report published by the Hellenic Association of Insurance Companies (HAIC).
Starting 14th April drivers will have to choose whether they will buy an MTPL insurance policy or give up their vehicles registration plates.
The paid claims due to the heavy rainfall that devastated the region of Attica and the whole territory of Greece by the end of February 2013 will be more than EUR 5 million, according to the first data published by HAIC.
Greek finance ministry considers to make property insurance against
earthquake and floods obligatory. According to daily Kathimerini, the
compulsory insurance of property against big natural disasters like
earthquake and flood is being considered by the finance ministry as an
attempt to forestall the possibility of a widespread economic damage
from an unexpected event such as an earthquake or flood.
With the total GWP reaching EUR 4.3 billion and a 10.71% drop in comparison with the previous year, one can say that the market is in serious trouble also for 2013. The total non-life gross written premiums reached EUR 2.37 billion. From EUR 2.69 billion in 2011 the fall stopped at 11.76%.
In 3Q/2012, the Greek insurance market managed to total EUR 3.22 billion, which means a 9.8% drop compared with the same period of 2011.
The Association of Insurance Companies in Greece wants to evaluate the impact of repurchasing Greek state bonds in order to create the conditions which will minimize losses.
The situation regarding the intentions of the Government to tax the premiums paid by an employer to an employee under a collective pension-saving plan as income remains uncertain.
Following the merger planned between the National Bank of Greece and
Eurobank groups, the linkup of their insurance activities will lead to
the creation of a domestic insurance giant with premiums of over 1.1
billion euros out of a total of 4.9 billion euros in the local market.
The insurance sector has stopped investing in state bonds since
incurring huge losses as a result of the private sector involvement
(PSI) in the Greek debt swap earlier this year.
Greece is characterized by its high seismic exposure. It is estimated
that the economic loss to the residential stock of a 1-in-200 year event
is likely to be greater than 22 billion Euros while for a shorter
return period 1-in-5 year it is likely to be 1.3 billion Euros.
From the beginning of 2012, the state and expectations of the Greek insurance industry have remained shrouded in the big "cloud" represented by the country's financial crisis.