Kazakh insurance market in the beginning of the year: premiums increased by 69.7%
One of the main market drivers is reinsurance. Work accident insurance and voluntary property insurance recorded the biggest reinsurance volume for the first two months of 2018. Besides reinsurance growth, total number of insurance policies is also increasing. In January-February of 2018 total number of policies amounted to 1.1 million, which is 7.4% more than a year before. In terms of classes, growth of insurance policies was recorded in compulsory automobile liability insurance, compulsory accident insurance, voluntary personal insurance, life and health insurance. Voluntary property insurance saw a significant growth of policies (30.5%), as well as cargo insurance (16%).
For the first two months of the year insurance income compared to the same period of 2017 increased by 8.4%, net insurance premiums jumped by 12%. Apart from that insurers' investment income in the beginning of the year recorded total profit in the amount of KZT 3.1 billion (to compare: the same period in 2017 recorded loss - KZT 7.2 billion). Net profit after tax for the first two months saw a positive figure and amounted to KZT 6.2 billion (to compare: loss of KZT 6.1 billion in the same period of 2017).
As for the expenses - beginning of the year showed an up-trend here too - paid claims increased by 4.8%, acquisition costs - by 35.8%, insurance policy cancellation costs - by 49%, administrative expenses - by 19%.