LATVIA's insurers' premiums increased 13.5% in Q1

7 August 2014 — Vlad BOLDIJAR
According FKTK - The Financial and Capital Market Commission, the Latvian insurance market totaled EUR 142.7 million at the end of March 2014. Compared to the corresponding period of last year, the figure increased 13.5% y-o-y. At the same time, the value of paid claims and indemnities decreased 8.2% y-o-y to EUR 67.7 million.

The GWP of foreign-owned insurance companies' in Latvia grew by 21.4%, reaching EUR 39.7 million or 27.8% from the total amount of premiums. The local insurers accounted for the rest of 72.2% or EUR 103 million.

The life insurance segment totaled EUR 24.4 million (19.5% more y-o-y), representing 17.1% of total insurance market. Unit-linked products accelerated by almost 31% y-o-y, while the value of traditional life GWP increased by 12.6%.

The non-life insurance sector was dominated by the property line which accounted of about 20.8% of total market (EUR 29.7 million) and by motor policies (MTPL and motor hull, summed) - EUR 34.5 million or 24.2% of total.

According to "The Baltic Course" - insurance companies operated with a profit of EUR 3.6 million, including non-life insurance companies - EUR 2.4 million, and life insurance companies - EUR 1.2 million: "The profit was affected by the increase in the amount of premiums and the reduction of administrative and investment costs. In the first quarter of 2013, insurance companies' losses reached EUR 0.2 million".

Access and download the 1Q2014 Latvian insurance market statistics.

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