Life insurance GWP went down by almost 16%, to EUR 4.13 billion. Unit-linked products have recorded the highest decrease rate, losing about 27% of the GWP volume as compared with the 3Q2015 figures. The unfavorable investment environment seems to be the main responsible for the negative trend recorded in the life insurance sales.
Non-life insurance lines generated GWP of EUR 5.3 billion, 12% up y-o-y. Motor insurance lines have seen a strong growth, mostly fuelled by the MTPL segment for which GWP amounted to EUR 1.84 billion, 30% up y-o-y.
The Polish insurers paid out EUR 6.26 billion in compensation and benefits paid to injured persons and other clients, about 2.6% more than a year earlier. Adverse weather conditions led to a significant increase of the claims paid to farmers for damaged crops, so that paid claims for the "other damages to property" class went up by about 74%.
Net profit recorded by life insurers after three quarters of 2016 amounted to PLN 1.7 billion, 26.3% lower than a year earlier. Non-life insurers ended the third quarter 2016 with a profit of PLN 1.2 billion, 37% less y-o-y. The technical result for life insurance amounted to PLN 2.1 billion and was higher than a year earlier by 2.4%. The technical result of non-life insurers amounted to PLN 196 million and was about 52% lower than the third quarter of 2015. The MTPL line remains rather unprofitable despite the increase in tariffs, as higher premiums have first translated into an increasing volume of technical reserves. However, it is expected that in the long run the higher insurance rates will also improve profitability.
Access www.xprimm.com and download the 3Q2016 Polish insurance market.