Life Insurance Is Still Catching Up
The general insurance premium came to BGN 717.595 million, by the end of Sept 2006, registering a rise of 6.32% on an annual basis. The interesting fact is that the companies report a low income
rise for a second consecutive three- month period. That is mainly because of the still of prices of MTPL insurance.
Market analyses read that vehicle insurance still dominates- Motor Third Party Liability and Casco; they both make some 61.61% of all incomes. The income rise, however, goes down- 7.35%. The second
most significant segment is dwellings insurance with incomes amounting BGN 160 461, i.e. 22.36% of the incomes. Dwelling insurance incomes have been on the rise during last year, by 23%.
The greatest is the rise in railway vehicles insurance, up by 279%.
The compensation payments made, by Sept 30th 2006, come to BGN 260.077 million, registering a 16.01% rise on an annual basis. Payments made on vehicle insurance form 82.28% of all
compensations.
The assets of the general insurance companies amount BGN 994.034 million, registering a rise of 20.74%. The technical reserves amount BGN 471.800 million, i.e. 42.08% of last year’s amount.
DZI- General Insurance is still the general insurance leader with a market share of 17.70%. The second place (with BGN 113.978 million) is occupied by Bulstrad, with a market share of 15.88%. The
incomes of Allianz Bulgaria, by the end of September, amounted BGN 109.885 million, and let the company occupy the third place with a market share of 15.31%.
The nine- month period reports read that there is a solid concentration, of the first three companies which form 48.89% of the market incomes. The concentration, however, was diminishing throughout
all of last year when these companies were holding 52% of the market.
Different is the chart of the companies as far as profit is concerned- Allianz Bulgaria, Energia and Armeetz, with the respective BGN 9 million, 7.266 million and 7.1 million. There are 14 other
companies which accounted profit for the first nine months, two encashed losses.
The life insurance premium for the nine months comes to BGN 119.558 million, i.e. a 27.97% rise on an annual basis. The tendency of annual rise of some 30% continues to be actual. If it remains the
same the companies may account incomes of some BGN 200 million.
The compensation payments on life insurance come to BGN 32.873 million, for the first nine months, registering a 32.88% rise on an annual basis. Greatest is the amount of the premium and
compensation payments of Life&Rent Insurance with the respective 70.46% and 68.25%.
Greatest is the income share of Accident Insurance, and greatest are the compensation payments made on Life&Rent Insurance. Less are the incomes from Permanent Health Insurance, the specialist
explain the low interest with the development of the business of the health insurance companies.
The net incomes of the life insurance companies amount BGN 397.612 million by the end of September, registering a 21.31% rise on an annual basis. The technical reserves amount BGN 210.975 million,
registering a 34.31% rise on an annual basis.
The life insurance leader for the first nine months is Allianz Bulgaria Life with a market share of 26.8%. Second is DZI with the insignificant 0.37% less and third is AIG Life Bulgaria with a
market share of 9.38%. The difference between the third and the fourth (Bulstrad Life) is even smaller, proving the existence of severe competition.
There is a solid concentration in this section as well; but smaller companies are constantly “eating up” market shares.
The chart of profit leaders is the same as the premium. Of all 14 companies only to encashed losses.
