After the first three quarters of 2017, Polish insurers had paid out PLN 29.6 billion in compensation and benefits to the injured and customers. This is 9% more than the year before.
Key insurance market figures after Q3 2017:
- PLN 67 billion of insurers’ assets are funds supporting the economy and public finances, among other things, by domestic treasury bonds and other fixed-income securities
- PLN 17.1 billion of insurers’ assets are funds invested on a long-term basis in shares and other fixed-income securities
- PLN 876 million of income tax to the State budget
- PLN 46 billion of premiums collected, 12.7% more than the year before
Motor insurance market
- More compensation and benefits paid out under third party liability motor insurance: PLN 6.3 billion, 8.3% more than last year
- More compensation paid out from accident and theft insurance: PLN 3.3 billion, 6.7% more than the previous year
– Half of insurance companies still report negative results in third party liability motor insurance. Overall, the market is profitable, which is the effect of last year’s price increases. Subsequent insurance company policies for third party liability insurance will depend on the value of payments to injured parties in the future, and the value of financial provisions needed to be established for that purpose – says J. Grzegorz Prądzyński, President of PIU
Non-life insurance market (Section II excluding motor vehicle insurance).
- Increase in compensation for the consequences of natural disasters by 24.4% to PLN 1.2 billion. This is the effect of compensation payments to the victims of natural disasters in the first half of the year
– The consequences of this year’s storms can be at least partially compensated for by compensation paid out by insurers. According to PIU data, approximately 60% of Polish households are insured – says Andrzej Maciążek, Vice-president of PIU.
Life insurance market
- The value of benefits from life insurance amounted to PLN 15 billion (11.7% increase)
- The value of the premium on life insurance amounted to PLN 18.3 billion (2.7% increase)
– The increase in the premium on life insurance is, above all, an effect of the sale of investment and savings-type policies – says J. Grzegorz Prądzyński.
Insurers’ financial results
- The net profit of life insurers after the first three quarters of 2017 amounted to PLN 1.8 billion
- Non-life insurers ended Q3 2017 with a net profit of nearly PLN 3 billion (out of which nearly half of that amount constitutes a dividend from PZU Życie SA to PZU SA, already included in last year’s life insurers’ net profits)
The income tax payable by Polish insurers for the first three quarters of 2017 amounted to PLN 876 million, and the tax on assets – approx. PLN 450 million.