Connect with us


Poland’s Insurance Sector 2020 – Growing Profitability and Positive Outlook

Shahina Khatun



Poland has a gigantic insurance sector with around €15 billion in the premium written P.A. and holds an influential position within the CEE14 area with a share of 40%. In 2018 and 1H of 2019, the premiums in non-life insurance portion in the Poland increased by 7% and 3% respectively. It is desired to the top PLN 42 billion at the end of the 2019. But, the premium in the life division resumed to reduce, falling by around 12% in the year of 2018 as well as going down by 3% in the 1H of 2019.

In these recent years, it has become challenging for the life insurers since the regulatory developments and the disclosure rules have shifted the process the life insurance products are generally distributed. It led to a serious change in the market share since less adaptive players had lost the share while more responsive players made their position stronger. Enhancing the regulatory pressure also has triggered the consolidation of the market. After the multiple transaction of M&A in 2018, there are some newer upcoming deals with the latest speculated withdrawal of AXA. Furthermore, the ongoing consolidation in this insurance sector is fore taking a little bit pressure from the market for pricing and tariffs, and also is aiding to increase the scale of the operations for the survivors.

Both, non-life and life insurers are seemed to improve the profitability in the year of 2018 and in the first half of the year 2019. This is an effect of increasing the automation as well as better cost control. This combined ratio for the non-life insurers also remained less than 90% on the average while stood less than 96% in both the TPL and the Casco car insurance respectively.

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *