After the first three quarters of 2017, Polish insurers had paid out PLN 29.6 billion in compensation and benefits to injured parties and customers. This is 9% more than the year before, the Polish Insurance Association said in a press brief.
In the term of January-September 2017 insurers collected PLN 46 billion premiums. It is 12.7% more than the year before. The sum of PLN 17.1 bln was invested on a long-term basis in shares and other fixed-income securities. Companies from the Polish insurance market paid out PLN 876 mln to the State budget in tax.
Motor insurance market
In the motor insurance market companies paid out PLN 6.3 billion compensation and benefits under third party liability motor insurance. It is 8.3% more than last year.
From accident and theft insurance they paid out 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”’ said J. Grzegorz Prądzyński, President of PIU.
Non-life insurance market (excluding motor vehicle insurance)
In the non-life insurance market compensation for the consequences of natural disasters significally increased 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”, said Andrzej Maciążek, Vice-president of PIU.
Life insurance market
The value of benefits from life insurance amounted to PLN 15 billion (11.7% increase). In the same time life insurers collected PLN 18.3 billion premium. It is an increase of 2.7%.
“The increase in the premium on life insurance is, above all, an effect of the sale of investment and savings-type policies”, explained 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.
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.
