Profit of Insurance Companies in Georgia Doubled in Q2 2018

The Insurance Supervision Service reports that in Quarter 2, 2018, the net profit of insurance companies operating in Georgia doubled and amounted to GEL 16,34 million, while in Q1 2018 it was GEL 7,57 million.

Increase in net profit was also observed throughout the year, with the data of Q2 2018 exceeding the data of the same period of 2017 by GEL 13,91 million.

In the first six months of 2018, the amount of bonuses attracted by the sector, assets and equity of insurance companies also increased.

Insurance bonuses attracted by insurance companies in Q2 2018 amounted to GEL 295.28 million from direct insurance activities. In Q1 2018, it was GEL 164,39 million.

According to Q2 data, the assets of insurance companies are GEL 699,37 million and their equity is GEL 180,69 million.

In January-June, the companies attracted most insurance bonuses from medical insurance.

Land transport insurance (GEL 45,36 million), property insurance (GEL 41,16 million), life insurance (GEL 19,01 million) and civil liability insurance (GEL 12,86 mln) were also among the top five insurance packages picked by customers.

In addition, according to the official data of the Insurance Supervision Service, in Q2 2018, 5.9% of the registered vehicles in the country were insured, while in Q1, 5.5% of vehicles were insured.

Specifically, in Q2, 76,207 policies were issued for land transport insurance (except for railway transport), which is 16,439 policies more than those issued in the same period of 2017.

Only 14,9% of the Georgian population uses health insurance; however, the number of policies has increased by 12,741 in a year. In particular, in Q2 2018, 554,338 policies of medical insurance were issued in the country. In the same quarter of 2017, 541,597 health policies were issued and 535,809 in Q2 2016.

By Thea Morrison

Photo source: thecheaperinsurance.com