Romania Insurance Report - Business Monitor International - Industry Reports

Romania Insurance Report

Romania Insurance Report - Business Monitor International - Industry Reports
Romania Insurance Report
Published Oct 22, 2016
55 pages — Published Oct 22, 2016
Price US$ 1,295.00  |  Buy this Report Now

About This Report

  
Abstract:

By most metrics, including density and penetration, the life segment of Romania s insurance sector is underdeveloped. As we discuss below, we believe that there remain significant constraints on growth, including the low levels of income of some households and a lack of knowledge of the advantages of life insurance. ...For example, some of the leading life insurance companies reported that premiums written in ---- were boosted by very strong sales of unit- linked products. Over the remainder of the forecast period, we believe that life premiums will generally grow by --.- annually in USD terms and by -.- annually in local currency terms, a revision from --.- and -.- forecast previously. We accept that the increase may be faster as a result of the development and distribution of innovative products, given that the segment is dominated by the local subsidiaries of major multi-nationals. ...We accept that the increase may be faster as a result of the development and distribution of innovative products, given that the segment is dominated by the local subsidiaries of major multi-nationals. In ----, total life premiums should amount to RON-.-bn (USD---mn), a downwards revision from RON-.-bn (USD---mn) forecast in the previous quarter.

...Demographic trends support the longer term growth of the life insurance sector. As is the case for much of the European Union, Romania s population is ageing. ...However, it is not clear that this will provide a major opportunity for Romania s life insurers anytime soon due to the limitations presented by average household income levels. Most households in Romania fall into lower income brackets, primarily the USD-,--- to USD--,--- and USD-,--- to USD-,--- brackets, which hampers the affordability of most traditional life insurance products. Improving employment rates and wider economic growth means we expect the number of households in the USD--,--- to USD--,--- bracket to increase throughout the forecast period, which does suggest more scope for spending on life products, but overall, with half of the population in lower income brackets, affordability will remain a key issue. ...Most households in Romania fall into lower income brackets, primarily the USD-,--- to USD--,--- and USD-,--- to USD-,--- brackets, which hampers the affordability of most traditional life insurance products. Improving employment rates and wider economic growth means we expect the number of households in the USD--,--- to USD--,--- bracket to increase throughout the forecast period, which does suggest more scope for spending on life products, but overall, with half of the population in lower income brackets, affordability will remain a key issue.

...The insurance industry is seeing some consolidation due to acquisitions and insolvencies. In Q---, VIG acquired the AXA life insurance company in Romania, confirming its lead in the local market. ...

  
Source:
Document ID
1752-8356
Country
Industry
Format:
PDF Adobe Acrobat
Buy Now

Business Monitor International - Industry Reports—Established in 1984, Business Monitor International is a leading online publisher of specialist business information on global emerging markets. Business Monitor's range of quarterly services covers political risk, finance, macroeconomic performance, outlook and forecast, industry sectors and the business operating environment. Each Industry Report has been researched at source, and features latest-available data covering production, sales, imports and exports; 5-year industry forecasts through end-2012; company rankings and competitive landscapes for multinational and local manufacturers and suppliers; and analysis of latest industry developments, trends and regulatory changes.

About the Author


Cite this Report

  
MLA:
Business Monitor International - Industry Reports. "Romania Insurance Report" Oct 22, 2016. Alacra Store. Dec 03, 2016. <http://www.alacrastore.com/storecontent/Business-Monitor-International-Industry-Reports/Romania-Insurance-Report-2026-244>
  
APA:
Business Monitor International - Industry Reports. (2016). Romania Insurance Report Oct 22, 2016. New York, NY: Alacra Store. Retrieved Dec 03, 2016 from <http://www.alacrastore.com/storecontent/Business-Monitor-International-Industry-Reports/Romania-Insurance-Report-2026-244>
  
US$ 1,295.00
$  £  
Have a Question?

Any questions about the report you're considering? Our Customer Service Team can help! Or visit our FAQs.

More Research

Search all our Market Research from one place.