Life Insurance in Romania, Key Trends and Opportunities to 2017

Published: May, 2014 | Pages: 239 | Publisher: Timetric
Industry: Insurance | Report Format: Electronic (PDF)


Synopsis
The report provides in-depth market analysis, information and insights into the Romanian life insurance segment, including:
The Romanian life insurance segment's growth prospects by life insurance categories 
Key trends and drivers for the life insurance segment 
The various distribution channels in the Romanian life insurance segment
The detailed competitive landscape in the life insurance segment in Romania
Detailed regulatory policies of the Romanian insurance industry
A description of the life reinsurance segment in Romania
Porter's Five Forces analysis of the life insurance segment
A benchmarking section on the Romanian life insurance segment in comparison with other countries in the Central and Eastern European Region 

Summary
Life insurance is the second-largest segment in the country's insurance industry, accounting for 21% of gross written premium in 2012. The main reason for the decline in gross written premium during the review period is the global financial crisis of 2008 which adversely impacted the Romanian economy, producing high unemployment rates, a high budget deficit, and a fall in demand. The country's GDP declined by 6.6% in 2009 and 0.9% in 2010. In 2010, the Romanian government implemented austerity measures such as a reduction in government employee salaries and social security benefits. This further affected the purchasing power of Romanians and their ability and willingness to purchase investment products such as life insurance. The Romanian economy started to recover in 2011, primarily driven by a considerable increase in agricultural production. The country's GDP is expected to increase at a CAGR of 2.6% over the forecast period. This is expected to result in a gradual rise in the demand for life insurance products. 
Scope
This report provides a comprehensive analysis of the life insurance segment in Romania:
It provides historical values for the Romanian life insurance segment for the report's 2008-2012 review period and projected figures for the 2012-2017 forecast period.
It offers a detailed analysis of the key categories in the Romanian life insurance segment, along with market forecasts until 2017.
It covers an exhaustive list of parameters, including written premium, incurred loss, loss ratio, commissions and expenses, combined ratio, frauds and crimes, total assets, total investment income and retentions.
It analyses the various distribution channels for life insurance products in Romania.
Using Porter's industry-standard "Five Forces" analysis, it details the competitive landscape in Romania for the life insurance business.
It provides a detailed analysis of the reinsurance segment in Romania and its growth prospects.
It profiles the top life insurance companies in Romania and outlines the key regulations affecting them. 
Reason To Buy
 Make strategic business decisions using in depth historic and forecast market data related to the Romanian life insurance segment and each category within it
Understand the demand-side dynamics, key market trends and growth opportunities within the Romanian life insurance segment
Assess the competitive dynamics in the life insurance segment, along with the reinsurance segment
Identify the growth opportunities and market dynamics within key product categories
Gain insights into key regulations governing the Romanian insurance industry and its impact on companies and the market's future 
Key Highlights
 Life insurance is the second-largest segment in the country's insurance industry, accounting for 21% of gross written premium in 2012.
Life insurers in Romania benefited from low combined ratios, resulting in underwriting profits during the review period.
Insurers contemplating an entry into the Romanian insurance industry should be aware that there is a paucity of actuarial resources, and expanding businesses profitably is a challenging process.
As of 2012, there were 19 companies operating in the Romanian life segment.
The life segment is highly concentrated with the 10 leading companies accounting for 92.7% of the segment's written premiums in 2012.

 1 Executive Summary
2 Introduction
2.1 What is this Report About?
2.2 Definitions
2.3 Methodology
3 Regiol Market Dymics
3.1 Overview
3.1.1 Market trends
3.1.2 Market size
4 Life Insurance - Regiol Benchmarking
4.1 Scale and Penetration
4.1.1 Total gross written premium
4.1.2 Premium per capita
4.1.3 Life insurance penetration
4.2 Growth
4.2.1 Gross written premium
4.2.2 Gross written premium per capita
4.3 Efficiency and Risk
4.3.1 Loss ratio
4.3.2 Combined ratio
4.3.3 Incurred losses per capita
4.3.4 Incurred losses as a percentage of GDP
4.4 Distribution Channels
4.4.1 Direct marketing
4.4.2 Insurance brokers
4.4.3 Bancassurance
4.4.4 Agencies
5 Romanian Insurance Industry Attractiveness
5.1 Insurance Industry Size, 2008-2017
5.2 Key Industry Trends and Drivers
6 Life Insurance Outlook
6.1 Life Insurance Growth Prospects by Category
6.1.1 Individual life insurance
6.1.2 Individual marriage and birth insurance
6.1.3 Individual unit-linked insurance
6.2 Life Insurance Growth Prospects by Product Type
6.2.1 Individual single-premium policies
6.2.2 Individual non-single-premium policies
7 Alysis by Distribution Channel
7.1 Direct Marketing
7.2 Bancassurance
7.3 Agencies
7.4 E-Commerce
7.5 Brokers
7.6 Other Channels
8 Porter's Five Forces Alysis - Romanian Life Insurance
8.1 Bargaining Power of Suppliers: Low
8.2 Bargaining Power of Buyers: Medium to High
8.3 Barriers to Entry: Low
8.4 Intensity of Rivalry: Medium to High
8.5 Threat of Substitutes: Low to Medium
9 Reinsurance Growth Dymics and Challenges
9.1 Reinsurance Segment Size, 2008-2017
9.2 Reinsurance segment size by type of insurance, 2008-2017
10 Governce, Risk and Compliance
10.1 Legislation Overview and Historical Evolution
10.2 Legislation and Market Practice by Type of Insurance
10.2.1 Life insurance
10.2.2 Property insurance
10.2.3 Motor insurance
10.2.4 Marine, aviation and transit insurance
10.2.5 Persol accident and health insurance
10.3 Compulsory Insurance
10.3.1 Motor third-party liability insurance
10.3.2 Insurance of dwellings against earthquakes, landslides and flooding
10.3.3 Nuclear liability insurance
10.3.4 Social security insurance
10.4 Supervision and Control
10.4.1 Intertiol Association of Insurance Supervisors
10.4.2 European Insurance and Occupatiol Pensions Authority
10.4.3 Insurance Supervisory Commission
10.5 Non-Admitted Insurance Regulations
10.5.1 Overview
10.5.2 Intermediaries
10.5.3 Market practices
10.5.4 Fines and pelties
10.6 Company Registration and Operations
10.6.1 Types of insurance organization
10.6.2 Establishing a local company
10.6.3 Foreign ownership
10.6.4 Types of license
10.6.5 Capital requirements
10.6.6 Solvency margins
10.6.7 Reserve requirements
10.6.8 Investment regulations
10.6.9 Statutory return requirements
10.6.10 Fee structure
10.7 Taxation
10.7.1 Insurance premium or policy taxation
10.7.2 Withholding taxes on premium paid overseas
10.7.3 Corporate tax
10.7.4 VAT
10.7.5 Captives
10.8 Legal System
10.8.1 Introduction
10.8.2 Access to court
10.8.3 Altertive dispute resolution (ADR)
11 Competitive Landscape and Strategic Insights
11.1 Overview
11.2 Leading Companies in the Romanian Life Insurance Segment
11.3 Comparison of the Five Leading Insurers
11.3.1 Gross written premium
11.3.2 Net Earned Premium
11.3.3 Gross claims
11.3.4 Assets
11.4 ING Asigur?ri de Via?? SA - Company Overview
11.4.1 ING Asigur?ri de Via?? SA - key facts
11.4.2 ING Asigur?ri de Via?? SA - key fincials
11.5 BCR Asigur?ri de Via?? Vien Insurance Group SA - Company Overview
11.5.1 BCR Asigur?ri de Via?? Vien Insurance Group SA - key facts
11.5.2 BCR Asigur?ri de Via?? Vien Insurance Group SA - key fincials
11.6 Alico Asigur?ri Romania SA - Company Overview
11.6.1 Alico Asigur?ri Romania SA - key facts
11.6.2 Alico Asigur?ri Romania SA - key fincials
11.7 Allianz-Tiriac Asigur?ri SA - Company Overview
11.7.1 Allianz-Tiriac Asigur?ri SA - key facts
11.7.2 Allianz-Tiriac Asigur?ri SA - key fincials
11.8 Asirom Vien Insurance Group SA�- Company Overview
11.8.1 Asirom Vien Insurance Group SA - key facts
11.8.2 Asirom Vien Insurance Group SA - key fincials
11.9 Generali Romania SA - Company Overview
11.9.1 Generali Romania SA - key facts
11.9.2 Generali Romania SA - key fincial
11.1 Metropolitan Asigur?ri SA - Company Overview
11.10.1 Metropolitan Asigur?ri SA - key facts
11.10.2 Metropolitan Asigur?ri SA - key fincials
11.11 BRD Asigur?ri de Via?? SA - Company Overview
11.11.1 BRD Asigur?ri de Via?? SA - key facts
11.11.2 BRD Asigur?ri de Via?? SA - key fincials
11.12 Grawe Romania Asigurare SA - Company Overview
11.12.1 Grawe Romania Asigurare SA - key facts
11.12.2 Grawe Romania Asigurare SA - key fincials
11.13 Groupama Asigur?ri SA - Company Overview
11.13.1 Groupama Asigur?ri SA - key facts
11.13.2 Groupama Asigur?ri SA - key fincials
12 Business Environment and Country Risk
12.1 Business Confidence
12.1.1 Market capitalization trend - Bucharest Stock Exchange, Romania
12.2 Economic Performance
12.2.1 GDP at constant prices (US$)
12.2.2 GDP per capita at constant prices (US$)
12.2.3 GDP at current prices (US$)
12.2.4 GDP per capita at current prices (US$)
12.2.5 GDP by key segments
12.2.6 Agriculture net output at current prices (US$)
12.2.7 Agriculture net output at current prices as a percentage of GDP
12.2.8 Manufacturing net output at current prices (US$)
12.2.9 Manufacturing net output at current prices as a percentage of GDP
12.2.10 Mining, manufacturing and utilities at current prices (US$)
12.2.11 Mining, manufacturing and utilities at current prices, as percentage of GDP
12.2.12 Construction net output at current prices, (US$)
12.2.13 Construction net output at current prices as a percentage of GDP
12.2.14 Inflation rate
12.2.15 Exports as a percentage of GDP
12.2.16 Imports as a percentage of GDP
12.2.17 Merchandise exports growth
12.2.18 Merchandise imports growth
12.2.19 Annual average exchange rate EUR-US$
12.3 Infrastructure
12.3.1 Commercial vehicles exports - total value
12.3.2 Commercial vehicles imports - total value
12.3.3 Automotive exports - total value
12.3.4 Automotive imports - total value
12.3.5 Total internet subscribers
12.4 Labor Force
12.4.1 Labor force
12.4.2 Unemployment rate
12.5 Demographics
12.5.1 Gross tiol disposable income (US$)
12.5.2 Household consumption expenditure (US$)
12.5.3 Total population
12.5.4 Urban and rural populations
12.5.5 Age distribution of the total population
13 Appendix
13.1 Methodology
13.2 Contact Timetric
13.3 About Timetric
13.4 Timetric's Services
13.5 Disclaimer


List of Tables
Table 1: Insurance Industry Definitions
Table 2: Romanian Insurance - Overall Written Premium by Segment (RON Billion), 2008-2012
Table 3: Romanian Insurance - Overall Written Premium by Segment (US$ Billion), 2008-2012
Table 4: Romanian Insurance - Overall Written Premium by Segment (RON Billion), 2012-2017
Table 5: Romanian Insurance - Overall Written Premium by Segment (US$ Billion), 2012-2017
Table 6: Romanian Insurance - Segmentation (Percentage Share), 2008-2017
Table 7: Romanian Life Insurance - Written Premium by Category (RON Million), 2008-2012
Table 8: Romanian Life Insurance - Written Premium by Category (US$ Million), 2008-2012
Table 9: Romanian Life Insurance - Written Premium by Category (RON Million), 2012-2017
Table 10: Romanian Life Insurance - Written Premium by Category (US$ Million), 2012-2017
Table 11: Romanian Life Insurance - Earned Premium (RON Billion), 2008-2012
Table 12: Romanian Life Insurance - Earned Premium (RON Billion), 2012-2017
Table 13: Romanian Life Insurance - Sum Assured (RON Billion), 2008-2012
Table 14: Romanian Life Insurance - Sum Assured (RON Billion), 2012-2017
Table 15: Romanian Life Insurance - Paid Claims (RON Billion), 2008-2012
Table 16: Romanian Life Insurance - Paid Claims (RON Billion), 2012-2017
Table 17: Romanian Life Insurance - Incurred Loss (RON Billion), 2008-2012
Table 18: Romanian Life Insurance - Incurred Loss (RON Billion), 2012-2017
Table 19: Romanian Life Insurance - Loss Ratio (%), 2008-2012
Table 20: Romanian Life Insurance - Loss Ratio (%), 2012-2017
Table 21: Romanian Life Insurance - Commissions and Expenses (RON Billion), 2008-2012
Table 22: Romanian Life Insurance - Commissions and Expenses (RON Billion), 2012-2017
Table 23: Romanian Life Insurance - Combined Ratio (%), 2008-2012
Table 24: Romanian Life Insurance - Combined Ratio (%), 2012-2017
Table 25: Romanian Life Insurance - Frauds and Crimes (RON Million), 2008-2012
Table 26: Romanian Life Insurance - Frauds and Crimes (RON Million), 2012-2017
Table 27: Romanian Life Insurance - Total Assets (RON Billion), 2008-2012
Table 28: Romanian Life Insurance - Total Assets (RON Billion), 2012-2017
Table 29: Romanian Life Insurance - Total Investment Income (RON Billion), 2008-2012
Table 30: Romanian Life Insurance - Total Investment Income (RON Billion), 2012-2017
Table 31: Romanian Life Insurance - Retentions (RON Billion), 2008-2012
Table 32: Romanian Life Insurance - Retentions (RON Billion), 2012-2017
Table 33: Romanian Individual Life Insurance - Number of Active Policies (Thousand), 2008-2012
Table 34: Romanian Individual Life Insurance - Number of Active Policies, 2012-2017
Table 35: Romanian Individual Life Insurance - Written Premium (RON Billion), 2008-2012
Table 36: Romanian Individual Life Insurance - Written Premium (RON Billion), 2012-2017
Table 37: Romanian Individual Marriage and Birth Insurance - Number of Active Policies (Thousand), 2008-2012
Table 38: Romanian Individual Marriage and Birth Insurance - Number of Active Policies (Thousand), 2012-2017
Table 39: Romanian Individual Marriage and Birth Insurance - Written Premium (RON Million), 2008-2012
Table 40: Romanian Individual Marriage and Birth Insurance - Written Premium (RON Million), 2012-2017
Table 41: Romanian Individual Unit-Linked Insurance - Number of Active Policies (Thousand), 2008-2012
Table 42: Romanian Individual Unit-Linked Insurance - Number of Active Policies (Thousand), 2012-2017
Table 43: Romanian Individual Unit-Linked Insurance - Written Premium (RON Billion), 2008-2012
Table 44: Romanian Individual Unit-Linked Insurance - Written Premium (RON Billion), 2012-2017
Table 45: Romanian Individual Single-Premium Insurance - Number of Active Policies (Thousand), 2008-2012
Table 46: Romanian Individual Single-Premium Insurance - Number of Active Policies (Thousand), 2012-2017
Table 47: Romanian Individual Single-Premium Insurance - Written Premium (RON Billion), 2008-2012
Table 48: Romanian Individual Single-Premium Insurance - Written Premium (RON Billion), 2012-2017
Table 49: Romanian Individual Non-Single-Premium Insurance - Number of Active Policies (Thousand), 2008-2012
Table 50: Romanian Individual Non-Single-Premium Insurance - Number of Active Policies (Thousand), 2012-2017
Table 51: Romanian Individual Non-Single-Premium Insurance - Written Premium (RON Billion), 2008-2012
Table 52: Romanian Individual Non-Single-Premium Insurance - Written Premium (RON Billion), 2012-2017
Table 53: Romanian Life Insurance - Direct Marketing Commission Paid (RON Million), 2008-2012
Table 54: Romanian Life Insurance - Direct Marketing Commission Paid (RON Million), 2012-2017
Table 55: Romanian Life Insurance - New Business Written Premium Through Direct Marketing (RON Million), 2008-2012
Table 56: Romanian Life Insurance - New Business Written Premium Through Direct Marketing (RON Million), 2012-2017
Table 57: Romanian Life Insurance - New Policies Sold Through Direct Marketing (Thousand), 2008-2012
Table 58: Romanian Life Insurance - New Policies Sold Through Direct Marketing (Thousand), 2012-2017
Table 59: Romanian Life Insurance - Number of Direct Marketing Distributors, 2008-2012
Table 60: Romanian Life Insurance - Number of Direct Marketing Distributors, 2012-2017
Table 61: Romanian Life Insurance - Bancassurance Commission Paid (RON Million), 2008-2012
Table 62: Romanian Life Insurance - Bancassurance Commission Paid (RON Million), 2012-2017
Table 63: Romanian Life Insurance - New Business Written Premium Through Bancassurance (RON Million), 2008-2012
Table 64: Romanian Life Insurance - New Business Written Premium Through Bancassurance (RON Million), 2012-2017
Table 65: Romanian Life Insurance - New Policies Sold Through Bancassurance (Thousand), 2008-2012
Table 66: Romanian Life Insurance - New Policies Sold Through Bancassurance (Thousand), 2012-2017
Table 67: Romanian Life Insurance - Number of Bancassurance Distributors, 2008-2012
Table 68: Romanian Life Insurance - Number of Bancassurance Distributors, 2012-2017
Table 69: Romanian Life Insurance - Commission Paid to Agencies (RON Million), 2008-2012
Table 70: Romanian Life Insurance - Commission Paid to Agencies (RON Million), 2012-2017
Table 71: Romanian Life Insurance - New Business Written Premium Through Agencies (RON Billion), 2008-2012
Table 72: Romanian Life Insurance - New Business Written Premium Through Agencies (RON Billion), 2012-2017
Table 73: Romanian Life Insurance - New Policies Sold Through Agencies (Thousand), 2008-2012
Table 74: Romanian Life Insurance - New Policies Sold Through Agencies (Thousand), 2012-2017
Table 75: Romanian Life Insurance - Number of Agencies, 2008-2012
Table 76: Romanian Life Insurance - Number of Agencies, 2012-2017
Table 77: Romanian Life Insurance - E-Commerce Commission Paid (RON), 2008-2012
Table 78: Romanian Life Insurance - E-Commerce Commission Paid (RON), 2012-2017
Table 79: Romanian Life Insurance - New Business Written Premium Through E-Commerce (RON), 2008-2012
Table 80: Romanian Life Insurance - New Business Written Premium Through E-Commerce (RON), 2012-2017
Table 81: Romanian Life Insurance - New Policies Sold Through E-Commerce, 2008-2012
Table 82: Romanian Life Insurance - New Policies Sold Through E-Commerce, 2012-2017
Table 83: Romanian Life Insurance - Number of E-Commerce Distributors, 2008-2012
Table 84: Romanian Life Insurance - Number of E-Commerce Distributors, 2012-2017
Table 85: Romanian Life Insurance - Commission Paid to Brokers (RON Billion), 2008-2012
Table 86: Romanian Life Insurance - Commission Paid to Brokers (RON Billion), 2012-2017
Table 87: Romanian Life Insurance - New Business Written Premium Through Brokers (RON Billion), 2008-2012
Table 88: Romanian Life Insurance - New Business Written Premium Through Brokers (RON Billion), 2012-2017
Table 89: Romanian Life Insurance - New Policies Sold Through Brokers (Thousand), 2008-2012
Table 90: Romanian Life Insurance - New Policies Sold Through Brokers (Thousand), 2012-2017
Table 91: Romanian Life Insurance - Number of Brokers, 2008-2012
Table 92: Romanian Life Insurance - Number of Brokers, 2012-2017
Table 93: Romanian Life Insurance - Commission Paid to Other Channels (RON Million), 2008-2012
Table 94: Romanian Life Insurance - Commission Paid to Other Channels (RON Million), 2012-2017
Table 95: Romanian Life Insurance - New Business Written Premium Through Other Channels (RON Million), 2008-2012
Table 96: Romanian Life Insurance - New Business Written Premium Through Other Channels (RON Million), 2012-2017
Table 97: Romanian Life Insurance - New Policies Sold Through Other Channels (Thousand), 2008-2012
Table 98: Romanian Life Insurance - New Policies Sold Through Other Channels (Thousand), 2012-2017
Table 99: Romanian Life Insurance - Number of Distributors in Other Channels, 2008-2012
Table 100: Romanian Life Insurance - Number of Distributors in Other Channels, 2012-2017
Table 101: Reinsurance in Romania by Category (RON Million), 2008-2012
Table 102: Reinsurance in Romania by Category (US$ Million), 2008-2012
Table 103: Reinsurance in Romania by Category (RON Million), 2012-2017
Table 104: Reinsurance in Romania by Category (US$ Million), 2012-2017
Table 105: Romanian Premium Ceded to Reinsurance by Type of Insurance (RON Million), 2008-2012
Table 106: Romanian Premium Ceded to Reinsurance by Type of Insurance (US$ Million), 2008-2012
Table 107: Romanian Premium Ceded to Reinsurance by Type of Insurance (RON Million), 2012-2017
Table 108: Romanian Premium Ceded to Reinsurance by Type of Insurance (US$ Million), 2012-2017
Table 109: Romanian Life Insurance - Percentage of Reinsurance Ceded (%), 2008-2012
Table 110: Romanian Life Insurance - Percentage of Reinsurance Ceded (%), 2012-2017
Table 111: Romania - Life Insurance Regulatory Framework
Table 112: Romania - Property Insurance Regulatory Framework
Table 113: Romania - Motor Insurance Regulatory Framework
Table 114: Romania- Corporate Taxes for Financial Year 2013
Table 115: Shares of Key Insurers in the Romanian Life Insurance Segment (%), 2012
Table 116: ING Asigur?ri de Via?? SA, Key Facts
Table 117: ING Asigur?ri de Via?? SA, Key Financials (RON Million), 2008-2012
Table 118: BCR Asigur?ri de Via?? Vienna Insurance Group SA, Key Facts
Table 119: BCR Asigur?ri de Via?? Vienna Insurance Group SA, Key Financials (RON Million), 2008-2012
Table 120: Alico Asigur?ri Romania SA, Key Facts
Table 121: Alico Asigur?ri Romania SA, Key Financials (RON Million), 2008-2012
Table 122: Allianz-Tiriac Asigur?ri SA, Key Facts
Table 123: Allianz-Tiriac Asigur?ri SA, Key Financials (RON Million), 2008-2012
Table 124: Asirom Vienna Insurance Group SA, Key Facts
Table 125: Asirom Vienna Insurance Group SA, Key Financials (RON Million), 2008-2012
Table 126: Generali Romania SA, Key Facts
Table 127: Generali Romania SA, Key Financials (RON Million), 2012
Table 128: Metropolitan Asigur?ri SA, Key Facts
Table 129: Metropolitan Asigur?ri SA, Key Financials (RON Million), 2008-2012
Table 130: BRD Asigur?ri de Via?? SA, Key Facts
Table 131: BRD Asigur?ri de Via?? SA, Key Financials (RON Million), 2009-2012
Table 132: Grawe Romania Asigurare SA, Key Facts
Table 133: Grawe Romania Asigurare SA, Key Financials (RON Million), 2008-2012
Table 134: Groupama Asigur?ri SA, Key Facts
Table 135: Groupama Asigur?ri SA, Key Financials (RON Million), 2009-2012