Russian Insurance Market Soars in 2024
The Russian insurance market witnessed a significant surge in 2024, with premiums increasing by a remarkable 62.8% to reach 3.7 trillion rubles. According to data from the Bank of Russia, the ratio of insurance premiums to the country’s GDP also saw an uptick, rising by 0.6 percentage points to 1.9%.
The expansion was largely fueled by the growth of investment life insurance and cumulative life insurance products. While these segments experienced substantial gains, other segments collectively increased by a more modest 2.8%, reaching 1.8 trillion rubles. Key drivers of growth in non-life insurance included voluntary medical insurance (VMI), car insurance, and corporate insurance products.
One area that saw a decline was credit life insurance and accident and disease insurance offered through banking channels. This decrease was attributed to a shift toward collective insurance schemes, a reduction in consumer lending, and the inclusion of insurance risk by banks within loan agreements.
In terms of payouts, the volume of payments made under insurance contracts more than doubled in 2024, reaching 2.1 trillion rubles. The primary contributors to the increase in life insurance payments were cumulative life insurance policies, while in non-life insurance, automotive and property insurance for legal entities drove the rise.
