National Bank of Moldova reports rising insurance-sector assets and solvency as net profit declines year on year

The National Bank of Moldova published a supervisory snapshot of the Moldovan insurance market as at 30 September 2024, pointing to quarter-on-quarter increases in insurers’ assets, capital and technical reserves and stronger solvency and liquidity in general insurance, with all licensed insurers reporting solvency ratios above 100% and liquidity coefficients above 1. Sector profitability remained positive, but net profit for the first nine months of 2024 fell compared with the same period of 2023. The market comprised nine insurers (eight non-life and one composite) alongside 48 insurance or reinsurance brokers, 51 insurance agents and 31 bancassurance agents. Total assets rose to MDL 5,490.6 million, of which MDL 3,160.4 million were liquid, and eligible assets for covering technical reserves accounted for 80.2% of the balance sheet; gross technical reserves increased to MDL 3,221.0 million. Average solvency in general insurance reached 158.4% (125.1% to 207.8%) and life insurance solvency was 660.2%, while general-insurance liquidity averaged 3.6. Over the first three quarters of 2024, gross written premiums grew 10.9% to MDL 2,421.9 million, with general insurance at 97.0% of the total, and gross claims paid rose 28.6% to MDL 900.4 million, lifting the general-insurance claims-to-premiums ratio to 36.7% and the net combined operating ratio to 99.3%. Intermediaries generated 57.5% of premiums and earned MDL 503.6 million in commissions, and the road accident victims protection fund held MDL 40.2 million and the compensation fund MDL 153.6 million.