Insurance market in 2022: Growth of 4.3%

According to this note relating to the third quarter and the forecasts for the close of 2022, damage insurance companies expect to close the financial year of the past year with a total premium estimated at 136.8 billion dinars, which translates by an increase of 3.1% compared to 2021. With the exception of the “Agricultural” branch, all the branches of this activity should experience growth rates varying between 3 and more than 12%, at like “Automobile” with growth of 3.7%, “IRD” (3.2%) and “Credit” (12.6%). As for the production of personal insurance, and with a forecast of 14.5 billion dinars, it should register an evolution of 17.3%, according to the same source, specifying that apart from “Capitalization” insurance, the all the branches could experience significant growth, such as the “Accident” branch (82.4%), “Assistance” (87.4%) and “Collective insurance” (16%). With regard to the activity of the insurance market during the first three quarters of 2022, it is indicated in the same document that this market, all activities combined, “generated a turnover of 120.2 billion dinars, an increase of 5.4% compared to the same period of the 2021 financial year”. Maintaining its dominance on the national market, the “Damage Insurance” (AD) branch has monopolized a share of 85.8%, followed by “Personal Insurance” (AP) with a rate of nearly 10 %, we read in the same note, which indicated that the “International acceptances”, with a market share of 4.4%, cumulate, as for them, an additional production of 236.4 million dinars, that is to say a increase of 4.7% compared to September 30, 2021.

For its part, the production of the “Takaful” activity totals, for its second quarter of integration of the national market, as of September 30, 2022, a production of 20.5 million dinars, i.e. only 0.02% of market share. .

Nearly 45 billion dinars in compensation in 9 months

Regarding claims reported to insurance companies for the first 9 months of 2022, the CNA noted that their amount increased by 5.1%, with a 1.4% increase in the number of files. “For 703,421 files settled (including 4 under Takaful insurance), compensation from the insurance market reached an amount of 44.8 billion dinars, up 2.2% compared to the same period of 2021», indicates the same note, specifying that, in terms of amount, the claims to be paid knew an evolution of 6.2%, for a total of 100.8 billion dinars (including 2.2 million cumulated in Takaful insurance, concerning 55 files). The number of files, meanwhile, decreased by 3.8%, from 1.5 million pending files, as of September 30, 2021, to 1.4 million files as of September 30, 2022, according to the same document. Regarding the figures for the 3rd quarter of 2022, the insurance market cumulates a turnover of 41.5 billion dinars, up 6.5%, thus generating an additional production of 2.5 billion, indicates is it in the same text, specifying that this increase is the result of the growth in premiums collected for damage insurance (+4.8%), personal insurance (+6.6%) and acceptances international (+52.6%), as well as the relative added value provided by “Takaful” insurance, which amounts to 8.5 million dinars. During the 3rd quarter of 2022, the turnover of “Damage insurance” is around 36.6 billion dinars, up 4.8% compared to the same period of the 2021 financial year, while that of “Personal insurance” is nearly 3 billion, up 6.6% compared to the 3 quarter of 2021. In terms of production of “Reinsurance” during the 3rd quarter of 2022, the Compagnie centrale de réassurance ( CCR) totals an achievement of 1.9 billion dinars in international business, against 1.2 billion in Q3-2021, an increase of 52.6%, according to the CNA, which noted that this increase is induced, essentially, by the “Fire” branch (+72%), whose share in the portfolio is 65.4%, followed by a long way by the “Engineering”, “Transport” and “Accident and R&D” branches which together occupy 28.5% % and show respective increases of 47.5%, 60.3% and 55.3%. Regarding insurance market shares in Algeria, the CNA document states that public companies remain predominant, with a 76.9% share of the damage insurance market and a turnover of 79.3 billion dinars. during the first 9 months of 2022. Private capital companies totaled, during the same period, a production of 22.3 billion dinars, i.e. a share of 21.6% of the damage insurance market.

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