In Armenia by July 1, 2018 the loss ratio for compulsory motor TPL  insurance and for health insurance increased

ArmInfo. In Armenia, the loss ratio by July 1, 2018 increased in the compulsory motor third party liability insurance and in health insurance, and decreased for KASKO.  According to Ranking of insurance companies of Armenia as of  30.06.2018, prepared by IC ArmInfo, the loss ratio for compulsory  motor third party liability in the average for the market increased  from 55.6% to 67% per annum, for medical insurance - from 41.7% to  42.5%, and for KASKO fell from 78.6% to 70.6%.

The annual growth in the loss ratio was also observed in the  insurance of those traveling abroad - from 14.8% to 22.7% on average,  property insurance from other damages - from 2.2% to 28.4%, financial  loss insurance - from 75.3% % to 78.9%.

The decline in the loss ratio, in addition to CASCO, was recorded in  the annual section for cargo transportation insurance, from 16% to  10.3%, property insurance against fires and natural disasters - from  11.1% to 8%, and general liability insurance - from 4% to 0.9%.  During the year under review, the unprofitable loss ratio for  accident insurance remained unchanged at 6.4%.

According to Ranking of insurance companies of Armenia prepared by NA  ArmInfo, the volume of insurance premiums as of July 1, 2018 exceeded  22 billion drams, and compensation amounted to 10.8 billion, with  annual growth of 29.6% and 34.9%, respectively. OSAGO and medical  insurance in terms of premiums and reimbursements keep leadership.  Moreover, compulsory motor third party liability insurance for  premiums showed a meager growth of 0.3% with an increase in  compensation by 20.6%, and medical insurance increased premiums 2.1  times with an increase in compensation by 92.4%. According to the  CASCO, the premiums in the annual section increased by 6.3% with a  decrease in compensation by 1.2%.

It is pertinent to note that from October 1, 2017, the gradual  introduction of MHI started in Armenia, which started with a social  package for civil servants - about 100 thousand beneficiaries, funded  by the Ministry of Health through state funds. At the second stage,  from the second half of 2018 the social package will cover the most  unsecured segments of the population - 612,000 of the most needy  citizens of the RA. Only a year later, with positive results of these  two stages, OMC will fully work in Armenia, covering all the  remaining working citizens of the country.

For OSAGO for 7 years from the introduction of compulsory motor  insurance to this day, many steps have been taken to improve this  segment. The introduction of the direct compensation mechanism since  April 2017 turned out to be the root change in the OSAGO system.  Automation of all processes is actively going on, in particular,  since November 1, 2017, car owners have had the choice: to buy the  MTPL policy online and even at a 5% discount. Along with this,  another opportunity is provided for the conclusion of an e- insurance  of an auto citizen - acceptance of cash when paying for an insurance  policy through payment terminals TelCell, EasyPay, Edram and  Mobidram. The works on the transition of OSAGO processes to a new  level of standards and automation have been completed - the system of  a single window and a single platform for the insurance market under  the project "Armenian Single Window for Automotive - ASWA" has been  launched. In 2018, it is planned to launch an electronic version of  registration of insurance cases, a unified registration system with  the Road Police according to more modern standards. But the  development of the insurance market of the Republic of Armenia is not  limited only by the internal changes in the procedures. For more than  a year the Green Card Bureau has been discussing the process of  Armenia's possible membership in the system of international motor  third party liability insurance.

There are 6 companies operating in the Armenian insurance market, out  of which there are 17 working classes, except for railway transport  insurance and insurance of judicial and extrajudicial expenses.