ArmInfo. The loss ratio of motor third-party liability insurance (MTPL insurance) was 68% as of November 1, 2023, against 64% last year, in the first quarter of 2022, Armenian Motor Insurers Bureau.
The ratio showed an increase amid the liberalization of MTPL insurance tariffs this April. This January- October, the number of MTPL insurance contracts in effect showed a 13% increase against 17.4%, with a 3.5% increase in insurance premiums against 16% and a 13.9% increase in insurance indemnities against a 5.7% decrease.
According to the Armenian Motor Insurers Bureau, the number of vehicles with MTPL insurance policies showed a moderate increase, 8.6%, in January-October, 2023, as compared with the corresponding period last year. As of November 1, 2023, the number of vehicles with MTPL insurance policies reached 647,968, with the number of MTPL insurance contracts in effect exceeding 1.085mln (999,655 sine cancelled contracts). The reason for the number of contracts exceeding that of vehicles is a high number of quarterly (short-term) contracts. The share of E-policies in the total number of MTPL insurance contracts remained unchanged, 25%.
In January-October 2023, the insurance premiums under the contracts exceeded totaled AMD 22bln ($54.6mln), with insurance indemnities totaling AMD 14.5bln ($35.9mln). In cases of European accident statements, the paid indemnities totaled AMD 1.6bln (a decrease of 5.5% against a 41.2% decrease in the corresponding period of last year), with one indemnity averaging AMD 85,043 (a 9% increase against a 20.2% decrease). As regards general insurance indemnities, one payment averaged AMD 232,729 (a 9.4% y/y increase against 0.4% last January-October).
Since the end of July, 2023, seven insurance companies have been operating in Armenia. The EPHESUS insurance company returned to the market and is preparing to enter the MTPL insurance segment.
