Armenian insurance companies generate profits through high tariffs,  earning $7.3 million in the first nine months of 2025

ArmInfo.  Armenia's insurance sector saw a significant increase in  its net profit  in  the first nine months of 2025 compared to the previous year. The  sector's net profit quadrupled, reaching AMD 2.8 billion ($7.3  million), a stark contrast to the 77,5% decline experienced a year  earlier. This growth was the result of tariff increases, leading to  an annual premium growth of 16.6% (amounting to AMD 63.2 billion or  $165.2 million), a substantial improvement from the previous year's  1.5% decline. However, the  annual indemnity growth slowed down from  17.3% to 8.1% (to AMD 35.2 billion or $92 million), according to the  Financial Rating of Armenian Insurance Companies as of September 30,  2025, prepared by ArmInfo Investment Company based on published  financial reports and additional data requested from insurance  companies.

In terms of net profit for the first nine months of 2025, REGO  Insurance took first place with AMD 620.5 million, Armenia Insurance  followed in second place with AMD 590.3 million, and LIGA Insurance  took third place with AMD 578 million. Nairi Insurance dropped to  fourth place with 494.3 million drams. Efes maintained  in fifth  position, but now with a profit of 443.2 million drams. Sil Insurance  took sixth place with a profit of 135.7 million drams. In the seventh  and last place was INGO, unable to generate a profit year-on-year,  only managing to reduce its loss to 53.2 million drams.

Of the insurance companies mentioned, two were able to reverse their  losses and return to profit (LIGA Insurance and Efes). Three others  increased their profits (REGO Insurance, Armenia Insurance, and Nairi  Insurance), while only one insurance company (Sil Insurance) saw a  decline in profits. Moreover, Efes Insurance Company's largest profit  growth (33-fold) is attributed to its recovery from the loss it had  recorded in its first year of operations. However, the current  significant slowdown in premium and claim growth suggests that  further profit growth at such a rapid pace is unlikely.

This time, Nairi Insurance Insurance Company took first place in  terms of insurance premiums, with 10.9 billion drams, moving up to  first place in terms of claims, with 6.1 billion drams. Efes  Insurance Company, with a slight difference in premium volume, came  in second, with 10.7 billion drams, while its claim volume rose to  fourth place, with 5.2 billion drams. INGO Insurance Company ranks  third in terms of insurance premiums and claims, with AMD 10.5  billion and AMD 5.3 billion, respectively. LIGA Insurance Company  ranks fourth in terms of insurance premiums, with AMD 9.5 billion,  and second in terms of claims, with AMD 5.7 billion. Armenia  Insurance Company has moved up to fifth in terms of insurance  premiums, with AMD 7.6 billion, and holds the same position in terms  of claims, with AMD 4.8 billion. Sil Insurance Company and REGO  Insurance Company rank sixth and seventh in terms of insurance  premiums, with AMD 7.3 billion and AMD 6.7 billion, respectively, and  similar claims, with AMD 3.98 billion and AMD 4 billion. Of the seven  operating insurance companies, six delivered annual premium growth  (4-78%, with REGO Insurance leading the way). Three insurance  companies delivered annual growth in claims (42-113%, with REGO  Insurance also leading the way).

 It's worth noting that a year ago, REGO Insurance didn't  particularly stand out in terms of annual premium growth, and even  opted to reduce claims. As for Efes, which is among the insurance  companies that increased both premiums and claims, it has  significantly slowed its growth rate for both indicators, from a  14-75x increase to 16.3-76%. Of the seven insurance companies  operating in the Armenian market, only one (LIGA Insurance) recorded  a reduction in premiums by 19%, while four (Nairi Insurance, Sil  Insurance, INGO, and LIGA Insurance) recorded a reduction in claims  (by 3-29%).

According to ArmInfo analysts, the transition of insurance companies'  financial reporting to the new format is increasingly concealing more  and more important indicators from market analysis. It's worth noting  that, unlike the previous reporting format, the new version lacks a  unified approach to financial reporting, allowing insurance companies  to selectively disclose certain balance sheet indicators. Therefore,  ArmInfo IC is requesting insurance companies to provide important  data missing from the new format, as it has become difficult for them  to independently analyze the market situation.

Recall, 18 out of the 20 insurance classes available are currently in  use in the Armenian insurance market.  The only ones not in use are  railway liability insurance and legal and extra-judicial expenses  insurance.

Only Armenia Insurance is licensed for railway insurance. INGO and  Armenia Insurance are licensed for the highest number of classes,  each offering 16, and LIGA Insurance offers 15. (The current exchange  rate for the dram to the dollar as of September 30, 2025, was AMD  382.52/1$.)