Financial Services, Insurance, Latvia

The profit of non-life insurers was EUR 2.4 million, and profit of life insurers reached EUR 0.35 million.

Gross premiums subscribed by the Latvian insurance companies and the Latvian branches of foreign insurance companies rose by 4% in the first quarter of this year to EUR 157 million, including premiums subscribed by Latvian branches of foreign insurance company growing by 11% and accounting for 27% of total premiums subscribed.

The financial watchdog reported that as the claims dropped in the first quarter of this year, the indicator showing profitability of non-life insurers improved considerably – from 107.3% in the first quarter of 2015 to 98.8% in the first quarter of this year. If the indicator is above 100%, it means that insurers sustain losses.

In 2015, Latvian non-life insurers posted EUR 104,000 in profit, while life insurers sustained loss worth EUR 915,000, mainly due to fluctuation in stock prices. Gross premiums subscribed by the Latvian insurance companies and the Latvian branches of foreign insurance companies increased by 2.6% in 2015 to EUR 531 million.