Baltic, Financial Services, Insurance

The amount of insurance premiums underwritten by Ergo in the Baltic states grew by 17.6% or EUR 36 million year-on-year to EUR 242 million in 2017, while indemnity payments rose 7% or EUR 9.2 million to EUR 142.6 million.

Grinberga also said that the group’s market share in the Baltic states reached 14.6%.

Premium subscription increased by 22% in non-life insurance, 6.1% in life insurance, and 12.5% in health insurance.

The biggest indemnities last year were paid in Lithuania, including EUR 2.4 million paid to a farm that had to cull its pigs due to the African swine fever outbreak. The biggest indemnity paid in Estonia was worth EUR 450,000 in motor own damage (MOD) insurance, and Latvia’s biggest claim was EUR 250,000 in property insurance for fire damage.

Grinberga said that Ergo last year subscribed EUR 70.6 million in premiums in Latvia, up EUR 11 million from 2016, including EUR 30 million subscribed in non-life insurance, growing 17.5%, and EUR 40.6 million subscribed in life and property insurance, up EUR 6.6 million year-on-year.

In Latvia Ergo also paid EUR 43.7 million in indemnities or by EUR 3 million more than in 2016, including EUR 2.8 million paid in health insurance.

Ergo CEO in the Baltic countries Kestutis Bagdonavicius voiced satisfaction over last year’s results. "Despite the large amount paid in indemnities to customers, we have achieved a considerable growth in all areas – we have suprassed the Baltic insurance market growth pace, achieved a considerable rise in premium subscription. This year we will continue business development, focusing on technical results and profitability in all business segments," he said.

In 2016 Ergo group’s profit in the Baltic states was EUR 4.5 million.

The Baltic insurance group is part of Ergo International AG, one of Europe's largest insurance companies with headquarters in Dusseldorf.