Allianz’s General Insurance Premiums In Romania Down 11% To EUR55M In 1Q

05.12.2011 By Ioana Tudor

Gross general insurance premiums underwritten by Germany’s Allianz in Romania decreased by 11% in the first quarter of the year, to EUR55 million, due to the difficult economic situation and the reduction of policy renewal tariffs.

In the first quarter of 2010, the insurer's gross general (property and casualty) insurance premiums in Romania stood at EUR62 million.

Its operating profit on this segment decreased from EUR1 million to zero, according to a report released Thursday by Allianz.

In Central and Eastern Europe, Allianz's underwritten gross premiums amounted to EUR774 million.

On the life and health insurance segment, the insurer's statutory premiums in Romanian amounted to EUR6 million in the first three months of the year, while its operating profit stood at EUR1 million, from zero in the same interval in 2010.

Allianz' net profit decreased by 45% in the first quarter of the year, to EUR857 million, from EUR1.6 billion in the same interval in 2010, due to claims paid following disastrous earthquakes in Japan in March, according to Reuters.

Expenses from natural catastrophes amounted to EUR737 million in the first quarter of the year, of which about EUR700million were reserved to cover damages caused by floods in Australia and earthquakes in New Zealand and Japan.

The German insurer is present on the Romanian market through company Allianz-Tiriac, which operates on the insurance and private pension market.

Allianz-Tiriac's revenues from general and life insurance premiums dropped 20% last year, to 1.03 billion lei (about EUR319 million). The Romanian insurer registered an operating profit of about RON8 million in 2010. (EUR1=RON4.0842)