The market size of non-life insurance in Russia is expected to see robust growth over the next four years, according a new report by UK-based research firm BRICdata.
The Russia’s non-life insurance market recorded healthy growth during the 2006-2010 review period, the report said.
Until the global economic crisis, the Russian non-life insurance market grew at a healthy rate before slowing during the crisis period, the report added.
The market, which is highly fragmented with more than 600 insurers operating in it, recovered in early 2010.
Over the forecast period 2011-2015, the country’s non-life insurance market is expected to consolidate with larger firms acquiring smaller ones and some smaller insurers exiting the market.
The market size of non-life insurance is expected to increase from $13.4bn in 2010 to $22.9bn by 2015, at a CAGR of 11.1%, the BRICdata report said.
According to the report, the market is dominated by local industrial insurers such as Rossgostrakh-Stolitsa, SOGAZ Insurance Group, Ingosstrakh, Reso Garantia, Voenno-Strakhovaya Kompaniya and others, while foreign non-life insurers are expected to gradually increase their market shares.
The report indicated the growth in the Russian non-life insurance market will be driven by increasing credit levels and FDI limits.
The full report ‘Non-Life Insurance in Russia, Key Trends and Opportunities to 2015’ is available from BRICdata. Click here for more details.