Ukrainian life insurers increase collection of premiums by 17.8%, payments by 35.4% in H1 2021 – NBU

KYIV. Aug 30 (Interfax-Ukraine) – Life insurance companies of Ukraine in January-June 2021 collected UAH 2.7 billion of insurance premiums, which is 17.8% more than in the same period of 2020 (UAH 2.294 billion).

According to the website of the National Bank of Ukraine (NBU), the amount of investment income received by insurers from the placement of life insurance reserves totaled UAH 181.2 million (for the first half of 2020 some UAH 195.4 million).

The financial income of insurance companies for the specified period decreased by 8.1%, to UAH 618.2 million. Income on bonds amounted to UAH 448.1 million (more by 23.8%), on deposits UAH 169.7 million (less by 43.5%), other income – UAH 227.7 million (less by 17.9%).

For the first half of 2021, companies made insurance payments in the amount of UAH 376 million, which is 35.4% more than in the same period in 2020. Of these, under completed insurance contracts UAH 110.1 million (more by 5.9%), the amount of redemption amounts was UAH 83.4 million (more by 1.8%).

The expenses of life companies related to the conclusion and prolongation of insurance contracts amounted to UAH 1.403 billion, which is 9% more than in the six months of last year, agency fees increased by 6.6%, to UAH 1.370 billion.

Other administrative expenses amounted to UAH 226.2 million (more by 20.3%), including UAH 8.2 million on advertising and marketing (less by 15.5%).

The companies’ net profit for the specified period amounted to UAH 196.9 million, while a year earlier, UAH 284.7 million.

As reported with reference to the NBU data, at the end of June 2021, some 19 companies specializing in life insurance were registered in Ukraine.