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How do we make the economy grow? By encouraging insurance...

The beginning of spring brings, this year, the optimism of analysts, who point out more and more signals for economic revival in Romania. Increasingly optimistic forecasts are making their way on the first page of specialty publications, awaiting estimates of the National Statistics Institute, to officially announce the end of the recession.

Economic development will lead, in 8-10 months, to an increase of the insurance companies business, analysts say. Thus, the positive evolutions of industry, exports, real estate and credits will also be reflected upon the insurance market.
However, most recent studies show this relation could also run backwards. Thus, an increase of 1% of insurance underwriting will result in an increase of 0.5% of GDP.

So, we should not wait for a chain reaction to return to insurance growth, as we can start from this side to stimulate all the economic cycle. In this sense, the state can take proactive measures to stimulate the insurance market, to make the concept of protection more popular, in all citizens' interest.

And studies show that the effects on the overall economy will soon appear...

Author: Mihaela CIRCU on 07.04.2011

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