How will the insurance market look like in five years?
 The Moldavian insurance market has seen, in the years preceding the economic crisis, substantial double-digit growths. 2009 came with a decrease in the business of local insurers, influenced, as in Romania, by the major decline recorded by insurance related fields, such as leasing and lending, investments.
How will the Moldavian insurance market look like in 2015, in the opinion of Moldavian insurance companies leaders, due to structural changes caused by economic recession, is a question whose answer is seeken by companies, local authorities, as well as potential foreign investors.
Leaders of major insurance companies in Moldova estimate for the next years the increase of market concentration, in conjunction with the entrance on the market of companies with international capital, qualitative and quantitative expansion of underwritings and, last but not least, the growing importance of non-motor insurance, especially of life insurance, in the market portfolio.
 "In the coming years, on the Moldavian insurance market will activate companies that will be supported by strong European shareholders. Also, substantial progress will be registered especially on the life insurance segment. In this sense, significant changes will be felt since 2012. They will be based on, besides market entry of strong players, development of new types of insurance, but also increased awareness among the population about the necessity of insurance policies", said Vitalie BODEA, General Manager, MOLDASIG.
"Over the next five years, the insurance market will be strengthened. The number of companies will be reduced, under the circumstances of foreign players coming here. This will lead to increased quality of the industry's consolidated portfolio", says Octavian LUNGU, Manager of the company VICTORIA Asigurari.
"I think in the coming years, on the Moldavian insurance market, the number of players will be reduced, only eight companies focused on non-life remaining. Meanwhile, the number of actors in the life insurance market will grow to three or four companies", estimates Mihai MAZARENCO, Manager of EXIM-ASINT. Regarding risk concentration, the Manager of EXIM-ASINT believes that the entrance of powerful tradition companies on the life sector would increase competition, with effects on competitiveness and quality of services, the first winners being the consumers of such products. Regarding general insurance, Mihai MAZARENCO states that, in the coming years, to diversify portfolios and, thus, increase the dispersion of risk to non-motor insurance, "first of all, the trust of clients must be won. Also, capitalization and reserve building are essential. Last but not least, the insurance market of Moldova needs serious partners from among the major players in European and world level".
Author: Vlad BOLDIJAR
on 14.07.2010
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