Business And Markets

Insurance Premiums and Payouts Rising

Insurance Premiums and Payouts Rising
Insurance Premiums and Payouts Rising

Insurance companies collectively generated about 86 trillion rials ($357 million) in premiums in the first two months (March 20-May 20) of the current fiscal year, marking 31.4% growth compared to the same period last year.
Data from the Central Insurance company of Iran (CII) show that personal vehicle insurance (known as third-party insurance) accounted for 39% of the total premium. Medical insurance slightly decreased to 18% in the two months. 
CII data also indicated a year-on-year jump of 12.2% in payouts, as insurance companies paid 42 trillion rials in claims during the period.
The payout ratio of the industry also was 48.7%, nearly 8.3% lower than the first two months of the previous year. According to the CII report, the payout ratio of 13 insurance companies was higher "mostly because of huge payouts in the medical insurance bracket."
Iran Insurance Company, the only state-owned insurance company, alone accounted for 32.8% of the premiums. Asia Insurance and Dana Insurance companies were next with 10.5% and 8.6% each. 
CII is the body in charge of regulating and supervising the insurance industry in Iran.

Add new comment

Read our comment policy before posting your viewpoints