Poland’s Insurance Market Consolidates Rapidly as Talanx and Vienna Expand - a Study Published by Inteliace Reports Today

“After a series of M&A transactions led by Talanx and Vienna (VIG), almost 60% of Poland’s insurance market was controlled by 3 large insurance groups as of 2012. Poland dominates the insurance sectors in Central and Eastern Europe with 15 billion EUR in annual premiums, a 44% regional premium share, and still high growth potential,” explained Marcin Mazurek, Director of Inteliace Research, while presenting a newly published study "Insurance Market in Poland 2013-2015."

Warsaw, Poland, July 03, 2013 --(PR.com)-- According to the study "Insurance Market in Poland 2013-2015" published by Inteliace Research today, Poland's insurance market sustains solid performance despite slowing economy. With an 8% YoY growth in total premiums in 2012, Poland was again beating most of its CEE peers and increased its regional premium share from 42% in 2011 to over 44% in 2012. Particular strength could be observed in life premiums (+11% YoY), which can be attributed to the spike in sales of investment products, in particular, deposit substitutes and unit-linked products (+27% YoY). In addition, the non-life premiums have increased but at a slower pace (+5% YoY), which was an effect of returning price wars in car insurance business.

Significant ownership changes have taken place in the insurance landscape in recent years. Aggressive M&A activity led by Talanx (including acquisitions of Warta and Europa) and transactions of Vienna Insurance Group resulted in the gradual emerging of new leaders. The combined share in premiums of three major groups—PZU, Talanx, and VIG—topped 60% in 2012, although this might not be visible at first glance due to the high number of their subsidiaries. At the same time, other major firms, including Allianz, ERGO, and Aviva, have seen their market shares eroding, as is the case with many smaller players.

Inteliace Research expects the insurance sector to resume growth in 2014 after overcoming the stagnation likely to occur in the present year. The premiums are expected to increase at an average rate of 8% and 6% in the non-life and life insurance business respectively during 2014–2015.
Inteliace Research
Marcin Mazurek