The annual report of Bimeh Markazi Iran/Central Insurance of IR Iran, focusing on the performance of insurance and reinsurance companies nationwide during the fiscal year 1399/2020-21, is accessible online and in print.
This year, the total volume of Iranian market direct premium amounted to IRR 820,289 billion, signifying growth rate of 37.9 percent over the last year. In the year under review, motor TPL, health, and life with 33.6, 19.3, and 15.3 percent respectively had the greatest contribution in the overall market growth. Motor TPL with a direct premium of IRR 275,229 billion, earned the highest market share, followed by health and life with IRR 158,329 and 125,230 billion, correspondingly.
Alternatively, total paid loss amounted to IRR 439,615 billion, with 30.5 percent growth rate in 1399/2020. The highest share of paid loss relates to motor TPL and health with 40 and 27 percent. Life with 9.5 percent of the total paid loss occupy the next position.
Moreover, the overall market loss ratio, delineating incurred loss to earned premium, was 82.3 percent by 1.3-unit decrease. Also, loss ratio of motor TPL and health (as major shares of portfolio) in the Iranian insurance market was 108.8 and 81.6 percent respectively, with 1.7-unit increase and 3.8-unit decrease compared with last year.
In 1399/2020-21, Bimeh Markazi had a written reinsurance premium of IRR 129,997,368 million from local compulsory and optional reinsurance accepted from national and international markets. Total reinsurance accepted in 1399 rose by 13.83 percent over the preceding year. The volume of retrocession is IRR 1,807,294 million, whereas the retention is IRR 128,190,074 million.
In 1399, total reinsurance paid loss by Bimeh Markazi amounted to IRR 81,021,393 million, precisely 84.59 percent of which was paid in different lines of nonlife business and 15.41 percent in life insurance. During this year, total loss, recovered through reinsurance treaties, amounted to IRR 2,121,746 million, investment income of Bimeh Markazi in 1399 reached IRR 34,427,885 million, indicating an upsurge of IRR 8,557,575 million or 33.08 percent over the past year.
As stated by the President of Bimeh Markazi, eminent involvement of insurance industry all through coronavirus pandemic and cordial cooperation with communal health and care workers deem to be the single most glorious achievement of supervisory regulatory body of Persian insurance industry.
Gradual implementation of paperless insurance policies is another remarkable act in the course of underwriting, contributing to the increase in general satisfaction and decrease in the insured individual’s approach in person.
Another important point in recent policy making of the supervisory body is defining premium rates as well as terms and conditions of policies that do not conform to inflation rate, in addition to the emphasis on psychological security rather than profit making, which evidently distinguishes this industry from others.
you can access our annual report in following: