The revenue of the Algerian insurance sector increased to DZD89.8bn ($680m) in the first half of 2024, 7% higher compared to the first half of 2023, according to data released by the Algerian Union of Insurance and Reinsurance Companies (UAR).
While the revitalisation of the Algerian economy was an important factor for this growth, specialised products, such as credit insurance and takaful, played a major role in attracting a new group of customers to the insurance market, reported the Algeria Press Service, citing the UAR. The 1H2024 insurance market growth was also due to a 51% surge in international acceptances to DZD5.8bn.
By branch of business, P&C insurance contributed premiums of DZD73.6bn to the industry’s total turnover. The property insurance market grew by 5% compared to 1H2023 and contributed 82% of total industry revenue. "Motor insurance remains predominant, representing more than half of production, and all other branches have also posted positive results," says the UAR in a statement.
The life insurance segment saw premiums rise in 1H2024 by 5% year on year to DZD10.28bn. This increase was mainly due to the significant growth of travel assistance, whose premiums increased by 29% and represented 13% of total premiums.
The total amount of claims settled in 1H2024 amounted to DZD33.3bn, falling by 5% compared to the corresponding half in 2023. The reduction was mainly due to lower claims in P&C insurance business and international acceptances. However, some branches, such as motor and agricultural risks, saw increases in claims paid of 3% and 21% respectively.
"This performance of the insurance sector in the first half of 2024 highlights its remarkable strength, despite challenges,” said the UAR. “The overall resilience of the market remains a key indicator of its essential role in supporting and stabilising the national economy."