The Board of the National Bank of Kazakhstan has resolved to revoke a license for insurance (reinsurance) activities from Kompetenz Insurance Company JSC as of February 1, 2019.
The National Bank takes systematic measures to ensure the financial stability and sustainability of the insurance market and take compliance enforcement measures against unscrupulous participants - insurance companies, insurance brokers. Over the last 3 years, 4 insurance companies have been reorganized and voluntarily surrendered their licenses. The measures taken are part of the supervisory process and aimed at increasing confidence in insurance and preventing the withdrawal of assets from the insurance market.
The largest participant in the Kazakhstani insurance market is Eurasia Insurance Company with total assets of 272.5 billion tenge and the annual growth of 16%.
The subsidiary organization of Narodny Bank Halyk-Life ranks second in terms of assets: 141.8 billion tenge, over the year the amount has increased by more than 2 times.
Another subsidiary of Halyk Bank closes the top three, it was rebranded and changed its name from Halyk-Kazakhinstrakh to Halyk Insurance Company with 134.1 billion tenge, almost 3 times more than the same period a year earlier.
The top five major insurance companies also include Victoria (94.1 billion tenge) and Nomad Life (93.9 billion tenge). In total, the TOP-5 insurance companies concentrated 68.2% of the assets of the entire market.
By the end of January 2019, the return on assets (ROA)* in the market was 0.6%. The highest value is observed in NOMAD Insurance (1.3%), as well as in Eurasia Insurance Company (1.1%). The third place in terms of asset utilization is taken by the main exporters insurer KazakhExport (1.1%).
The fastest growing insurance company by the end of this January was Halyk Insurance Company, which increased its assets by 2.9 times during the year from 45.9 billion to 134.1 billion tenge.
“Halyk-Life” is the second with the annual increase in assets of more than 2 times to 141.8 billion tenge.
The top three in terms of growth is closed by Centras Insurance, the assets of the IC for the year have increased by 47.5% and amounted to 16.7 billion tenge.
The TOP-5 of insurance companies for the annual growth of assets also included Sinoasia B&R with increase of 42.6%, and Nomad LIFE with asset growth of 39.9%.
The total assets of these five fast-growing companies amounted to 389.4 billion tenge, which is 36.1% of the entire insurance market assets.
* The degree of efficiency of all organization assets use reflects the amount of profit per unit value of assets.