Romania's insurance market continued to grow in 2025, with the total volume of gross written premiums reaching approximately 25.8 billion lei, up 10% compared with the previous year, according to a statement from the Financial Supervisory Authority (ASF).
According to the cited source, the evolution was mainly driven by an 11% advance among ASF-authorised companies, while branches recorded a 7% increase.
Among the significant developments of the year were the end of the cap on MTPL (RCA) tariffs, as well as the ban, starting 1 July 2025, on the underwriting of new contracts in Romania by an insurance company operating under the Freedom of Services (FoS) regime.
ASF data show that the general insurance segment remained dominant, accounting for 80% of total gross written premiums. In this context, MTPL insurance continued to play a central role, with premiums in this segment reaching around 10.9 billion lei, up 9% compared with 2024.
On the claims side, the total volume of gross indemnities paid stood at approximately 12.3 billion lei, up 16%, reflecting both portfolio dynamics and pressures in the claims area, particularly in general insurance, which accounts for 83% of total payouts.
Technical reserves, calculated under the Solvency II regime, reached around 27 billion lei, up 22%, supported by both general and life insurance segments.
The investment portfolio of insurance companies continued to grow, with total investments reaching 38.5 billion lei, up 19% compared with the end of 2024. Its structure remained conservative, dominated by fixed-income instruments, particularly government bonds, which account for approximately 62.4% of the total.
Insurance distribution remained heavily dependent on brokers, which intermediated around 68% of total gross written premiums, or 17.6 billion lei, up 9%. The intermediation rate remained high in general insurance, at 82%, while in life insurance it stayed significantly lower, at 13%.
In terms of financial soundness, solvency indicators remained at comfortable levels, with SCR and MCR ratios above 1 and slightly higher than in the previous year. The liquidity indicator stood at 2.95 for general insurance and 3.6 for life insurance, both indicating an adequate capacity to cover obligations.
Overall, developments in 2025 outline an insurance market undergoing growth and consolidation, characterised by stable demand for protection products and a prudent investment structure.
At year-end, 24 companies were authorised by ASF to carry out insurance activities, alongside 15 branches operating under the right of establishment.
The Financial Supervisory Authority is the national authority, established in 2013 under Government Emergency Ordinance 93/2012, approved by Law 113/2013, responsible for regulating and supervising the insurance market, private pensions and the capital market.
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