Market Guide: Life Insurance and Pensions in the Czech Republic 2006

Table of Contents

• Overview
  • Catalyst
  • Summary
• Executive Summary
  • Following compound annual growth of 10.5% in the last five years, between 2006 and 2010, growth in the Czech life and pensions market is set to increase to 11.7%
    • The Czech life and pensions market expanded by a compound annual rate of 10.5% between 2001 and 2005
    • Faster growth in pensions will produce higher compound annual growth in the total market between 2006 and 2010
    • The market will continue to be shaped by EU legislation
    • The market is led by domestic firms
    • The market leaders rely on distribution through bank networks and intermediaries
• Table of Contents
• Table of figures
• Table of tables
• MARKET OVERVIEW
  • The Czech life and pensions market expanded by a compound annual rate of 10.5% between 2001 and 2005
    • The Czech life and pensions market experienced compound annual growth of 10.5% between 2001 and 2005
    • Since 2002, the proportion of premium income from unit-linked policies has been increasing steadily
• MARKET FORECASTS
  • Faster growth in pensions will produce higher compound annual growth in the total market between 2006 and 2010
    • Over the next 5 years, premium income is set to grow at a compound annual rate of 11.7%
• MARKET REGULATION
  • The market will continue to be shaped by EU legislation
    • The Czech National Bank regulates the life insurance and pensions sector
    • Insurance companies which belong to financial conglomerates face additional supervisory requirements
    • Recent legislation affects insurance intermediaries
    • Proposed anti-money laundering legislation implies an additional administrative burden for insurers
    • Upcoming laws will enhance consumer protection
    • Providers may be required to fund a new insurance guarantee
• COMPETITIVE MARKET STRUCTURE
  • The market is led by domestic firms
    • The Czech life and pensions market is dominated by domestic providers
    • The top 5 life and pensions insurers control just under three-quarters of the market by gross premium income
• MARKET LEADERS
  • The market leaders rely on distribution through bank networks and intermediaries
    • Ceská pojiscaron;tovna is the life insurance market leader, based on premium income in 2005
    • Kooperativa trails the market leader in the life insurance sector
    • ING Nationale-Nederlanden ranks third among life insurance companies
    • CSOB pojiscaron;tovna is the fourth highest ranked life insurer by premium income
    • Pojiscaron;tovna CS rounds out the top 5 life insurers
• APPENDIX
  • Definitions
    • Capital redemption policy / bond
    • Composite insurer
    • Defined contribution pension scheme
    • Defined benefits pension scheme
    • Group policy
    • Individual pension scheme
    • Individual policy
    • Life assurance
    • Occupational pension scheme
    • Pension insurance policy
    • Premium income
    • Regular premium
    • Single premium
    • Technical provisions
    • Traditional insurance
    • nit-linked insurance
  • Further reading
    • Interactive Databases
    • Reports and Briefs
  • Ask the analyst
  • Datamonitor consulting
  • Disclaimer
  • List of Tables
    • Table 1: Life and pensions insurance premium income, segmented by product, EURm, 2001-2005
    • Table 2: Life and pensions insurance premium income, segmented by product, in percentages, 2001-2005
    • Table 3: Life and pensions insurance premium income, segmented by investment risk, EURm, 2001-2005
    • Table 4: Life and pensions insurance premium income, segmented by investment risk, in percentages, 2001-2005
    • Table 5: Life and pensions insurance premium income, segmented by product, EURm, 2006-2010
    • Table 6: Life and pensions insurance premium income, segmented by product, in percentages, 2006-2010
    • Table 7: Number of life insurance providers segmented by type, as at Dec 2005
    • Table 8: Top 5 life insurers by gross premium income, as at Dec 2005
  • List of Figures
    • Figure 1: Life premiums accounted for 88% of total premium income in 2005
    • Figure 2: Between 2001 and 2005, the market for unit-linked insurance experienced compound annual growth of 32.8%
    • Figure 3: Life insurance will continue to account for the majority of life and pensions income
    • Figure 4: Domestic insurers represent 82% of the Czech life and pensions market by number
    • Figure 5: Ceská pojiscaron;tovna leads the Czech life and pensions sector