In recent years, the Greek insurance market has successfully navigated a diverse range of challenges (such as inflationary pressures, subsequent changes in interest rates, and various natural disasters), demonstrating its enduring resilience to unforeseen events while highlighting the importance of the private insurance sector for the economy and society, according to an analysis by ICAP CRIF.
As the analysis notes, among the challenges facing the private insurance market is the need for timely adaptation to the requirements arising from the regulatory framework and, in particular, to the revised "Solvency II" for insurance and reinsurance companies, which is scheduled to take effect in January 2027.
Numerous and ongoing challenges for the Greek insurance market
2025 was a year of further growth but also of ongoing challenges for the Greek insurance market, following 2024, which saw a gradual normalization of the market. Our current era is characterized by a multitude of challenges and risks, ranging from climate change and demographic shifts to the pressures on public health and the sustainability of pension systems.
As these challenges translate into real costs for households, businesses, and the state itself, the role of private insurance becomes particularly essential. The strength of the insurance sector is reflected in the following figures: total claims paid by the sector amounted to €3.7 billion in 2024, while total investments reached €18.2 billion, making it a key driver of the Greek economy. Furthermore, the total assets of insurance companies amounted to €22.1 billion. The insurance sector’s penetration of GDP is estimated at approximately 2.5% for 2024, up from 2.4% in 2023.
Insurance premiums in 2025 will exceed the psychological threshold of €6 billion, more than offsetting inflation
As noted by Stamatina Pantelaiou, Director of Economic Studies & Publications at ICAP CRIF, in recent years, the growth in insurance premiums has outpaced inflation. Specifically, total premium production increased by 5.6% in 2025 compared to 2024 and, for the first time, exceeded the psychological threshold of €6 billion in 2025 (€6.015 billion). Life insurance premiums reached €2.81 billion, marking a 2.7% increase compared to the previous year, while non-life insurance premiums stood at €3.20 billion, showing an 8.3% increase.
The increase in life insurance was mainly driven by growth in the unit-linked life insurance segment (+5.2%), while non-life insurance premiums were influenced, among other factors, by increases in health insurance (+6.9%), land vehicle insurance (+11%), land vehicle liability insurance (+6.7%), assistance (+9.8%), and fire and natural perils (+12.4%). In the first two months of 2026 compared to the same period in 2025, total premium income rose by 7.2%. Looking further back, in 2024 compared to 2023, total premium production increased by 8%, while in 2023 compared to 2022, the increase reached 8.9%.
At the company level, it is worth noting that, in the life insurance sector, nine (9) companies increased their production in 2024 (compared to 6 that saw a decrease), while in the property and casualty insurance sector, 23 companies reported an increase (compared to 3 companies with a decline in production). Greater concentration is observed in the life insurance sector, as five (5) companies accounted for over 91% of life insurance premiums in 2024, while the same number of companies accounted for approximately 52% of non-life insurance premiums in the same year.
Financial figures for the sector
Based on the balance sheet accounts of a sample of 36 insurance companies, which are available in the ICAP CRIF database, it appears that total assets increased by 3.9% in 2024 compared to 2023, while equity increased by 3%. Total profits (before tax) rose by 61.5% over the same period.
An analysis of the balance sheets recorded in the ICAP CRIF database, examining specific key financial ratios for a sample of 44 insurance companies for the period 2020–2024, reveals that the non-life insurance sector exhibits the highest average return on equity and capital employed (18.6% and 3.1%, respectively), the highest average general liquidity ratio (7.4), as well as the lowest average debt-to-equity ratio (1.4:1). The life insurance sector has the highest ratio of insurance provisions to total liabilities (46.3%), and finally, the composite sector has the highest average gross and operating profit margins over the last five years (21.1% and 8.2%, respectively).
The insurance market is adequately capitalized
Looking at the Solvency Ratio, the Greek insurance market is adequately capitalized, as the basic solvency ratio for all companies stands at levels well above 100%. In fact, out of a total of 32 insurance companies, this ratio is projected to increase for 15 companies in 2024 compared to 2023 (46.9%).
Concentration in the sector has clearly increased in recent years
According to Konstantinos Palaiologos, Senior Manager of the Economic Studies & Publications Department at ICAP CRIF, concentration in the sector has been clearly on the rise in recent years. When tracking insurance production per company over time, one observes that—in terms of total production—the top five companies controlled 60% of the market in 2024, compared to 49% in 2020. In recent years, the insurance market has been undergoing a period of transformation, partly as a result of its efforts to respond to economic conditions, geopolitical developments, and the rapidly increasing demands for innovation and digital adaptation.
Banks are returning to insurance by strengthening their bancassurance portfolios
At the corporate level, the trend toward consolidation in the sector continued for yet another year, through mergers and acquisitions of major insurance companies at the operational level. This was preceded by the acquisition of European Credit by Allianz, the acquisition of National Insurance by CVC, as well as AXA by Generali, and MetLife by NN Hellas (and earlier, the acquisition of Agricultural Insurance by ERGO Insurance), followed by the acquisition of Ydrogios Insurance by the Italian mutual insurance group Reale, as well as the deal for the acquisition of Europe AEGA by the Intracom group.
Recently, the insurance sector has also attracted the interest of banks. Following the acquisition of CNP Insurance by Hellenic Bank (part of the Eurobank Group) and the repurchase of Eurolife by the Eurobank Group, National Insurance is now owned by Piraeus Bank.
A very recent development is the signing of a memorandum of cooperation between National Bank and Allianz aimed at exclusive collaboration in bancassurance. In addition, CrediaBank’s agreement to acquire Europe Holdings was officially announced, a move that reinforces its strategy to create a more diversified financial group with a strong presence in the insurance sector.
These moves are the result of a new strategy to integrate insurance companies into the core of banking activities, with the ultimate goal of generating revenue, particularly during periods of low interest rates.
Shifts in the insurance brokerage landscape
At this point, it is also worth noting the trend toward consolidation observed in recent years in the fragmented domestic insurance brokerage market, with major “players” incorporating smaller firms into their operations, a trend accompanied by significant changes in their share capital. This is by no means coincidental and is directly linked to the acquisitions and mergers that have already taken place in the insurance sector following the deals of recent years.
Positive growth prospects for the sector
Insurance industry experts forecast a further increase in insurance premiums, which will be primarily driven by factors such as: a) the implementation, now on a 12-month basis, of regulatory changes regarding mandatory insurance against natural disasters for vehicles and real estate for businesses and individuals, b) the new premium increases that have been or will be imposed on various categories of policies, and c) the ever-increasing pressure from the Independent Authority for Public Revenue (AADE) on drivers with uninsured vehicles. Finally, it is hoped that there will be a positive tax provision in the new bill from the Ministry of Labor, which will concern the Occupational Insurance Funds and the group pension plans of insurance companies.
Beyond consolidation, the growth prospects for the insurance sector are clearly positive, particularly in conjunction with the growth recorded in the Greek economy and the increase in GDP, as there is a positive correlation between insurance production and the country’s economic activity. The Greek insurance market has room to grow, considering that the sector’s penetration rate is significantly below the European average. Technological advancements, new consumer trends, and climate change—which in recent years has caused massive problems with wildfires during the summer months as well as extreme weather events— are the key factors that will shape the new environment in which insurance companies are called upon to respond to multiple challenges. Regarding the digital transformation of insurance companies and the provision of innovative services with the help of new technologies, there is no doubt that over time, the use of artificial intelligence (AI), the ability to analyze big data, as well as blockchain.
Maintaining free pricing of insurance premiums in the health sector, reducing the insurance gap in Greece (particularly in property insurance and savings), more effective use of artificial intelligence, rising claims and operating costs, as well as the increasing frequency of extreme weather events (which affect the resilience of business models), are indicative of some of the key future challenges for the private insurance sector.
The insurance sector, both internationally and in our country, is called upon to address structural changes resulting from developments and dynamic trends that have intensified significantly in recent times. Fierce competition and realignments in the insurance landscape, the cost of the required digital transformation and the integration of ESG criteria, combined with the changes brought about by the pandemic, have altered consumer needs and behaviors. At the same time, significant changes in interest rates, as well as the resurgence of inflation resulting from the energy crisis caused by the war in Ukraine and subsequently the war in the Middle East, are leading to a rethinking of insurance companies’ strategies.
Key areas of focus for insurance companies to accelerate business growth
The main areas on which insurance companies are expected to focus in order to achieve faster business growth are, first and foremost, strengthening sales through support for both traditional and alternative networks, always in combination with the adoption of a “multi-channel” sales network model and the use of cutting-edge technology (online insurance via the internet, mobile marketing), as well as the further promotion of bancassurance.
The development of new partnerships—collaborations and agreements with the private healthcare sector (private clinics)—will also be pivotal, always in conjunction with the introduction to the market of new, competitive, flexible, modern, and more profitable insurance products, and specifically the creation of programs to cover needs not met by social security. Furthermore, the creation of economies of scale (through acquisitions and mergers) will lead to the containment of operating costs as well as a reduction in product distribution costs and claims costs. Finally, portfolio rationalization and the digital transformation of businesses are becoming particularly important initiatives for the insurance sector in the post-COVID era.