General Liability Insurance - Romania

The projected market size (gross written premium) of the General Liability Insurance market market in Romania is expected to reach US$247.30m in 2024.
The average spending per capita in the General Liability Insurance market market in Romania is estimated to be US$12.61 in 2024.
Furthermore, the gross written premium in Romania is anticipated to exhibit an annual growth rate (CAGR 2024-2029) of 3.35%, leading to a market volume of US$291.60m by 2029.
In global comparison, the United States is projected to generate the highest gross written premium, amounting to US$178.4bn in 2024.
The General Liability Insurance market in Romania is experiencing a surge in demand due to increased awareness among businesses about the importance of mitigating financial risks.

Definition:

General liability insurance is a type of coverage that offers protection to businesses and individuals against financial losses resulting from third-party claims of bodily injury, property damage, or personal injury. When you have general liability insurance, you pay regular premiums to an insurer, and in return, the insurer helps cover legal costs, settlements, and damages if you or your business are found liable for causing harm to others. This insurance is vital for shielding individuals and businesses from the financial repercussions of legal claims and liabilities arising from accidents or incidents that occur on their premises or as a result of their actions.

Additional information:

The market contains the following KPIs: gross written premium aggregated for all countries and regions, gross written premium per capita, and the share of insureds in the total population for over 50 countries.

Liability insurance booked for individuals and businesses

Motor vehicles liability
Aircraft liability
Liability for ships
Reinsurance

The General Liability Insurance market in Romania is experiencing a notable shift in customer preferences, trends, and local special circumstances, driven by underlying macroeconomic factors.

Customer preferences: Customers in Romania are increasingly seeking comprehensive General Liability Insurance coverage that not only protects their businesses from traditional risks but also includes additional benefits such as cyber liability and environmental liability coverage. This shift in preferences is in line with global trends where businesses are becoming more aware of emerging risks and the need for tailored insurance solutions.

Trends in the market: One prominent trend in the General Liability Insurance market in Romania is the growing demand for product customization. Businesses are looking for insurance providers that can offer flexible policies to meet their specific needs, rather than opting for standard packages. This trend is shaping the market landscape and pushing insurance companies to innovate and diversify their offerings to stay competitive.

Local special circumstances: The regulatory environment in Romania plays a significant role in shaping the General Liability Insurance market. As the regulatory framework evolves to align with EU standards and requirements, insurance companies operating in Romania need to adapt their products and services to comply with the changing rules. This creates both challenges and opportunities for insurers in the market.

Underlying macroeconomic factors: The economic landscape in Romania, characterized by steady economic growth and increasing foreign direct investment, is influencing the General Liability Insurance market. As businesses expand and diversify, the demand for liability insurance increases to mitigate potential risks associated with growth. Moreover, the overall stability and resilience of the Romanian economy are boosting confidence among businesses, leading to a higher uptake of insurance products. Overall, the General Liability Insurance market in Romania is evolving in response to changing customer preferences, market trends, local circumstances, and macroeconomic factors. Insurers in the country need to stay agile and responsive to these dynamics to capitalize on the opportunities presented by a developing market.

Data coverage:

Data encompasses B2B and B2C enterprises. Figures are based on gross written premium, gross written premium per capita, gross claim payments, loss ratio, and distribution channels.

Modeling approach / Market size:

Market sizes are determined by a Bottom-Up approach, based on a specific rationale for each market layer. As a basis for evaluating markets, we use industry associations, national statistic offices, and international organizations, such as OECD. Next we use relevant key market indicators and data from country-specific associations such as insurance consumer spending, gross domestic product, insurance - consumer price index (CPI), population growth. This data helps us to estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the particular market. For example, exponential trend smoothing and HOLT-linear. The main drivers are insurance consumer spending and insurance - consumer price index (CPI).

Additional Notes:

The market is updated twice per year in case market dynamics change. The impact of the COVID-19 pandemic is considered at a country-specific level.

This report presents a comprehensive analysis and additional information on the Financial market, in a PDF format.

Both the number and cost of global risks are rising due to drivers, such as climate change and cyber crime, and these trends are impacting in the insurance industry. The global insurance market was worth almost six trillion U.S. dollars in 2022, but this looks set to increase substantially in the coming years. Cyber crime is consistently seen as a leading risk to global business by risk management experts. Meanwhile, the cost of natural disaster losses rose over the past two decades. These risks are likely to grow in the future, which will sustain the growth of the insurance sector.