TIRANA, August 25 – Albania’s insurance market maintained steady growth from January to July 2026. Insurance premium income reached ALL 15.92 billion. Meanwhile, payouts to citizens rose by more than 12% to ALL 5.41 billion.
Bank lending has strongly driven growth in life insurance, making it one of the market’s main developments. The sector grew by 5.75%, mainly due to mandatory insurance contracts linked to bank loans. However, the number of paid claims also increased by 23.30%, reflecting the growing use of flexible insurance plans.
Motor insurance recorded the biggest change and continues to account for the largest share of the market. Prices increased after the introduction of the bonus-malus system, which makes drivers who cause accidents pay more. Meanwhile, green card sales declined as travel by cars to neighboring countries that belong to the Central European Free Trade Agreement became easier.
Voluntary home insurance showed a contrasting trend. People bought fewer policies, but insurers paid almost 20% more in claims linked to fires and natural disasters. Despite fluctuations across different segments, recent figures show that overall claims activity has now stabilized.
/a.p./
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