EFES Insurance Company, which entered the market in July 2023, achieved high growth rates in 2024, establishing itself as the leader in the voluntary insurance market (excluding CMTPL and the Social Package). Despite existing challenges, EFES has positioned itself as innovative participant in the market, with a focus on international cooperation and the development of new products.
Key Financial Achievements of EFES Insurance in the 2024 Fiscal Year
Gross Written Premiums (GWP) recorded a sharp increase, reaching AMD 11.8 billion and reflecting nearly a fourfold growth compared to the previous year.
The growth of the property insurance portfolio contributed the most to the premium growth, with an annual increase of AMD 3.3 billion, followed by the growth of the health insurance (AMD 2.9 billion) and the growth of the motor (CASCO) insurance (AMD 1.2 billion).
As a result, EFES reinforced its position as a leader in the voluntary insurance market, securing a 31.5% market share while ranking third in the overall insurance market, with a 16.8% share in total written premiums.
The Company's total assets tripled, reaching AMD 9.0 billion, while total equity increased by 37%, amounting to AMD 2.35 billion. Consequently, the capital adequacy ratio stood at 1.28, ensuring a safe and stable financial position.
Net operating income surged to AMD 1.64 billion in 2024, exceeding the previous year’s figure by nearly 12 times, driven by both insurance and investment performance. Specifically, the underwriting result amounted to AMD 1.3 billion (compared to AMD 82.1 million in 2023), while investment income totaled to AMD 371 million (up from AMD 57.8 million in 2023).
In 2024, the Company successfully reversed its negative performance from the previous fiscal year, reporting a net profit of AMD 82.1 million. The return on investment (ROI) stood at 11.2%, while the return on assets (ROA) reached 1.0% Statement from Arevshat Meliksetyan, CEO of EFES ICJSC:
“2024 was a significant year for EFES, marking our first full year in the market. Over the past year and a half, we have not only achieved rapid growth but also established a solid foundation for the long-term success. Our results demonstrate the effectiveness of our strategic vision, which focuses on innovation, customer engagement and digitalization.
We take pride in offering unique and affordable insurance solutions. Our new international products and mobile application have enhanced customer convenience and strengthened our customer-centric approach, reaffirming our commitment to digitalization and innovation.
In 2025, we will continue to push the boundaries of insurance innovation and are confident that these initiatives will further strengthen our position in the Armenian insurance market”.
Leading insurance segments in the market
The Company maintains a leading position in the market across multiple insurance segments. Notably, EFES holds the largest market share in property and travel insurance, accounting for 45.9% and 43.5% market share, respectively. Additionally, the Company has a significant presence in personal accident insurance, motor insurance (CASCO), and voluntary medical insurance.
Investments in technology and innovation
In 2024, EFES invested a total of AMD 396.5 million in technological solutions and innovations, including enhancements to digital platforms that improved the accessibility and speed of insurance services for customers.
The most significant milestone in technological investments was the launch of the EFES Insurance mobile application, with ongoing development plans extending into 2025.
Compliance with international standards
According to the external audit conclusion, EFES became the first company in Armenia's insurance market to receive an unqualified certification of compliance with the amended IFRS 17 'Insurance Contracts' international accounting standards in 2024. The accreditation was granted by the reputable external auditing firm Grant Thornton.
"EFES Insurance Company is one of Armenia’s leading voluntary insurance providers. Established in 2023, the company brings a creative approach to the Armenian insurance market, offering digital solutions and high-quality services. EFES collected AMD 11.8 billion in insurance premiums in 2024. With a team of over 200 experienced professionals, it serves approximately 170,000 clients annually. The Company is actively expanding its international partnerships, ensuring modern and affordable insurance solutions for its customers. EFES' mission is: 'to empower individuals and society to focus on the positive and creative aspects of life.'"
IT'S ALL ABOUT YOU Press release related questions. pr@efes.am
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