New Albanian-owned insurer licensed

TIRANA, June 25 – Ansig has become the ninth insurer in the Albanian market. The Albanian Financial Supervisory Authority says it has licensed Ansig to operate in the non-life market.
A wholly-owned Albanian company, Ansig has been established with an initial capital of 370 million lek (Euro 2.6 million).
“The launch of a new operator in the insurance market is a very positive signal. This signal should be interpreted in several directions. First of all it confirms the continuous development of the market and the fact that the market is attractive to new investors. The insurance market is injected 370 million lek of capital. Secondly, the positive effects are also extended in the macro aspect by creating new jobs as the company will have its presence in several major cities. And thirdly, the launch of the operator will further increase market pressure to increase customer service quality,” says the Supervisory Authority.
Quality competition is always in the consumers’ interest. For the Supervisory Authority, a market with a rising number of operators means more space and flexibility to exert supervisory mechanisms which means consumer protection.
At present there are eight companies operating in Albania, in a market dominated by Austrian-based insurers. Insig, the only wholly state-owned company and has been put up for sale.
Insurance penetration (premiums as a proportion of GDP) in 2011 was around 0.67 percent in Albania, a relatively low rate even compared to regional countries.