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June 25, 2025 | 4 months ago
Insurance market: growth of 13.3% in Q1 2025
According to the CNA's note de conjuncture, the insurance market grew by 13.3% in the 1st quarter of 2025.
The Algerian insurance market continued its upward trajectory in the 1st quarter of 2025. At the end of March, its production stood at 56.9 billion dinars (DZD), up 13.3% on the same period in 2024. This dynamism is reflected in volume, with 4.27 million contracts underwritten, up 2.7% year-on-year.
Non-life insurance sales of DZD46.7 billion
The contract volume remained unchanged in the property-casualty insurance segment, while premiums rose. This segment remains predominant, representing 87.8% of the market. The number of contracts rose slightly to 2.4 million in the 1st quarter of the current year, compared with 2.3 million in the same period last year.
"This moderate increase may be linked to portfolio rationalization, the timid growth in "Motor" insurance subscriptions - a sector sensitive to the economic climate and the level of development of the fleet of vehicles - and the slowdown in subscriptions in the "Agricultural", "Transport" and "Credit" branches", explains the Conseil National des Assurances (CNA) in its conjuncture note on the sector's activities for the first quarter of 2025.
The memo explains that the note points out, however, that this stagnation in the segment is largely offset by a "remarkable increase in amounts collected" with a 14.8% rise in sales to DZD46.7 billion. This result can be attributed to a repositioning of rates, the promotion of guarantees and the enhancement of the product range
Motor sales up to DZD22.6 billion
The automotive sector (48.2% of property and casualty insurance) posted a 4.9% rise, representing an increase of one billion dinars. With sales of DA22.6 billion, this increase was driven by compulsory third-party liability (+ 13.4%). The Assistance product recorded strong growth of 30.2%. Also worth noting is the effect of new regulations prohibiting the resale of imported vehicles for less than 36 months, which could influence future subscriptions.
The same upward trend can be observed in the fire and miscellaneous risks (IRDs) branch. This line saw an exceptional rise of 30.1%, representing additional production of DZD7.4 billion, thanks particularly to strong demand for building and civil engineering insurance (all-risk assembly and construction) and industrial risk cover (fire, Cat-Nat). However, the civil liability sub-branch posted a slight decline. However, the transport sub-branch contracted, particularly in land transport insurance.
Life and health insurance premiums up 8.5
Life and health insurance posted significant growth of 8.5% in premium income, to almost DA6.5 billion, and a 1.7% increase in the number of policies underwritten. This performance was driven by group provident insurance, which accounted for more than half of sales in this segment, with an increase of 18.8%. In detail, the accident branch posted contrasting results. While "accident of life" cover rose by 45.9%, individual accident insurance fell sharply, by 71.1%, affecting the segment's overall performance.
The Takaful market recorded an explosion in insurance premiums. Growth was spectacular, to say the least, with total contributions estimated at DZD234.3 million (up 106.3%). The General Takaful segment reached DA129.1 million, while Family Takaful stood at DZD103.2 million, demonstrating the growing interest in insurance solutions aligned with Islamic finance.
Claims declined by 4.8% to DZD20.6 billion, while the declared loss volume jumped by 14.27%. Claims payments amounted to DZD15.29 billion, 88.1% from property and casualty insurers. However, the settlement rate declined, reaching 10.3% in terms of amount (-10.4%) and 19.9% in terms of number (-11.7%).
June 25, 2025 | 
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