The insurance market in Tunisia continued to grow with total premiums written increasing by 7.9% in 2018 (compared to 12.5% ??in 2017), reaching TND2.25bn ($801m), according to the latest annual report released about three weeks ago by the General Insurance Committee (CGA).
The 2018 annual report notes that the Tunisian insurance market outperformed the economy in 2018 when the GDP growth rate was around 2.5% (compared to 1.9% in 2017 and only 1% in 2016).
An examination of Tunisia's insurance data for the last five years (2014-2018) shows regular growth in overall market turnover at an average annual rate of 9.8%.
The motor insurance branch is the biggest segment and dominate the market, with the number of vehicles registered increasing from year to year. Thus, it remained the locomotive of the market with a 43.5% share of premiums though growth in premiums was lower than the sector average, representing an annual growth of 4.3%r. The second biggest insurance segment was health insurance with a market share of 14.3% and written premiums exceeding TND322m in 2018.
The insurance industry's most significant growth potential lies in ??life insurance. Its share in the market is improving year by year, standing at 22.5% in 2018 against 21.2% in 2017. Indeed, life insurance business expanded by more than 14.6% in 2018 with an average annual growth of 18% for the five years 2014-2018.
Structure of the insurance market in 2018
The Tunisian insurance market has 22 companies operating in it, two of which are mutual companies. There are also seven foreign (re)insurers operating in the country, through five branches and two representative offices. Three of the 22 companies are takaful operators, namely, Zitouna Takaful, El Amana Takaful and Assurances Attakafulia.
The market is also served by a network of insurance intermediaries (1,192 in 2018), including 1,032 agencies and 62 brokerages.