The Greek insurance market is at a critical point, as the constant increases in operating costs and significant damage to all sectors raise serious concerns about its viability, as it has emerged during the Union’s annual conference. Insurance companies Greece (UAE) completed yesterday (23.5.2025) in Hydra.
In this context, representatives of large insurance companies have warned of the need for immediate health and cars, as well as the treatment of natural disasters that have intensified in recent years to ensure the stability of the insurance industry.
In particular, Natural disasters show an annual increase of 5% to 6% over the past 30 yearswhich further enhances the need for insurance coverage.
In the vehicle insurance industry, Pressures are exacerbated by increasing the cost of spare parts and repairs. In addition, the supplies paid in mediation remain high, which intensifies the need to adjust the premiums.
It is noted that “in 2024 the losses amounted to EUR 350 million, of which around € 150 million was paid by insurance companies. Fortunately, the results of the big insurance companies for the first quarter of 2025 are positive. Therefore, the International Insurance Industry will withstand, as the Greek market has withstood, “said Nikolaos Makropoulos, President and CEO of Europe yesterday at a press conference.
It is recalled that, as of June 1, 2025, the obligation of all businesses with an annual turnover of over 500,000 euros have entered into force for any damage to natural disasters (such as floods, fires and earthquakes), covering at least at least 70% of the value of their assets.
However, Today is only 40% of business covered (4 out of 10), required to be insured on June 1, leaving a significant percentage exposed to risks.
According to Mr Makropoulos, the compulsory coverage of vehicles from natural disasters can virtually expand market benefits and enhance the insurance consciousness of citizens.
In terms of health sector, Determinants for the shaping of premiums The high cost of hospital services, progress and increased cost of medical technology, life expectancy, as well as the requirements of the SOLVENCY II framework remain.
As the Managing Director of Allianz Greece, Vassilis Christidis, pointed out, these data are on constant pressure on the insurance companies, making it necessary for annual adjustments to health premiums.
Insurance companies decided to hold their prices for 2025. “We do not want to raise the prices of premiums,” said Panos Dimitriou, CEO Panos Dimitriou, adding that “the Greek consumer does not have the potential of the Swiss, despite all the costs he faces are similar to those of Switzerland.”
At the same time, Mr. Dimitriou warned that if the increases in invoices continue to cover the increasing costs, Insurance companies will be found in search of additional supervisory funds of € 5 billion. “These funds, however, do not exist at this time and I do not know how they will be found,” he said.
To tackle health costs, A set of measures is requiredsuch as the application of DRG’s (Diagnosis Related Groups) and the increase in available beds in Attica, through new investments and public and private partnerships (PPPs) with insurance companies.