Insurance premiums rise 14.4 percent as profits drop 28.4 percent

Endowment life insurance served as the primary growth engine across the market, expanding by 66.7 percent year-on-year to 864 billion rubles in the first half of 2026.

The expansion followed high demand for short-term policies with bank-deposit-like guaranteed yields, where contracts under one year captured 48.2 percent of premiums.

This dynamic offset a 56.1 percent drop in investment life insurance to 177.4 billion rubles, triggered by a regulatory ban on new sales that took effect on January 1, 2026.

In non-life segments, voluntary medical insurance collections climbed 10.6 percent to 178.5 billion rubles, while comprehensive auto insurance premiums increased 11.4 percent to 166.7 billion rubles on higher vehicle sales.

Sector net profit fell to 206.5 billion rubles as return on equity decreased by 11.2 percentage points to 21.2 percent and return on assets dropped to 6.2 percent.

Underwriting margins weakened due to higher claims in medical and compulsory motor lines, alongside negative revaluations on fixed-income holdings amid interest rate uncertainty.

Total insurer assets rose 21.8 percent year-on-year to 7.3 trillion rubles, while capital reached 2.1 trillion rubles.

Bond allocations slipped to 48.5 percent of assets as insurers trimmed OFZ net purchases by 25 percent quarter-on-quarter.