21 Feb ‘DallBogg: Life and Health’ – leader in premium income in general insurance

According to the Financial Supervision Commission (FSC), by the end of the third quarter of 2024 the gross premium income in general insurance will reach BGN 2.903 billion. This represents an increase of 5.4% compared to the same period of 2023.

The largest insurer by premium income in the general insurance market is ‘DallBogg: Life and Health‘. We speak to Mr Cvetomir Panagyurski, a member of the company’s Board of Directors, to understand the key factors behind this success, the challenges facing the sector and future strategic priorities.

Mr Panagiurski, what does this achievement mean for you and the company?

It is the result of our long-term strategy to provide a high quality insurance service to our customers. The leadership position proves that our investment in product development and effective risk management is delivering tangible results. For us, it’s not just a statistic – it’s a responsibility.

What are the key factors in your success?

Our success is built on three key elements:

Customer focus – we always strive to understand and anticipate market needs, offering innovative and flexible insurance solutions.

Effective risk management – thanks to well-established processes and an experienced team, we maintain stability even in the face of economic uncertainty.

Strategic planning and operational efficiency – these allow us to adapt quickly to market changes and maintain our competitive edge.

The insurance market is constantly facing various challenges such as inflation, regulatory changes, geopolitical environment. However, climate change in recent years seems to be gaining more and more economic importance. How is DallBogg responding to this trend?

According to a study by the European Central Bank, extreme weather events have significant macroeconomic consequences, but they also affect the financial stability of large groups of people. The insurance sector can offer solutions that significantly minimise the damage. However, to date in the EU, only about ¼ of climate-related losses are covered by insurance. Only in Denmark, Norway and Iceland is this percentage close to 50. Against this background, in Bulgaria, Romania and Greece the share is less than 5%. The figures clearly show that we still have a lot of work to do to improve the insurance culture of Eastern Europeans.

Natural disasters (floods, earthquakes, landslides) cause serious economic damage, but insurance coverage among the population remains low.

There is no compulsory insurance against catastrophic risks. I believe that there is a need for a natural catastrophe insurance pool that pools resources from the state, insurers and international institutions, spreads risk through reinsurance in global markets and offers affordable and compulsory insurance for households. It is also possible to introduce tax incentives for property owners who take out such insurance.

By adapting the regulatory framework and creating insurance pools, Bulgaria can improve the management of natural disasters. This will ensure a more stable insurance market and better protection for businesses and the population.

Specifically in answer to your question, risk management is at the core of our work. We closely monitor macroeconomic trends and regulatory requirements to adapt our strategies in a timely manner. In addition, we are actively investing in weather risk analysis and introducing innovative insurance solutions that minimize their impact on our business and clients. Our experts are ready to offer flexible tailored solutions for property and agricultural insurance.

How would you identify the main challenges in the sector in the coming years and what are the priorities for ‘DallBogg: Life and Health’?

We expect the insurance sector to go through some key transformations as a result of new technology, demographic and economic changes. I would focus on the following directions for development:

Insurance companies will continue to invest in digital platforms and online services that facilitate the process of buying and managing policies in real time. Artificial intelligence (AI) and big data will increasingly be used to assess risks, process claims and create personalised products that meet specific customer needs. Blockchain technology can improve transparency and security in claims handling and data management processes, reducing fraud and increasing trust in the industry.

In view of the climate change that has been mentioned, a clear trend is emerging in offering insurance that promotes sustainable behaviour, for example, protection against natural disasters or clean environment insurance. Green insurance is a promising niche, particularly attractive to a new generation of customers who are increasingly conscious of sustainability issues.

Again, I would like to emphasise the need to raise people’s awareness of the types of insurance and their real benefits in critical situations in their lives. Attracting the younger generation through easy and quick access to insurance services is also central to our efforts.

The steady growth and leadership position of ‘DALLBOGG: Life & Health’ is a testament to the company’s effective strategy and long-term vision. In an increasingly competitive market, the ability to adapt and innovate will continue to be the key to success.