Total income of insurers for the first three months of the year reached KZT 166.81 billion (~EUR 0.34 billion), and net profit tripled y-o-y (KZT 55.34 billion). About 39% of the total income of insurance companies was provided by their investment activities, Allinsurance.kz reports.

The investment income of the Kazakh insurers in 1Q2020 increased four times y-o-y and amounted to KZT 64.57 billion (~EUR 131.4 million). At the same time, 78.4% of this income was provided by revaluation of foreign currency.

Weakening of the national currency tenge from January to March 2020 reached 17%. According to experts, a similar situation was observed on the market in 2015, when the weakening of the currency led to a record level of insurers' investment income.

The leader in terms of investment income at the end of 1Q2020 was EURASIA (KZT 22.01 billion). VICTORY ranked 2nd - its investment activity generated over 78% of the company's total income for this period. The third place was taken by NOMAD Life (KZT 4.44 billion).

However, despite the high investment profitability, the Agency for regulation and development of the financial market recommended that banks and insurance companies should avoid paying dividends this year and to use their capital reserve to cover risks from the pandemic if needed.
* EUR 1 = KZT 491.36 (as of 1 April 2020)