The market combined ratio improved to 0.95, down from 1.02 in 2021, driven by operational restructuring and increased efficiency.
“Romania’s insurance market is adapting and is on a good path to delivering results. The improvement in the combined ratio and the reduction in the expense ratio show that the market is becoming more disciplined, more efficient and better aligned with European supervisory standards,” said Alina Simion, Director, Audit & Assurance, Forvis Mazars in Romania.
According to the Romanian Financial Supervisory Authority (ASF), the first half of 2025 confirms this stabilizing trajectory. Gross written premiums reached RON12.3 billion, an increase of approximately 8% compared to the same period in 2024. General insurance remains dominant, accounting for around 79% of total premiums. Motor insurance (MTPL and CASCO) remained the main lines of business, with a cumulative volume of RON7 billion. MPTL alone reached RON5.2 billion, up by 10%.
Life insurance demonstrated strong momentum, expanding by around 21% in H1 2025, also according to ASF. Notably, unit-linked products surged by 41%, now representing about one-third of all life insurance subscriptions – an indication of growing consumer appetite for savings-linked and investment-driven protection products.
Operational efficiency has also become a key priority. Romania achieved one of the most significant cost optimizations in CEE, with its expense ratio decreasing to 0.31 in 2024, down from 0.45 in 2018. This transformation reflects extensive digitalization, strengthened governance, enhanced supervision – following the ASF–EIOPA balance sheet review – and broader market consolidation.
As the regulatory agenda intensifies, compliance is transitioning from a technical requirement to a strategic differentiator.
“Romanian insurers are entering a phase where regulatory change is no longer just about meeting deadlines – it is shaping business models. The combined pressures of DORA, Solvency II revisions and the first CSRD reporting cycle are accelerating investment in data, controls and operational resilience. Insurers that treat this as a strategic transformation rather than a compliance exercise will be the ones securing long-term competitive advantage,” stated Razvan Butucaru, Partner, Financial Services & Advisory Leader, Forvis Mazars in Romania.
With insurance penetration still at 1.3% of GDP, one of the lowest levels in the EU, Romania retains significant untapped potential. Rising consumer demand for protection, regulatory-driven market improvements and strengthening operational capabilities point toward a market that is gradually transitioning to a more balanced, resilient and growth-oriented model.
Forvis Mazars Group, the international leader in audit and assurance, tax and advisory services, in collaboration with EMIS, unveiled its CEE Strategic resilience in insurance: outlook 2025, revealing that the region’s insurers have expanded non-life premiums from EUR18 billion in 2018 to EUR28.5 billion in 2024, a 58% surge that outpaces many mature Western markets. Despite inflation and regulatory headwinds, Central and Eastern Europe (CEE) is fast becoming a cornerstone of Europe’s financial resilience.
CEE strategic resilience in insurance: outlook 2025 was jointly prepared by Forvis Mazars and EMIS, combining independent market intelligence with insights from insurance practitioners across CEE. The report offers data-driven analysis on premium growth, profitability, digital transformation, regulatory compliance and climate resilience.