The growth rate in Georgia’s insurance sector slowed in the first half of 2025, according to the General Director of Ardi, Mikheil Japaridze. He noted that business management costs are rising much faster than revenues.
“We have the same trend in six months as we had in the first quarter, when asymmetry emerged and continued into the second quarter. This means the growth rate is slowing down. If last year the six-month growth across the insurance market was 20.5%, this year it stands at 12.5%. This is worth examining to understand why it happened and whether it will continue,” Japaridze said.
He emphasized that net profit in the sector has declined, largely due to higher administrative costs, including technology expenses and salaries. “Historically, net profit has always been small compared to revenues, but the downward trend is significant in itself,” he added.
According to official data, the net profit of insurance companies dropped by GEL 11 million year-on-year in the first half of 2025, totaling GEL 56 million. At the same time, industry revenues continued to grow: 19 insurance companies generated GEL 802 million in premiums from direct insurance activities, up GEL 90 million compared to the same period in 2024.
In terms of premiums attracted, GPI Holding leads the market with GEL 148 million. The top five companies also include TBC Insurance, Aldagi, Imedi L, and Global Benefits Georgia.
