Within two years of start-up, Commercial Union Lithuania Life Insurance Company has achieved almost 30% share of the market for new life insurance policies (data for third quarter 2003).
Within two years of start-up, Commercial Union Lithuania Life Insurance Company has achieved almost 30% share of the market for new life insurance policies (data for third quarter 2003).
CU Lithuania is also participating in the pension system reform, which started in September this year. So far the company has almost 55,000 pensions customers, works with over 500 insurance advisors and has founded offices supporting them in 10 cities in Lithuania.
According to official data from the Lithuanian insurance supervisory body for the first three quarters of 2003, CU Lithuania leads the unit-linked life insurance market, is in second place for new sales and fourth place for gross contributions.
"We were assuming that the Lithuanian company would obtain a 20% share of new sales of life insurance after three years in operation. We achieved this goal in less than two years," said Jarosław Myjak, chief executive of Commercial Union Poland Group and chairman of the Supervisory Board of CU Lithuania. The Lithuanian company offers individual, universal life insurance which can be broadened by the following options: hospital cash benefit and accident insurance. The company also offers youth insurance and two types of investment insurance.
Pension reform began in Lithuania in September of this year. Authorised companies, including CU Lithuania, offered special pension plans and started signing contracts with customers. Contributions from signed policies will be coming in from the beginning of 2004.
"CU Lithuania offers two kinds of pension plan – Europensija and Europensija Plus. Also in the sector of pension plans we exceeded our goal by signing almost 55 thousand policies which is 15% of the market share," said Mr Myjak.
CU Lithuania co-operates currently with over 500 agents – insurance advisors, five insurance agencies and about 50 brokers. The work of consultants is coordinated and supported by 10 distribution offices in major cities of the country. CU Lithuania offers agents a very broad professional training program (over 100 hours per year). The company anticipates that it will be working with 700 agents before the end of 2006.
The only shareholder of CU Lithuania is CU Poland Life Insurance Company. CU Poland set up the Lithuanian company and also supports its operations, for example using its IT and logistic services. Thanks to the experience gained by CU Poland, a distribution system new to the Lithuanian market was created, based on co-operation with insurance agents operating in the whole country and supported by distribution offices.
For further information please contact:
Grazyna Goslings, director of corporation communication of CU Poland Group, tel + 48 22 557 40 93, fax + 48 22 557 40 26, e-mail: bohdan_bialorucki@cu.com.pl. Additional information on Commercial Union Poland Group also on web page http://www.cu.com.pl