The Polish insurance market has experienced unprecedented growth in the last five years, more than tripling in volume. Increasing demand for insurance products is observed both in sphere of life insurance and in non-life insurance. There are 25 insurance companies with predominance of foreign capital. Foreign investors continue to be interested in the Polish life insurance market despite the fact that it is ever harder to find room for successive companies. The Finance Ministry has granted licences to carry out insurance operations to 27 companies 26 joint stock companies and one mutual assurance company.
Life insurance is the segment where foreign companies are especially active.
Foreign investors are undoubtedly attracted to the Polish insurance market by the size of the market, the large number of potential clients, and, the prospect of large profits. In comparison with West European nations, Poles still spend little on life insurance policies. In 1998, the average Pole allocated ECU 37 to life insurance whereas the average Briton spent about ECU 1,600 and the average Frenchman spent ECU 1,300. Despite, however, the generally low earnings of the Polish population, spending on life insurance is growing. The upward trend in spending on life insurance policies is also confirmed by market research results.