Lithuania insurance market
Lithuania's insurance market reached EUR 1.73 billion in gross written premiums in 2025, growing 9.2% year-on-year according to the Bank of Lithuania (Lietuvos bankas), which is the sole supervisor of the sector. The market first crossed EUR 1 billion in 2021 and EUR 1.5 billion in 2024, continuing rapid expansion driven mainly by non-life insurance, which made up 77.4% of premiums (about EUR 1.339 billion), while life assurance accounted for 22.6% (EUR 391 million). Within non-life, property insurance grew 11.7% to EUR 315 million, CASCO motor insurance grew 7.4% to EUR 304 million, and medical expense insurance was the fastest-growing line, up 14.8% to EUR 217 million. Life assurance remains dominated by unit-linked products, which grew 6% to EUR 317 million (81% of life premiums). Total claims paid to policyholders and injured parties reached EUR 927 million in 2025 (+4.7%), while licensed insurers earned an unaudited pre-tax profit of EUR 101.1 million (+9.8%), with all companies operating profitably. At the end of 2025 the market comprised 19 insurers - 8 locally registered undertakings and 11 branches of EU-registered insurers - alongside 106 insurance brokerage firms and two broker branches. Insurance penetration relative to GDP remains around 2%, below the EU average, reflecting continued growth potential, particularly in health and life insurance which still lag behind property insurance in the country's risk culture.
Country market
Available products
Market overview
Market numbers
Total premiums
EUR 1.73bn
Annual growth
Insurance penetration
2.06%
Active insurers
8
Population
2,897,430
Registered vehicles
2,404,151
Total premiums (EUR bn)
- 20251.7 EUR bn
- 20241.6 EUR bn
- 20231.5 EUR bn
- 20221.2 EUR bn
- 20211.0 EUR bn
- 20201.0 EUR bn
2020 — 1.0 EUR bn
2021 — 1.0 EUR bn
2022 — 1.2 EUR bn
2023 — 1.5 EUR bn
2024 — 1.6 EUR bn
2025 — 1.7 EUR bn
Annual growth (%)
Non-life share / Life share
Non-life share
77.4%Life share
22.6%Insurance penetration (%)
Market data by year
Market share 2025
AB Lietuvos draudimas
30.3%AAS BTA Baltic Insurance Company filialas Lietuvoje
16.0%ERGO Insurance SE Lietuvos filialas
14.0%ADB Compensa Vienna Insurance Group
10.0%Akcinė draudimo bendrovė Gjensidige
9.0%Insurer directory
Active insurers
Insurers currently active in Lithuania.
AB Lietuvos draudimas
PZU S.A. (Lenkija)
EUR 405m
AAS BTA Baltic Insurance Company filialas Lietuvoje
Vilnius, Lithuania
BTA is one of the largest non-life insurers in Lithuania, operating as a branch of the Latvian-headquartered AAS BTA Baltic Insurance Company, which is wholly owned by Vienna Insurance Group AG of Austria. BTA entered the Lithuanian market in 2002 when the Latvian-capital insurer acquired 100% of the shares of the Lithuanian insurer "LTB Draudimas".
ERGO Insurance SE Lietuvos filialas
Vilnius, Lithuania
ERGO is one of the leading insurance groups in the Baltic states, offering a comprehensive range of non-life, life and health insurance products. Non-life insurance solutions in Lithuania are provided by ERGO Insurance SE (Lithuanian branch), while ERGO Life Insurance SE provides life and health insurance. Both companies are part of the international ERGO Group, ultimately owned by Munich Re. In January 2026, ERGO International AG completed the acquisition of non-life insurer ADB Gjensidige in the Baltic states, and the two companies are being merged during 2026, with ERGO becoming the resulting brand.
ADB Compensa Vienna Insurance Group
Vilnius, Lithuania
ADB Compensa Vienna Insurance Group is a joint-stock insurance company registered in Lithuania and part of Vienna Insurance Group.
Akcinė draudimo bendrovė Gjensidige
Vilnius, Lithuania
ADB Gjensidige is a non-life insurer headquartered in Vilnius with branches in Latvia and Estonia, rooted in the Lithuanian insurer formerly known as PZU Lietuva (rebranded to ADB Gjensidige in 2016 after its 2015 acquisition by Norwegian Gjensidige Forsikring). On January 2, 2026, ERGO International AG completed its acquisition of ADB Gjensidige from Gjensidige Forsikring ASA, making Gjensidige and ERGO sister companies within the ERGO Group in the Baltics. Since April 29, 2026, Gjensidige has stopped selling its own products to new customers and instead began distributing ERGO insurance products, and on June 29, 2026 the Estonian FSA approved a cross-border merger of ERGO Insurance SE with ADB Gjensidige. The Gjensidige brand is expected to disappear from the Baltic market by the end of 2026, with the gjensidige.lt website scheduled to go offline by the end of October 2026 as services move to ERGO.
Compensa Life Vienna Insurance Group SE Lietuvos filialas
Vienna Insurance Group AG (Austrija)
Swedbank Life Insurance SE Lietuvos filialas
Vilnius, Lithuania
Swedbank, AB is one of the leading commercial banks in Lithuania, part of the Swedish Swedbank Group, offering a wide range of banking and financial services to private and corporate clients. Insurance products are distributed through two licensed branches: Swedbank P&C Insurance AS Lithuanian branch (non-life: MTPL, casco, home, travel) and Swedbank Life Insurance SE Lithuanian branch (life and accident insurance).
Allianz Lietuva gyvybės draudimas UAB
Allianz SE (Vokietija)
EUR 77,2m
SEB Life and Pension Baltic SE Lietuvos filialas
SEB AB (Švedija)
If P&C Insurance AS filialas
T. Narbuto g. 5, Vilnius, Lithuania
If is a Nordic-Baltic non-life insurer offering motor, property, travel, pet, accident and business insurance to private and corporate customers in Lithuania. Locally it operates as a branch of If P&C Insurance AS, a company registered in Estonia and coordinating the Baltic business of the Nordic If group, which is wholly owned by Finland's Sampo Group.
Market notes
Important news
May 19, 2026
Seimas Advances Bill to Ban Sales Commissions on Unit-Linked Life Insurance
The Seimas voted 44-5-28 to advance for further consideration amendments to the Insurance Law that would ban agents from receiving commission tied to the number of unit-linked life insurance contracts sold. Lawmakers cited findings that agents can earn up to €770 per contract, nearly four times the EU average, and that costlier products currently sell better than cheaper ones. Further debate was scheduled for 23 June pending a government opinion.
Why it matters
A concrete legislative step toward the commission ban first proposed by the Bank of Lithuania in April 2025. If finally adopted, it would materially alter agent remuneration for unit-linked products from 2027.
May 18, 2026
Bank of Lithuania Fines Compensa Life EUR 250,000 for Life Insurance Product Governance Failures
Following a targeted inspection covering 2022-2024, the Bank of Lithuania found that Compensa Life Vienna Insurance Group SE's Lithuanian branch failed to meet product oversight and governance requirements for its guaranteed-interest life insurance product and that some unit-linked products sold did not match client needs. The company entered an administrative settlement, accepted a EUR 250,000 fine, and committed to an internal audit and individual discounts for affected clients by 31 May 2026.
Why it matters
Demonstrates continued active enforcement against unit-linked mis-selling identified in the 2023 mystery-shopping study, and shows the administrative settlement mechanism being used directly against an insurer for consumer-protection violations.
Jan 2, 2026
ERGO Completes Acquisition of ADB Gjensidige's Baltic Non-Life Insurance Business
ERGO International AG completed its acquisition of non-life insurer ADB Gjensidige's Baltic operations (Lithuania, Latvia, Estonia) from Norway's Gjensidige Forsikring ASA, after clearance from competition authorities in all three Baltic states. The full merger of ERGO and Gjensidige's operations is planned to be completed by the end of 2026, with the Gjensidige brand retained during a transition period.
Why it matters
By premium volume, the deal makes ERGO the third-largest insurer in the Baltics and the second-largest non-life insurance provider in the region, up from Gjensidige's prior position as the sixth-largest non-life insurer in the Baltics. It significantly consolidates the Lithuanian non-life market.
Apr 29, 2025
Bank of Lithuania Proposes Insurance Act Amendment to Ban Agent Commissions on Unit-Linked Products
Following its 2023 mystery-shopping study revealing widespread mis-selling, the Bank of Lithuania formally proposed amendments to the Law on Insurance that would prohibit insurers from paying commission or non-monetary benefits to agents for the distribution of unit-linked (investment) life insurance contracts. The insurance industry opposed the measure, warning it could eliminate the independent agent network.
Why it matters
One of the most debated insurance regulatory proposals in Lithuania's recent history. If enacted, it would fundamentally reshape the distribution model for unit-linked products, which account for the majority of new life insurance contracts.
Regulation
Regulation
LB
Bank of Lithuania
The Bank of Lithuania is the sole financial supervisory authority in Lithuania, responsible for licensing, prudential supervision, conduct supervision, consumer protection, and dispute resolution in the insurance sector. Since 1 January 2012 it assumed full responsibility for insurance market oversight, implementing EU Solvency II requirements, issuing licences to insurance undertakings and intermediaries, and carrying out both off-site and on-site inspections. It also publishes quarterly and annual insurance market reviews and statistics.
https://www.lb.ltLDA
Lithuanian Insurers Association
Non-profit industry association established in 1992, representing non-life insurance companies and coordinating their activities, developing common non-life insurance policy, and representing member interests before public institutions. Also includes the Motor Insurers Bureau as a member.
http://www.draudikai.ltLGDIA
Association of Lithuanian Life Insurance Companies
Industry association representing life insurance companies in Lithuania, promoting the development of the life insurance market and representing member interests before public institutions.
https://gda.ltTPDB
Motor Insurers Bureau of the Republic of Lithuania
The national motor insurers bureau, responsible for compensating victims of accidents caused by uninsured or unidentified vehicles, coordinating MTPL insurance activities among member insurers, and administering the Green Card system for international motor insurance in Lithuania.
https://www.cab.ltKey legislation
Key legislation
Republic of Lithuania Law on Insurance No. IX-1737
Law on Insurance
Primary legislation governing all insurance, reinsurance, and distribution of insurance and reinsurance products in Lithuania. Establishes the right to engage in insurance and reinsurance activities, state regulation principles, licensing requirements for insurers and reinsurers, pre-contractual relations, terms and conditions of insurance contracts, and the legal framework for the stability and security of the insurance system. Implements the EU Solvency II Directive (2009/138/EC) requirements into national law.
Republic of Lithuania Law on Compulsory Insurance Against Civil Liability in Respect of the Use of Motor Vehicles No. IX-378
Law on Compulsory Motor Third-Party Liability Insurance
Governs mandatory motor third-party liability (MTPL) insurance for all vehicles used in Lithuania. Establishes the obligation to conclude MTPL contracts, responsibilities of vehicle owners and users, minimum coverage amounts (EUR 6,450,000 for personal injury and EUR 1,300,000 for property damage), procedures for compensation and claims settlement, and the role of the Motor Insurers Bureau.
Republic of Lithuania Law on Health Insurance No. I-1343
Law on Health Insurance
Establishes the compulsory health insurance system in Lithuania, defining the persons insured under compulsory health insurance, principles of budget formation for the Compulsory Health Insurance Fund, functions of the National Health Insurance Fund and Territorial Health Insurance Funds, rights and obligations of insured persons, and provisions for additional voluntary health insurance.
Solvency II Directive 2009/138/EC (transposed into national law)
Solvency II Prudential Framework
EU directive transposed into Lithuanian law establishing risk-based capital requirements for insurance and reinsurance undertakings, own risk and solvency assessment (ORSA), detailed disclosure requirements on activity and financial condition, and consistent EU-wide supervision standards. Supervised and enforced by the Bank of Lithuania as the national competent authority. Entered into force on 1 January 2016.
EU cross-border access
EU cross-border insurers
AXA France Vie
Freedom of Services
Home country: France
Supervisor: ACPR (France)
EU FoS notification for Lithuania; operates without a branch.
Allianz SE (FoS Lietuvai)
Freedom of Services
Home country: Germany
Supervisor: BaFin (Germany)
The Allianz group's business travel and international health insurance products are provided on a FoS basis; Allianz Lietuva is a separate UAB licensed in Lithuania and does not fall under this FoS scheme.
Chubb European Group SE
Freedom of Services
Home country: France
Supervisor: ACPR (France)
Chubb provides business insurance products (property, liability, cyber, financial lines) to Lithuanian corporate clients on a FoS basis.
Zurich Insurance plc
Freedom of Services
Home country: Ireland
Supervisor: Central Bank of Ireland (Ireland)
Zurich Insurance plc provides commercial insurance solutions to business clients in Lithuania on a FoS basis through the EU notification system.
AAS Balta
Freedom of Services
Home country: Latvia
Supervisor: Latvijas Banka (Latvia)
AAS Balta (PZU group) is notified as a FoS provider in Lithuania; some products are offered directly without a branch.
Distribution channels
Share by channel- 40%Insurance Agents
- Lietuvos draudimas (PZU Group)
- ERGO Insurance SE filialas
- Compensa Vienna Insurance Group
- ADB Gjensidige (ERGO group, post-2026 merger)
- 25%Insurance Brokers
- Aon Lietuva
- WTW Lietuva
- Marsh Lietuva
- Arthur J. Gallagher filialas
- 20%Direct SalesOnline and branch
- Lietuvos draudimas (ld.lt)
- ERGO (ergo.lt)
- Compensa (compensa.lt)
- 12%Bancassurance
- Swedbank Life Insurance SE filialas
- SEB gyvybės draudimas
- Artea (SB Draudimas)
- 3%Digital / Aggregator Platforms
- Fillix.lt
- ManRamu.lt
- Perlodraudimas.lt
Some companies appear in more than one channel.
Consumer rights
How to file a complaint- 1
File a written complaint directly with the insurer. The insurer must respond within 15 working days (in exceptional cases, 35 working days). State the dispute circumstances and your requirements clearly.
- 2
If the insurer's response is unsatisfactory or no response is received within the legal deadline, submit a dispute application to the Bank of Lithuania within one year of contacting the insurer. The dispute resolution is free of charge.
- 3
The Bank of Lithuania resolves the dispute within 90 days (extendable by 30 days in complex cases). Its decision is recommendatory and not legally binding on either party.
- 4
If the Bank of Lithuania's recommendation is not followed or you prefer a binding decision, you may file a claim in a civil court at any stage of the process.
EU cross-border access
EU cross-border access
Lithuania, as an EU member state, fully applies the Solvency II single-licence (European passport) framework. An insurer or intermediary authorised in any EEA state may operate in Lithuania either by establishing a branch (Freedom of Establishment) or by providing services directly without a local presence (Freedom of Services), subject to prior notification to the home-state supervisor, who then notifies the Bank of Lithuania. The Bank of Lithuania is the national competent authority supervising all insurers and intermediaries operating domestically, including passporting entities.
ES direktyva 2009/138/EB (Mokumas II), ES direktyva (ES) 2016/97 (IDD), Lietuvos Respublikos draudimo įstatymas (IX-1737)
freedom of establishment
An EEA-authorised insurer or intermediary may open a branch or permanent presence in Lithuania without obtaining a separate Lithuanian licence. The home-state supervisor notifies the Bank of Lithuania; the branch may begin operating after the notification procedure is completed. The branch is supervised primarily by the home-state authority but must comply with certain Lithuanian general-good rules.
freedom of services
An EEA-authorised insurer or intermediary may provide insurance services into Lithuania directly from its home state without establishing a local branch. Only a notification to the home supervisor is required. The home-state authority retains full supervisory responsibility for IDD conduct-of-business obligations. The Bank of Lithuania may apply local general-good provisions where applicable.
Market history
Market history
1990-2003
Post-Soviet Market Formation and Liberalisation
Following independence from the USSR in 1991, Lithuania dismantled the state insurance monopoly and opened the market to private and foreign insurers. The first private insurance companies emerged in the early 1990s. Mandatory MTPL insurance was introduced, and the initial regulatory framework was established, though the market remained fragmented and underdeveloped.
2004-2011
EU Accession, Consolidation and Rapid Growth
EU accession in 2004 accelerated regulatory harmonisation and opened Lithuania to European single-market passporting. Foreign-owned insurers, particularly Scandinavian and central European groups, expanded rapidly. Premium volumes grew strongly, and the market consolidated around a handful of dominant international players.
2012-2019
Single Regulator, Solvency II and Consumer Protection Focus
The Bank of Lithuania became the sole financial sector regulator in 2012, consolidating insurance supervision. Solvency II entered into force on 1 January 2016, raising capital and risk-management standards. The IDD was transposed, strengthening intermediary conduct rules. Life insurance, especially unit-linked products, grew rapidly and became a growing share of new life contracts.
2020-2026
Pandemic Resilience, Record Premiums, Regulatory Tightening and Sector Consolidation
The market withstood COVID-19 disruptions and surpassed EUR 1 billion in premiums for the first time in 2021, reaching EUR 1.73 billion in 2025 (+9.2% year-on-year; non-life 77.4%, life 22.6%). The Bank of Lithuania intensified consumer protection efforts on unit-linked insurance and, in 2026, Seimas advanced a bill to ban agent commissions on such products, while ERGO completed its acquisition of ADB Gjensidige's Baltic non-life business, reshaping the competitive landscape.
Glossary
Glossary
lt
Draudimas
A financial arrangement whereby an insurer agrees to compensate another party for specified losses or damages in exchange for a premium payment.
lt
Draudikas
A licensed company that underwrites insurance risks and is obligated to pay claims upon occurrence of an insured event.
lt
Draudėjas
The natural or legal person who concludes an insurance contract with an insurer and is obligated to pay the premium.
lt
Draudimo įmoka
The amount paid by the policyholder to the insurer in exchange for insurance coverage.
lt
Draudimo išmoka
The compensation paid by the insurer to the policyholder or a third party upon the occurrence of an insured event.
lt
TPVCA (Transporto priemonių valdytojų civilinės atsakomybės privalomasis draudimas)
Mandatory insurance covering liability of vehicle owners and drivers for bodily injury and property damage caused to third parties in road accidents.
lt
KASKO
Voluntary insurance covering damage to the insured vehicle regardless of fault, including accidents, theft, fire, and natural disasters.
lt
Investicinis gyvybės draudimas (IGD)
A life insurance product combining protection cover with investment in funds; the investment risk is borne entirely by the policyholder.
Market notes
FAQ
Market notes
Sources
Last updated: Sep 25, 2026
- 01Lietuvos bankas – Draudikai ir draudimo tarpininkai
Official regulator page: market reviews, statistics, licences, supervisory actions.
- 02Lietuvos bankas – Draudimo rinkos apžvalga
Quarterly and annual insurance market review publications.
- 03Lietuvos bankas – Veiklos rodikliai
Monthly and annual insurer and broker operating statistics (Solvency II forms).
- 04Lietuvos bankas – Ginčų nagrinėjimas
Consumer dispute resolution portal and procedural rules.
- 05Lietuvos bankas – naujienos apie draudimo rinkos augimą
Regulator press release on 2024/2025 insurance market results and broker income.
- 06Lietuvos draudimo brokerių įmonių asociacija (LDBĮA)
Association of insurance brokerage companies; market statistics and legal framework.
- 07Draudimo brokerių rūmai
Chamber of Insurance Brokers; broker registration and qualification information.
- 08Konkurencijos taryba
Lithuanian Competition Council decisions on insurer conduct and M&A clearances.