Russian insurance: potential for strong growth – but what’s the risk?

Life companies are starting to see growth opportunities in Russia, but so far this has not been realised. With uncertainty hanging over the sector, firms are approaching with caution. Blake Evans-Pritchard reports

Russia

Since shrugging off the shawl of communism 20 years ago, Russia has struggled to integrate itself into the world economy. In February, it finally got the go-ahead to join the World Trade Organisation, which looks set to take place at the beginning of 2012.

But life insurance in the country has lagged behind the development of other sectors. It is only now that large, multinational life insurers are beginning to see viable opportunities in Russia. However, although they are starting to test the

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