Concentration of Albanian Insurance Market
Gentiana Sharku, Sali Shehu
The state monopoly in Albanian insurance market lost its position in 1999. But only after 2005, the insurance market in Albania is significantly developed. As result of the increasing of insurance operators and the market size, the competition in insurance market has been increased. The aim of this paper is to examine the evolution of the insurance market structure in Albania. The concentration degree is measured through concentration rates CR1 and CR4 and Herfindahl-Hirschman index for the period 2005-2015. The concentration rates and HHI indexes are calculated separately for life insurance and non-life insurance activity, voluntary and compulsory insurance market, and for each class of non-life insurance: motor, property and health insurance classes. Based on the above indexes, the paper concludes that the competition in insurance market is increased over years, but the market structure type varies among different insurance activities.
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