Vienna Insurance Group as the leading insurance group in Austria and the CEE region recorded good premium growth in 2015. Property and casualty insurance grew by 2.0 percent, and in life insurance regular premium products recorded an increase of 2.3 percent. The decrease in total unconsolidated direct premiums written (-1.5 percent) to around EUR 9.2 billion was primarily due to the ongoing low level of interest rates and the resulting restraint being exercised with respect to sales of single-premium life insurance products.
The extensive regional diversification of the Group in the CEE region again proved to be strategically important, as shown by the dynamic growth of roughly 10 percent once again achieved by the countries in the “Remaining Markets”.
The property/casualty segment generated around EUR 4.8 billion (+2.0 percent) in premiums. In Austria, Wiener Städtische showed particular strength in sales in the property business, achieving significant growth of 3.4 percent. Group companies in the Czech Republic and Slovakia, two important CEE markets for VIG, raised property and casualty premiums by 4.8 and 1.5 percent, respectively.
The steady implementation of measures in Romania proved to be successful in the improved market environment. Following initial positive trends in 2014, the VIG group companies in Romania achieved growth of 20.6 percent in the property and casualty segment.
In life insurance, VIG recorded good performance for regular premium products with an increase of 2.3 percent. The intentional restraint exercised with respect to single-premium products (-16.3 percent) caused total life premiums to decrease by 5.8 percent.
Many CEE markets nevertheless recorded notable growth in life insurance. The Polish group companies achieved 5.5 percent growth for regular premium products in local currency terms. VIG remained on course in Romania, achieving an increase of 51.8 percent in life premiums.