Premium percentage by lines of business andEnlarge image
region (figures for 2010 in parentheses)
A brief presentation of the premium development is included under item 28 (Net earned premiums) of the notes to the consolidated financial statements (see PDF, pages 183-186).
Vienna Insurance Group earned EUR 8,883.67 million in premiums in 2011, representing an increase of 3.4% over the previous year. Vienna Insurance Group retained EUR 8,145.02 million of the gross premiums written, and ceded EUR 738.64 million to reinsurers. Strong premium growth in Poland (+27.6%) made a major contribution to this increase. Premium income also increased in the Czech Republic (+5.3%) and Slovakia (+4.8%).
Overall, the Group generated 54.5% of its premiums outside Austria in 2011. For property and casualty insurance, the share contributed by companies outside Austria was 61.5%. In life insurance, 50.8% of the premiums were generated by companies outside Austria. This is the first time that VIG has also generated more than half of total premiums outside Austria in the life insurance segment.
Net earned premiums rose 3.3%, from EUR 7,860.37 million in 2010 to EUR 8,122.82 million in 2011. Deferred reinsurance cessions were EUR 727.89 million.
Expenses for claims and insurance benefits
A brief presentation of expenses for claims and benefits is included under item 32 (Expenses for claims and insurance benefits) of the notes to the consolidated financial statements (see PDF, pages 195-196).
Expenses for claims and insurance benefits were EUR 6,535.97 million in 2011 after deducting the share attributable to reinsurance (EUR 384.04 million). On the one hand Vienna Insurance Group was practically unaffected by severe natural catastrophes in its area of operations, on the other hand transfer to the mathematical reserve was smaller due to poorer life insurance business in Austria. Therefore, expenses for claims and insurance benefits were at the same level as the previous year, in spite of an increase in premiums.
Acquisition and administrative expenses
A brief presentation of acquisition and administrative expenses is included under item 33 (Acquisition and administrative expenses) of the notes to the consolidated financial statements (see PDF, pages 196-197).
Acquisition and administrative expenses were EUR 1,752.65 million for all consolidated VIG companies, representing a small decrease of 0.4% compared to the previous year. Acquisition expenses were EUR 1,521.13 million in 2011, an increase of 0.8% over the previous year.