Indirect economic effects
The structure of the insurance industry as an important factor for the economic development of a region
The establishment of a stable, reliable insurance industry is critically important in many respects for the economic development of a country. Insurance services are an essential part of the national financial infrastructure and have a stabilising effect on the entire economy. Reliable local insurance companies familiar with local conditions are particularly important for countries that rely on foreign investors and cooperations for major economic projects like infrastructure. VIG has successfully assumed exactly these responsibilities many times in the past two decades, thereby making a very early contribution to the economic development of countries in the CEE region.
In the area of private insurance, both non-life and life insurance are valuable instruments for developing and protecting rising prosperity. The automotive industry, for example, plays a major economic role in many CEE countries and requires a functional insurance industry. Private health insurance and life insurance are also valuable supplements to limited government healthcare and pension systems. Due to its strong market presence, VIG has a major influence in shaping these areas.
As the leading insurance group in its core markets, VIG is aware of its responsibility to make sustainable investments, and its responsibility to promote innovative environmentally-friendly ideas. “Think globally – act locally” – VIG also gives top priority to this principle for goal achievement when making its investment decisions. In the area of infrastructure investments this means supporting as many local infrastructure projects as possible that guarantee a sustainable improvement in local living conditions. The investments in energy-efficient social housing in Austria are a recent example of this. The VIG-supported expansion of the healthcare system in the form of outpatient clinics providing medical care in many areas of Georgia also follows this principle. In addition, VIG continues to follow its long tradition of energy and resource efficiency when designing its own office buildings.