Business development in the Remaining Markets segment in 2013

Premium development

Vienna Insurance Group wrote total premiums of EUR 1,061.64 million in the Remaining Markets segment in 2013 (2012: EUR 975.56 million). This 8.8% increase in premium volume moved the Remaining Markets segment over the EUR 1 billion mark for the first time. Net earned premiums were EUR 809.27 million in 2013 (2012: EUR 716.65 million), an increase of 12.9% compared to the previous year.

The Remaining Markets segment generated EUR 647.48 million in non-life insurance premiums in 2013 (2012: EUR 604.91 million), representing an increase of 7.0% over the previous year. This was primarily due to very strong premium growth in Georgia, Macedonia, Serbia, Hungary and the Ukraine.

Life insurance premium income from Vienna Insurance Group companies in the Remaining Markets segment rose by 11.7% to EUR 414.16 million in 2013 (2012: EUR 370.64 million). This segment recorded particularly good growth in the Baltic States, Bulgaria, Serbia and the Ukraine.

Expenses for claims and insurance benefits

Expenses for claims and insurance benefits were EUR 580.32 million in 2013 (2012: EUR 512.04 million). This corresponds to an increase of 13.3% in expenses for claims and insurance benefits (less reinsurance) compared to the previous year, which is due to the larger size of the insurance portfolio.

Acquisition and administrative expenses

Vienna Insurance Group recorded an increase from EUR 201.44 million to EUR 230.68 million in acquisition and administrative expenses in the Remaining Markets segment in 2013.

Profit before taxes

The good development in this segment, both in life and non-life insurance, raised profits by 2.9% from EUR 39.13 million to EUR 40.27 million.

Combined ratio

Vienna Insurance Group had a combined ratio of 98.6% in the Remaining Markets segment (2012: 98.2%).

Vienna Insurance Group in the Remaining Markets segment*