Premiums increase by an outstanding 25.6%
In 2008, the Czech insurance companies in the Vienna Insurance Group wrote a total of EUR 1,419.72 million in premiums (2007: EUR 1,130.47 million), representing an increase of 25.6%. Kooperativa and ČPP contributed EUR 1,118.77 million and EUR 216.17 million to these premiums, respectively. This corresponded to a premium increase of 16.5% over the previous year for Kooperativa, while the increase for ČPP even was as high as 27.3%. Earned premiums were EUR 1,189.54 million, which represented an increase of 29.5%.
The non-life segment generated a premium volume of EUR 982.76 million in 2008 (2007: EUR 838.14 million), corresponding to an increase of 17.3% over the previous year. Kooperativa generated more than 80% of the premiums in the non-life segment.
The life insurance premium income generated by the Vienna Insurance Group in the Czech Republic increased 49.5% in 2008, rising from EUR 292.33 million to EUR 436.97 million. PČS’ premium income of EUR 84.79 million for the 4th quarter of 2008 was included in consolidation for the first time.
Expenses for claims and insurance benefits
The Czech companies of the Vienna Insurance Group had expenses for insurance claims of EUR 806.31 million in 2008 (2007: EUR 631.35 million). This represented an increase in expenses for insurance claims (less reinsurance) of EUR 174.95 million, or 27.7%.
Operating expenses
The Vienna Insurance Group’s Czech companies incurred operating expenses of EUR 281.58 million in 2008, including acquisition costs and less reinsurance commissions received, which represents an increase of 28.6% over the value of EUR 218.88 million the year before.
Czech Republic already contributing EUR 107.45 million to Group profit
The Vienna Insurance Group’s 2008 profit before taxes of EUR 107.45 million earned in the Czech Republic represented an impressive 45.6% increase over the previous year, or an increase in Group profit before taxes of EUR 33.64 million over 2007.
Combined ratio of 92.2%
The Czech Vienna Insurance Group had a combined ratio after reinsurance of 92.2% in 2008 (not including investment income), which was significantly below 100% (2007: 93.7%). The combined ratio improved significantly by 1.5 percentage points compared to the previous year.
Compare to 2007