Business development in Slovakia in 2009

Premium growth

The Vienna Insurance Group wrote a total of EUR 628.38 million in premiums in Slovakia in 2009 (2008: EUR 605.60 million), representing an increase of 3.8%. The volume of earned premiums was EUR 552.76 million.

The non-life area generated a premium volume of EUR 333.36 million in Slovakia in 2009 (2008: EUR 330.52 million). Kooperativa contributed the majority of these premiums, EUR 284.80 million, equal to around 85% of the total non-life premiums generated in Slovakia.

The life insurance premium income generated by the Slovakian companies of the Vienna Insurance Group rose 7.2%, to EUR 295.02 million, in 2009 (2008: EUR 275.08 million).

Expenses for claims and insurance benefits

Expenses for claims and insurance benefits (less reinsurance) were EUR 437.59 million in Slovakia in 2009 (2008: EUR 388.40 million). This represented an increase of EUR 49.19 million, or 12.7%.

Operating expenses

The Vienna Insurance Group had operating expenses, including acquisition costs and less reinsurance commissions received, of EUR 91.63 million in Slovakia in 2009 (2008: EUR 96.72 million). This corresponds to a decrease of 5.3% compared to the previous year.

Profit before taxes of EUR 23.01 million

The three Slovakian companies in the Vienna Insurance Group earned a profit before taxes of EUR 23.01 million in 2009. This represents an increase of more than 350% compared to 2008. This highly significant increase was due to successful cost reduction measures implemented as part of the Group-wide efficiency enhancement programme and an increase in the financial result.

Combined ratio of 90.8%

The Slovakian Group companies had an outstanding combined ratio of 90.8% in 2009 (2008: 93.3%), representing an improvement of 2.5 percentage points.