The growth in premiums in the Austrian insurance market continued in 2014 following the positive turnaround in 2013. The insurance industry recorded an overall increase of 3.3 per cent in 2014, particularly as a result of strong growth in the area of single premiums. However, a decline in single premiums is expected for 2015, with associated lower levels of overall growth.
Ongoing premium revenue in life insurance is falling further (2014: minus 3.9 per cent). UNIQA therefore issued a new life insurance product in 2014 with benefits for customers and insurers that it expects to provide new stimulus for the insurance market.
The property and casualty sector showed positive premium growth of 2.8 per cent in 2014. The vehicle liability insurance line of business remained flat as a result of the decrease in ve-hicle registrations, while the comprehensive insurance business continued to experience strong growth. A sideways movement is expected in property and casualty insurance for 2015, although casualty insurance is expected to exceed the EUR 1 billion limit.
In health insurance, the 2014 gains of 3.3 per cent were slightly weaker than those in the previous years, a trend which is expected to continue in 2015. Health insurance is experiencing stronger permanent growth than the property and casualty sector with steady growth rates of around three per cent.
Insurance penetration – i.e. the proportion of premium revenue in gross domestic product – will see moderate growth once again following the declines in 2015, although this will still remain below the European average.