Premiums
UNIQA International increased the premiums written, including savings portions from the unit-linked and index-linked life insurance, in 2015 by 2.7 per cent to € 2,416.8 million (2014: € 2,353.1 million). The premiums written even increased by 4.6 per cent when adjusted for foreign currency effects. Recurring premiums remained stable at € 1,574.9 million (2014: € 1,574.6 million). Single premiums rose due to the very strong business performance in Italy by 8.2 per cent to reach € 842.0 million (2014: € 778.5 million). That means that in 2015 the international companies contributed a total of 38.2 per cent (2014: 38.8 per cent) to total Group premiums.
Including savings portions from the unit-linked and index-linked life insurance, UNIQA International’s volume of premiums earned amounted to € 1,892.3 million (2014: € 1,822.2 million). The volume of premiums earned (net, according to IFRS) rose in 2015 by 6.0 per cent to € 1,677.1 million (2014: € 1,582.3 million).
While premiums written in property and casualty insurance only increased slightly due to negative currency effects and the continued restraint in the highly competitive motor vehicle segment in CEE by 0.1 per cent to € 1,085.8 million (2014: € 1,084.9 million), these grew by 4.6 per cent in health insurance to € 76.9 million (2014: € 73.5 million). In life insurance (including savings portions from the unit-linked and index-linked life insurance) they rose, driven by the positive business performance in Italy, by 5.0 per cent to € 1,254.1 million (2014: € 1,194.6 million).
Net premiums earned (according to IFRS) rose in property and casualty insurance by 1.3 per cent to € 595.8 million (2014: € 588.2 million), in health insurance they rose by 5.4 per cent to € 75.6 million (2014: € 71.7 million) and in life insurance by 9.0 per cent to € 1,005.8 million (2014: € 922.5 million). Including savings portions from the unit-linked and index-linked life insurance, the volume of premiums earned in life insurance amounted to € 1,221.0 million (2014: € 1,162.4 million).
In the Central Europe region (CE) – Poland, Slovakia, the Czech Republic and Hungary – premiums earned, including savings portions from the unit-linked and index-linked life insurance, increased slightly in the 2015 financial year by 0.6 per cent to € 527.7 million (2014: € 524.7 million). In Eastern Europe (EE) – comprising Romania and Ukraine – premiums earned, including savings portions from the unit-linked and index-linked life insurance, fell above all due to the loss in value of the Ukrainian hryvnia and the restraint in the highly competitive Romanian motor vehicles business by 21.6 per cent to € 92.1 million (2014: € 117.4 million). In the Southeastern Europe region (SEE) – Albania, Bosnia and Herzegovina, Bulgaria, Kosovo, Croatia, Macedonia, Montenegro and Serbia – in 2015 premiums grew by 12.9 per cent to € 232.1 million (2014: € 205.7 million). In Russia (RU) the premiums earned, including savings portions from the unit-linked and index-linked life insurance, fell by 26.1 per cent to € 48.5 million (2014: € 65.6 million) on account of the decrease in value of the Russian rouble. In Western Europe (WE) – Italy, Liechtenstein and Switzerland – the premiums earned, including savings portions from the unit-linked and index-linked life insurance, rose in particular due to the increase in single premiums in Italy by 9.1 per cent to € 991.9 million (2014: € 908.9 million).
Benefits
Net insurance benefits of UNIQA International increased in 2015 by 6.0 per cent to € 1,329.3 million (2014: € 1,253.6 million). They fell by 2.7 per cent in property and casualty insurance to € 362.7 million (2014: € 372.7 million). In health insurance they grew 6.8 per cent to reach € 48.8 million (2014: € 45.7 million). They also increased 9.9 per cent in life insurance to € 917.8 million (2014: € 835.2 million) due to the strong rise in premium revenue. In 2015 the loss ratio in property and casualty insurance fell to 60.9 per cent (2014: 63.4 per cent) on account of the restructuring of the motor vehicle business which is already at an advanced stage. The combined ratio in the UNIQA International segment after reinsurance amounted to 99.1 per cent (2014: 102.3 per cent).
In the CE region, benefits fell by 3.4 per cent in 2015 to € 237.3 million (2014: € 245.8 million); in the EE region they fell by 40.4 per cent to € 41.5 million (2014: € 69.6 million). They grew 16.2 per cent in SEE to reach € 149.8 million (2014: € 128.9 million). In Russia, benefits amounted to € 36.3 million (2014: € 44.2 million), and in Western Europe, the volume of benefits also rose due to the strong growth in premiums in life insurance by 13.0 per cent to € 864.5 million (2014: € 765.2 million).
Operating expenses
Operating expenses, not including reinsurance commission and share of profit from reinsurance ceded, which amounted to € 134.4 million (2014: € 147.9 million), decreased in the 2015 financial year by 1.7 per cent to € 427.5 million (2014: € 434.8 million) on account of consistent cost management and improvements in process efficiency through the implementation of a target operating model. They fell by 0.5 per cent in property and casualty insurance to € 227.7 million (2014: € 228.9 million). In health insurance on the other hand they rose by 0.9 per cent to € 31.0 million (2014: € 30.7 million). In life insurance they fell 3.7 per cent to € 168.8 million (2014: € 175.3 million).
The cost ratio of UNIQA International after reinsurance, i.e. the ratio of total operating expenses, less reinsurance commission and share of profit from reinsurance ceded, to premiums earned, including savings portions from the unit-linked and index-linked life insurance, decreased during the past year for the reasons mentioned above to 22.6 per cent (2014: 23.9 per cent).
In CE, operating expenses, not including reinsurance commission and share of profit from reinsurance ceded, rose in the reporting year by 7.9 per cent to € 172.3 million (2014: € 159.7 million). They fell by 20.5 per cent in EE to € 51.6 million (2014: € 64.9 million). In SEE they increased slightly by 1.6 per cent to € 91.2 million (2014: € 89.7 million). In Russia, costs fell by 44.0 per cent to € 9.4 million (2014: € 16.8 million), while they increased in Western Europe by 5.4 per cent to € 82.5 million (2014: € 78.3 million). In administration (UNIQA International AG), costs decreased by 19.3 per cent to € 20.5 million (2014: € 25.4 million).
Investment income
Net investment income rose during 2015 by 12.0 per cent to € 195.3 million (2014: 174.3 million).
Earnings before taxes
Earnings before taxes in the UNIQA International segment rose in the reporting year to € 54.5 million (2014: –€ 1.2 million) despite an extraordinary impairment of goodwill in Ukraine amounting to € 13.0 million. Earnings before taxes in property and casualty insurance increased despite the impairment of goodwill mentioned above to € 17.6 million (2014: –€ 21.4 million). In health insurance, it came to –€ 22,862 (2014: –€ 1.3 million). Lastly, in life insurance earnings before taxes improved by 71.8 per cent to € 36.9 million (2014: € 21.5 million).
