Segment reporting

Operating segments

The accounting and valuation methods of the segments that are subject to mandatory reporting correspond with the consolidated accounting and valuation methods. The earnings before taxes for the segments were determined taking the following components into consideration: summation of the IFRS profits in the individual companies, taking the elimination of investment income in the various segments and impairment of goodwill into consideration. All other consolidation effects (profit/(loss) for the period at associates, elimination of interim results, and other overall effects) are included in “Consolidation”. The segment profit/(loss) obtained in this manner is reported to the Management Board of UNIQA Insurance Group AG to manage the Group in the following operating segments:

UNIQA Austria – includes the Austrian insurance business.
UNIQA International – includes all foreign primary insurance companies and a foreign Group service company as well as the Austrian holding companies UNIQA International AG and UNIQA Internationale Beteiligungs-Verwaltungs GmbH. This segment is divided on a regional basis into the following main areas:

Central Europe (CE – Poland, Slovakia, Czech Republic and Hungary)
Eastern Europe (EE – Romania and Ukraine)
Russia (RU)
Southeastern Europe (SEE – Albania, Bosnia and Herzegovina, Bulgaria, Croatia, Kosovo, Montenegro, North Macedonia and Serbia)
Western Europe (WE – Liechtenstein and Switzerland)
Administration (Austrian holding companies)

Reinsurance – includes UNIQA Re AG (Zurich, Switzerland), UNIQA Versicherung AG (Vaduz, Liechtenstein) and the reinsurance business of UNIQA Insurance Group AG.
Group functions – includes the remaining items for UNIQA Insurance Group AG (net investment income and administrative costs) as well as all other remaining Austrian and foreign service companies.

Operating segments

(XLS:) Download

In € thousand	UNIQA Austria		UNIQA International		Reinsurance		Group functions		Consolidation		Group
In € thousand	1–12/2018	1–12/2017 adjusted	1–12/2018	1–12/2017 adjusted	1–12/2018	1–12/2017 adjusted	1–12/2018	1–12/2017 adjusted	1–12/2018	1–12/2017 adjusted	1–12/2018	1–12/2017 adjusted
Premiums written (gross), including savings portions from unit-linked and index-linked life insurance	3,734,400	3,656,609	1,564,649	1,608,517	1,098,345	1,091,601	0	0	–1,087,925	–1,063,422	5,309,469	5,293,305
Premiums earned (net), including savings portions from unit-linked and index-linked life insurance	3,031,811	2,991,320	1,059,062	1,139,869	985,588	1,003,018	0	0	5,208	–30,065	5,081,670	5,104,143
Savings portions from unit-linked and index-linked life insurance (gross)	219,802	231,806	100,712	249,833	0	0	0	0	0	0	320,513	481,639
Savings portions from unit-linked and index-linked life insurance (net)	220,214	226,377	100,712	249,833	0	0	0	0	0	0	320,925	476,210

Premiums written (gross)	3,514,598	3,424,803	1,463,937	1,358,684	1,098,345	1,091,601	0	0	–1,087,925	–1,063,422	4,988,955	4,811,666

Premiums earned (net)	2,811,597	2,764,943	958,350	890,037	985,588	1,003,018	0	0	5,208	–30,065	4,760,744	4,627,933
Premiums earned (net) – intragroup	–662,714	–630,645	–387,285	–365,299	1,044,792	1,026,009	0	0	5,208	–30,065	0	0
Premiums earned (net) – external	3,474,312	3,395,588	1,345,636	1,255,336	–59,203	–22,991	0	0	0	0	4,760,744	4,627,933
Technical interest income	309,474	312,366	26,112	27,884	0	0	0	0	0	0	335,586	340,250
Other insurance income	12,213	4,777	21,921	19,524	251	354	1,753	505	–3,743	–2,866	32,395	22,293
Insurance benefits	–2,390,251	–2,339,820	–561,788	–537,625	–682,442	–692,482	9,644	8,414	–1,806	14,103	–3,626,642	–3,547,410
Operating expenses	–564,868	–548,346	–376,591	–355,974	–299,601	–320,192	–68,410	–55,345	–5,183	3,884	–1,314,653	–1,275,974
Other technical expenses	–14,768	–29,065	–34,419	–31,329	–12,100	–11,629	–166	–1,200	14,203	16,735	–47,250	–56,488
Technical result	163,398	164,854	33,585	12,517	–8,303	–20,931	–57,179	–47,625	8,680	1,790	140,180	110,605

Net investment income	418,322	452,416	81,720	71,402	23,493	28,708	305,974	267,164	–248,319	–247,556	581,191	572,134
Income from investments	512,177	578,095	96,550	85,659	35,801	34,811	593,331	585,370	–320,284	–303,810	917,575	980,124
Expenses from investments	–112,433	–139,252	–15,035	–14,440	–12,308	–6,103	–338,422	–321,312	32,624	22,927	–445,574	–458,180
Financial assets accounted for using the equity method	18,578	13,573	206	184	0	0	51,065	3,106	39,341	33,327	109,189	50,190
Other income	1,204	1,776	10,814	13,790	12,897	4,472	17,269	20,425	–5,340	–3,815	36,844	36,649
Reclassification of technical interest income	–309,474	–312,366	–26,112	–27,884	0	0	0	0	0	0	–335,586	–340,250
Other expenses	–14,739	–16,573	–39,724	–19,472	–4,298	–6,122	–16,231	–21,385	2,457	7,102	–72,536	–56,451
Non-technical result	95,312	125,254	26,699	37,836	32,092	27,058	307,012	266,204	–251,202	–244,269	209,913	212,082

Operating profit/(loss)	258,710	290,108	60,283	50,353	23,788	6,127	249,833	218,578	–242,522	–242,479	350,092	322,687
Amortisation of goodwill and impairment losses	–1,913	–2,478	–761	–2,561	0	0	0	0	0	0	–2,674	–5,039
Finance cost	–25,080	–25,083	–4,410	–5,037	–2,900	–2,900	–64,201	–64,921	43,792	44,925	–52,800	–53,017
Earnings before taxes from continuing operations	231,716	262,546	55,112	42,755	20,888	3,227	185,632	153,657	–198,730	–197,554	294,618	264,631

Combined ratio (property and casualty insurance, after reinsurance)	91.6%	91.8%	95.5%	97.1%	99.6%	100.7%	n/a	n/a	n/a	n/a	96.8%	97.5%
Cost ratio (after reinsurance)	18.6%	18.3%	35.6%	31.2%	30.4%	31.9%	n/a	n/a	n/a	n/a	25.9%	25.0%

Reinsurance

An insurance company insures part of its risk via another insurance company.