Group business development
- Premiums written (including savings portions from unit-linked and index-linked life insurance) rose by 14.2 per cent to €6,358.0 million
- Combined ratio improved from 97.8 per cent to 93.7 per cent
- Finance costs rose to €134.8 million due to one-off effects from bond buybacks in the fourth quarter of 2021
- Earnings before taxes at €382.3 million in 2021 due to the very strong performance
- Proposed dividend of €0.55 per share for 2021
|
In € million |
2021 |
2020 |
2019 |
|---|---|---|---|
|
Premiums written, including savings portions from unit-linked and index-linked life insurance |
6,358.0 |
5,565.3 |
5,372.6 |
|
Cost ratio (net after reinsurance) |
27.4% |
29.4% |
27.2% |
|
Combined ratio (net after reinsurance) |
93.7% |
97.8% |
96.4% |
|
Earnings before taxes |
382.3 |
57.1 |
232.0 |
|
Consolidated profit/(loss) (proportion of the net profit for the period attributable to the shareholders of UNIQA Insurance Group AG) |
314.7 |
19.4 |
171.0 |
Changes in premiums
UNIQA’s total premium volume increased in 2021 – taking into account the savings portions from unit-linked and index-linked life insurance in the amount of €324.6 million (2020: €304.1 million) – by 14.2 per cent to €6,358.0 million (2020: €5,565.3 million). The main driver of this was the full effect of the initial consolidation of the former AXA CEE companies, which took place in the fourth quarter of 2020.
Premiums written including savings portions from unit-linked and index-linked life insurance
In € million
In the area of insurance policies with recurring premium payments, there was an encouraging increase of 13.4 per cent to €6,207.8 million (2020: €5,472.2 million). In the single premium business, the premium volume also increased to €150.2 million (2020: €93.2 million).
Premiums written in property and casualty insurance increased by 15.9 per cent to €3,489.5 million in 2021 (2020: €3,010.3 million). In health insurance, premiums written rose by 5.0 per cent to €1,226.5 million in the reporting period (2020: €1,167.6 million). In life insurance, the premiums written including savings portions from the unit-linked and index-linked life insurance increased by 18.3 per cent to €1,642.0 million (2020: €1,387.5 million).
The Group’s premiums earned including savings portions from unit-linked and index-linked life insurance (after reinsurance) amounting to €324.6 million (2020: €304.1 million) rose by 12.9 per cent to €6,022.2 million (2020: €5,333.7 million). The volume of premiums earned (net, in accordance with IFRSs) increased by 13.3 per cent to €5,697.6 million (2020: €5,029.5 million).
|
In € million |
2021 |
2020 |
2019 |
|---|---|---|---|
|
Premiums written |
3,489.5 |
3,010.3 |
2,846.8 |
|
Insurance benefits (net) |
–1,965.1 |
–1,775.1 |
–1,719.5 |
|
Loss ratio (after reinsurance) |
61.3% |
63.2% |
64.2% |
|
Operating expenses (net) |
–1,037.8 |
–970.7 |
–861.2 |
|
Cost ratio (net after reinsurance) |
32.4% |
34.6% |
32.2% |
|
Combined ratio (net after reinsurance) |
93.7% |
97.8% |
96.4% |
|
Net investment income |
135.2 |
29.5 |
122.1 |
|
Earnings before taxes |
107.3 |
–67.9 |
61.4 |
|
Technical provisions (net) |
3,891.2 |
3,732.1 |
3,061.3 |
|
In € million |
2021 |
2020 |
2019 |
|---|---|---|---|
|
Premiums written |
1,226.5 |
1,167.6 |
1,130.8 |
|
Insurance benefits (net) |
–997.7 |
–963.1 |
–969.3 |
|
Operating expenses (net) |
–206.6 |
–225.0 |
–187.8 |
|
Cost ratio (net after reinsurance) |
17.0% |
19.3% |
16.7% |
|
Net investment income |
163.1 |
104.5 |
109.0 |
|
Earnings before taxes |
173.0 |
79.5 |
85.8 |
|
Technical provisions (net) |
3,812.8 |
3,622.8 |
3,433.9 |
|
In € million |
2021 |
2020 |
2019 |
|---|---|---|---|
|
Premiums written, including savings portions from unit-linked and index-linked life insurance |
1,642.0 |
1,387.5 |
1,394.9 |
|
Insurance benefits (net) |
–1,141.4 |
–956.4 |
–977.3 |
|
Operating expenses (net) |
–404.1 |
–370.7 |
–358.1 |
|
Cost ratio (net after reinsurance) |
25.2% |
27.2% |
26.1% |
|
Net investment income |
349.6 |
371.3 |
354.1 |
|
Earnings before taxes |
102.0 |
45.5 |
84.8 |
|
Technical provisions (net) |
15,907.0 |
16,442.0 |
15,588.7 |
|
of which technical provisions from unit-linked and index-linked life insurance (net) |
5,028.5 |
5,115.4 |
4,646.0 |
Change in insurance benefits
Insurance benefits before reinsurance (see note 8 in the consolidated financial statements) increased by 14.3 per cent to €4,365.5 million in the 2021 financial year (2020: €3,819.8 million). Consolidated insurance benefits (net) rose less than the volume of premiums earned in the past year by 11.1 per cent to €4,104.2 million (2020: €3,694.6 million).
Insurance benefits (net)
In € million
Despite a significant burden from natural catastrophe and major losses due to favourable basic loss development, the loss ratio after reinsurance in property and casualty insurance decreased to 61.3 per cent in 2021 (2020: 63.2 per cent). At around €94 million, the claim load from natural catastrophes was far above the average of recent years. In particular, there were decreasing claims expenses in the area of motor vehicle insurance due to lower mobility levels in 2021 in connection with Covid-19. The combined ratio after reinsurance therefore improved strongly to 93.7 per cent due to the lower cost ratio at Group level (2020: 97.8 per cent).
Combined ratio after reinsurance
In percent
Operating expenses
Total consolidated operating expenses (see note 9 in the consolidated financial statements), less reinsurance commissions received and the share of profit from reinsurance ceded, rose by 5.2 per cent to €1,648.5 million in the 2021 financial year (2020: €1,566.4 million). The expenses for the acquisition of insurance less reinsurance commissions received and the share of profit from reinsurance ceded amounting to €23.6 million (2020: €18.5 million) increased less than the volume of premiums earned by 10.1 per cent to €1,029.2 million (2020: €934.9 million). Other operating expenses decreased by 1.9 per cent to €619.4 million (2020: €631.5 million). This includes expenses amounting to around €60 million (2020: around €62 million) as part of the innovation and investment programme.
A one-off restructuring provision of around €100 million was included in the 2020 financial year affecting costs. However, the full costs of the former AXA CEE companies amounting to more than €100 million are included in 2021 due to the full-year consolidation. The decrease in operating expenses is therefore due in part to the initial successes from the cost programme.
The cost ratio after reinsurance, i.e. the ratio of total operating expenses less the amounts received from reinsurance commission and share of profit from reinsurance ceded to the Group premiums earned, including savings portions from unit-linked and index-linked life insurance, increased to 27.4 per cent during the past year as a result of the developments mentioned above (2020: 29.4 per cent). The cost ratio before reinsurance fell to 26.4 per cent (2020: 28.6 per cent).
Investments
The UNIQA Group’s investment portfolio (including investment property, financial assets accounted for using the equity method and other investments) decreased by 2.4 per cent to €21,785.0 million in the 2021 financial year (31 December 2020: €22,319.2 million).
Net investment income increased by 28.2 per cent to €648.0 million (2020: €505.4 million). This was mainly due to realisations from equity funds, fixed-income securities and, to a lesser extent, gains from the sale of properties. Currency effects amounting to €8.8 million had a negative impact on net investment income. In addition, the equity method accounting of the 15.3 per cent holding in STRABAG SE in 2021 resulted in a positive contribution to earnings of €70.5 million (2020: €56.0 million). A detailed description of net investment income can be found in the consolidated financial statements (see note 4 in the consolidated financial statements).
Other income and other expenses
Other income rose by 38.7 per cent in 2021 to €300.4 million (2020: €216.5 million). Other expenses grew less strongly in the reporting year by 8.7 per cent to €250.6 million (2020: €230.5 million).
Results
The UNIQA Group’s technical result increased by 167.2 per cent to €209.2 million in 2021 due to the improved cost development and the favourable claim load (2020: €78.3 million). Operating profit increased by 137.4 per cent to €588.0 million (2020: €247.6 million).
Accordingly, UNIQA’s earnings before taxes increased almost sevenfold to €382.3 million (2020: €57.1 million). Profit/(loss) for the year also increased in the reporting year to €317.9 million (2020: €24.3 million). Income tax expense increased to €64.4 million in 2021 due to the good result (2020: €32.8 million).
Earnings before taxes
In € million
The consolidated profit/(loss) (share of the profit/(loss) for the period attributable to the shareholders of UNIQA Insurance Group AG) amounted to €314.7 million (2020: €19.4 million). Earnings per share rose as a result to €1.03 (2020: €0.06).
Earnings per share
In €
The return on equity (after taxes and non-controlling interests) rose to 9.3 per cent in the reporting year (2020: 0.6 per cent).
Operating return on equity
In percent
On this basis, the Management Board will propose to the Supervisory Board and the Annual General Meeting the distribution of a dividend of 55 cents per share (2020: 18 cents per share).
Dividend per share
In €
Own funds and total assets
The equity attributable to the shareholders of UNIQA Insurance Group AG fell in the past financial year by €146.5 million to €3,303.6 million (31 December 2020: €3,450.1 million). The reason for this was the fall in the measurement of financial instruments available for sale through the increase in the general interest rate level. Non-controlling interests amounted to €19.7 million (31 December 2020: €24.8 million). The Group’s total assets came to €31,547.8 million as at 31 December 2021 (31 December 2020: €31,908.0 million).
Cash flow
UNIQA’s net cash flow from operating activities amounted to €726.1 million in 2021 (2020: €167.9 million). Cash flow from investment activities amounted to €–653.2 million (2020: €–714.7 million). Net cash flows from financing activities amounted to €–127.9 million (2020: €712.8 million). Overall, cash and cash equivalents decreased slightly by €48.1 million in the 2021 financial year to €592.6 million (2020: €640.7 million).
Employees
UNIQA’s average number of employees (full-time equivalents, FTEs) increased to 14,849 FTEs in 2021 due to the inclusion of the AXA CEE companies (2020: 13,408). This includes 4,005 FTEs (2020: 4,138) as field sales employees. The number of employees in administration amounted to 10,844 FTEs (2020: 9,271).
In the Central Europe (CE) region – Poland, Slovakia, the Czech Republic and Hungary – the Group employed an average of 4,887 FTEs in 2021 (2020: 3,231), while 2,286 FTEs (2020: 2,285) were employed in the Southeastern Europe (SEE) region – Albania, Bosnia and Herzegovina, Bulgaria, Kosovo, Croatia, Montenegro, North Macedonia and Serbia – and 1,599 FTEs (2020: 1,622) in the Eastern Europe (EE) region of Romania and Ukraine. There were 110 FTEs working in Russia (RU) (2020: 103). The average number of FTEs in the Western European markets in 2021 was 42 (2020: 42). A total of 5,925 FTEs were employed in Austria (2020: 6,125). Including the employees of the general agencies working exclusively for UNIQA, the total number of people working for the Group amounts to around 22,400.
In 2021, 60 per cent (2020: 60 per cent) of the staff working in administrative positions at UNIQA in Austria were women. In sales, the ratio was 80 per cent men to 20 per cent women (2020: 80 per cent men to 20 per cent women). 17.3 per cent (2020: 24.6 per cent) of employees were working part-time. The average age in the past year was 44 years (2020: 44.5 years).
In Austria almost all employees have a share in the company’s success through some form of variable participation programme. There is a bonus system in place for managers and selected key employees on the one hand and a profit-sharing scheme for eligible employees on the other. In 2021, around 13 per cent of employees participated in the bonus programme for managers and selected key employees, a variable remuneration system that is linked to both the success of the company and personal performance (2020: no bonus in place). Around 73 per cent of employees will participate in the profit-sharing scheme for 2021 (2020: no employee participation). The amount of the profit-sharing budget depends on the achievement of a profit target, and distributions will only take place after the company’s success has been determined in the following year.
In addition, UNIQA offers young people in training the opportunity to get to know foreign cultures and make international contacts. Currently 88 apprentices are being trained.