In implementing UNIQA 3.0, we are focusing on standardising, simplifying and scaling our existing business as well as on maximum efficiency increases and the targeted development of new business segments. The significant strategic pillars of this programme are as follows:
- Austria and CEE – two core markets created
Our two core geographic markets remain Austria and CEE; here, the focus will be on Poland, the Czech Republic, Slovakia and Hungary. The countries in Central Europe are gaining considerably in strategic importance, especially due to the acquisition and integration of the former AXA companies in Poland, the Czech Republic and Slovakia.
- Optimisation and expansion of the existing business
In the sense of cost-effective restructuring and optimisation, we have defined a number of critical initiatives which deal with topics such as our processes, IT and data or organisational structure as well as with the attractive financial figures we strive for. In Austria, these programmes aim to secure and expand UNIQA’s strong market position. In CEE, on the other hand, the focus is on integrating the AXA companies and further expanding the business.
- Structure in line with customer needs instead of by business lines
Effective 1 January 2021, we have organised all operational insurance companies of the UNIQA Group according to the customer segments Retail, Corporate and Affinity, and Banking instead of the previous business line structure. This enables us to address the individual customer groups in a much more focused manner across the boundaries of product lines or families and, in addition to further increasing efficiency as well as customer satisfaction and loyalty, should also lead to a growth in premiums.
- Opening up attractive new business models: CHERRISK and SanusX
As we continue to develop our business, we are also focusing on two completely new, disruptive concepts: the purely digital, app-based distribution platform CHERRISK for simple travel, household and casualty insurance that can be cancelled at any time, and our subsidiary SanusX, which is driving the development of our Group in the direction of a holistic healthcare provider.
- Earnings and sustainability-oriented adjustments in asset management
To support current income, we are increasingly investing in illiquid assets with more attractive returns, such as infrastructure debt and equity, private equity and mortgage loans, instead of government bonds. At the same time, we are also pursuing a clear sustainability strategy in the investment area and are consistently pushing ahead with the exit from the coal business – as an investor as well as an insurer. Infrastructure investments in projects to promote the energy transition and the issuance of green bonds also serve this objective.
- Increased earnings for our owners
The safeguarding and strengthening of the Group’s financial position aimed at within the framework of UNIQA 3.0 naturally also has a positive effect on UNIQA’s shareholders. In this way we can offer our owners an appropriate return on their invested capital and thus also a continuously stable dividend.
Efficient organisational structure
Processes focused around the customer
Great progress in implementation
Immediately after the presentation of UNIQA 3.0 in November 2020, the implementation of diverse programme measures began. In addition to the rapid integration of the companies acquired from AXA in CEE in 2020 (for details see “Successful in CEE”) and the consistent implementation of the efficiency improvement programme in Austria (see “Slimming down effectively”), we have already made great progress with numerous other initiatives.
While customer-facing activities in the Retail segment focused on creating an outstanding customer journey and on simple products, the Corporate and Affinity segment focused on innovative services and distribution channels and the Banking segment on market expansion and digitalisation (see “living better together” for more details). At the same time, we have been working hard internally to further improve our processes and to further develop our IT systems and data. Here, too, the focus was on digitalisation, automation and increased efficiency as well as on improving the environmental footprint.
Strategy cockpit: consistent monitoring of success
In order to keep a constant eye on the progress and degree of implementation of the new strategic programme, we have developed a clear and easy-to-understand control instrument: the UNIQA 3.0 Strategy Cockpit. After the first year, it shows a very pleasing interim status in all dimensions of UNIQA 3.0. We are almost entirely on target with the planned measures, and the successful implementation of our strategic initiatives is already reflected in the profits, as mentioned above. In terms of premium income, we are even above the objective in almost all customer segments, in Austria as well as internationally. Total costs, on the other hand, remained below the target value in 2021 thanks to the consistent implementation of all savings measures. These are good prerequisites for an equally successful continuation of UNIQA 3.0 in the current year.
Sustainability and ESG as central concerns
Sustainability is a core element of our programme for the future, UNIQA 3.0. Our goal is to make UNIQA climate neutral by 2040. We are committed to the Paris climate target of 1.5 degrees Celsius and are a member of important international associations and initiatives, including the UN Principles for Responsible Investments (PRI) and the Net-Zero Asset Owner Alliance. Our holistic sustainability strategy is based on an investment policy designed according to ESG criteria, an ESG-oriented product policy, exemplary operational management, transparent reporting and committed stakeholder management. We are not yet where we want to be on all these issues, but we are working hard to get there. Our top priority here is to integrate the concept of sustainability into our core business.
Five cornerstones form the foundation of our sustainability strategy: