The Austrian Financial Market Authority (FMA) published its annual report on the State of the Austrian Industry today. The report analyses the developments, challenges, and risks of the sector and provides an overview about the industry’s stability and resilience.
An overview of the highlights (cut-off date for values: 30 June 2025):
- Solvency Ratio (Median): 264 % (previous year: 253 %)
- Assets under management: €130.2 billion (+3.7 % compared with previous year)
- Asset allocation:
- Proportion in bonds has fallen to 34% (2025) from 46% (2019)
- Illiquid investments (loans, real estate, participating interests) have increased to 41% (2025) from 28% (2019)
- Financial sector exposure:
- Interdependency with the financial sector has fallen in the past 10 years
Insurance undertaking, according the to FMA, remain well capitalised. As of the cut-off point of 30 June 2025, the solvency ratio on average was 264% and therefore significantly about the European average. Assets under management increased to €130.2 billion, an increase by 3.7% compared to the previous year’s amount.
Allocation of Assets
There has been a marked shift in the allocation of assets in recent years. While the proportion held in government and corporate bonds has decreased from 46% (2019) to 34% (2025), the proportion of more illiquid investments such as loans, real estate and participating interests has increased from 28% to 41% over the same period, a trend that has also been observed internationally. The growth in investments in private credit and private equity has become a stronger focus of attention for European supervisory authorities.
Interdependency with the financial sector
Austrian insurance undertakings’ interdependency with the banking sector – a potential source of contagion in times of crisis – has fallen by around one-third in the past 10 years. As of 30 June 2025 bank exposure in the direct portfolio stood at €17.2 billion (2016: €24.6 billion), with around half of this amount (€8.5 billion) being towards Austrian banks. The allocation by insurance undertaking is very heterogeneous.
The full report can be downloaded from the FMA website at: State of the Austrian Insurance Industry
Journalists may address further enquiries to
Boris Gröndahl (FMA Media Spokesperson)
Telephone: +43/(1)249/59-6010
Mobile: +43 676 8824 9995
E-Mail: [email protected]