During the 4th quarter of 2020, Austrian insurance undertakings posted an increase in premium volume of +1.61% to € 4.28 billion, in comparison with the corresponding period in 2019. For the full-year 2020 premium volume stood at € 19.08 billion, an increase of +1.57% compared with the preceding year. These findings have emerged from the Report on the Austrian Insurance Sector for the fourth quarter of 2020, which was published today by the Austrian Financial Market Authority (FMA).
The volume of premiums in the 4th Quarter of 2020 consisted of € 2.31 billion in the non-life/accident insurance sector (+4.12% compared to Q4 2019), € 1.36 billion in the life insurance sector (-3.21%) and € 604 million in the health insurance sector (+3.75%). For the full year in 2020, premium volume in life insurance fell by -1.18% to € 5.36 billion. The sectors non-life and accident insurance and health insurance were able to post increases of +2.41% to € 11.29 billion and +3.99% to € 2.43 billion respectively.
In 2020 the technical result compared with 2018 fell by -10.29% or – € 63.58 million to € 554.13 million, with the financial result increasing by -43.21% or -€ 1,347.26 million to € 1.77 billion. Consequently the result from ordinary activities (EGT) increased by € 949.66 million or -56.08% to € 743.71 million.
The total of all assets at market value (excluding investments in the area of unit-linked and index-linked life insurance) stood at € 114.40 billion at the end of 2020, an increase of 3.44% or + € 3.80 billion more than the corresponding value at year-end 2019.
Solvency remains good
The hidden net reserves (the balance of undisclosed reserves and losses) stood at € 24.90 billion at the end of 2020, an increase by € 2.06 billion (+9.03%) compared with year-end 2019. With regard to the solvency requirements pursuant to the Insurance Supervision Act 2016 (VAG 2016; Versicherungsaufsichtsgesetz 2016), around two thirds of all insurance undertakings had an SCR solvency level of over 200%; i.e. holding more than double the amount of own funds as required. The Solvency Capital Requirement (SCR) measures whether the insurance undertaking is able with 99.5% probability within the next twelve months to absorb unexpected losses as well as to be able to meet its obligations towards policyholders. For around half of all insurance undertakings the MCR solvency level was in the range between 518% to 894%. The Minimum Capital Requirement (MCR) is the minimum amount of own funds that the insurance undertaking is required to hold in any case and at all times. The full quarterly report can be found (in German only) via this link.
Journalists may address further enquiries to:
Klaus Grubelnik (FMA Media Spokesperson)
+43/(0)676/882 49 516