UNIQA provides life and health insurance and is active in almost all areas of property and casualty insurance. UNIQA serves around 9.3 million customers and has over 18.6 million insurance policies with a premium volume written (including the savings portion of unit- and index-linked life insurance) of € 5.9 billion (2012: € 5.5 billion) and investments of € 27.4 billion (2012: € 26.3 billion). UNIQA is the second-largest insurance group in Austria and has a strong net-work in Central and Eastern Europe with a presence in 15 countries.
Premium development
In 2013, UNIQA’s total premium volume, including the savings portion of unit- and index-linked life insurance in the amount of € 727.9 million (2012: € 679.0 million), increased significantly by 6.2 per cent to € 5,885.5 million (2012: € 5,543.1 million). The total consolidated premium volume written rose by 6.0 per cent to € 5,157.6 million (2012: € 4,864.2 million).
There was extremely satisfactory development in the area of insurance policies with recurring premiums, which grew by 3.9 per cent to € 5,202.8 million (2012: € 5,009.7 million). Single premiums enjoyed even stronger performance, with the premium volume increasing by 28.0 per cent to € 682.8 million (2012: € 533.5 million) due to strong growth in Italy.
Group premiums earned, including the savings portion of unit- and index-linked life insurance (after reinsurance) in the amount of € 702.3 million (2012: € 649.9 million), rose by 6.9 per cent to € 5,638.2 million (2012: € 5,273.8 million). Retained premiums earned (in accordance with IFRS) increased by 6.7 per cent to € 4,935.9 million (2012: € 4,623.9 million).
In the 2013 financial year, 44.0 per cent (2012: 45.9 per cent) of the premium volume written was attributable to property and casualty insurance, 15.9 per cent (2012: 16.4 per cent) to health insurance and 40.1 per cent (2012: 37.7 per cent) to life insurance.
Development of insurance benefits
Insurance benefits before reinsurance (see note 36 of the notes to the consolidated financial statements) increased by 5.2 per cent to € 4,073.9 million in the 2013 financial year (2012: € 3,873.8 million) Consolidated retained insurance benefits also rose by 5.2 per cent to € 3,955.3 million in the past financial year (2012: € 3,758.5 million).
Operating expenses
Total consolidated operating expenses (see note 37 of the notes to the consolidated financial statements) less reinsurance commission received and profit shares from reinsurance business ceded (see note 33 of the notes to the consolidated financial statements) increased slightly by 2.9 per cent to € 1,357.6 million in the 2013 financial year (2012: € 1,319.3 million). Acquisition costs less reinsurance commission received fell by 0.3 per cent to € 917.6 million (2012: € 920.1 million). Other operating expenses increased by 10.2 per cent to € 439.9 million (2012: € 399.2 million) due to performance-based employee participation and provisions in connection with strategic projects.
UNIQA’s cost ratio after reinsurance, i.e. the ratio of total operating expenses less reinsurance commission received and profit shares from reinsurance business ceded to Group premiums earned including the savings portion of unit- and index-linked life insurance, decreased to 24.1 per cent in the past year as a result of the developments mentioned above (2012: 25.0 per cent). The cost ratio before reinsurance was 23.1 per cent (2012: 23.9 per cent).
Investment result
Total investments including land and buildings used by the Group, real estate held as investments, shares in associates and investments of the unit- and index-linked life insurance and current cash and cash equivalents increased by 4.0 per cent to € 27,383.6 million in the 2013 financial year (31 December 2012: € 26,326.0 million).
Net investment income fell slightly by 1.4 per cent to € 780.0 million (2012: € 791.4 million) due to the sustained low interest rate environment. A detailed presentation of investment income can be found in the notes to the consolidated financial statements (note 34).
Earnings before taxes of € 305.6 million
In 2013, UNIQA recorded an extremely satisfactory profit from ordinary activities of € 305.6 million, up 49.7 per cent on the previous year (2012: € 204.2 million); this was due to the encouraging developments in all operational segments. The net profit for the period amounted to € 286.8 million (2012: € 166.5 million). This figure includes the result from discontinued operations in the amount of € 50.0 million (2012: € 9.9 million) from the reversal of a provision reported under other provisions in connection with the sale of the Mannheimer Group. As a result, consolidated profit increased significantly by 123.0 per cent to € 283.4 million (2012: € 127.1 million), while earnings per share rose to € 1.20 (2012: € 0.75). In 2013, the return on equity (ROE) after taxes and minority interests increased to 11.9 per cent (2012: 8.8 per cent).
The Management Board will therefore propose the payment of a dividend of € 0.35 per share to the Supervisory Board and the Annual General Meeting.
Group equity and total assets
In the past financial year, total Group equity increased by 37.4 per cent or € 760.0 million to € 2,789,9 million as a result of the re-IPO (31 December 2012: € 2,030.0 million). This figure includes minority interests of € 22.2 million (31 December 2012: € 20.7 million). Accordingly, the solvency ratio (Solvency I) increased to 287.1 per cent (31 December 2012: 216.0 per cent). Total Group assets increased by 3.3 per cent in the year under review to total € 31,068.6 million as of 31 December 2013 (31 December 2012: € 30,054.6 million).
Cash flow
In 2013, net cash from operating activities amounted to € 633.6 million (2012: € 1,133.0 million). Net cash used in investing activities amounted to € 1,786.9 million (2012: € 1,185.5 million). The increase in the share capital meant that net cash from financing activities rose to € 813.0 million (2012: € 335.0 million).
The total change in cash and cash equivalents was minus € 340.3 million (2012: € 282.5 million). At the end of 2013, the Group had cash and cash equivalents in the amount of € 617.0 million (2012: € 960.1 million).
Employees
In 2013, the average number of employees at UNIQA fell to 14,277 as a result of the sale of the Austria Hotels International Group (2012: 14,795). Of this figure, 5,893 (2012: 6,308) were employed in sales positions. The number of employees in administrative roles decreased to 8,384 (2012: 8,487).
In the 2013 financial year, the Group had 2,899 employees (2012: 2,963) in the Central European (CE) region – consisting of Poland, Slovakia, the Czech Republic and Hungary – 2,028 employees (2012: 2,279) in the Southeastern European (SEE) region – consisting of Albania, Bosnia and Herzegovina, Bulgaria, Croatia, Kosovo, Macedonia, Montenegro and Serbia – and 2,489 employees (2012: 2,509) in the Eastern European (EE) region, i.e. Romania and Ukraine. There were 94 employees (2012: 61) in Russia (RU). The average number of employees in the Western European markets increased slightly to 348 (2012: 334). A total of 6,419 people were employed in Austria (2012: 6,649). Including the employees of the general agencies working exclusively for UNIQA, the total number people working for the Group amounted to 21,928.
In 2013, 51 per cent of the employees working in administrative positions at UNIQA Insurance Group AG in Austria were female. In sales, the male-female ratio was 80:20. 19 per cent (2012: 21 per cent) of employees worked on a part-time basis. The average age of the workforce remained at 42 years in the year under review (2012: 42 years). All in all, 14.4 per cent of the employees participated in UNIQA’s bonus system in 2013 (2012: 14.1 per cent), a variable remuneration system that is linked both to the success of the company and to personal performance. UNIQA also offers young people in training the opportunity to get to know foreign cultures and make international contacts. 39 apprentices are currently being trained, and a total of 10 new apprentices were accepted in 2013.
