Overall, according to preliminary data, premium income increased by 3.4 percent to EUR 18.7 billion. In property-casualty the increase was 4.7 percent to 10.7 billion euros, in life 0.6 percent to 5.4 billion euros, in private health insurance 3.7 percent to 2.5 billion euros. In life insurance, income from regular premiums fell by 0.9 percent to EUR 4.6 billion, but single premiums rose by 10.8 percent to EUR 0.8 billion. The insurance association (VVO) announced on Monday that 0.7 billion euros were taken from the premium-privileged future provision, the number of contracts was just under one million.
Insurance company benefits to customers grew by 2.9 percent to EUR 16.0 billion, which is a little more moderate than in 2020 – at that time, benefits increased more than revenue. In terms of percentage, benefits were highest in the life segment last year, but fell sharply by 9.3 percent to 7.1 billion euros. In the slightly larger property-casualty segment (including motor vehicle liability), it was 7.5 billion euros, 18.5 percent more than in 2020. In private health insurance, 1.4 billion euros in benefits were paid out, 1 percent more.
Increased investments in wind and solar parks
With the unchanged approximately 110 billion euros in capital investments, Austria’s insurance industry has “a large lever to support the domestic economy in the implementation of climate goals,” explained VVO President Robert Lasshofer. In the area of energy supply, for example, the transformation could be promoted through increased investments in wind or solar parks, and more funds could also be made available for sustainable infrastructure projects, Lasshofer said in the press release. And financing for renovations and insulation in the residential sector is also conceivable.
Lasshofer recalled the insurance association’s 4-point plan to strengthen private provision. Above all, there should be tax advantages for those who want to make provisions with life insurance. The demand paper includes a reduction in insurance tax (currently 4 percent) and tax relief for sustainable fund policies.
Source: Nachrichten
