Premium volume and expenses
A detailed disclosure of premium development is included in Note 15. Premiums written – gross in the notes to the consolidated financial statements.
VIG Insurance Group wrote EUR 11,002.6 million in premiums in 2021, an increase of 5.5% compared to the same period in the previous year (2020: EUR 10,428.5 million). It retained EUR 9,878.6 million of the gross premiums written (2020: EUR 9,415.8 million). EUR 1,124.0 million was ceded to reinsurance companies in 2021 (2020: EUR 1,012.6 million).
The other property and casualty (+8.0%) and motor lines of business (motor third party liability +7.0%, motor own damage +8.7%) recorded particularly good premium growth in 2021. Premium growth was especially strong in the Czech Republic (+7.7%), Extended CEE (+9.3%) and Group Functions (+13.2%) segments. In the Extended CEE segment, the Baltic states (+9.1%), Croatia (+23.1%), Hungary (+13.6%) and Romania (+17.2%) recorded particularly dynamic premium growth. Overall, the Group generated 61.8% of its premiums outside Austria in 2021.
Net earned premiums rose 4.0%, from EUR 9,336.6 million in 2020 to EUR 9,705.6 million in 2021. Net reinsurance cessions were EUR 1,117.3 million in 2021 (2020: EUR 1,005.8 million).
Expenses for claims and insurance benefits – retention
A detailed disclosure of expenses for claims and insurance benefits is included in Note 19. Expenses for claims and insurance benefits – retention in the notes to the consolidated financial statements.
Group expenses for claims and insurance benefits less reinsurers’ share were EUR 7,136.6 million in 2021, representing a year-on-year increase of 1.5% (2020: EUR 7,030.6 million). The increase was the result of a significantly higher volume of business in the non-life lines of business.
Acquisition and administrative expenses
A detailed disclosure of acquisition and administrative expenses is included in Note 20. Acquisition and administrative expenses in the notes to the consolidated financial statements.
Acquisition and administrative expenses for all consolidated VIG companies increased by 8.9% year-on-year to EUR 2,536.8 million in 2021, primarily due to an increase in commission expenses (2020: EUR 2,328.5 million).