Uniqa Asigurari Forecasts 15% Turnover Growth To 580 Mio RON

N.I.

Uniqa Asigurari estimates to close the year with an overall subscribed gross premium value of nearly 580 million RON, up by 15% from 2008, and a profit of up to 3 million EUR, according to Chairperson of the Board Ileana Horvath, who made the announcement yesterday. The company concluded last year with a subscribed gross premium value of 507 million RON.

Horvath added that the estimates were primarily based on a structurally changed and more balanced portfolio, as the company is planning to focus more on goods insurance, home insurance and various type of insurance tailored for small- and medium-sized enterprises. Concurrently, mandatory car insurance (RCA) will be given less attention.

Uniqa Asigurari reported 100 million RON in losses for 2008. "Most insurance companies will report such losses following the new calculation norms for the uncertified damage reserves. Our results were indeed influenced by the change in the calculation formula," Horvath told BURSA. She added that Uniqa Asigurari had reported 140 million RON in turnover at the end of Q1, up by 11% from the corresponding period of 2008. "The first quarter results are unexpectedly good. We made a profit, even though it is not too much," she said.

Uniqa Asigurari currently has 1,100 employees and 8,000 insurance agents.

• Uniqa Group to set up Uniqa Life this Autumn

Austrian-based insurance group Uniqa is planning to re-launch life insurance operations this Autumn, when a new entity, Uniqa Life, will be established following assessments of the substantial long-term development potential of this market segment in Romania, the Group announced yesterday. Unita, a company acquired by Uniqa, stopped offering life insurance in 2005 and the law requires insurers to set up a distinct entity for life insurance operations.

"Life insurance has a substantial long-term potential in Romania. We benefit from the local experience of Unita, which was one of the pioneers of life insurance in Romania, as well as the wider know-how of the Group," said Andreas Brandstetter, Member of the Board of Uniqa Group - Austria.

Austrian-based insurance group Uniqa took over the local insurance company Unita from the Vienna Insurance Group (VIG) late last year. Unita closed 2008 as the eighth insurer in Romania with a market share of 5.61% and a subscribed gross premium value of 497.5 million RON, according to data released by the Insurance Supervisory Commission.

Also in late 2008, Uniqa gave up the planned takeover of local insurance Astra in which they had acquired 27% for 10 million EUR in 2005. Takeover negotiations eventually failed as the price for the rest of the stock was considered too high. Subsequently, Uniqa decided to withdraw their name from the Astra Uniqa logo.

Uniqa Asigurari recently increased share capital by 175 million RON injected by Uniqa Group.