Austrian Insurance Industry

The Austrian insurance industry saw a modest 1.9%rise in premium income in 2007, to €15.8 billion ($23.4 billion), according topreliminary figures released by the Austrian Insurance Assn.

The growth rate for 2008 is expected to be about the same as lastyear, according to the Versicherungsverband Osterreich, based inVienna. The relatively moderate growth rate in 2007 was due largely to thedecline of single premium payments in life insurance, the VVO said. Onthe claims side, there was an increase of 10.7%, to €10.7 billion ($15.9 billion),because of higher payments on expiring life insurances, according tothe association. Premium volume in property and casualty insurance grew in 2007 to €7.2 billion ($10.7 billion), an increase of 3.1%. Insurance benefits paid in the sector last year totaled about€4.7 billion ($7.0 billion), an increase of 1.3%. Growth in the property and casualty sector in 2008 is forecast to beabout 2.6%, the VVO reported.