UNIQA increased the volume of premiums in the first three quarters of 2003 (according to IAS) by 10.9% to € 2,225.6 million.In accordance with IAS regulations, this does not include the savings component from contributions to the fund- and index-linked life insurance to the amount of € 63.4 million.If this savings component is taken into account, the growth in premiums was 14.1%.

In accordance with the guidelines on consolidation, only the premium volume produced by the former AXA companies in Austria, Hungary and Liechtenstein during the third quarter, flowed into the consolidated premium income.If the total premiums of these companies from the first nine months of the year are taken into account, the premium volume of the UNIQA group grew by 22.1% to € 2,451.2 million.Premiumsof the R+V subsidiaries in Poland and Slovakia and those of Nürnberger Austria were not yet included in the reporting figures.In these cases, the majority takeover of the companies by UNIQA has been completed, though from a legal point of view this will only take effect in 2004.

The cost of claims and damages in the first three quarters rose by 10.0% to € 1,779.2 million.

Strong growth in premiums in property insurance lines
In the first three quarters of 2003, property and accident premiums rose by 18.7% to € 949.8 million42.7% of the company premium.This growth was mainly produced by vehicle lines (+16.5%) and general liability (+15.4%).

Claims paid in the property and accident lines rose by 25.5% to € 537.2 million, one of the reasons being that an international property reinsurance business was taken over in Poland.

The Combined Ratio of the group’s domestic companies, on the basis of local accounting standards, fell below 100% for the first time.

Growth in premiums in life insurance
Gross premiums written in the life insurance line increased by 7.2% to € 735.9 millionwhich corresponds to a 33.1% share of the group premium.In accordance with international accounting regulations, only the share of risk premium of €20.1 million of the fund- and index-linked life insurances was taken into account,but not the saving component of € 63.4 million.In total there was an increase of 16.4%.

The development of claims including the change in coverage reserve was within the limits of the normal business trend with an increase of 5.1% to € 767.2 million.

Encouraging development in health insurance
Healthinsurance contributions grew by 3.8% to € 540.9 million.This corresponds to a 24.3% share of the gross company premium.Insurance benefits including the change in coverage reserve increased by 3.3% to € 474.8 million.

Paramount growth in contributions of international companies – continuing premium increase
The share of the group’s international companies in the attained premiums rose year on year from 11.1% to 12.5%. For the former AXA companies in Hungary and Liechtenstein, only the premiums of the three third quarter months were taken into account.For the first half year, the international share in the overall premium volume was 15.1%.

In total, the companies outside of Austria achieved an increase in earned premiums of 24.7% to € 277.7 million.Growth in the Czech Republic (+33.1% to €55.6 million) and Slovakia (+29.3% to € 27.5 million)turned out to be well above average.

Investments increase by 18.8%
Capital investments, partly due to the inclusion of FinanceLife and the former AXA companies, increased by € 2,101.9 million compared to the previous year orby 18.8% to € 13,300.8 million.The (net) ROI increased by 78.4% to € 466.2 million during the reporting period.The fall in share prices in the first quarter of 2003 was extensively made up by the positive development of markets in the second and third quarters.

Cost savings programme within budget
With the consequent implementation of the “increased earnings“ programme introduced in 2001, the costs of the group have developed satisfactorily.During the reporting period, they have been influenced by special effects from the first-time underwriting of property reinsurance business in Poland and the incorporation of FinanceLife and the former AXA Austria into the consolidated group.In spite of these circumstances, administration costs compared to last year were reduced by 0.2 percentage points to 6.9%.

Otheroperative expenses grew, corrected for special effects, by 4.2% to € 148.6 million.In Austria, the adjusted growth in costs was 1.7%.After being adjusted for special effects, the operative expenses increased in line with premium increase by 12.8% to € 333.4 million.

Outlook
Even if the capital market remains flat, we expect an improvement in the Group's results for 2003 (2002:€ 35.3 million).From today’s perspective, the dividend for the financial year 2003 can be expected to remain at 16 cent.

Takeover of Nürnberger Austria and the R+V companies in Poland and Slovakia
UNIQA has concluded a fundamental agreement with Nürnberger Beteiligungs-AG, the parent company of the German Nürnberger Insurance Group, to take over 100% of the share capital of Nürnberger Versicherung AG Austria, which is primarily active in life insurance.The takeover is expected to come into effect at the beginning of 2004.The purchase has already been presented to the Mergers and Monopolies Commission. Thetakeover of the Austrian Nürnberger, is part of a strategic partnership, in the scope of which UNIQA will also be able to exploit the links of the Nürnberger Insurance Group to associations within the car industry, to vehicle dealer organizations and manufacturers for the rapidly growing involvement in Eastern Europe.

The agreed takeover of the German R+V insurance group’s companies in Poland and Slovakia is expected to come into effect in the first quarter of 2004 once all necessary official procedures have been completed.Both companies form a meaningful addition to the existing UNIQA companies in these countries and are ideally suited to act as partners by supporting the growth and development strategy in Central and Eastern Europe. With the takeover of both companies, UNIQA will clearly further increase the earned premium outside of Austria and gain relevant market share in the respective countries.