Austrian insurer Vienna Insurance Group (VIG) recorded an almost 5% drop in business in Romania last year. The group’s local companies had total gross premiums underwritten of EUR 356 million, compared to EUR 374 million, in 2013, according to VIG’s preliminary report.

The largest decline was in the life insurance segment, where VIG’s Romanian subsidiary BCR Life lost almost a quarter of its business. Gross premiums underwritten on the life segment were EUR 54.4 million.

On the property and casualty segment, the decline was only 0.2%, to EUR 301.1 million. VIG operates on this segment via Omniasig and Asirom.

“Although the market environment continues to be difficult in Romania, the measures taken there began to show an effect. For the first time in years, the property and casualty business showed a slight increase of 0.3 percent in local currency terms,” reads VIG’s preliminary report.

Romania is the fifth largest market for the Austrian insurer, after its home market (Austria), Czech Republic, Slovakia and Poland. VIG’s total premiums underwritten were down by 0.1% last year, to EUR 9.37 billion.

editor@romania-insider.com