By Albena Alexieva, INSURANCE.BG Company’s plans envisage purchase of hospitals, while decisions as regards the pension insurance sector will be taken within the next six months, PhD Andreas Brandschteter, a member of the Board of Directors of UNIQA Versicherungen AG and recently appointed to the post of Chairman of the Supervisory Council of Insurance Company Vitosha said to INSURANCE.BG
Mr. Brandschteter, according to preliminary figures, the profits of UNIQA GROUP in 2005 reached EUR 185 million, thus registering growth by 50% compared with 2004. What, in your opinion,
that success depends on?
It is very simple. If we can point out any ‘positive’ effects from the attack on the World Trade Centre on September 11th, it may be the fact that insurance companies had to take up the major trade
activities, i.e. to aspire to be profitable within the main profile. That brought about positive results in the insurance activities but did not lead to profits on the stock exchanges which, as you
know, registered great loss. As a result, insurance companies stopped reaping as large profits as before. So, we had to focus again on our main activities. All of our 14 companies worldwide
registered in 2005 positive results, which is of great importance to the company.
UNIQA GROUP has already voiced its interest in investment in the pension insurance and health insurance sectors in Bulgaria. Would you give us some more information on the issue – are you
going to establish new companies or are you going to purchase already existing ones?
We are still investigating into the market, as we should enter it in the most proper moment
possible and naturally, try not to have any losses. With relation to the health insurance, we are still counting on and are dependent on the political plans regarding the future of the social
system and the health care system. Secondly, we are even more dependent on the income of the population, as insurance business in every country follows closely the tendencies of that indicator.
Everywhere there is almost the same circle to be observed: firstly, we take out insurance of our cars because we are obliged to and if we can afford it, we purchase also a Kasko insurance. Then, we
take out insurance of our house or apartment and lastly, we may possibly insure our life or health. If UNIQA decides on entering the health insurance market, it would not satisfy itself with
providing for compensations to health care expenditures. We plan to purchase 1, 2 or 3 hospitals in the country. In Austria we have contributed to the higher quality of the health care system and
offer better services than the state institutions. That is quite costly and demands considerable capital to be invested in equipment – in hospitals needed within the health care system. That is why
we are still studying the market in Bulgaria. Certainly, our plans would not be implemented in 2006 but we hope that will happen in the near future.
What are your plans as regards pension insurance?
We are going to take a final decision within the next six months.
Are you going to establish new companies or are you going to purchase already existing ones?
Both solutions are possible.
How do you assess the annual results of Insurance Company Vitosha?
To be honest, I did not expect such high results in 2005. I think the company has a good conservative management and premium income has registered growth by 35%. This is a good basis, to which we
can contribute to by our own products and our know-how in sales, investigation activities and bank marketing activities. The company does not need any ‘reconstruction or recovery works’ and I
consider no significant management faults have been made up till now.
