UNIQA Insurance Group AG
Solvency Capital and Embedded Value 2020
8 April 2021
Kurt Svoboda, CFRO
Solvency Capital | Embedded Value | |
Solvency | Unrestricted | Life, Health & |
Pension Fund | ||
Capital Ratio1 | Tier 1 Capital | |
MCEV2 | ||
170% | 74% | |
-5.3% | ||
Impact ex-AXA | Standard & | Free Surplus |
Generation3 | ||
on Solvency | ||
Poor's rating | EUR | |
Capital Ratio | ||
A- | ||
-26% | 126m | |
▪ |
- Decrease of capital position driven by ex-AXA acquisition and interest rate environment in 2020
- Solvency position stays in internal ambition zone of
minimum 170% | ▪ | |
▪ | Quality of capital in own funds remains strong | ▪ |
- Audit on Solvency & Financial Condition Report (SFCR) ongoing
- As % of adjusted opening Life, Health & Pension Fund MCEV. The purchased ex-AXA entities are included in the adjusted opening MCEV
- Annualized ex-AXA contribution for 2020
EXECUTIVE SUMMARY
New Business
Value
EUR
111m
New Business
Margin
3.6%
2
CONTENT
- Group Solvency Capital
▪
▪
▪
Risk Strategy Results
Sensitivities and other analysis
- Market Consistent Embedded Value
▪
▪
Results
Sensitivities and other analysis
- Appendix
▪
▪
▪
▪
SCR Methodology
MCEV Methodology
Assumptions
Glossary & Disclaimer
3
Key Elements of our Risk Strategy
- Ambition is to have SCR Ratio above 170%
- We focus on underwriting risks and take market/credit risks only to the extent necessary
- Target market risk share of total SCR is below 65%
- The target rating for UNIQA Group is category "A" by Standard & Poor's
I. GROUP CAPITAL REQUIREMENT
Risk Strategy
Ambition
170%
Action
Take measures to reduce risk
135%
Recovery
Immediately increase solvency
100% | Regulatory plan |
4
SII capital position1
EUR mn
221%170%
4.8654.471
2.2032.628
2019 | 2020 |
Own Funds | Capital Requirement |
By Risk Module
Health underwriting
Non-Life underwriting | 4% | |||
16% | ||||
Life underwriting | ||||
18% | 57% | |||
5% |
Counterparty default | Market |
I. GROUP CAPITAL REQUIREMENT
SII capital ratio
By Segment | By Region2 | |||||||
Non-Life | Life | SEM EEM | ||||||
CEE | ||||||||
3% | ||||||||
9% | ||||||||
31% | WEM | 2% | ||||||
5% | ||||||||
45% | ||||||||
24% | 81% | |||||||
Health SLT | AT |
SCR ratio development | 250% | 248% | |
221% | |||
194% | 202% | 196% | |
155% | 153% | 170% | |
without ex-AXA |
Features of UNIQA's capital position
- Including risk charge on sovereign bonds
- Including dynamic volatility adjustment
- Including downside-shocks on negative interest rates
- No use of transitionals
- No use of matching adjustment
2013 2014 2015 2016 2017 2018 2019 2020
5
1 Audit on Solvency & Financial Condition Report (SFCR) ongoing | 2 Region WEM includes internal risk transfer to UNIQA Re and business in Liechtenstein |
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Disclaimer
UNIQA Insurance Group AG published this content on 08 April 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 08 April 2021 06:35:07 UTC.