Vienna Insurance Group (VIG) reported a 20.7% rise in first-half 2026 pre-tax profit to €641.5 million, driven by strong performance in Central and Eastern Europe, as the insurer highlighted the benefits of its regional diversification strategy.
Gross written premiums increased 5.4% to €9.03 billion, while insurance service revenue under IFRS 17 rose 7.1% to €6.85 billion. The group’s property and casualty net combined ratio improved to 91.4%, down 0.5 percentage points from 91.9% a year earlier, reflecting a 61.0% claims ratio and a 30.4% cost ratio. Weather-related claims totaled €81 million, up from €73 million in the prior-year period.
The insurer’s solvency position remained robust, with a Solvency II ratio of 272% including transitional measures and 258% excluding them. Own funds stood at €13.41 billion against a Solvency Capital Requirement of €4.93 billion. Total investments at own risk reached €39.1 billion as of June 30, 2026, with capital investment results up 26.4% to €373.5 million.
VIG’s expansion into Central and Eastern Europe continued to pay dividends, with the combined earnings share of Poland, Extended CEE, and Special Markets rising to 40% of total profits in 2025 from 18% in 2020. The group commands approximately 19% market share in the CEE region.
By geography, Austria contributed €1.90 billion in insurance service revenue, up 3.6%, with pre-tax profit rising 11.2% to €227.5 million and a combined ratio of 90.6%. Czechia reported €1.19 billion in revenue, an 8.7% increase, though pre-tax profit fell 5.9% to €108.2 million amid a higher combined ratio of 91.4%. Poland’s insurance service revenue grew 4.5% to €760 million, but pre-tax profit declined 12.8% to €54.6 million due to reserve strengthening, pushing the combined ratio to 93.1%.
Extended CEE delivered the strongest growth, with insurance service revenue surging 9.2% to €2.05 billion and pre-tax profit nearly doubling to €194.4 million, despite a prior-year goodwill impairment of €72.8 million in Hungary. Special Markets, encompassing Germany, Georgia, Liechtenstein, and Türkiye, saw insurance service revenue jump 10.9% to €622.3 million, with pre-tax profit up 35.4% to €51.9 million, though the combined ratio remained elevated at 96.8%.
Product lines showed broad-based growth, with motor third-party liability premiums rising 5.6% to €1.31 billion and casco insurance up 6.2% to €1.11 billion. Other property insurance, the largest category, grew 6.6% to €3.42 billion, while health insurance increased 8.8% to €573.2 million. Life insurance performance varied, with unit- and index-linked products up 10.7%, life with profit participation rising 1.0%, and life without profit participation surging 18.2%.
VIG confirmed its full-year 2026 guidance for pre-tax profit between €1.25 billion and €1.30 billion, excluding the recently acquired NÜRNBERGER. The insurer’s shares reached an all-time high of €73.30 on August 6, 2026, before settling at €64.40 with a market capitalization of €8.24 billion.
