"The merger was aimed at improving VIG's market presence in Serbia. VIG's market share increased again in the first quarter of 2017 to 13.2%, moving VIG into third place in the Serbian insurance market", the Austrian insurer said in a press release.
VIG announced its acquisition of the two AXA companies in July 2016, and the acquisitions were already closed by the beginning of December in the same year.
"We managed to merge the two former AXA companies with our existing Group company in just eight months. Handling this so quickly helps our efforts to efficiently take advantage of synergies and strengthen the existing product portfolios under one brand. The merger combined the distribution power of the companies, and the use of a common nationwide brand strengthened our market presence", stated Peter Hofinger, Member of the Vienna Insurance Group Managing Board responsible for Serbia.
Wiener Stadtische Osiguranje generated more than EUR 41 million in premiums in the 1st half of 2017. This corresponds to a double-digit increase of around +25% compared to the previous year.
Based on positive economic forecasts, Serbia is a clear growth and investment market for VIG. The Group made it a goal to achieve a market share of at least 10% in this market over the medium term. "Our current market share of slightly more than 13% means we have achieved this goal ahead of time and can now concentrate on making further improvements in customer service, in the area of assistance for example", said Peter Hofinger.
VIG has operated in the Serbian market since 2003. Wiener Stadtische Osiguranje is one of the leading insurance companies in the country, in both the life and non-life areas. In addition, the reinsurance company Wiener RE was formed in 2008.