UNIQA Group 2022 17.05.2023

Solvency and Financial Condition Report 2022

UNIQA Group

living better together

Ladies and gentlemen, dear shareholders, dear UNIQA customers,

With this Solvency and Financial Condition Report, we want to share with you a comprehensible overview of the UNIQA Group and its risk and capital position for 2022. A sound solvency position and proactive approach to risks continue to form the basis of our business actions for the benefit of our customers, employees and shareholders.

The review for 2022 is unfortunately heavily marred by the tragic events in Ukraine. The UNIQA Group and its employees were also directly affected through our companies in Russia and Ukraine. The initial focus in Ukraine following the outbreak of the war was on supporting Ukrainian colleagues and their families in fleeing the war while also maintaining business operations. This ranged from organising housing outside the country, to collecting donations and setting up a buddy system for refugee colleagues.

Even though 2022 was challenging and heavily influenced by the war in Ukraine and the associated economic factors, the UNIQA Group recorded a noticeable increase in both its corporate result and its solvency ratio. This development was heavily influenced by the capital market environment. The effects on interest rate trends and the rise in the euro yield curve also had the most significant impact on the increase in the UNIQA Group's capitalisation ratio. This further reinforced our resilience to unexpected shocks. UNIQA will continue to monitor economic developments closely so as to be able to react quickly to potential changes or other events.

Huge efforts were made in 2022 to achieve the goals of the "UNIQA 3.0" corporate strategy. Following on from what has been a successful year, it is still important to continue setting ambitious goals. UNIQA not only wants to meet the expected challenges, but also use them as an opportunity to keep evolving. The continuous development of risk management and the models used to measure and control the solvency and financial condition form an essential basis for this.

We hope that this report on the 2022 solvency and financial condition of our company helps to further strengthen your trust in UNIQA and our products and services.

Many thanks for this trust.

Yours sincerely,

Kurt Svoboda

CFO/CRO UNIQA Insurance Group AG

Executive summary

The following executive summary is aimed at providing a compact overview of the main content in this Solvency and Financial Condition Report of the UNIQA Group.

The figures stated here, both in the executive summary and in the report itself, relate exclusively to UNIQA Group. For all other figures, please refer to the respective reports of the individual companies for 2022.

We present the company and its underlying business model together with the most important figures related to premium reve- nues, benefits and investment performance in Chapter A, Business and performance. Overview:

The UNIQA Group provides its customer with a comprehensive portfolio of products in property and casualty insurance, life insurance and health insurance.

The listed holding company, UNIQA Insurance Group AG, manages the Group and also operates in the indirect insurance business (i.e. inward reinsurance).

UNIQA Österreich Versicherungen AG is a wholly owned subsidiary of UNIQA Insurance Group AG and has been the Group's only direct insurer on the Austrian market since 1 October 2016. Business activities include all product lines as in the UNIQA Group.

The UNIQA Group operates in the core markets of Austria and Central and EasteEurope as well as, on a lesser scale, in WesteEurope. The Group is now made up of more than 80 companies in 18 countries.

With its comprehensive product range, UNIQA is a multiline insurance company that sells its products based on a multi-channel strategy

• that means using all sales channels likely to produce successful results (exclusive sales, insurance brokers, banks and direct sales). The objec- tive is to achieve a balanced mix between the business lines, with a con- sciously managed surplus in property and casualty insurance in the pre- viously ongoing low interest rate environment.
  UNIQA's total premium volume, including savings portions from unit- linked and index-linked life insurance in the amount of €335.0 million (2021: €324.6 million), increased by 3.9 per cent to €6,605.2 million in 2022 (2021: €6,358.0 million). Premiums written in property and casualty insurance increased by 5.6 per cent to €3,686.0 million in 2022 (2021: €3,489.5 million). In health insurance, premiums written rose by 4.1 per cent to €1,277.3 million in the reporting period (2021: €1,226.5 mil- lion). In life insurance, premiums written including the savings portion of unit-linked and index-linked life insurance remained stable overall at €1,641.9 million (2021: €1,642.0 million).

Figure 1: Distribution of premiums by UNIQA Group's lines of business

Details on the individual business lines and explanations on their developments are provided in Chapters A.2 to A.5.

As outlined in Chapter B, System of governance, UNIQA has developed the organisational structure further within the scope of the preparations for Solvency II, resulting in a transparent system with clear assignments and an appropriate separation of responsibilities. The core of this system is the "three lines" concept, with clear distinctions between those parts of the organisation that assume the risk within the scope of business activities (first line), those that monitor the assumed risk (second line) and those that carry out the independent internal reviews (third line).