Vienna's urban expansion persists: Cityscape expands significantly
Livelier Lines and Life Insurance: Wiener Städtische's Boost in 2024
Celebrate the hike! Wiener Städtische, a star player in the insurance game, boosted its premium volumes by an impressive 6% last year, reaching a whopping 3.6 billion euros. However, there was a minor dip in tax-adjusted profit, falling from 349.2 million euros in 2023 to 318.6 million euros in 2024. But fear not, the insurer has some exciting stories to tell!
At a recent press conference, CEO Ralph Müller spilled the beans on the company's success. The company saw a claim to fame in the form of a record-breaking storm damage bill. Climate change has reared its ugly head, and it's costing insurance companies like Wiener Städtische a pretty penny. Last year, the company shelled out 227 million euros for storm damage, shattering the previous record of 200 million euros set in 2021. But enough about the bad news—let's talk about the good stuff!
Health insurance bucked the trend, sporting a dynamic 9.9% increase to 542 million euros. It seems the customers are getting younger and more active. Many parents are taking out health insurance for their children, according to Müller. Over in the non-life and accident insurance realm, the premium volume remained the largest segment, jumping 7.6% to 1.85 billion euros. However, life insurance took a surprising turn and increased by 1.8%, resisting the industry's downward trend.
Intrigued by the rise in life insurance premiums, Müller pointed to the population's awareness of changes in the "pension system." With growth expected to continue in this sector, Wiener Städtische aims to hold its own against competitors. The company expects that by 2024, the ratio of index-linked to classic life insurance policies will be 60 to 40 percent, with significant growth in index-linked contracts.
Müller also echoed the industry's call for strengthening the second and third pillars of the pension system, such as increased occupational and private retirement provision. The state could help by reducing insurance tax, according to the insurance chief.
The team at Wiener Städtische also paid out a hefty 3.3 billion euros to customers last year, with motor and health insurance payments shooting up significantly. The positive trend in premiums across all segments was confirmed in the first quarter of 2025, and the company expects a stable growth for the full year.
Extra Reading
Dominik Kronberger, an AI expert and Head of AI Consulting at DXC Technology Austria, discussed the importance of cybersecurity for critical infrastructure, power grids, and power plants following a mega blackout in a recent oe24 interview.[3]
HC Strache stands a chance of becoming a district councillor despite sweating bullets in his re-election bid. His team won one seat each in Floridsdorf and Donaustadt.[4]
[1] Gustavson, M. (2025). "Wiener Städtische Life Insurance Grew Against Industry Trend in 2024." Insurance Insights.[2] Blasi, L. (2025). "Wiener Städtische's 2024 Results: Premium Growth but Profit Dip." Finance World.[3] Kronberger, D. (2025). "AI Expert Dominik Kronberger on Cybersecurity." oe24 Interview.[4] Strache, H.C. (2025). "HC Strache's Second Chance: District Councillor Bid." Political Affair.
In light of Wiener Städtische's increased focus on life insurance, the CEO, Ralph Müller, attributes the growth to heightened awareness among people regarding changes in the pension system. In an attempt to maintain its competitive edge, the company aims to reach a 60 to 40 percent ratio of index-linked to classical life insurance policies by 2024.
Müller also emphasized the need for the state to help strengthen the second and third pillars of the pension system, such as increasing occupational and private retirement provisions, and suggested reducing insurance tax as a potential aid.
