VIG announced on October 20th, 2011, that it is the new majority
shareholder in the JAHORINA insurance company in the Republic of Bosnia
and Herzegovina. VIG has acquired approximately 91.7% of the company's
overall capital and approximately 96.6% of the voting shares in the
company, which results in the entry of VIG on its 25th market. "VIENNA
Insurance Group will subsequently issue a takeover bid to all remaining
voting shareholders of the company in accordance with local
legislation", stated the press release.
"Insurance companies based in Republika Srpska paid total BAM 25 million in insurance claims by the end of August, and the share of life insurance was under BAM 1 million. Automobile liability insurance claims accounted for the biggest share of payments - BAM 16.1 million.
The VIENNA Insurance Group has signed a contract to acquire a majority stake in the insurer JAHORINA Osiguranje in the Republic of Bosnia-Herzegovina; thus, the Austrian insurance group will be represented in 25 markets in the region.
Government of Bosnia's Republika Srpska gave approval in Tuesday for long-term debt of the Pension Fund (PIO) of this entity to 35 million euros in order to ensure full liquidity of the fund and the regular payment of pensions in the RS. Government gave full support to the implementation of the Strategy of pension and disability insurance, adopted last year, which implies the adoption of the new law about dpensions, which is expected later this year.
The total value of gross written premiums of insurance companies active
in the two administrative entities that make up Bosnia and Herzegovina
(Federation of Bosnia and Herzegovina and Republika Srpska) stood, in
the first six months of this year, to EUR 128.6 million, up by 5.2%
compared to January-June 2010. Also, 71% of total underwritings were
made in the Federation of Bosnia and Herzegovina (FBiH), the remaining
29% being registered in Republika Sprska (RS).
Bosnian insurance company Dunav Osiguranje said it has raised its capital by 1.0 million marka ($736,600/511,000 euro) via a share issue.
In the first half of 2011, Jahorina osiguranje paid out total BAM 3.9 million in claims, its director general Miroslav Miskic said, adding that JO expects to rank among the top three insurers in BH this year.
The Government of Bosnia's Republika Srpska adopted a Draft Pension and Disability Insurance in RS Bill, in which the list of those required to have compulsory insurance has been extended.
The Government of Republika Srpska adopted yesterday a Draft Pension and Disability Insurance in RS Bill, in which the list of those required to have compulsory insurance has been extended.
Unfair competition is the biggest problem in BH insurance market, which is still rather underdeveloped and unregulated. This required much better control, participants of the 22nd insurance and reinsurance convention in Sarajevo.
The Bosnian insurance company VGT Osiguranje closed 2010 with a 16%
growth in the gross underwritten premiums, in comparison with 2009.
According to the company's officials, the increase is due to an
operational extension in the whole country, as well as to offering more
protection products for small and medium enterprises.