Economic Results of Insurance Companies and Pension Funds

In the first three quarters of 2005 gross premiums written stood at CZK 88,2 billion, accounting for 31,4 % of total revenues and rising by 3,7 % year-on-year. Insurance claims paid amounted to CZK 40,2 billion, making up 14,9 % of total expenses of the insurance companies. Costs of these insurance claims fell by 5,4 % year-on-year. Over the period of January to the end of September, total technical provisions for life insurance increased by CZK 15,4 billion to CZK 159,3 billion.

In the period from the beginning till the end of September all of the 44 insurance companies employed a total of 14 411 employees (actual persons) on average, i.e., by 4,6 % less than in the corresponding period of 2004. In terms of full-time equivalent (fte) persons, the average registered number of employees was 14 276; the employment thus decreased by 4,8 % as well. The average monthly wage (related to the fte persons) was 32 218 CZK, increasing by 5,5 % on the first three quarters of 2005.

During the first three quarters of 2005 there were concluded 3 782 343 non-life insurance contracts, by 5,0 % more than in the same period of the previous year. The number of life insurance contracts concluded during the observed period of 2005 is 632 750, which translates into a decrease of 25,1 %.

In the three quarters of 2005 pension funds (CZ-NACE 66.02) made their profits amounting to CZK 3,5 billion (an increase of 57,6 % year-on-year). Total expenses of 11 active pension funds during the period from January to the end of September reached CZK 2,6 billion, rising by 18,8 % year-on-year. Total revenues increased by 38,1 % year-on-year to CZK 6,1 billion. Financial expenses were 47,6 % of total expenses and financial revenues accounted for 98,8 % of total revenues.

The first three quarters of 2005 saw total technical provisions of pension funds growing by CZK 13,5 billion to CZK 107,4 billion. Contributions received from members and employers (excluding government contributions) stood at CZK 16,5 billion, increasing by 18,8 % year-on-year. Government contributions increased by 13,9 % in the observed period of 2005 and amounted to CZK 2,7 billion. Supplementary pension insurance benefits paid stood at CZK 7,0 billion, which is a year-on-year growth of 24,1 %.

There were 3 217 130 active supplementary pension insurance policy holders (members of pension schemes) in total on 30th September 2005. The number increased by 261 427 persons (8,8 %) since the beginning of the year. Of the total, 3 140 476 persons received government contributions. The number of pension recipients dropped by 966 to 6 109 persons since the beginning of 2005.

All of the pension funds employed a total of 468 actual persons on average in the first three quarters of 2005, by 1,1 % less than in the same period of 2004. This employment in terms of full-time equivalent stood at 451 persons and fell by 3,3 % year-on-year. The average monthly wage related to fte persons amounted to 37 981 CZK and was up by 4,2 % year-on-year.