VIG: Market entry in Montenegro - Entry into the property/casualty insurance business in Lithuania
VIENNA Insurance Group is continuing its expansion path into Central and Eastern Europe even during economically difficult times and underscores its commitment to these future markets. With the market entry planned in Montenegro, the leading insurance group of this region will develop the overall 24th country as a market for itself. Furthermore, the non-life insurance business in Lithuania will be started from Poland. At the same time, the DONAU Versicherung is extending its product range on the Italian market and is going to sell motor liability insurance.
VIG is planning the foundation of a life insurance company in Montenegro this year. After filing the application in the second quarter of 2010, the issue of the license by the responsible insurance authorities is expected this year. The distribution of the insurance products is planned to be made via ERSTE Bank AD Podgorica, which belongs to ERSTE Group. With this, the sales cooperation with ERSTE Group will be expanded to nine countries overall.
Also, with the establishment of a branch of the Polish Group COMPENSA in Lithuania, the sales of property/casualty insurance starts place in the middle of April in this Baltic market. The introduction of motor liability and motor hull insurance, private accident as well as legal protection insurance is planned.
In Italy, DONAU Versicherung, which has been focusing on household and casualty insurance as well as tailor-made solutions for small and medium enterprises, is extending its product range this year to include motor liability insurance. Thus it will position itself in this strategically very important segment in the Italian market.
"We are continually expanding the geographical network of Vienna Insurance Group in Central and Eastern Europe", states Gunter GEYER, CEO of VIENNA Insurance Group. "Montenegro is a small, but a seminal market, which we will develop for ourselves. The long-term perspectives indicate a substantial increase in demand and thus strong growth in the insurance area. At the same time, we are consistently pursuing our successful sales cooperation with our partner ERSTE Group", he said.
