Insurance company VZP will spend 7 billion on refugees

The coronavirus epidemic has greatly worsened the financial performance of the country’s main insurance company. But a large influx of refugees from Ukraine will also exacerbate the situation. According to preliminary calculations, payments to refugees will amount to 7 billion Czech crowns. Insurance company VZP plans to cover these costs from its reserves.

At the end of last year, the company had almost 30 billion crowns on its account, a wave of refugees from Ukraine will reduce this figure in 2022 to 4.5 billion Czech crowns. The loss of the company will thus more than double and exceed 12 billion kroons, instead of the previously estimated 6 billion.

Insurance company VZP registers the most refugees

According to VZP estimates, there should be about 420,000 Ukrainian refugees in the Czech Republic in the summer of 2022. Most of them will register with the company, as evidenced by the current situation. According to the company’s employees, their total number will be 360 thousand people. Other insurance companies registered only a couple of dozen people.

At the moment, VZP has already registered almost 300 thousand refugees from Ukraine. Of these, the majority are women, there are about 136,000 of them. Almost 120,000 children from Ukraine are registered, and only 44,000 men. Approximately 7.1 billion crowns will be spent on medical care for immigrants from Ukraine.

It was assumed that 10% of refugees would get a job in the Czech Republic, but this figure has already been exceeded and is 11%. Each such refugee will bring about 30,000 CZK per year to the company’s budget.

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Insurance company VZP