• High level of life new business maintained
  • Corporate pension business exceeds own expectations
  • Growth rates above market average in the lines of property, personal accident, general liability and motor insurance
  • Combined ratio of 94.2% continues to be better than the market average

Munich - Despite turbulent times and intensive competition, Generali Versicherungen were able to maintain their market position. In 2012 gross premiums written totalled € 5.74 bn, thus exceeding the 2011 level of € 5.65 bn (2011 figures in brackets hereafter). Growth rates were particularly positive in the lines of property, personal accident, general liability and motor insurance. Furthermore, with a substantially increased net yield, Generali Versicherungen achieved an improved net investment income.

Clear structures and customer-oriented products
"The positive results confirm that our strategic orientation is right and that we have initiated the relevant steps", says Winfried Spies, Chief Executive Officer of Generali Versicherungen. In the past few years, Generali Versicherungen have continuously adjusted their processes and structures and aligned their product range to even better suit customer needs.

"With our organizational development we have created the structural basis for achieving our strategic targets by 2015", Spies explains. In 2012 a major focus was on the improvement of internal processes and workflows. Furthermore, optimization measures were implemented in sales channels and the course was set for a viable management and controlling system.

Comprehensive measures to improve and enlarge the product portfolio contributed to the expansion of business with new customers. "With our 3-phase-pension product we succeeded in contracting policies with a volume of more than € 1.5 bn in two years", Spies says. "At the same time we have improved our range of biometric products in order to offer an optimum product portfolio to our customers." Customer proximity plays a vital role in product development. At year-end 2012 Generali Versicherungen launched two new pension products, "Rente Chance Plus" and "Rente Flex" which provide customers with much flexibility for their life planning.

Generali Lebensversicherung AG

New business stable at a high level
Amid a difficult environment, especially for life insurers, the new business of Generali Lebensversicherung, which amounted to € 394.5 m (432.1 m) in terms of APE1, remained at a high level and was in line with the company's expectations for 2012. The regular annual premiums of new business decreased, as expected, by € 36 m from the high 2011 level to € 273.6 m. In terms of single premiums, new business was better than expected: the level of € 1.21 bn (1.22 bn) is markedly above plan and in line with the successful previous year. "In life insurance, we have been seeing an increasing demand for single-premium products", Spies explains. "With offers like the 3-phase-pension we are able to provide an optimum response to these requirements". All in all, the gross premiums written of Generali Lebensversicherung AG remained at the high 2011 level and amounted to 4.03 bn (4.05 bn).

Optimum position in corporate pension business with very good growth
For the corporate pension business of Generali Lebensversicherung AG, the year 2012 - in which the new business model was launched - was an eventful business year with above-average growth. Gross premiums written rose by 11.0% to € 733.6 m (660.0 m). New business in terms of APE amounted to € 120.7 m (126.0 m), thus remaining at a very high level. Within the scope of its realignment, Generali Lebensversicherung AG optimized its products, responsibilities and communication in the field of corporate pension business and thus asserted its market position. In 2012, the independent institution for retirement provision and financial planning IVFP performed an in-depth survey of the corporate-pension competency of 25 insurers. Generali Lebensversicherung achieved the best mark of "excellent" in all four components studied, i.e. advice, liability, service and administration.

In the business year 2012, the net investment income increased substantially by € 336.9 m to € 1.55 bn. The net yield reached an attractive level of 4.2% (3.4%). After the participation of policyholders in our increased surplus, Generali Lebensversicherung posts a net profit of € 5.0 m. The 2013 profit bonus of policyholders is 3.5%, which is in line with the market level.

Generali Versicherung AG

Growth across all lines of business
In 2012 the lines of property, personal accident, general liability and motor insurance achieved a positive growth level noticeably above the market average. All in all, the 2012 gross premiums written of Generali Versicherung AG increased by 7.1% to € 1.71 bn. In property, personal accident and general liability insurance, gross premiums written amounted to € 1.09 bn, which is 6.0% above the 2011 level. In motor insurance, the premium volume grew by 9.3% to € 616.7 m. "In the closed business year we continued to improve our product portfolio in property/casualty insurance and enhanced service orientation", Spies says. "With our additional benefits and options we have responded to our customers' wishes."

Across all lines, the gross new business of € 317.6 m (319.5 m) was maintained at the high 2011 level. Property, personal accident and general liability insurance grew by 4.1% to 130.7 m. This was in particular due to the higher amount of new business in homeowners and householders insurance.

Combined ratio again improved
In 2012 the combined ratio of direct business reduced to 94.2% (95.6) due to the moderate development of claims occurred in the business year and the positive development in premium income. Generali Versicherung AG again posts a better combined ratio than the market, for which a ratio of 98% is expected.

The net profit of Generali Versicherung AG before profit transfer amounted to 65.4 m.

Outlook 2013
For 2013, first of all the profitability of Generali Versicherungen is to be further reinforced together with the sales networks. Beyond this, the company pursues the implementation of its 2015 distribution strategy. At the same time, sales networks will be given even stronger support by means of attractive products. Customer service will be further improved in terms of processes and overall quality and it will be sustainably integrated in the company. "I am convinced - says Spies - that we are well positioned and able to leverage our opportunities in the market. We are on a good course and are consistently pursuing the achievement of our 2015 objectives, also through an enhanced customer service."

1Annual Premium Equivalent: market standard to determine new business premium income, equalling regular premiums plus 10% of single premiums

About Generali Versicherungen
With a premium income of € 5.7 bn and 6 million customers, Generali Versicherungen, Munich, are among the biggest primary insurers in Germany. By means of their multi-channel distribution, they provide a product range responding to the needs of both retail and corporate customers. They have assets under management of more than € 40.0 bn and are part of the Generali Deutschland Group.

Contact Generali Versicherungen
Dr. Kerstin Bartels
Head of Corporate Communication
Adenauerring 7
81737 Munich (Germany)

Phone: +49 (0) 89 5121-8700
E-Mail: kerstin.bartels@generali.de
http://www.generali.de
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