Results as at September 30 th, 2016 Cattolica Assicurazioni Group. Verona, November 11 th, 2016

Transcription

1 Results as at September 30 th, 2016 Cattolica Assicurazioni Group Verona, November 11 th, 2016

2 Agenda Results as at September 30 th, 2016 P&C Business Performance Life Business Performance Investments 2

3 Results as at September 30 th, 2016 IAS/IFRS Results Δ % Total Direct Premiums 4,219 3, % P&C Direct Premiums 1,423 1, % 1 Life Direct Premiums 2,796 2, % 2 Combined Ratio 92.5% 93.2% 0.7 pps Consolidated Shareholders' Equity 2,159 2, % 3 Solvency II Ratio 1.88x 1.75x -13 pps 4 Consolidated Net Result % Group s Net Result % (1) Including Investments contracts. (2) On retained business. (3) As at December 31st ( 4 ) As at June 30th

4 Consolidated Income Statement Group Companies contribution to the consolidated result Normalised Impairments P&C insurance companies Life insurance companies Non-insurance companies IAS/IFRS Consolidated Result IAS/IFRS Group s Result

5 Shareholders Equity Group s Shareholders Equity 2,159 1, Cattolica holds approximately 3.2% of its share capital 2,100 1,861 Group s Shareholders Equity FY2015 Result Cattolica & Shareholder s minorities Equity dividends Change in AFS 1 reserve Own shares Shareholders Equity ( 1 ) It includes the changes in shadow accounting (net of tax). 5

6 Group s Solvency II Ratio Standard Formula Solvency II Ratio as at Solvency II Ratio 1.75x 2,035 Tier 2 e Tier 3 1 8% 1,166 Tier % 869 Eligible own funds Solvency Capital Requirement Excess capital ( 1 ) Tier 3 eligible own funds (net prepaid income taxes) equal to about 2% of total own eligible funds( 2 ) Tier 1 unrestricted eligible own funds (share capital and capital buffers ) equal to about 88% of total eligible own funds. 6

7 Agenda Results as at September 30 th, 2016 P&C Business Performance Life Business Performance Investments 7

8 P&C Premiums Group s P&C Premiums 1,423 1,382 % / -2.9% % Market 1H2016/ 1H % P&C Premiums Breakdown by Class Motor TPL 49.9% Land vehicles hulls 6.9% Accident and Injury 9.2% Other damage to assets 11.5% General TPL 8.2% Motor % -4.4% Other 5.8% Health 2.7% Fire and natural forces 5.8% P&C Premiums Breakdown by Channel Banks 3.1% Brokers 2.8% Other channels 1.5% Non Motor % +2.1% Agencies 92.6% ( 1 ) Source: ANIA Trends newsletter. Anno XII n.7 (September 2016). 8

9 P&C: Technical Ratios Combined Ratio 1 Claims Ratio % 65.8% 92.5% 93.2% Expense Ratio % 25.7% G&A 6.7% 6.8% Commissions 18.7% 18.9% ( 1 ) On retained business. 9

10 P&C: Motor T.P.L. Technical Ratios Motor Premiums and Policies compared with FY2015 Motor T.P.L. policies +2.0% +63,189 units Average Cost of Motor T.P.L. Paid Claims Claims Settlement Rate AS AT SEPTEMBER /2015 Average Cost( ) Claims Settlement Rate Average Cost( ) Claims Settlement Rate Average Cost( ) Card G* 79.2% 1, % 1, % No Card* 48.6% 2, % 2, % Card G & No Card 71.7% 1, % 1, % (*) Claims directly managed by the network. Card G claims show a lower causality or incident seriousness compared to No Card claims. Motor T.P.L. Frequency Trend 1 Average Motor Premium 8.2% 7.7% 7.6% 7.7% 7.8% 7.4% 7.1% 6.7% 6.5% 5.9% 5.7% 5.5% 5.6% 5.6% -3.7% Cattolica Group (excluding IBNR) Market(excluding IBNR) 2 5.7% 5.0% 4.9% 4.7% 4.7% 4.7% As at October ( 1 ) FATA excluded. ( 2 ) Source: ANIA Relazione Mercato Assicurativo until is a projection based on statistica rapida ANIA at June

11 Agenda Results as at September 30 th, 2016 P&C Business Performance Life Business Performance Investments 11

12 Life Premiums Life Premiums % % Market 2,796 / 1H2016/ 1H , % -8.9% Life Premiums by Class 2, % 1, % % Traditional products Linked products Pension funds Life Premiums by Class Life Premiums by Channel Class III and VI 23.0% Class III and VI 21.9% 2, % +3.3% 1, % -11.8% Class I, IV and V 77.0% Class I, IV and V 78.1% Own channels 2 Banks 3 Brokers 4 Other ( 1 ) Source: ANIA Trends newsletter. Anno XII n.7 (September 2016). ( 2 ) Agents and Pension Advisors. ( 3 ) Including Financial advisors. ( 4 ) Including Cattolica Life. 12

13 Life New Business Life New Business Life New Business by Channel 2,533 Additional payments 639 1,850 % / -27.0% % Mercato Sept.2016/ Sept % Agents 11.8% Brokers 0.5% Other channels 2.7% % New business 1,894 1, % Banks 85.0% ( 1 ) Source: ANIA Trends life new business. Anno XII n.9 (October 2016). 13

14 Life Net Premiums Net Inflows Classes I & V 2,152 Class V 9% Class I 91% 28% 6% 66% -1,592 Redemptions Claims Maturities 560 Gross Premiums Total costs Net inflow 1,642 Class V 9% Class I 91% 37% 11% 52% -1,357 Redemptions Claims Maturities 285 Gross Premiums Total costs Net inflow Net Inflows Class III % 31% 7% -192 Redemptions Claims Maturities 345 Gross Premiums Total costs Net inflow % 2% 5% Redemptions Claims Maturities -286 Gross Premiums Total costs Net inflows 61 14

15 Life net bancassurance premiums with BPVi Berica Vita % 6% Redemptions % Claims Maturities 46% 17% 37% Redemptions Claims Maturities Gross premiums Total costs Net inflow Gross premiums Total costs Net inflow Cattolica Life % 4% 41% Redemptions Claims Maturities -131 Gross premiums Total costs Net inflow % 1% 2% -213 Redemptions Claims Maturities -187 Gross premiums Total costs Net inflow ( 1 ) Figures are only related to the distribution channels of Banca Popolare di Vicenza and Banca Nuova. 15

16 Agenda Results as at September 30 th, 2016 P&C Business Performance Life Business Performance Investments 16

17 Investments Result Equity 2.6% Property 6.9% -55 Credit Risk 24.1% Gov. Bonds and Liquidity 66.4% Net interests and coupons Gains & losses 1 Investment costs Result before impairments Impairments & write-downs IFRS Result as at ( 1 ) Including realised gains and mark-to-market profits on investments, different from impairments and depreciation on property. 17

18 Investments Result P&C Equity 4.6% Property 12.2% Credit risk 26.1% Gov. Bonds and Liquidity 57.1% Net interests and coupons Gains & losses 1 Investment costs Result before impairments Impairments & write-downs IFRS Result as at ( 1 ) Including realised gains/losses. 18

19 Investments Result Life Equity 2.2% Property 5.9% Credit risk 23.7% -39 Gov. Bonds and Liquidity 68.2% Net interests and coupons Gains & losses 1 Investment 2 costs Result before impairments Impairments & write-downs IFRS Result as at ( 1 ) Including realised gains/losses and depreciation on property. ( 2 ) Including other expenses on investments not attributable directly to the life business for about 1 mln. 19

20 Group s Asset Allocation Trend Investments Breakdown 1 17,253 mln Short term Gov. Bonds 7.8% Property 3.4% Liquidity 0.5% Equity 2,4% Credit risk18.2% 18,625 mln Short term Gov. Bonds 8.1% Property 4.6% Liquidity 0.2% Equity 2.5% Credit risk17.9% Long term Gov. Bonds 67.7% Long term Gov. Bonds 66.7% Sustainable yield 2 : 2.84% ( 1 ) Class C assets (excluding subsidiaries) as at September 30 th. IAS Financials. ( 2 ) Sustainable yield: weighted average of the historical value of the sustainable yields of the positions. Bonds: actual coupon + pro rata trading discount ; Equity: expected dividend yield. 20

21 Investment Real estate fund Mercury Property Characteristics Subscription of 51% of the Italian reserved closed-end Real Estate Fund Mercury Real Estate Fund value: 300 million 66 buildings for retail use (mostly supermarkets) 18 and 24-year lease contracts (Fund duration: 20 years) Net financial debt: 165 million (leverage 55%) Fund Contributors Fund Manager Three regional CONAD consortia (Tirreno, Adriatico, Centronord). They hold 49% of the Fund equity. Savills Investment Management SGR Investment About 69 million (divided for the three sectors) Renters Regional consortia subleasing to the store managers Fund profitability 8.25% 1 Strategy The investment is diversified both by asset and by location (in 9 Italian regions). The assets have been selected among the most performing ones. Important (bank and corporate) guarantees make the Fund stable on the side of profitability. The plan for disposal includes a call on portfolio properties in favor of contributors. Governance Cattolica: 2 on 3 members in advisory committees and general meetings (of each sector). ( 1 ) Shareholder's annual distribution equivalent. 21

22 Performance and Minimum Guaranteed Technical Reserve Breakdown for Minimum Guaranteed (Segregated Funds) Yield v.s. Minimum Guaranteed (2016) 1H % 37.5% 54.3% 57.8% 1.6% 3.1% 12, % 3.1% 12, % 3.2% 3.45% +221pps 1Q % 60.8% 1.7% 12, % FY % 65.1% 1.8% 12, % 1H2015 1Q % 21.8% 17.0% 69.1% 72.9% 77.6% 12, % 3.4% 11, % 3.5% 11, % 3.7% 1.24% FY2014 9M2014 1H % 9.5% 7.2% 82.0% 84.8% 86.5% 11, % 3.7% 11, % 4.1% 10,835 1% 1% < 1 2,5% 2,5% < < 4% 4% Average Yield (Segregated Funds) Average guaranteed rate (Liablilities) 22

23 Available for Sale Reserve Trend Gross of shadow and taxes Net of shadow and taxes 1,260 1,269 1,348 1, FY2011 FY2012 FY2013 FY2014 FY2015 Nov- 3 rd

24 APPENDIX 24

25 Glossary Ratio Formula Claims Ratio Net claims costs / Net premiums (retained business) Expense Ratio (P&C) Operating expenses / Net premiums (retained business) Combined Ratio (1-(Technical result / Net premiums )) (retained business) 25

26 DISCLAIMER This document has been prepared by Cattolica Assicurazioni based on data from internal sources (year-end financial statements, consolidated Group financial statements, internal reporting and other company documentation, etc.) for the sole purpose of providing information on the Group s results and future operating strategies. Given this, it can in no way be used as a basis for possible investment decisions. It is not a solicitation to buy or sell shares. No part of the document can be taken to be the cause of or reason for agreements or commitments of any type or kind whatsoever, nor can it be relied upon for agreements and commitments. Information contained in the document concerning forecasts has been prepared according to various assumptions and/or elements that might ultimately materialise differently to present expectations. Results might therefore change. Cattolica therefore in no way provides any guarantee, either explicit or tacit, as regards the integrity or accuracy of the information or opinions contained in the document, nor can any degree of reliability be attributed to the same, inasmuch as it has not been subjected to independent verification. Responsibility for use of the information and opinions contained in the document lies solely with the user. In any case Cattolica, within legally admissible limits, will not consider itself liable for any damages, direct or indirect, that third parties might claim due to utilisation of incomplete or inaccurate information. For any further information concerning Cattolica Assicurazioni and its related Group, reference must be made exclusively to the information given in the annual, quarterly, and interim reports and financial statements. The full versions of these documents, which constitute the factual basis and proof for all legal purposes, are lodged at the company s registered offices and are available to anyone requesting them. Reproduction or full or partial publication and distribution of the information contained herein to third parties is prohibited. Acceptance of the present document automatically signifies recognition of the aforesaid constraints. 26