DOCSLIB.ORG

Inside Allianz Series #1

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text

Load more

Allianz

Insurance

UK

Jon Dye CEO Allianz Insurance UK

Inside Allianz Series

London, June 19, 2015

Allianz Insurance UK

UK at a glance

  • Key data 2014
  • P/C market size1 and growth

(GPW, GBP bn)

  • . Population:
  • 64.5mn

1,758bn
2.6%

CAGR +1.3%

. GDP (GBP):
50

  • . GDP growth:
  • 46

  • 45
  • 45

  • 43
  • 43

. GDP/capita (GBP):

. Inflation:
26,317
1.5%

  • . Insurance penetration2:
  • 2.6%

  • . Country rating (S&P):
  • AAA

  • 2010
  • 2011
  • 2012
  • 2013
  • 2014
  • 2017e

Market specifics

. Largest European insurance market

Market shares and combined ratios

(2014, GPW, %)

. Personal lines P/C insurance policies are sold approx. to 1/3 via brokers, 1/3 direct and 1/3 via other channels

99.5% 102.9% 95.3% 102.5% 97.6% 100.9% 95.5% 98.5%

13.4%

. Increasing regulatory pressure from

9.9%

7.9%

both PRA5 and FCA6

5.7%
5.3%

. Overcapacity making rate increases

4.6%

4.4%

3.5% LV4

difficult despite poor market results

  • Aviva RSA DLG3 AXA
  • Zurich
  • Ageas

  • 1) Excluding accident & health insurance
  • 4) Liverpool Victoria

2) GPW as % of GDP 3) Direct Line Group
5) Prudential Regulation Authority 6) Financial Conduct Authority
Sources: SynThesys PRA Returns, peers’ company reports, Association of British Insurers (ABI), S&P sovereigns rating list
2

Allianz Insurance UK

Allianz Insurance in UK (1)

  • Revenues (EUR mn)
  • Operating profit (EUR mn)
  • Highlights

CAGR +7.6%

CAGR -8.9%

. Fifth largest P/C insurer in the UK . Highest GPW growth compared to peers
2,684

over past 3 years
215
2,318

2012
2,274
201

178
. Best commercial insurer for profitability

and growth since 2009

. Market leader in pet insurance with
NPS scores of +77%
. Indian offshore captive provides competitive expense advantage

  • 2013
  • 2014

  • 2012
  • 2013
  • 2014

  • Combined ratio (%)
  • RoRC (%)
  • Legal setup

+2.0%-p

1905 Establishment of Cornhill Insurance plc 1986 Acquired by Allianz Group
97.6
96.0

64.5

95.6

64.3

2003 Renamed Allianz Cornhill Insurance plc 2007 Renamed Allianz Insurance plc
29.7

Claims ratio

28.0

65.9

Expense ratio

  • 31.3
  • 31.5

31.6

  • 2012
  • 2013
  • 2014
  • 2013
  • 2014

3

Allianz Insurance UK

Allianz Insurance in UK (2)

  • 2014
  • Product mix (GPW)
  • Market shares (GPW)
  • Distribution mix (GPW)

Engineering

10%

Motor

37%

  • Direct 1%
  • Brokers

99%
Packages 15%
8%

Commercial GPW EUR 1.3bn

  • 6%
  • 6%

5%
5%

Liability 16%

Property

  • 22%
  • Aviva

13%

  • RSA Zurich
  • AXA

Other 3% Legal 6% Mobile 9%
Pet
32%

  • Other 20%
  • Brokers

34%
12%

8%

Retail GPW EUR 1.4bn

Property 15%
7%
6%

Corporate Partners 24%
Motor

35%

Direct

22%

Aviva DLG Ageas RSA

4

Allianz Life

Giulio Terzariol CFO Allianz Life

Inside Allianz Series

London, June 19, 2015

Allianz Life

USA at a glance

  • Key data 2014
  • Annuity market size and growth (CAGR)

(Statutory premiums, USD bn)

  • . Population:
  • 319mn

17,400bn
54,600
0.8%

+3.6%

. GDP (USD):
248
. GDP/capita (USD):
230

48

225

39

215

34
58

. Inflation: . Life insurance penetration1:

. Country rating (S&P):

44%

FIA

145

  • 145
  • 140

147

AA+

VA FA/SPIA2/DIA3

45

  • 42
  • 40

33

  • 2012
  • 2013
  • 2014
  • 2017e

Market specifics

FIA:

Market shares

(2014, statutory premiums)

. Traditionally distributed by IMOs4, however increasing interest from B/D and wirehouses

  • FIA
  • VA

. Typically double-digit IRR/RoE, stable earnings and capital pattern

26.4%

VA:

16.5%

. Main distribution channels are B/D and captive

8.6%
8.3%

followed by wirehouses and banks

  • 9.3%
  • 9.1%

6.4%
5.0%

  • 7.2%
  • 7.1%

1.5%

. Significant de-risking post-crisis. Potentially higher
RoE/IRR, but volatile earnings and capital pattern

FA:

. Mainly distributed via banks and captive . Single-digit IRR/RoE, non-MCEV friendly

  • 1) Source: LIMRA – % of households
  • 3) Deferred income annuity

  • 2) Single premium income annuity
  • 4) Independent market organizations

6

Allianz Life

Allianz Life (1)

2014

Statutory premiums (USD bn)
(USD bn)

  • CAGR 9.9%
  • 15.7

Other VA

  • 10.8
  • 10.8

Other VA
0.8 2.1

9.7

2013

646
9.4

FIA/FA

  • FIA/FA
  • 12.8

NBM

  • 2.0%
  • 2.3%
  • 3.0%
  • 3.4%

0.6%

  • 2010
  • 2011
  • 2012
  • 2014

Operating profit (USD mn)
(USD mn)

  • CAGR 16.7%
  • 876

  • 873
  • -50

VA

53

876

586
472
428

  • FIA / FA
  • Other
  • 2014

  • 2010
  • 2011
  • 2012
  • 2013
  • 2014

Assets backing reserves (USD bn)

CAGR 8.2%

In %

115

104

Accounts:

94
88
84

General 73% Separate 27%

  • 2010
  • 2011
  • 2012
  • 2013
  • 2014

7

Allianz Life

Allianz Life (2)

2014

Expense ratio1 (bps)
(USD mn)

108,230

57

53
48
47

46

46bps

498

Expenses
Average

reserves

  • 2010
  • 2011
  • 2012

373

2013

329

2014

Statutory RBC ratio2 (%)
Ratings

361
294

348

Moody’s

A2

S&P

AA

AM Best

A

  • 2010
  • 2011
  • 2012
  • 2013

650

2014

Dividend (USD mn)
Payout ratio

123%
50%

250

150

  • 41
  • 50

2013

2014

  • 2010
  • 2011
  • 2012
  • 2013
  • 2014

1) Expense ratio equal to internal expenses (acquisition and administrative) divided by average reserves

  • 2) Based on Company Action Level
  • 8

Allianz

Global Investors

Elizabeth Corley CEO Allianz Global Investors

Inside Allianz Series

London, June 19, 2015

AllianzGI

The asset management market at a glance1

  • Key data2
  • Global AuM2 (USD tn)

101.7

Passive Active

. Global AuM expect to reach over
USD 102tn by 2020

63.9
59.4

. Passive assets expected to grow to

22% of total AuM by 2020, but are

concentrated with 3 key firms and represent only a marginal share of revenues/profit

37.3

  • 2004
  • 2007
  • 2012
  • 2020e

. Sovereign wealth funds are one of the fastest growing groups of asset owners with a CAGR of 12% between 2007 and 2014

AuM (EUR bn) and CIR (%) 2014

1,036

974
866

736
727

655

Market and industry trends

586
552

450
418 417

412

. Evolving client segments and needs

. Industry consolidation ongoing

346
201

72.8 76.6 53.5 73.4 43.2 63.6 77.7 74.8 65.1 57.5 58.7 72.5 62.0 64.5

CIR (%)

. Increasingly global business models . Changes in regulatory landscape significantly impact the industry

1) AllianzGI and peers with similar asset class mix 2) Source: PWC

  • 10
  • 3) 3P AuM EUR 260bn; total AuM EUR 412bn

AllianzGI

Allianz Global Investors – profile

Highlights

  • Total AuM (EUR bn)
  • Operating profit (EUR mn)

  • CAGR +16%
  • CAGR +19%

. Global footprint: 24 locations in 18 countries

412

153

408
364

. 500 investment professionals,

345
304

550 relationship managers

288

. Outstanding capabilities in equities,

130
126

fixed income, multi-asset, alternatives
. Strong and accelerated organic growth

  • 178
  • 215
  • 260

  • 2012
  • 2013
  • 2014
  • 2012
  • 2013

73.4
2014 72.5

  • AZ assets
  • 3rd party AuM

Legal setup

2012

New set up of AllianzGI: restructuring towards

“One AllianzGI”

3rd party net flows

(EUR bn / % of average AuM)

CIR (%)

2013 2014

Implementation of “One AllianzGI” completed

77.5

  • -0.1%
  • 2.4%
  • 4.4%

10.4

Diversified growth strategy

4.6

-0.2

  • 2012
  • 2014
  • 2012
  • 2013
  • 2014
  • 2013

11

AllianzGI

Allianz Global Investors – total AuM

Total AuM

(EUR bn; 1Q 2015)

  • Asset classes
  • Regions

454

Fixed income: 38%
Alternatives: 2% Multi-asset: 24%

  • Asia Pacific: 7%
  • Europe: 74%

Institutional:

US: 20%

304

Equity: 36%

Retail:

151

12

Disclaimer

These assessments are, as always, subject to the disclaimer provided below.

Forward-looking statements

The statements contained herein may include prospects, statements of future expectations and other forward-looking statements that are based on management's current views and assumptions and involve known and unknown risks and uncertainties. Actual results, performance or events may differ materially from those expressed or implied in such forwardlooking statements. extent of credit defaults, (vii) interest rate levels, (viii) currency exchange rates including the Euro/U.S. Dollar exchange rate, (ix) changes in laws and regulations, including tax regulations, (x) the impact of acquisitions, including related integration issues, and reorganization measures, and (xi) general competitive factors, in each case on a local, regional, national and/or global basis. Many of these factors may be more likely to occur, or more pronounced, as a result of terrorist activities and their consequences.
Such deviations may arise due to, without limitation, (i) changes of the

general economic conditions and competitive situation, particularly in the Allianz Group's core business and core markets, (ii) performance of financial markets (particularly market volatility, liquidity and credit events) (iii) frequency and severity of insured loss events, including from natural catastrophes, and the development of loss expenses, (iv) mortality and morbidity levels and trends, (v) persistency levels, (vi) particularly in the banking business, the

No duty to update

The company assumes no obligation to update any information or forwardlooking statement contained herein, save for any information required

to be disclosed by law.

13

Recommended publications
  • NP Key Contacts.Pdf

    NP Key Contacts.Pdf

    IGP Network Partners: Key Contacts Region: Americas Country / Territory IGP Network Partner IGP Contact Email Type IGP Regional Coordinator Mr. Michael Spincemaille [email protected] Argentina SMG LIFE Mr. Nicolas Passet [email protected] Partner Brazil MAPFRE Vida S.A. Ms. Débora Nunes Santos [email protected] Partner Canada Manulife Financial Corporation Mr. Kajan Ramanathan [email protected] Partner Chile MAPFRE Chile Ms. Nathalie Gonzalez [email protected] Partner Colombia MAPFRE Colombia Ms. Ingrid Olarte Pérez [email protected] Partner Costa Rica MAPFRE Costa Rica Mr. Armando Sevilla [email protected] Partner Dominican Republic (Life) MAPFRE BHD Mrs. Alejandra Quirico [email protected] Partner Dominican Republic (Health) MAPFRE Salud ARS, S. A. Mr. Christian Wazar [email protected] Partner Ecuador MAPFRE Atlas * Mr. Carlos Zambrano [email protected] Correspondent El Salvador MAPFRE Seguros El Salvador S.A. Mr. Daniel Acosta González [email protected] Partner French Guiana Refer to France - - Partner Guadeloupe Refer to France - - Partner Guatemala MAPFRE Guatemala Mr. Luis Pedro Chavarría [email protected] Partner Honduras MAPFRE Honduras Mr. Carlos Ordoñez [email protected] Partner Martinique Refer to France - - Partner Mexico Seguros Monterrey New York Life Ms. Paola De Uriarte [email protected] Partner Nicaragua MAPFRE Nicaragua Mr. Dany Lanuza Flores [email protected] Partner Panama MAPFRE Panama Mr. Manuel Rodriguez [email protected] Partner Paraguay MAPFRE Paraguay Mr. Sergio Alvarenga [email protected] Partner Peru MAPFRE Peru Mr. Ramón Acuña Huerta [email protected] Partner Saint Martin Refer to France - - Partner Saint Barthélemy Refer to France - - Partner Saint Pierre & Miquelon Refer to France - - Partner United States Prudential Insurance Company of America Mr.
  • Travel Bulletin

    Travel Bulletin

    GROUP BENEFITS Travel Bulletin Emergency Travel Assistance (ETA) As you get ready to start booking your travel, it’s a good time to take note of a few helpful reminders for those planning a trip outside Canada. It’s particularly important to understand the benefits of Emergency Travel Assistance as well as the processes and contact numbers that should be used in case of an incident that requires medical aid while travelling. For pre‑trip information, or for any type of unforeseen medical incident during your travels, you are reminded to contact Allianz Global Assistance, Manulife’s emergency travel service provider.1 In some instances medical providers may ask the plan member to pay for medical treatment up front. Therefore, Does your destination require proof? it is important to contact Allianz Global Assistance as You can visit these websites to investigate whether soon as possible, ideally prior to seeking or receiving your destination requires proof of out‑of‑country medical treatment to avoid out‑of‑pocket expenses travel health insurance: wherever possible. Allianz Global Assistance can then ■■ Department of Foreign Affairs and International help to ensure that you (i.e., the covered plan member Trade – travel.gc.ca or dependent) are directed to the nearest medical facility where adequate treatment is available. This will allow you ■■ Transport Canada – tc.gc.ca to receive immediate and appropriate care without incurring out‑of‑pocket and unnecessary expenses, when possible. It’s important that you carry your benefits card at all times while travelling, as this is the only way Allianz Global Assistance can confirm your coverage and guarantee payment to the medical facility where your treatment is being provided.
  • Part VII Transfers Pursuant to the UK Financial Services and Markets Act 2000

    Part VII Transfers Pursuant to the UK Financial Services and Markets Act 2000

    PART VII TRANSFERS EFFECTED PURSUANT TO THE UK FINANCIAL SERVICES AND MARKETS ACT 2000 www.sidley.com/partvii Sidley Austin LLP, London is able to provide legal advice in relation to insurance business transfer schemes under Part VII of the UK Financial Services and Markets Act 2000 (“FSMA”). This service extends to advising upon the applicability of FSMA to particular transfers (including transfers involving insurance business domiciled outside the UK), advising parties to transfers as well as those affected by them including reinsurers, liaising with the FSA and policyholders, and obtaining sanction of the transfer in the English High Court. For more information on Part VII transfers, please contact: Martin Membery at [email protected] or telephone + 44 (0) 20 7360 3614. If you would like details of a Part VII transfer added to this website, please email Martin Membery at the address above. Disclaimer for Part VII Transfers Web Page The information contained in the following tables contained in this webpage (the “Information”) has been collated by Sidley Austin LLP, London (together with Sidley Austin LLP, the “Firm”) using publicly-available sources. The Information is not intended to be, and does not constitute, legal advice. The posting of the Information onto the Firm's website is not intended by the Firm as an offer to provide legal advice or any other services to any person accessing the Firm's website; nor does it constitute an offer by the Firm to enter into any contractual relationship. The accessing of the Information by any person will not give rise to any lawyer-client relationship, or any contractual relationship, between that person and the Firm.
  • The Fiasales Leader . Again

    The Fiasales Leader . Again

    Allianz Allianz Life Insurance Company of North America fixed index annuities The FIA sales leader. Again. Number one – in 17 of the last 18 years. (R-4/2018) Other companies’ sales have come and gone. We’re the fixed index annuity (FIA) sales leader1 – and still going strong. RANK 2000 2001 2002 2003 2004 2005 1 Allianz Allianz Allianz Allianz Allianz Allianz 2 American Equity Midland National Midland National Aviva Fidelity & Guaranty American Equity 3 Jackson National American Equity American Equity American Equity American Equity Aviva 4 Midland National Aviva North American Midland National Keyport Life Fidelity & Guaranty 5 Conseco Jackson National Aviva Fidelity & Guaranty Aviva ING RANK 2006 2007 2008 2009 2010 1 Allianz Allianz Aviva Allianz Allianz 2 Aviva Aviva Allianz Aviva Aviva 3 ING American Equity American Equity American Equity American Equity 4 Fidelity & Guaranty Fidelity & Guaranty ING Jackson National Lincoln National 5 Midland National Midland National Midland National Lincoln National ING RANK 2011 2012 2013 2014 2015 2016 2017 1 Allianz Allianz Allianz Allianz Allianz Allianz Allianz Security Security American American 2 Aviva Aviva Athene Benefit Life Benefit Life Equity Equity 3 American Equity American Equity American Equity American Equity Great American Athene Nationwide Security American 4 Great American Great American Great American AIG Great American Benefit Life Equity 5 North American Great American Athene Athene Athene AIG Great American 1 Wink’s Sales & Market Report is published by Wink, Inc. 4Q 2017. Guarantees are backed solely by the financial strength and claims-paying ability of Allianz Life Insurance Company of North America. Products are issued by Allianz Life Insurance Company of North America (Allianz), 5701 Golden Hills Drive, Minneapolis, MN 55416-1297.
  • European Insurance – an Analyst’S View

    European Insurance – an Analyst’S View

    European insurance – an analyst’s view September 2018 Sami Taipalus (Executive Director) Goldman Sachs International 44-20-7051-7237 [email protected] Goldman Sachs does and seeks to do business with companies covered in its research reports. As a result, investors should be aware that the firm may have a conflict of interest that could affect the objectivity of this report. Investors should consider this report as only a single factor in making their investment decision. For Reg AC certification and other important disclosures, see the Disclosure Appendix, or go to www.gs.com/research/hedge.html. Analysts employed by non-US affiliates are not registered/qualified as research analysts with FINRA in the U.S. Many investors see insurance as a black box European insurance – an analyst’s view Insurer Premiums + capital ? Global Investment Research 2 Presentation overview European insurance – an analyst’s view Equity markets – what you need to know Sector themes – opportunities and challenges Case studies Conclusions Global Investment Research 3 The traditional view of the market has limitations Equity markets – all you need to know Equity value = NPV of cash flows The traditional view< has some practical limitations Cash flows based on consensus IFRS E3S and book value metrics EPS/DPS expectations are not “economic” Risks are reflected in the cost of The market does not wait around for equity changes in consensus estimates Global Investment Research 4 SourceDGoldman Datastream,SachsGlobal Investment Indexed 12-month forward consensus netincome consensusforward 12-month Indexed 100 120 140 160 180 60 80 ene.-10 ul.-10 Allianz ene.-11 7markets Equity to know need all you The market moves fasterthan accounting profits ul.-11 ene.-12 ul.-12 ene.-10 AAA ul.-10 ene.-14 Research ul.-14 ene.-15 Generali ul.-15 ene.-16 ul.-16 ene.-1.
  • Pioneering Cyber Insurance: Munich Re Partners with Google Cloud and Allianz

    Pioneering Cyber Insurance: Munich Re Partners with Google Cloud and Allianz

    Munich Media Release 2 March 2021 Pioneering cyber insurance: Munich Re partners with Google Cloud and Allianz ▪ Combination of market-leading cyber risk-transfer expertise with Google Cloud’s security know-how to address specific client needs ▪ Launch of innovative cyber insurance solution “Cloud Protection +” exclusively for Google Cloud customers ▪ Data-driven submission and underwriting enable an easier, more efficient and more transparent purchase process for customers ▪ Data insights will allow Munich Re to further advance the modelling of cloud specific cyber risks “By combining the expertise of three industry leaders we address the specific risk management needs of organisations that are moving their business to the cloud. Embedded in an efficient underwriting process, our solution Cloud Protection + provides a holistic response to cyber risk. Above and beyond the immediate benefit for Google Cloud customers, the cooperation will contribute to the further enhancement of Munich Re’s cyber risk modelling.” Stefan Golling, Member of the Board of Management The coverage of cyber risks is a strategic field of business in which Munich Re aims to achieve further sustainable growth. As one of the pioneers, Munich Re was early to accept the challenges in cyber insurance. As cyber risks and loss scenarios change quickly and continuously, Munich Re maintains its position among the top providers by steadily developing its own approach and risk modelling, and also by collaborating with clients and partners. Munich Re has now agreed on a cooperation with Google Cloud and Allianz Global Corporate & Specialty (AGCS) focusing on providing cloud specific cover for organisations. The starting point for the cooperation is the continuing trend towards cloud usage: for a majority of larger organisations, the cloud has already been embraced as a way of doing business.
  • Turn Something Good Into Something Designed to Last A

    Turn Something Good Into Something Designed to Last A

    Term Pro+sm Life Insurance Turn something good into (R-9/2018) something designed to last a lifetime. Your term life insurance policy may be eligible for the Allianz Exchange Program. Term Pro+ Life Insurance is an affordable term life While Term Pro+ offers protection for a set time insurance solution from Legal & General America period, exchanging it for a permanent cash value There’s a way to available through Allianz Life Insurance Company accumulation life insurance product can offer PROTECT of North America (Allianz). additional benefits, including: YOUR FAMILY • Lifetime death benefit protection now and in the future as Because your needs may change over time, Allianz is your needs change. • Tax-deferred cash value accumulation potential offering an exchange option for your Term Pro+ policy. With the Allianz Exchange Program your Term Pro+ • Flexible premium payments and death benefit amounts policy may be exchanged for any Allianz permanent • Access to any available cash value through policy life insurance policy currently available in the Allianz loans and withdrawals for future financial needs.1 Exchange program during years 2 through 5. 1 Policy loans and withdrawals will reduce the available cash value and death benefit and may cause the policy to lapse, or affect guarantees against lapse. Withdrawals in excess of premiums paid will be subject to ordinary income tax. Additional premium payments may be required to keep the policy in force. In the event of a lapse, outstanding policy loans in excess of unrecovered cost basis will be subject to ordinary income tax. If a policy is a modified endowment contract (MEC), policy loans and withdrawals will be taxable as ordinary income to the extent there are earnings in the policy.
  • AG Insurance NV Ratings AG Insurance NV Insurer Financial Strength A+ Issuer Default Rating a Subordinated Notes BBB+

    AG Insurance NV Ratings AG Insurance NV Insurer Financial Strength A+ Issuer Default Rating a Subordinated Notes BBB+

    Insurance Composite Insurers Belgium AG Insurance NV Ratings AG Insurance NV Insurer Financial Strength A+ Issuer Default Rating A Subordinated notes BBB+ Outlooks Key Rating Drivers Insurer Financial Strength Rating Stable Issuer Default Rating Stable Core to Ageas: Fitch Ratings regards AG Insurance NV as the main insurance operating entity of the Ageas group and as ‘Core’ to the group. Its ratings are therefore derived from a combined assessment of the consolidated Ageas group. Financial Data Very Strong Position in Belgium: AG Insurance is the largest insurer in Belgium. Access to AG Insurance (consolidated) extensive and diversified distribution channels, including the banking network of BNP Paribas (EURm) 2019 2018 Fortis (Long-Term Issuer Default Rating (IDR): A+/Negative), benefits AG Insurance’s rating. Total assetsa 79,281 74,310 This agreement has no explicit end date, but carries a three-year termination notice period. Total equity 7,185 6,773 Should notice be given, Fitch expects Ageas’s franchise to remain strong in Belgium, as the group Net premiums written 5,304 5,282 would leverage off its existing customers and use other distribution channels, such as brokers. Net income 569 554 Very Strong Capital, Low Leverage: AG Insurance’s very strong solvency benefits its ratings. Its Combined ratio (%) 92.1 93.4 Solvency II (S2) ratio, calculated according to its Pillar 2 partial internal model on non-life Solvency II ratio (%) 221 235 underwriting risk, was 221% at end-2019. In 1H20, the S2 margin declined to 199% – mainly a Excluding reinsurance assets driven by capital market volatility and a reduction in bond yields.
  • These Comments Are Submitted by Allianz of America,1 Munich

    These Comments Are Submitted by Allianz of America,1 Munich

    a ALLIANZ OF AMERICA CORPORATION MUNICH REINSURANCE AMERICA CORPORATION SWISS RE AMERICA HOLDING CORPORATION These comments are submitted by Allianz of America,1 Munich Reinsurance America,2 and Swiss Re America.3 For the past three years, the Administration’s Budget has included a proposal to deny the deduction for property-casualty reinsurance premiums placed with a foreign affiliate by a U.S. insurer.4 The Administration proposal was introduced in the 112th Congress by Rep. Richard Neal (H.R. 3157) and by Sen. Robert Menendez (S. 1693). These comments demonstrate that the Administration proposal would disrupt essential risk distribution practices followed by domestic and foreign insurers, alike; increase premiums and reduce coverage available to U.S. consumers, particularly in catastrophe prone areas along the coastlines; and violate U.S tax treaty obligations and commitments to the World Trade Organization. In addition, the Administration errs in characterizing routine affiliate transactions with treaty partners with significant corporate tax regimes as erosion of the U.S. tax base. BACKGROUND Under current law, a U.S. insurer may deduct the premium for reinsurance placed with another company, whether affiliated, unaffiliated, domestic or foreign. A current deduction for this crucial expense ensures that there is a proper matching of income and expense. The U.S. insurer will include in income any ceding commission received from the reinsurer, and, when it 1 Allianz S.E., a German company, owns Fireman’s Fund Insurance Company, Allianz Global Corporate and Specialty Insurance, Euler Hermes-USA, and Allianz Global Assistance –USA. Together, Allianz’s property- casualty insurance subsidiaries in the U.S.
  • Global Insurance and Reinsurance Leaders Establish Alliance to Accelerate Transition to Net-Zero Emissions Economy

    Global Insurance and Reinsurance Leaders Establish Alliance to Accelerate Transition to Net-Zero Emissions Economy

    STRICTLY UNDER EMBARGO UNTIL 3:50 PM CEST, SUNDAY, 11 JULY 2021 Global insurance and reinsurance leaders establish alliance to accelerate transition to net-zero emissions economy Net-Zero Insurance Alliance committed to join Glasgow Financial Alliance for Net Zero and UN Race to Zero; plus Net-Zero Banking Alliance and Net-Zero Asset Owner Alliance announce updates ● Eight of the world’s leading insurers and reinsurers have established the UN-convened Net-Zero Insurance Alliance (NZIA) as founding members, committing to transition their insurance and reinsurance underwriting portfolios to net-zero greenhouse gas (GHG) emissions by 2050. ● As risk managers, insurers and investors, the insurance industry has a key role in supporting the transition to a net-zero economy. NZIA members will individually set science-based intermediate targets every five years and independently report on their progress publicly and annually to contribute to achieving the goals of the Paris Climate Agreement, in cooperation with the respective competition authorities. ● All eight NZIA founding members are part of the UN-convened Net-Zero Asset Owner Alliance (NZAOA) established in 2019, where they are already individually setting science-based 2025 decarbonisation targets for their respective investment portfolios in line with a net-zero transition pathway. ● The NZIA has committed to join the Glasgow Financial Alliance for Net Zero (GFANZ). Chaired by Mark Carney, UN Special Envoy on Climate Action and Finance, GFANZ brings together the leading net-zero financial alliances within the UN’s Race to Zero campaign, representing over $88 trillion assets, to work together to accelerate the transition of the financial sector and the global economy to net-zero emissions.
  • Mapfre, S.A. Mapfre, S.A

    Mapfre, S.A. Mapfre, S.A

    Insurance Composite Insurers Spain Ratings MAPFRE, S.A. MAPFRE, S.A. Long-Term Foreign-Currency IDR A- And MAPFRE Asistencia Compania Internacional de Seguros y Senior Unsercured BBB+ Reaseguros, S.A. Subordinated BBB- MAPFRE Asistencia Compania Internacional de Seguros y Reaseguros, S.A. Insurer Financial Strength Ratings A+ Key Rating Drivers See full rating list on page 9. Very Strong Business Profile: Fitch Ratings ranks MAPFRE Group’s (MAPFRE) business profile Outlooks as favourable compared with other European-based insurance groups and scores its business profile at ‘aa-’. MAPFRE has a very strong market position in Spain, where it is a leader in the non- Insurer Financial Stable life segment, and in Latin America, particularly Brazil. MAPFRE’s market share in Spain was 14% Strength Rating in non-life and 8% in life in 2019, and in Latin America 8% of non-life in 2019. This makes it the Long-Term Foreign Stable Currency IDR 11th-largest European and the third-largest Latin American insurer. Very Strong Capital Adequacy: Fitch considers MAPFRE to be well capitalised, based on a Financial Data ‘Strong’ score from the agency’s Prism Factor-Based Model (FBM). The group’s regulatory MAPFRE, S.A. (Consolidated) Solvency II (S2) ratio was very strong at 184% at end-1H20 (end-2019: 187%). Own funds backing the S2 ratio largely consist of unrestricted Tier 1 capital. The Prism FBM score and the (EURm) 2019 1H20 S2 ratio exclude MAPFRE’s goodwill of EUR1.7 billion at end-1H20, which is equivalent to 18% Gross written 23,044 10,983 premiums of total equity, from available capital.
  • Allianz Group Code of Conduct

    Allianz Group Code of Conduct

    ALLIANZ GROUP CODE OF CONDUCT Doing the right thing to secure the future Allianz Group Code of Conduct Our We treat each other We act with We are transparent We take ownership Living the Code fairly and respectfully integrity and we tell the truth and responsibility Code A MESSAGE FROM OLIVER We secure your future – our common purpose – it inspires and motivates all of us around the Allianz world to give our best to serve our customers, partners, shareholders and communities, every day. Our company has lived through many changes, but one thing has remained constant: Our commitment to running our business sustainably and with integrity. This is how we have earned and maintained the trust of our stakeholders. Trust takes time to earn, but can be lost in an instant; once lost, it can be very difficult to win back. In our business, it is important that we bear this in mind, through all the actions and decisions that we take. Faced with difficult decisions, we must lean on our strong values and principles – these will guide us in making the right choices. We treat each other with respect; we act with integrity; we are transparent and we tell the truth; we take ownership and responsibility. Upholding our values and the relationships of trust we have built with our stakeholders falls on the shoulders of each and every one of us. I have faith that our Allianz people do this every day. But reminding ourselves of what we stand for never hurts; our Code of Conduct provides us with important information and guidance – built around our core values, it helps us to make the right decisions in our daily business.