Financial supplement (unaudited) Zurich Insurance Group Annual Report 2014

Transcription

1 Financial supplement (unaudited) 204 Zurich Insurance Group Annual Report 204

2 2 Contents Results for the year ended December 3, 204 Financial supplement (unaudited) Financial highlights (unaudited) Business operating profit by business segment 3 Reconciliation of BOP to net income after income taxes 4 Assets and liabilities by business segment 5 General Insurance (unaudited) Customer segment overview 6 Revenues by region 7 Customer segment reporting Europe, Middle East & Africa by country 8 Customer segment reporting Europe, Middle East & Africa Commercial and Personal 8 Customer segment reporting International Markets by region 9 Customer segment reporting International Markets Commercial and Personal 9 International Markets Asia-Pacific 9 Global Life (unaudited) Overview 0 Europe by country Asia-Pacific and Middle East 2 Revenues by region 3 Additional information (unaudited) Principal exchange rates 5 Development of cumulative net loss ratio 5 Investment result 6 Details of investments by category 6 Information for three months ended December 3 (unaudited) Business operating profit by business segment 7 Reconciliation of BOP to net income after income taxes 8 General Insurance Customer segment overview 9 General Insurance Europe, Middle East & Africa by country 9 Global Life Overview 20 Global Life Europe by country 2 Farmers Overview 22 Summary of quarterly consolidated financial information (unaudited) Summary of quarterly consolidated financial information 23 Summary of quarterly consolidated financial information Key performance indicators by segment 23 Farmers (unaudited) Overview 4 The information contained within the Financial supplement is unaudited. This document should be read in conjunction with the Zurich Insurance Group Consolidated financial statements in the Annual Report 204. Information regarding accounting policies is included in the notes to the Consolidated financial statements in the Annual Report 204. From January, 204, the General Insurance business manages Middle East and Africa together with Europe to form a single market-facing business called Europe, Middle East & Africa (EMEA). This change had no impact on total General Insurance or the Group. Comparative figures have been restated to reflect this. The Group has reviewed the definition of net technical expenses within the General Insurance segment resulting in the reclassification of certain income and expenses between the net non-technical result and net technical expenses. As a result, comparative figures for the total net technical expenses, net underwriting result, net non-technical result (excl. items not included in BOP), expense ratio and combined ratio have been restated to reflect this change.

3 3 Financial highlights (unaudited) Business operating profit by business segment in USD millions, for the years ended December 3 General Insurance Global Life Farmers Other Operating Businesses Non-Core Businesses Eliminations Total Revenues Direct written premiums 34,35 34,240 2,00, ,448 45,496 Assumed written premiums,98 2, ,428 4, (0) (94) 5,62 6,469 Gross Written Premiums 36,333 36,438 2,85,352 3,428 4, (0) (94) 52,069 5,965 Policy fees 2,409 2, ,72 2,884 Gross written premiums and policy fees 36,333 36,438 4,594 3,96 3,428 4, (0) (94) 54,78 54,849 Less premiums ceded to reinsurers (5,473) (5,959) (675) (693) (47) (55) (6) (33) 0 94 (6,0) (6,546) Net written premiums and policy fees 30,859 30,479 3,99 3,223 3,428 4,045 (2) ,680 48,303 Net change in reserves for unearned premiums (837) (70) (53) (37) (359) (,025) Net earned premiums and policy fees 30,023 29,769 3,866 2,852 3,956 4,099 (2) ,32 47,277 Farmers management fees and other related revenues 2,79 2,80 2,79 2,80 Net investment result on Group investments 2,288 2,384 4,988 4, (439) (628) (602) 7,86 6,254 Net investment income on Group investments 2,99 2,27 3,85 3, (628) (602) 6,206 6,240 Net capital gains/(losses) and impairments on Group investments 89 67, (748),60 4 Net investment result on unit-linked investments 0,457 2, ,784 2,805 Other income ,207, (,276) (,83),723,757 Total BOP revenues 33,0 32,983 30,59 3,229 6,94 7,095,233,099, (,904) (,785) 7,435 70,903 of which: inter-segment revenues (356) (389) (450) (362) (30) (64) (,022) (99) (46) (5),904,785 Benefits, losses and expenses Insurance benefits and losses, net 20,048 20,32 0,685 9,67 2,650 2,823 (7) (62) 34,364 32,98 Losses and loss adjustment expenses, net 20,05 20,323 2,650 2,823 () 7 (8) 22,87 23,28 Life insurance death and other benefits, net (3) () 0,684 9,67 (6) (44),492 9,070 Policyholder dividends and participation in profits, net 6 6 2,097 3, ,568 3,946 Income tax expense/(benefit) attributable to policyholders Underwriting and policy acquisition costs, net 5,946 5,756 2,654 3,003,240, (0) (0) 9,835 0,04 Administrative and other operating expense (excl. depreciation/amortization) 3,79 3,604 2,7 2,653,35,343, (,98) (,9) 7,897 7,607 Interest credited to policyholders and other interest (68) (23) Restructuring provisions and other items not included in BOP (46) (276) (74) (88) 3 (2) (38) (63) 2 (355) (437) Total BOP benefits, losses and expenses (before interest, depreciation and amortization) 29,706 29,429 28,478 29,26 5,208 5,440,28 984, (,275) (,5) 64,938 64,5 Business operating profit (before interest, depreciation and amortization) 3,404 3,554 2,042,968,706, (30) 93 (629) (634) 6,497 6,752 Depreciation and impairments of property and equipment Amortization and impairments of intangible assets ,0 Interest expense on debt , (629) (634) Business operating profit before non-controlling interests 2,988 2,932,52,504,573,56 (973) (,056) (4) 72 4,959 4,968 Non-controlling interests (3) (6) Business operating profit 2,894 2,859,273,272,573,56 (960) (,039) (42) 73 4,638 4,680 Global Life included approximately USD,55 million and USD 52 million of gross written premiums and future life policyholders benefits for certain universal life-type contracts in the Group s Spanish operations for the years ended December 3, 204 and 203, respectively (see note 3).

4 4 Financial highlights (unaudited) Reconciliation of BOP to net income after income taxes in USD millions, for the years ended December 3 General Insurance Global Life Farmers Other Operating Business operating profit 2,894 2,859,273,272,573,56 (960) (,039) (42) 73 4,638 4,680 Revenues/(expenses) not included in BOP: Net capital gains/(losses) on investments and impairments, net of policyholder allocation () ,393,44 Net gain/(loss) on divestments of businesses (245) (2) () (3) (259) () Restructuring provisions (36) 8 (29) (36) 2 (2) (34) (2) (97) (4) Net income/(expense) on intercompany loans (6) (2) (6) (2) 22 4 Impairments of goodwill (209) (98) (98) (209) Change in estimates of earn-out liabilities (9) (50) (3) 35 (50) (6) Other adjustments 2 (75) (3) (0) (84) (26) (74) (0) (72) Add back: Business operating profit attributable to non-controlling interests (3) (6) Net income before shareholders taxes 3,469 3,35,822,47,6,50 (,05) (474) (50) 86 5,738 5,674 Income tax expense/(benefit) attributable to policyholders Net income before income taxes 3,469 3,35,929,702,6,50 (,05) (474) (50) 86 5,844 5,960 Income tax expense (,670) (,70) attributable to policyholders (06) (285) attributable to shareholders (,564) (,45) Net income after taxes 4,74 4,259 attributable to non-controlling interests attributable to shareholders 3,895 4,028 Businesses Non-Core Businesses Total General Insurance and Other Operating Businesses relate to the sale of the Group s General Insurance retail business in Russia (see note 5 of the Consolidated financial statements 204). 2 For the year ended December 3, 204, General Insurance includes property transfer tax of USD 40 million relating to the acquisition of non-controlling interests of Deutscher Herold AG (see note 5 of the Consolidated financial statements 204). For the year ended December 3, 203, Global Life includes USD 37 million of software impairments relating to a restructuring program (see notes 6 and 8 of the Consolidated financial statements 203) and Other Operating Businesses includes USD 75 million of foreign exchange movements relating to operations which were liquidated or substantially liquidated.

5 5 Financial highlights (unaudited) Assets and liabilities by business segment in USD millions, as of December 3 General Insurance Global Life Farmers Other Operating Businesses Non-Core Businesses Eliminations Total Assets Total Group Investments 88,545 90,369,898 3,864 4,096 3,769 9,50 7,834 0,297 9,856 (29,486) (28,42) 204, ,280 Cash and cash equivalents 0,69 0,25 3,568 3, ,525 9,023,63,676 (6,755) (7,242) 7,600 7,8 Equity securities 8,953 6,733 6,408 5, , ,099 3,83 Debt securities 6,822 65,408 79,87 80,75,63,90 6,26 5,925 5,80 5,02 (,224) (,794) 53,648 56,456 Investment property 3,93 3,59 5,054 5, ,784 8,745 Mortgage loans,369,470 5,880 7, ,826 9,798 Other loans 3,035 3,467,58 2,069 2,37,995 3,887,733,943,90 (,507) (9,376) 0,834,789 Investments in associates and joint ventures Investments for unit-linked contracts 22,446 22,423,970,844 34,46 34,267 Total investments 88,545 90, , ,287 4,096 3,769 9,50 7,834 22,267 2,70 (29,486) (28,42) 339,276 34,547 Reinsurers share of reserves for insurance contracts,664 3,008,979 2,068 3,0 3,03 (03) () 6,550 7,978 Deposits made under assumed reinsurance contracts ,952 2, (2) (2) 2,203 2,645 Deferred policy acquisition costs 3,984 3,794 3,584 4, ,750 8,724 Deferred origination costs Goodwill ,66,852 Other intangible assets,649,369 3,556 4,023,354, ,754 7,028 Other assets 5,47 5,492 7,04 7, ,02,662,864,324 (3,995) (2,98) 2,740 24,556 Total assets (after cons. of investments in subsidiaries) 2,559 24,675 26, ,493 9,002 9,640 20,726 9,765 27,284 26,203 (33,586) (30,723) 406,529 45,053 Liabilities Liabilities for investment contracts 70,58 67, ,83 67,3 Reserves for insurance contracts, gross 77,27 82,48 53,334 6,3 2,23 2, ,957 9,46 (04) () 253,79 265,440 Reserves for losses and loss adjustment expenses, gross 6,094 65,629,55, ,886,9 (84) (75) 64,472 68,32 Reserves for unearned premiums, gross 6,0 6, , (9) (2) 6,779 7,66 Future life policyholders benefits, gross ,783 80, ,823 4,07 (4) 77,652 84,476 Policyholders contract deposits and other funds, gross ,20 7,80 2,265 2,328 () 23,45 20,62 Reserves for unit-linked contracts, gross 59,43 63,028,970,844 7,400 74,873 Senior debt,48 7, ,257 24,25 54,668 (9,63) (27,62) 5,379 6,044 Subordinated debt, ,65 6, (2,803) (49) 5,857 6,342 Other liabilities 9,906 4,6 7,529 7,47,427,75,998,830 4,20 3,467 (2,048) (2,850) 33,932 35,380 Total liabilities 99,593 03, , ,943 3,658 4,67 3,900 32,385 25,846 24,574 (33,586) (30,723) 369, ,39 Equity Shareholders equity 34,735 32,503 Non-controlling interests 2,095 2,23 Total equity 36,830 34,734 Total liabilities and equity 406,529 45,053 Supplementary segment information Reserves for losses and loss adjustment expenses, net 5,87 55,02,55, , ,703 57,39 Reserves for unearned premiums, net 3,637 3,82 680, ,333 5,040 Future life policyholders benefits, net ,795 78, ,370 3,679 (0) 75,2 8,975 Policyholders contract deposits and other funds, net ,9 7, () 2,42 8,26 Reserves for unit-linked contracts, net 59,43 63,028,970,844 7,400 74,873 Reserves for insurance contracts, net 65,529 69,024 5,345 59,053 2,23 2, ,935 6,40 () 237, ,333

6 6 General Insurance (unaudited) General Insurance Customer segment overview in USD millions, for the years ended December 3 Global Corporate North America Commercial Europe, Middle East & Africa International Markets GI Global Functions including Group Reinsurance Eliminations Total Gross written premiums and policy fees 9,434 9,264 0,056 0,25 2,626 2,526 4,460 4, (595) (930) 36,333 36,438 Net earned premiums and policy fees 6,349 6,077 7,686 7,633 2,89 2,235 3,786 3, ,023 29,769 Insurance benefits and losses, net 4,723 4,47 5,00 5,93 7,907 8,276 2,335 2,286 (8) 96 20,048 20,32 Policyholder dividends and participation in profits, net Total net technical expenses,385,26 2,30 2,203 3,792 3,730,625, () () 9,57 8,837 Net underwriting result (75) (88) (5) (3) Net investment income (3) (3) 2,99 2,27 Net capital gains/(losses) and impairments on investments Net non-technical result (excl. items not included in BOP) (38) (9) (24) (9) (62) (4) 58 9 (48) (8) 2 2 (2) (57) Business operating profit before non-controlling interests , (6) 2,988 2,932 Non-controlling interests () Business operating profit , (6) 2,894 2,859 Ratios, as % of net earned premiums and policy fees Loss ratio 74.4% 73.6% 66.4% 68.0% 64.9% 67.6% 6.7% 59.9% nm nm n / a n / a 66.8% 68.3% Expense ratio 2.8% 20.8% 30.% 28.9% 3.% 30.5% 42.9% 42.4% nm nm n / a n / a 30.5% 29.7% Combined ratio 96.2% 94.3% 96.5% 97.0% 96.0% 98.% 04.6% 02.3% nm nm n / a n / a 97.3% 98.0% For the year ended December 3, 203, gross written premiums relating to corporate business in Latin America were included within International Markets and then internally reinsured to Global Corporate. The internal reinsurance was then eliminated for total General Insurance but shown within gross written premiums for both Global Corporate and International Markets. For the year ended December 3, 204, the business was reported directly within Global Corporate.

7 7 General Insurance (unaudited) General Insurance Revenues by region in USD millions, for the years ended December 3 Gross written premiums and policy fees from external customers of which Global Corporate North America United States 2,67 2,736 Canada Bermuda 9 North America 3,550 3,65 3,66 3,632 Europe United Kingdom 4,99 3,920 Germany 3,23 3,34 Switzerland 3,344 3,330 Italy,839,896 Spain,408,398 Austria Ireland Portugal France Rest of Europe 959,088 Europe 6,673 6,477 4,565 4,555 Latin America Argentina Brazil,2,2 Chile Mexico Venezuela Rest of Latin America Latin America 2,829 2, Asia-Pacific Australia,030,63 Hong Kong Japan Taiwan Malaysia Rest of Asia-Pacific Asia-Pacific 2,586 2, Middle East Africa South Africa Morocco 39 3 Africa Total 2 36,330 36,436 9,384 8,965 Global Corporate previously not separately disclosed. 2 Excludes revenues from other segments. Global Corporate excludes revenues from other General Insurance market-facing businesses.

8 8 General Insurance (unaudited) Customer segment reporting Europe, Middle East & Africa by country in USD millions, for the years ended December 3 United Kingdom Germany Switzerland Italy Rest of Europe Middle East & Africa Eliminations Total Gross written premiums and policy fees 2,820 2,69 2,627 2,564 2,588 2,559,634,674 2,34 2, (0) (5) 2,626 2,526 Net earned premiums and policy fees 2,633 2,437 2,595 2,62 2,469 2,454,620,700 2,292 2, ,89 2,235 Net underwriting result (87) (37) (58) (45) (02) () Business operating profit (73) (53), Ratios, as % of net earned premiums and policy fees Loss ratio 63.3% 66.8% 66.2% 76.% 6.% 57.2% 62.0% 63.9% 70.6% 7.4% 67.3% 72.3% n / a n / a 64.9% 67.6% Expense ratio 32.2% 3.6% 3.9% 3.% 27.3% 26.0% 30.8% 28.7% 3.0% 3.0% 40.5% 43.4% n / a n / a 3.% 30.5% Combined ratio 95.5% 98.4% 98.% 07.2% 88.4% 83.2% 92.8% 92.6% 0.6% 02.4% 07.8% 5.7% n / a n / a 96.0% 98.% Customer segment reporting Europe, Middle East & Africa Commercial and Personal in USD millions, for the years ended December 3 Commercial Personal Eliminations Total Gross written premiums and policy fees 5,450 5,349 7,79 7,80 (3) (3) 2,626 2,526 Net earned premiums and policy fees 5,082 4,985 7,07 7,249 2,89 2,235 Net underwriting result 35 (276) () () Business operating profit , Ratios, as % of net earned premiums and policy fees Loss ratio 67.0% 74.4% 63.3% 63.0% n / a n / a 64.9% 67.6% Expense ratio 30.3% 3.2% 3.7% 30.0% n / a n / a 3.% 30.5% Combined ratio 97.3% 05.5% 95.0% 93.0% n / a n / a 96.0% 98.%

9 9 General Insurance (unaudited) Customer segment reporting International Markets by region in USD millions, for the years ended December 3 Latin America Asia-Pacific Total Gross written premiums and policy fees 2,456 2,878 2,003 2,095 4,460 4,973 Net earned premiums and policy fees,92,904,865,909 3,786 3,83 Net underwriting result (64) (22) () 33 (75) (88) Business operating profit (49) (9) Ratios, as % of net earned premiums and policy fees Loss ratio 58.% 60.9% 65.4% 59.0% 6.7% 59.9% Expense ratio 50.5% 50.7% 35.2% 34.% 42.9% 42.4% Combined ratio 08.5%.6% 00.6% 93.% 04.6% 02.3% Customer segment reporting International Markets Commercial and Personal in USD millions, for the years ended December 3 Commercial Personal Eliminations Total Gross written premiums and policy fees,808,652 2,699 3,326 (47) (5) 4,460 4,973 Net earned premiums and policy fees,607,424 2,79 2,389 3,786 3,83 Net underwriting result (79) 29 4 (8) (75) (88) Business operating profit (4) Ratios, as % of net earned premiums and policy fees Loss ratio 78.8% 65.0% 49.0% 56.9% n / a n / a 6.7% 59.9% Expense ratio 32.3% 32.9% 50.7% 48.0% n / a n / a 42.9% 42.4% Combined ratio.% 97.9% 99.8% 04.9% n / a n / a 04.6% 02.3% International Markets Asia-Pacific in USD millions, for the years ended December 3 Asia-Pacific of which: Mature Markets Gross written premiums and policy fees 2,003 2,095,437,546 Net earned premiums and policy fees,865,909,400,475 Net underwriting result () 33 (49) 83 Business operating profit Ratios, as % of net earned premiums and policy fees Loss ratio 65.4% 59.0% 7.8% 64.8% Expense ratio 35.2% 34.% 3.7% 29.5% Combined ratio 00.6% 93.% 03.5% 94.4% Mature markets include the Group s operations in Australia, New Zealand and Japan.

10 0 Global Life (unaudited) Global Life Overview in USD millions, for the years ended December 3 North America Latin America Europe Asia-Pacific and Middle East Other Eliminations Total Revenues Life insurance deposits ,203,937 2,854 8,520,547, ,289 3,80 Gross written premiums ,676 3,230 8,09 6, (78) () 2,85,352 Policy fees ,600, ,409 2,564 Gross written premiums and policy fees ,729 3,307 9,69 8,597, (78) () 4,594 3,96 Net earned premiums and policy fees ,64 2,920 9,378 8, ,866 2,852 Net investment income on Group investments ,22 3, () () 3,85 3,895 Net capital gains/(losses) and impairments on Group investments 3 9 2, , Net investment result on Group investments ,247 3, () () 4,988 4,489 Net investment income on unit-linked investments 0 (29) 4 4,93, ,038 2,027 Net capital gains/(losses) and impairments on unit-linked investments (3) 00, ,578 9, ,49 0,704 Net investment result on unit-linked investments (3) 7, ,49, ,457 2,73 Other income () (3),207,56 Total BOP revenues,065,098 4,083 3,995 22,538 23,564 2,07, () (4) 30,59 3,229 Benefits, losses and expenses Insurance benefits and losses, net ,083,307 8,777 7, ,685 9,67 Policyholder dividends and participation in profits, net 93, ,942 2, (2) 2,097 3,820 Income tax expense/(benefit) attributable to policyholders Underwriting and policy acquisition costs, net 54 04, , ,654 3,003 Administrative and other operating expense (excl. depreciation/amortization) ,360, () (4) 2,7 2,653 Interest credited to policyholders and other interest () Restructuring provisions and other items not included in BOP (2) (56) 3 (35) (47) (37) (8) (47) (63) (74) (88) Total BOP benefits, losses and expenses ,530 3,43 2,336 22,485,853, () (4) 28,478 29,26 Business operating profit (before interest, depreciation and amortization) ,202, (5) 2 2,042,968 Depreciation and impairments of property and equipment Amortization and impairments of intangible assets Interest expense on debt Business operating profit before non-controlling interests (63) (7),52,504 Non-controlling interests (3) (2) Business operating profit (63) (7),273,272 Europe includes approximately USD,55 million and USD 52 million of gross written premiums and future life policyholders benefits for certain universal life-type contracts in the Group s Spanish operations for the years ended December 3, 204 and 203, respectively (see note 3 of the Consolidated financial statements).

11 Global Life (unaudited) Global Life Europe by country in USD millions, for the years ended December 3 United Kingdom Germany Switzerland Ireland Spain Italy Rest of Europe Eliminations Total Revenues Life insurance deposits 6,557 2,765,874, ,998 2, , ,854 8,520 Gross written premiums ,92 2,499,556, , (6) (55) 8,09 6,628 Policy fees 805, ,600,969 Gross written premiums and policy fees,537,888 3,299 2,892,594, , (6) (55) 9,69 8,597 Net earned premiums and policy fees,444,725 3,202 2,785,572, , ,378 8,204 Net investment income on Group investments ,469, ,22 3,76 Net capital gains/(losses) and impairments on Group investments 262 (77) (25) , Net investment result on Group investments ,254 2, ,247 3,739 Net investment income on unit-linked investments,354, (8) (5) 3 2,93,943 Net capital gains/(losses) and impairments on unit-linked investments 3,9 6,585,694, ,650,043 (8) ,578 9,30 Net investment result on unit-linked investments 4,473 7,995,85, ,893, ,49,253 Other income (4) (7) Total BOP revenues 6,484 9,906 7,53 6,47 2,395 2,447 2,565 2,05 2,372, (4) (7) 22,538 23,564 Benefits, losses and expenses Insurance benefits and losses, net ,383 3,085,654, , ,777 7,055 Policyholder dividends and participation in profits, net 4,59 7,703 3,06 2, ,867, ,942 2,58 Income tax expense/(benefit) attributable to policyholders Underwriting and policy acquisition costs, net () (3) 989,542 Administrative and other operating expense (excl. depreciation/amortization) (3) (4),360,274 Interest credited to policyholders and other interest Restructuring provisions and other items not included in BOP (48) (45) (6) () (2) (35) (47) Total BOP benefits, losses and expenses 6,60 9,686 7,249 6,89 2,49 2,20 2,503,963 2,70, (4) (7) 2,336 22,485 Business operating profit (before interest, depreciation and amortization) ,202,079 Depreciation and impairments of property and equipment Amortization and impairments of intangible assets Interest expense on debt Business operating profit before non-controlling interests Non-controlling interests Business operating profit Spain includes approximately USD,55 million and USD 52 million of gross written premiums and future life policyholders benefits for certain universal life-type contracts for the years ended December 3, 204 and 203, respectively (see note 3 of the Consolidated financial statements).

12 2 Global Life (unaudited) Global Life Asia-Pacific and Middle East in USD millions, for the years ended December 3 Asia-Pacific and Middle East of which Mature Markets Insurance deposits,547, Gross written premiums Policy fees Gross written premiums and policy fees, Net earned premiums and policy fees Net investment income on Group investments Net capital gains/(losses) and impairments on Group investments Net investment result on Group investments Net investment result on unit-linked investments Total BOP benefits, losses and expenses,853, Business operating profit Mature markets include the Group s operations in Australia and Japan. Global Life Reserves and liabilities, net of reinsurance, by region in USD millions, as of December 3 Unit-linked insurance and investment Other life insurance Total reserves and contracts liabilities liabilities North America,85,25 5,469 5,473 6,654 6,598 Latin America 0,232 9,977 4,97 5,336 5,49 5,33 Europe 03,8 03,745 78,366 82,007 82,77 85,752 of which: United Kingdom 63,00 6,943 5,9 5,00 68,29 66,944 Germany 3,822 3,439 4,237 43,728 55,059 57,66 Switzerland ,427 20,074 9,262 20,942 Ireland 7,60 6,369 2,23,97 9,283 8,340 Spain 2,766 4,799 6,48 6,89 9,84 0,989 Italy 5,242 5,49 3,38 3,069 8,379 8,560 Rest of Europe ,905,974 2,790 2,8 Asia-Pacific and Middle East,627,830 2,788 2,860 4,45 4,689 Other 3,57 3, ,532 3,84 Total 30,02 30,4 9,94 96,025 22, ,66

13 3 Global Life (unaudited) Global Life Revenues by region in USD millions, for the years ended December 3 Gross written premiums and policy fees from external customers Life insurance deposits North America United States North America Latin America Chile 78, Argentina Mexico Venezuela Brazil,427,624 2,058,586 Uruguay 7 6 Latin America 2,729 3,307 2,203,937 Europe United Kingdom,532,883 6,557 2,765 Germany 3,252 2,837,874,827 Switzerland,594, Ireland ,998 2,902 Spain, Italy , Portugal Austria Europe 9,644 8,542 2,854 8,520 Asia-Pacific and Middle East Hong Kong Taiwan 3 4 Indonesia 7 4 Australia Japan Singapore Malaysia Zurich International Life ,396,372 Asia-Pacific and Middle East, ,547,634 Other Luxembourg International Group Risk Solutions Other Total 4 4,532 3,842 7,289 3,80 Includes business written under freedom of services and freedom of establishment in Europe. 2 Mainly includes business written through licenses into Asia-Pacific and Middle East. 3 Includes business written through licenses into all regions. 4 Gross written premiums and policy fees from external customers excludes revenues from other segments.

14 4 Farmers (unaudited) Farmers Overview in USD millions, for the years ended December 3 Farmers Management Services Farmers Re Total Gross written premiums and policy fees 3,428 4,045 3,428 4,045 Net earned premiums and policy fees 3,956 4,099 3,956 4,099 Management fees and other related revenues 2,79 2,80 2,79 2,80 Insurance benefits and losses, net (2,650) (2,823) (2,650) (2,823) Management and other related expenses (,455) (,457) (,455) (,457) Total net technical expenses (,240) (,285) (,240) (,285) Gross management result,335,353 n / a n / a Net underwriting result 66 (9) n / a n / a Net investment income Net capital gains/(losses) and impairments on investments Other net income/net non-technical result (excl. items not included in BOP) 35 (3) Business operating profit before non-controlling interests,383, ,573,56 Non-controlling interests Business operating profit,383, ,573,56 Ratios, as % of net earned premiums and policy fees Loss ratio 67.0% 68.9% Expense ratio 3.3% 3.3% Combined ratio 98.3% 00.2%

15 5 Additional information (unaudited) Principal exchange rates USD per foreign currency unit Consolidated balance sheets Consolidated income statements and cash flows 2/3/4 2/3/3 2/3/4 2/3/3 Euro Swiss franc British pound Brazilian real Development of cumulative net loss ratio In the year 73.3% 69.6% 72.7% 74.6% 72.3% 73.5% 74.2% 7.3% 69.4% 66.6% One year later 68.% 66.2% 7.7% 74.% 72.0% 73.2% 74.0% 70.0% 68.9% Two years later 66.6% 64.8% 70.6% 72.4% 70.7% 72.% 73.7% 69.7% Three years later 65.0% 63.3% 69.4% 72.3% 70.6% 7.6% 73.9% Four years later 63.8% 62.6% 68.6% 72.% 70.6% 7.5% Five years later 63.2% 6.6% 68.0% 7.6% 70.4% Six years later 62.6% 6.0% 67.9% 7.7% Seven years later 62.3% 60.9% 67.8% Eight years later 62.4% 6.% Nine years later 62.4% This table represents the loss ratio development for individual accident years for the Group, with General Insurance being the primary driver. Individual accident years are affected by the level of large catastrophe losses which had the following impact on the loss ratios in the year that the event occurred: 2005: Hurricanes Katrina, Rita and Wilma in the U.S. and floods in Europe increased the loss ratio by 4.6 percentage points; 2007: Winter storm Kyrill in Europe and floods in the UK increased the loss ratio by 2.5 percentage points; 2008: Hurricanes Gustav and Ike in the U.S. increased the loss ratio by.8 percentage points; 200: The earthquake in Chile and floods in Australia increased the loss ratio by 0.8 percentage points; 20: Floods in Australia, earthquakes in New Zealand, the earthquake and subsequent tsunami in Japan, Hurricane Irene in the U.S. and floods in Thailand increased the loss ratio by 2.6 percentage points, after the Group s aggregate catastrophe reinsurance recovery; 202: Storm Sandy in the U.S. increased the loss ratio by 2.5 percentage points; 204: Hurricane Odile in Mexico increased the loss ratio by 0.3 percentage points. The development of 2005 and each subsequent year demonstrates the Group s philosophy of taking a prudent view on reserving.

16 6 Additional information (unaudited) Net investment result in USD millions, for the years ended December 3 Net investment income Net capital gains/(losses) and impairments Net investment Group investments Cash and cash equivalents Equity securities ,499,42,743 (37) (58) Debt securities 4,696 4,790, ,538 4,978 (2) Investment property Mortgage loans (48) (2) (48) (2) Other loans (20) Investments in associates and joint ventures (2) () Derivative financial instruments 97 (806) 97 (806) Investment result, gross, for Group investments 6,462 6,496 3,002,57 9,465 7,653 (86) (20) Investment expenses for Group investments 2 (256) (256) (256) (256) Investment result, net, for Group investments 6,206 6,240 3,002,57 9,209 7,398 (86) (20) Investments for unit-linked contracts Investment result, net, for investments for unit-linked contracts,77,77 9,03,088 0,784 2,805 Total investments Investment result, net, for total investments 7,977 7,958 2,05 2,245 9,993 20,202 (86) (20) result of which impairments Net capital losses on derivative financial instruments attributable to cash flow hedge ineffectiveness amounted to USD 29 million and USD 9 million for the years ended December 3, 204 and 203, respectively. 2 Rental operating expenses for investment property included in investment expenses for Group investments amounted to USD 85 million and USD 9 million for the years ended December 3, 204 and 203, respectively. Details of investments by category as of December millions Group millions Group Total Group Investments 204, , Cash and cash equivalents 7, ,8 3.5 Equity securities: Fair value through profit or loss 3,69.8 3,425.7 Available-for-sale 2, , Total equity securities 6, , Debt securities: Fair value through profit or loss 7, ,2 3.4 Available-for-sale 42, , Held-to-Maturity 3,97.9 4, Total debt securities 53, , Investment property 8, , Mortgage loans 7, , Other loans 0, , Investments in associates and joint ventures Investments for unit-linked products 34,46 34,267 Total investments 339,276 34,547 USD % of USD % of

17 7 Information for the three months ended December 3 (unaudited) Business operating profit by business segment in USD millions, for the three months ended December 3 Other Operating Non-Core General Insurance Global Life Farmers Businesses Businesses Eliminations Total Revenues Direct written premiums 7,484 7,73 3,395 3, ,905 0,889 Assumed written premiums (2) (40) 923,67 Gross Written Premiums 7,960 8,256 3,397 3, (2) (40),828 2,506 Policy fees Gross written premiums and policy fees 7,960 8,256 4,064 3, (2) (40) 2,564 3,206 Less premiums ceded to reinsurers (,200) (,248) (60) (73) (8) (4) (4) (5) 2 40 (,350) (,40) Net written premiums and policy fees 6,760 7,008 3,904 3, ,24,804 Net change in reserves for unearned premiums (09) (42) () (2) 2, Net earned premiums and policy fees 7,395 7,77 3,796 3, , ,306 2,494 Farmers management fees and other related revenues Net investment result on Group investments ,223, (97) (6) (46),906,556 Net investment income on Group investments (6) (46),437,582 Net capital gains/(losses) and impairments on Group investments (80) 469 (25) Net investment result on unit-linked investments 3,76 4, ,849 4,28 Other income (35) (287) Total BOP revenues 8,65 8,675 9,026 9,005,734, (53) (433) 9,208 9,44 of which: inter-segment revenues () (8) (47) () (4) (6) (246) (78) (5) (0) Benefits, losses and expenses Insurance benefits and losses, net 5,040 5,332 3,030 2, (55) 9,096 8,68 Losses and loss adjustment expenses, net 5,044 5, (29) 5,807 5,97 Life insurance death and other benefits, net (4) () 3,029 2, (26) 3,288 2,647 Policyholder dividends and participation in profits, net 3 4,038 4, ,206 4,352 Income tax expense/(benefit) attributable to policyholders Underwriting and policy acquisition costs, net,463, (6) (3) (2) 2,397 2,69 Administrative and other operating expense (excl. depreciation/amortization), (3) (267) 2,053 2,020 Interest credited to policyholders and other interest (38) (6) Restructuring provisions and other items not included in BOP (37) (204) (5) (8) () () (0) (248) Total BOP benefits, losses and expenses (before interest, depreciation and amortization) 7,530 7,65 8,522 8,533,280, (353) (276) 7,954 7,62 Business operating profit (before interest, depreciation and amortization) 634, (33) (32) (45) 34 (60) (57),255,820 Depreciation and impairments of property and equipment Amortization and impairments of intangible assets Interest expense on debt (60) (57) 3 4 Business operating profit before non-controlling interests (289) (360) (48) ,79 Non-controlling interests (2) (4) () Business operating profit (286) (356) (48) 32 82,3

18 8 Information for the three months ended December 3 (unaudited) Reconciliation of BOP to net income after income taxes in USD millions, for the three months ended December 3 General Insurance Global Life Farmers Other Operating Business operating profit (286) (356) (48) 32 82,3 Revenues/(expenses) not included in BOP: Net capital gains/(losses) on investments and impairments, net of policyholder allocation (66) Net gain/(loss) on divestments of businesses (245) (2) (247) Restructuring provisions (2) 5 4 (6) () 4 (2) (2) (3) Net income/(expense) on intercompany loans (7) (3) (4) () 4 Impairments of goodwill (209) (6) (6) (209) Change in estimates of earn-out liabilities 9 2 () 8 3 Other adjustments 2 (8) (0) (65) () 8 36 () (40) Add back: Business operating profit attributable to non-controlling interests (2) (4) () Net income before shareholders taxes (253) 203 (45) 52,92,508 Income tax expense/(benefit) attributable to policyholders Net income before income taxes (253) 203 (45) 52,279,645 Income tax expense (34) (523) attributable to policyholders (87) (37) attributable to shareholders (227) (386) Net income after taxes 965,22 attributable to non-controlling interests attributable to shareholders 858,074 Businesses Non-Core Businesses Total General Insurance and Other Operating Businesses relate to the sale of the Group s General Insurance retail business in Russia (see note 5 of the Consolidated financial statements 204). 2 For the year ended December 3, 203, Global Life includes USD 37 million of software impairments relating to a restructuring program (see notes 6 and 8 of the Consolidated financial statements 203).

19 9 Information for the three months ended December 3 (unaudited) General Insurance Customer segment overview in USD millions, for the three months ended December 3 Global Corporate North America Commercial Europe, Middle East & Africa International Markets GI Global Functions including Group Reinsurance Eliminations Total Gross written premiums and policy fees,923,945 2,42 2,440 2,530 2,743,46, (53) (62) 7,960 8,256 Net earned premiums and policy fees,578,599 2,040 2,069 2,862 3, ,395 7,77 Insurance benefits and losses, net,5,74,397,307,904 2, ,040 5,332 Policyholder dividends and participation in profits, net 2 3 Total net technical expenses ,307 2,306 Net underwriting result (4) (08) (33) (5) (2) Net investment income () Net capital gains/(losses) and impairments on investments Net non-technical result (excl. items not included in BOP) () () (8) 8 4 (5) (6) (6) (39) (3) Business operating profit before non-controlling interests (65) 29 (4) (0) Non-controlling interests 4 () Business operating profit (8) 0 (4) (0) Ratios, as % of net earned premiums and policy fees Loss ratio 73.0% 73.4% 68.5% 63.2% 66.5% 69.0% 64.4% 60.5% nm nm n / a n / a 68.2% 68.6% Expense ratio 22.5% 20.9% 28.4% 27.2% 32.6% 3.4% 47.4% 42.8% nm nm n / a n / a 3.2% 29.7% Combined ratio 95.5% 94.4% 96.9% 90.4% 99.% 00.5%.9% 03.4% nm nm n / a n / a 99.4% 98.3% For the three months ended December 3, 203, gross written premiums relating to corporate business in Latin America were included within International Markets and then internally reinsured to Global Corporate. The internal reinsurance was then eliminated for total General Insurance but shown within gross written premiums for both Global Corporate and International Markets. For the three months ended December 3, 204, the business was reported directly within Global Corporate. Customer segment reporting Europe, Middle East & Africa by country in USD millions, for the three months ended December 3 United Kingdom Germany Switzerland Italy Rest of Europe Middle East & Africa Eliminations Total Gross written premiums and policy fees (3) (6) 2,530 2,743 Net earned premiums and policy fees ,862 3,3 Net underwriting result 7 4 (2) (68) (5) (22) (3) (28) () 26 (4) Business operating profit (4) (4) (6) Ratios, as % of net earned premiums and policy fees Loss ratio 62.6% 67.9% 70.% 76.5% 63.3% 63.7% 60.6% 60.8% 75.4% 73.3% 66.4% 69.8% n / a n / a 66.5% 69.0% Expense ratio 34.8% 3.4% 33.4% 33.7% 3.0% 26.7% 32.7% 30.4% 27.6% 30.3% 42.6% 47.8% n / a n / a 32.6% 3.4% Combined ratio 97.4% 99.3% 03.5% 0.% 94.3% 90.4% 93.3% 9.2% 03.0% 03.6% 09.0% 7.7% n / a n / a 99.% 00.5%

20 20 Information for the three months ended December 3 (unaudited) Global Life Overview in USD millions, for the three months ended December 3 North America Latin America Europe Asia-Pacific and Middle East Other Eliminations Total Revenues Life insurance deposits ,446 2, ,544 3,653 Gross written premiums ,447, (6) 54 (5) (37) 3,397 3,268 Policy fees 9 82 (5) Gross written premiums and policy fees ,83 2, (5) (37) 4,064 3,864 Net earned premiums and policy fees ,740 2, ,796 3,549 Net investment income on Group investments () Net capital gains/(losses) and impairments on Group investments Net investment result on Group investments , (),223,075 Net investment income on unit-linked investments (7) (6) Net capital gains/(losses) and impairments on unit-linked investments ,859 3, ,25 3,590 Net investment result on unit-linked investments ,304 3, ,76 4,7 Other income (24) () Total BOP revenues ,46 6, () 9,026 9,005 Benefits, losses and expenses Insurance benefits and losses, net ,638 2, (5) ,030 2,672 Policyholder dividends and participation in profits, net ,594 3, (2) 4,038 4,9 Income tax expense/(benefit) attributable to policyholders Underwriting and policy acquisition costs, net Administrative and other operating expense (excl. depreciation/amortization) () Interest credited to policyholders and other interest Restructuring provisions and other items not included in BOP (2) (3) (2) 4 (8) (7) (8) (0) (50) (5) (8) Total BOP benefits, losses and expenses ,876 6, () 8,522 8,533 Business operating profit (before interest, depreciation and amortization) (3) Depreciation and impairments of property and equipment Amortization and impairments of intangible assets Interest expense on debt Business operating profit before non-controlling interests (20) (2) (3) Non-controlling interests () () Business operating profit (9) (2) (3)

21 2 Information for the three months ended December 3 (unaudited) Global Life Europe by country in USD millions, for the three months ended December 3 United Kingdom Germany Switzerland Ireland Spain Italy Rest of Europe Eliminations Total Revenues Life insurance deposits 3, ,446 2,276 Gross written premiums 77 65, (5) (3) 2,447,993 Policy fees (43) Gross written premiums and policy fees , (5) (3) 2,83 2,402 Net earned premiums and policy fees , ,740 2,308 Net investment income on Group investments Net capital gains/(losses) and impairments on Group investments 27 (9) Net investment result on Group investments , Net investment income on unit-linked investments () () Net capital gains/(losses) and impairments on unitlinked investments,853 2, (3) () 7 2,859 3,44 Net investment result on unit-linked investments 2,03 2, ,304 3,648 Other income (5) Total BOP revenues 2,72 2,97 2,03, (5) 7,46 6,966 Benefits, losses and expenses Insurance benefits and losses, net , ,638 2,086 Policyholder dividends and participation in profits, net 2,096 2, ,594 3,692 Income tax expense/(benefit) attributable to policyholders Underwriting and policy acquisition costs, net (35) (2) Administrative and other operating expense (excl. depreciation/amortization) (2) (3) Interest credited to policyholders and other interest Restructuring provisions and other items not included in BOP 9 (2) 3 0 (6) () 4 (8) Total BOP benefits, losses and expenses 2,646 2,867 2,034, (5) 6,876 6,67 Business operating profit (before interest, depreciation and amortization) Depreciation and impairments of property and equipment Amortization and impairments of intangible assets Interest expense on debt Business operating profit before non-controlling interests Non-controlling interests Business operating profit

22 22 Information for the three months ended December 3 (unaudited) Farmers Overview in USD millions, for the three months ended December 3 Farmers Management Services Farmers Re Total Gross written premiums and policy fees Net earned premiums and policy fees 998, ,020 Management fees and other related revenues Insurance benefits and losses, net (637) (667) (637) (667) Management and other related expenses (365) (368) (365) (368) Total net technical expenses (33) (320) (33) (320) Gross management result n / a n / a Net underwriting result n / a n / a Net investment income Net capital gains/(losses) and impairments on investments Other net income/net non-technical result (excl. items not included in BOP) Business operating profit before non-controlling interests Non-controlling interests Business operating profit Ratios, as % of net earned premiums and policy fees Loss ratio 63.8% 65.3% Expense ratio 3.4% 3.3% Combined ratio 95.2% 96.7%

23 23 Summary of quarterly consolidated financial information (unaudited) Summary of quarterly consolidated financial information in USD millions, for the three months ended 2/3/4 09/30/4 06/30/4 03/3/4 2/3/3 09/30/3 06/30/3 03/3/3 2/3/2 Gross written premiums and policy fees 2,564 2,903 3,843 5,47 3,206 2,72 3,426 5,505 3,53 Net earned premiums and policy fees 2,306,973,896 2,45 2,494,688,388,708 2,829 Net investment result on Group investments 2,462 2,378 2,76 2,93 2,34,94,629,693 2,842 Net investment income on Group investments,437,553,68,535,582,47,64,573,629 Net capital gains/(losses) on Group investments and impairments, ,23 Net investment result on unit-linked investments 3,849 2,530 2,938,467 4,28 2,95 (784) 6,49 2,247 Other revenues 900,27,6,066,74,39,043,209,07 Total revenues 9,58 8,008 8,7 6,87 20,09 7,720 3,277 2,030 9,026 Insurance benefits and losses, net of reinsurance 9,096 8,522 8,8 8,566 8,68 7,8 7,772 7,997 9,495 Policyholder dividends and participation in profits, net of reinsurance 4,206 3,043 3,49,900 4,352 3,277 (323) 6,64 2,664 Other expenses 4,937 4,933 5,23 4,70 5,404 5,069 4,820 4,648 5,326 Total benefits, losses and expenses 8,239 6,498 6,82 5,75 8,374 6,57 2,269 9,286 7,485 Net income before income taxes,279,50,359,696,645,563,008,744,540 Net income attributable to shareholders ,272,074,03 789, Business operating profit 82,206,240,38,3, , Summary of quarterly consolidated financial information Key performance indicators by segment in USD millions, for the three months ended 2/3/4 09/30/4 06/30/4 03/3/4 2/3/3 09/30/3 06/30/3 03/3/3 2/3/2 Total revenues 9,58 8,008 8,7 6,87 20,09 7,720 3,277 2,030 9,026 General Insurance 8,35 8,557 8,506 8,322 8,77 8,358 8,92 8,42 9,73 Global Life 9,24 7,735 7,573 6,572 8,939 7,329 3,827,35 8,05 Farmers,756,73,746,75,766,783,774,777,883 Other 287 (4) (56) (25) (45) Total benefits, losses and expenses (8,239) (6,498) (6,82) (5,75) (8,374) (6,57) (2,269) (9,286) (7,485) General Insurance (7,664) (7,663) (7,64) (7,300) (8,26) (7,59) (7,470) (7,23) (8,397) Global Life (8,574) (7,29) (7,62) (6,20) (8,60) (6,899) (3,482) (0,546) (7,387) Farmers (,35) (,329) (,399) (,294) (,359) (,37) (,507) (,353) (,48) Other (686) (287) (60) (462) (288) (368) 90 (74) (220) Net income before income taxes,279,50,359,696,645,563,008,744,540 General Insurance , Global Life Farmers Other (399) (302) (264) (200) 254 (8) (326) (99) (265) Business operating profit 82,206,240,38,3, , General Insurance Global Life Farmers Other (434) (247) (223) (98) (324) (206) (252) (84) (250) Including intersegment elimination.