Results as at September 30 th 2014 Cattolica Assicurazioni Group

Transcription

1 Results as at September 30 th 2014 Cattolica Assicurazioni Group Verona, November 13 th

2 Agenda 3Q 2014 Results Non-Life Business Performance Life Business Performance Investments 2

3 9M 2014 Results excluding FATA 9M2013 9M2014 % including FATA 9M2013 9M2014 % Total direct premium 3,192 4, % 3,192 4, % Non-Life direct premium 1,211 1, % 1,211 1, % Life direct premium 1 1,981 2, % 1,981 2, % Combined ratio % 91.5% -2.0 pps 93.5% 92.0% -1.5 pps Shareholders Equity (Cons.) 1, , % Solvency I Ratio pps Consolidated Net Result % Group s Net Result % mln 1 Including investment contracts 3 Retained business 3 As at After Dividend payment of the Parent Company; as at Financial data as of September 30 include FATA Assicurazioni Danni, acquired in June. Economic data include FATA Assicurazioni s figures, starting from the third quarter of

4 Consolidated Income Statement results as at September 30th 2014 million Group Companies Contribution To consolidated result 9M M 2014 Non Life Insurance Companies Life Insurance Companies Non insurance Companies 1-2 IAS/IFRS Consolidated Result IAS/IFRS Group s Result

5 Shareholders Equity ,742 1, Group s Shareholders Equity 1, ,514 Group s Shareholders Equity Net Consolidated Shareholders Equity at FY2013 Minorities dividend Cattolica s Dividend (*) It includes about 382 mln of changes in shadow accounting (net of taxes). Result Changes in AFS reserve (*) Other (**) (**) Mostly Ias reversal of additional provisions (not relevant in the calculation of Solvency I ratio), buy-back of own shares and IRAP taxation Net Consolidated Shareholders Equity at 3Q2014 million 5

6 Group s Solvency I ratio Ratio: Available capital/required margin from Ititial Ratio as at FY2013 before Parent Company s dividend 1.66 Parent Company s dividend Initial Ratio as at FY2013 post Parent Company s dividend 1.62 Fata s Acquisition AFS Reserve and valuation gains Variation of required margins Result of the period 0.10 Ratio as at September 30 th Net of the 100 mln subordinated bond issued on December 17 th 2013, with which the acquisition of Fata has been partially funded (already included in the initial ratio as at FY2013), the impact of the acquisition is equal to 0.05 of the regulatory minimum required. 6

7 Trend of Solvency I ratio Available capital ( mln) 1,050 1,082 1,203 1,317 1,345 Solvency I Ratio Post dividend / FY 2010 FY 2011 FY 2012 FY Q 2014 Minimum required margin ( mln) FY 2010 FY 2011 FY 2012 FY Q Excess Capital : 422 mn (1x regulatory min.) FY 2010 FY 2011 FY 2012 FY Q After the application of the anti crisis decrees 7

8 Agenda 3Q 2014 Results 2014 Non-Life business Performance Life Business Performance Investments 8

9 Non Life Premiums Non Motor Motor CATTOLICA GROUP (excluding FATA) 1,211 5, , NON LIFE PREMIUMS % % Market 3Q14/3Q13 1H14/1H13 (*) Non Motor Motor M2013 9M2014 9M2014 FATA of which 3Q 2014 NON LIFE PREMIUMS The evolution of Non Life premiums is characterized by the decrease of motor business by 5.9% mainly due to the decrease of the average premium The number of motor policies as at November 7 th 2014 grew of 4.7% compared to FY2013 (+101,917 compared to FY2013) Average motor premium as at decreases by 10.6% compared to FY2013 A strong contribution was offered by Tua Assicurazioni, a company of the Group that operates mainly through non tied agencies, with 157 mn premiums (+13,4%) (***). NON LIFE PREMIUMS BREAKDOWN BY CHANNEL % FATA included NON LIFE PREMIUMS BREAKDOWN BY CHANNEL FATA included Other Altri channels canali Brokers 3,7% 1.4% 1,4% 3.7% Banks Banche 2.9% 2,9% 19.7% -6.3% Agents Agenzie 92% 92,0 Agencies Bank branches Other (**) (*) Source: Circolare IVASS of October 27 th 2014 (**) Brokers and Direct (***) Pro-forma data after the merging of Duomo in Tua Assicurazioni on million 9

10 Non Life premiums by class vs market (excluding FATA): cumulated changes Classes MARKET ( mln) 9M2014 9M2013 Changes Sep 2014 / Sep 2013 Cumulated changes 3Q (*) Cumulated changes 1H TPL Land motor vehicles % -3.8% -13.2% 3 - Land vehicle hulls % -2.1% -11.1% Total motor % -3.6% -13.0% 1 Accident and injury % 24.7% -0.5% 2 - Health % -33.7% -4.8% 8 Fire & natural forces % 0.4% -1.2% 9 Other damage to assets % 14.3% 7.9% 13 TPL - General % -6.3% -4.8% 16 Sundry financial losses % 14.8% 9.9% 17- Legal protection % 9.6% 10.4% 18 - Assistance % 25.2% 15.4% Other classes % 0.2% -8.8% Total non-motor classes % 3.3% -0.7% Total non-life classes 1,178 1, % -1.0% -7.8% (*) pro quota 2014 Market data: source IVASS 10

11 Group s Agency Network AGENCY NETWORK The agency network s requalification continued during 2014, through a policy of dimensional strengthening 31/12/2013 New openings Rationalisation Withdrawals/ liberalisations Voluntary dismissals 30/09/2014 Fata Assicurazioni Total 30/09/2014 Number of Agencies 1, , ,589 Variation of units Tied Agencies 1, FATA n Agencies 3Q14/FY AGENCY NETWORK as at SEPTEMBER 30 th 2014 The continued development of the agency network reaches 1,589 units as at September 2014 (+167 compared to FY2013), thanks to the acquisition of FATA Assicurazioni. Excluding FATA agencies, the rationalisation of number of tied agencies continues to 850 units as at September 2014 (-27 compared to FY2013). Non tied agencies are growing reaching 572 units as at September

12 Non-Life: technical ratios and claims frequency COMBINED RATIO (*) without FATA with FATA 92.0 CLAIMS FREQUENCY (Group Cattolica**, Motor TPL, %) 9M2013 9M2014 CLAIMS RATIO without FATA M2014 with FATA % 8.8% 8.1% 7.5% 8.2% 7.7% 7.1% 6.7% 6.4% % 3Q14/ pps CAGR 07/13-8,7% 5.5% 5.4% 5.1% 5.7% 5.0% 4.9% 4.6% 9M2013 9M2014 EXPENSE RATIO without FATA 9M2014 with FATA % 1H14/ pps CAGR 07/13-7.8% G&A Q2014 Fee including IBNR excluding IBNR Annual frequency observed at the year end 9M2013 9M2014 9M2014 * Retained business. ** Cattolica + Tua Assicurazioni 12

13 Agenda 3Q 2014 Results Non-Life Business Performance Life Business Performance Investments 13

14 Life premiums LIFE PREMIUMS LIFE PREMIUMS 1,981 2,893 % 3Q14/3Q % Market 1H14/1H2013 (*) , % 2,570 9M2013 9M % 8.3% M2013 9M2014 9M2013 9M2014 9M2013 9M2014 Traditional products Linked products Pension funds LIFE PREMIUM BREAKDOWN PER SALES CHANNELS LIFE PREMIUM BREAKDOWN PER SALES CHANNELS 1, % 2,159 Agents and pension advisors 11.1% Other 8.6% Brokers 5.6% % 321 9M2013 9M2014 9M2013 9M2014 9M2013 9M2014 9M2013 9M2014 Own channels (1) Agencies and pension advisors -6.3% (1) (2) Bank branches (2) Including financial advisors 58.2% Broker Others Bank branches and fin. adv. 74.6% (*) Sourcee: Circolare IVASS -27 October 2014 million 14

15 New Life business NEW LIFE BUSINESS AS AT 9M2014 N.L.B. BREAKDOWN BY CHANNELS AS AT 9M2014 % Market 1H14/13 (*) % 3Q14/ Agents 10,2% Direct 3,3% Brokers 7,5% Additional payments New life business Banks 79,0% 9M2013 9M2014 Cattolica Life broker channel (*) Source: Ania Trends Nuova Produzione Vita June 2014 (published in August 2014) milioni 15

16 Life net premiums traditional classes 9M2013 NET CASH FLOWS CLASSES I-V 1,747 9M2013 NET CASH FLOWS CLASSES I-V 2,569 Maturities Claims 1,126 38% 7% 18% ClassV 82% Class I Maturities 1,494 60% 13% Class V 87% Class I Redemption 55% 621 Claims 5% Redemption 35% 1,076 Settlement costs Gross Premiums Net Cash Flows Settlement costs Gross Premiums Net Cash Flows NET INFLOWS TREND BY QUARTER CLASSES I and V Items 1Q 2013 % 13/12 2Q 2013 % 3/12 3Q 2013 % 13/12 4Q 2013 % 13/12 1Q 2014 % 14/13 2Q 2014 % 14/13 3Q 2014 % 14/13 Premiums % % % % % % % Settlement % % % % % % % Net Cash Flows Technical provisions

17 Agenda 3Q 2014 Results Non-Life Business Performance Life Business Performance Investments 17

18 Investments result as at 30 September 2014 (Class C) 772 1,154 Equity 3% Real Estate 5,7% Credit Risk 22,8% Gov. Bonds and Liquidity 68,5% Interests and coupons Gains & Losses* Impairments** Investment costs Subsidiaries IFRS Result Change in AFS reserve Total Change in financial statement mln (*) Including realised and mark-to-market profits on investments (**) The 'impairment net of shadow accounting reserve and related tax effects amounted to 1.7 million, mainly related to real estate funds 18

19 Group s Investments breakdown 3Q2013 Investments breakdown* 3Q2014 Investments breakdown* Short term Gov. Bond 11.4% Real Estate 3.7% Liquidity 3.0% Equity 2.6% Short term Gov. Bond 6.7% Real Estate 3.2% Liquidity 2.5% Equity 3.0% Credit Risk 17.8% 3Q ,312 M 3Q ,697 M Credit Risk 18.1% Long term Gov. Bond 61.5% Long term Gov. Bond 66.5% (*) Class C assets (excluding subsidiaries), without FATA. IAS Financials. **Sustainable yield: weighted average of the historical value of the sustainable yields of the positions. Bonds: actual coupon + pro rata trading spread ; Equity: expected dividend yield Sustainable yield**: 3.44% 19

20 Non Life Group Investments trend and bond rating classes Non Life investments Breakdown trend* 3Q2014 Bonds Breakdown by region Short term Gov. Bonds 5.1% Real Estate 4.8% 3Q2013 2,357 mn Liquidity 3.0% Equity 4.1% Credit risk 12.9% Italy 90.6% Others 7.8% Real Estate 6.6% Short term Gov. Bonds 5.0% Lquidity 0.8% Long term Gov. Bond 70.1% Equity 4.1% Spain 1.1% Ireland 0.5% 3Q2014 Breakdown - Bonds rating rating obbligazionario Breakdown 3Q mn Credit risk 14.8% BBB 87.4% Long term Gov. Bonds 68.7% Sustainable yield**: 3.11% (*) Class C assets (excluding subsidiaries), without FATA. IAS Financials. **Sustainable yield: weighted average of the historical value of the sustainable yields of the positions. Bonds: actual coupon + pro rata trading spread ; Equity: expected dividend yield AAA 0.3% <BBB and NR 6.3% A 3.7% AA 2.3% 20

21 Life Group Investments trend and bond rating classes Breakdown of Life investments trend* Bonds Breakdown by region Short term Gov. Bonds 12,8% Real Estate 3.5% Liquidity 3.0% Equity 2.3% Italy 89.0% 3Q ,936 mn Credit risk 18.8% Other 8.8% Short term Gov. Bonds 7.0% Real Estate 2.6% Equity 2,8% Long term Gov. Bonds 59.6% Liquidity 2.8% Greece 0.1% Bonds rating Breakdown Ireland 1.3% Spain 0.8% Long term Gov. Bonds 66.0% 3Q ,039 mn Credit risk 18.8% Sustainable yield** : 3,51% (*) Class C assets (excluding subsidiaries), without FATA. IAS Financials. **Sustainable yield: weighted average of the historical value of the sustainable yields of the positions. Bonds: actual coupon + pro rata trading spread ; Equity: expected dividend yield BBB 87.9% AAA 0.4% <BBB e NR 6.7% AA 0.2% A 4.8% 21

22 Performance and minimum guaranteed TECHNICAL RESERVE BREAKDOWN FOR MINIMUM GUARANTEED (SEGREGATED FUNDS) YIELD VS MINIMUM GUARANTEED 3Q % 2.0% 3.7% 11,167 5% % 3.7% 5.0% 9, % 90.3% 3.8% 8,838 4% 3.94% 4.03% 4.12% 3.98% 3.73% 3.68% 6.5% % 4.0% 8,757 3% % 4.2% 15,3% 9.6% 85.0% 5.4% 7, % 77.2% 8.5% 5, % 8,619 2% 1% 1.93% 1.90% 1.89% 1.93% 1.97% 2.01% <= 2.5% 2.5% < 4% >= 4% Group Average yield (segregated funds) Average guaranteed rate (liabilities) 22

23 Available for Sale reserve evolution as at 30 Sep 2014 AVAILABLE FOR SALE RESERVE STOCK NET OF SHADOW E TAX Bonds Obbligazioni Funds Fondi Equity Azioni FY2011 FY2012 FY2013 1H2014 3Q2014 mln 23

24 APPENDIX 24

25 Glossary Ratio Formula Claims Ratio Net claims costs / Net premiums (retained business) Expense Ratio (Non-Life) Operating expenses / Net premiums (retained business) Combined Ratio (1-(Technical result / Net premiums )) (retained business) APE 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

27 Results at September 30 th 2014 Cattolica Assicurazioni Group Verona, November 13 th