Press Kit generali.com MAY 2016
Generali Group at a glance 2 One of the leading insurers in the world more than 60 countries in the world 76,000 employees 500 billion Euro of AUM 74 billion Euro in premiums (2015) over 66% from outside Italy Among the 50 smartest companies in the world* * MIT Technology Review ** Fortune Global 500 one of the world s 50 largest companies**
Generali Group at a glance 3 Through Generali Employee Benefits, the Group operates in more than 100 countries Insurance operations of Generali Group Branches: New York, United Kingdom, Hong Kong, Tokyo, Dubai, Panama Other countries in which Europ Assistance operates
The Core Insurance business 4 An extensive line of products in the Life and Property & Casualty segments to meet all the clients needs. LIFE AND P&C In the Life segment, its offer ranges from savings and family protection policies to unit-linked policies and complex plans for multinationals. In the P&C segment, its wellranges from mass-market coverage such as Car, Home, Accident &Health, to sophisticated commercial and industrial risk coverage. The Group is committed to achieving the optimal client segmentation and enhancing product innovation in order to deliver a targeted approach to clients. Generali aims to be best-in-class for client retention and satisfaction. PRODUCT INNOVATION Generali relies on innovation as a key driver for future growth. Innovation allows for more tailored solutions and quicker product development. Through innovation, Generali will achieve product excellence. In the Life segment, every new product is approved ex-ante by the Group s Head Office. Products are assessed periodically to ensure Group s standards are met. In the P&C segment, Generali is committed to enhancing the performance of the P&C offer, by improving the sophistication of its products and services for a better definition of clients profiles, and its claims management services. Generali is a leader in the retail segment and it is increasing the contribution of the Commercial business, in which it serves from small to large companies at international level leveraging the Group s global reach and its strong ties with international brokers.
Distribution 5 The Generali Group operates in the insurance sector with a multichannel distribution strategy through a global proprietary sales network of agents and financial advisors, supported by brokers, bancassurance and direct channels. TRADITIONAL CHANNELS DIRECT CHANNELS BANCASSURANCE Traditional channels account for most of the Group s premium collection. Generali relies on agencies, financial advisiors, brokers and other partners to distribute its products and solutions with a view to providing a convenient and excellent service to clients. Generali adopts optimised sales processes to increase sales effectiveness and profitability. In particular, the Group is streamlining the structure with simplified and modern processes tailored to the clinets needs. Generali is Europe s leader in direct channels (internet and telephone) and intends to further improve its position by launching new initiatives in high-growth markets. Leader in Italy, where it created, through Genertel, the first italian online Life, P&C and Pension insurance portal Leader in Germany, where it has been present since 1982 through COSMOS Direkt Leader in France in the online Life insurance segment First operator in Hungary, where Genertel.hu was launched in 2007 Rapidly growing in Slovakia, where Genertel.sk was launched in 2010, and in Turkey, where the multi-access platform started in 2014 Generali plans to enhance its bancassurance channel by maximising the full potential of the existing partnerships as well as exploring new initiatives. Bancassurance will be key in the Life segment to increase the share of capital-light products and in the P&C segment to boost sales.
Italy In recent years 1994 Genertel roll-out, first online insurance provider in Italy 1998 Banca Generali is founded 2000 Ina Assitalia take-over 2006 Toro take-over 6 2012-13 Announcement of the new plan for growth. Launch of Generali Italia following the incorporation of the Group s main insurance activities and shareholdings in Italy From 10 to 3 brands Starting from the end of 2015, only three Group brands operate in Italy. Generali Life and P&C company with a single distribution network made up of more than 1,500 agencies for the retail and middle market business. Dedicated Commercial business unit. Alleanza Company dedicated to Italian families, with its network of direct producers and a range of Life and P&C products. Genertel Life and P&C company on the alternative channels (phone, web and bancassurance), Italy s market leader in this segment. PLAN FOR GROWTH Generali is investing more than 300 mln in the next years to become profitability and market leader in its core market. The new structure will strengthen the Generali brand and sales networks and simplify its business model. Full consolidation of businesses and brands with similar characteristics: from 10 to 3 brands; from 6 independent distribution networks to one integrated network Full integration of operating models, including centralisation of IT and streamlining of overlapping products and services 25.3 bln premium income in 2015 Leading player in direct channels Market s leading insurer 3,200 agents, more than 14,500 subagents and employed producers, more than 21,000 independent producers and self-employed agency professionals. Networks supported by 1,500 financial advisors
Germany In recent years 1837 Start operating 1998 AMB Group take-over 2009 Establishment of Generali Deutschland to control all the German businesses. Merger between Generali Versicherungen and Volksfürsorge completed 2013 Squeeze-out of the minority shareholdings in Generali Deutschland Holding 7 2015 Launch of a strategic repositioning in the market Main companies Generali Deutschland Ag p Generali Versicherungen p Aachenmunchener x Cosmosdirekt p COMPANY OPERATING IN BOTH LIFE AND NON-LIFE SEGMENTS COMPANY OPERATING MOSTLY IN NON-LIFE SEGMENT COMPANY OPERATING MOSTLY IN LIFE SEGMENT HOLDING x DIRECT CHANNELS ASSISTANCE SERVICES THE STRATEGIC REPOSITIONING ON THE GERMAN MARKET The aim is to better serve customers leveraging on distribution strength; to offer smarter products with a focus on technologies, and to have a streamlined governance achieving higher efficiency. The pillars of our strategy: A simpler and closer-to-business governance Customized offer on three distribution pillars: Generali, Aachen-Münchener and CosmosDirekt. A New normal in Life insurance Smart insurance 17.8 bln premium income in 2015 Leading player in direct channels Second-largest primary insurance group in the market Partnership with the largest financial advisory network in Germany - DVAG - with approximately 37,000 financial advisor 4,300 agents. Network supported by over 15,000 brokers and multiple agents
France In recent years 1832 Start operating 1995 Establishment of Generali France Holding 2003 Continent Holding take-over 8 2006 Merger 20 controlled companies in 2 operating companies: Generali Iard and Generali Vie 11.3 bln premium income in 2015 Among the leading operators in the market Main companies Generali France Generali Vie Generali Iard Europ Assistance p COMPANY OPERATING IN BOTH LIFE AND NON-LIFE SEGMENTS COMPANY OPERATING MOSTLY IN NON-LIFE SEGMENT COMPANY OPERATING MOSTLY IN LIFE SEGMENT HOLDING x DIRECT CHANNELS ASSISTANCE SERVICES Leading player in internet savings Almost 900 agents and 1,700 employed producers, supported by 1,900 financial advisors
Central Eastern Europe In recent years 1832 Start operating 1989 Expansion plan launched in the area 2008 Creation of Generali PPF Holding, JV between Generali and PPF Group 9 2015 Full control of GPH. Company name changed into Generali CEE Holding 3.6 bln premium income in 2015 2,500 salaried sales professionals and 14,600 agents Main companies p Ceska Pojistovna - Czech Rep. p Generali Pojistovna - Czech Rep. p Generali Biztosito - Hungary Generali Towarzystwo - Poland p COMPANY OPERATING IN BOTH LIFE AND NON-LIFE SEGMENTS COMPANY OPERATING MOSTLY IN NON-LIFE SEGMENT COMPANY OPERATING MOSTLY IN LIFE SEGMENT HOLDING x DIRECT CHANNELS ASSISTANCE SERVICES GENERALI LEADER IN CEE The Group is an indisputed leader in CEE in terms of profitability, with a combined ratio among the best in the sector. MARKET RANKING Czech Republic #1 Hungary #2 Serbia #2 Slovakia #3 Poland, Romania, Bulgaria, Croatia, Slovenia, Montenegro Among Top 10 GENERALI IN CEE - 2007 VS 2015 early 2007 end 2015 Premium income 1 bln 3.6 bln Clients 4 mln > 10 mln
EMEA In recent years region 1995 1998 1999 Full take-over of Generali España Holding Estabishment of Generali Versicherung from the merger between Generali Leben and Erste Allgemeine in Austria Establishment of Generali PanEurope 2006 Merger between Generali Schweiz Holding and Albula Verwaltungs und Beteiligungs AG 10 2009 Establishment of Generali España from the merger between Vitalicio and Estrella Main companies Generali España - Spain p Generali Seguros - Spain Generali Holding Vienna - Austria p Generali Versicherung - Austria Generali Schweiz - Switzerland Generali Pan Europe - Ireland 10.9 bln premium income in 2015 Operating since 1832 11,300 agents supported by over 14,800 brokers GENERALI LEADER IN AUSTRIA, SWITZERLAND AND SPAIN The Generali Group is one of the leading insurers in Austria, Spain and Switzerland. In addition to these markets, the EMEA region includes Belgium, Greece, Guernsey, Ireland, Netherlands, Portugal, Tunisia, Turkey and Dubai. p COMPANY OPERATING IN BOTH LIFE AND NON-LIFE SEGMENTS COMPANY OPERATING MOSTLY IN NON-LIFE SEGMENT COMPANY OPERATING MOSTLY IN LIFE SEGMENT HOLDING x DIRECT CHANNELS ASSISTANCE SERVICES
Asia In recent years 2013 Acquisition of full control of Generali Asia, the holding company of the Group s operations in the Philippines, Thailand and Indonesia Americas In recent years 2013 Creation of Americas region in line with the strategy to semplify the Group and its governance 11 Main companies Generali China Life Insurance Pt Asuransi Jiwa Generali Indonesia Future Generali India Future Generali India Life p COMPANY OPERATING IN BOTH LIFE AND NON-LIFE SEGMENTS COMPANY OPERATING MOSTLY IN NON-LIFE SEGMENT COMPANY OPERATING MOSTLY IN LIFE SEGMENT HOLDING x DIRECT CHANNELS ASSISTANCE SERVICES CHINA Generali boasts a strong presence in the most important Asian market and is one of the leading foreign JV players. Present in the Life segment since 2002 and in the P&C segment since 2007, Generali operates in China in partnership with China National Petroleum Corporation (CNPC). Leveraging its multi-channel distribution, it operates in 10 municipalities and provinces with over 4,000 agents and more than 1,900 financial advisors, supported by bancassurance ties. Generali has been selected by the Chinese authorities as a pension plan consultant for former civil service employees. Main companies p Generali Brasil Seguros p La Caja De Ahorro Y Seguro - Argentina The Group is one of the largest foreign insurance operators in Latin America and intends to expand its business further in this attractive market. Generali has developed a vast range of solutions customized for the needs of local clients, leveraging a significant expertise in the region. In Latin America, the Group operates in 6 markets: Brasil, Argentina, Colombia, Guatemala, Ecuador and Panama. With Generali U.S. Branch, the Group is also active in Northern America, providing a wide range of services and insurance products and working closely with the Group s companies and their international clients.
Global business lines 12 With the aim of developing the businesses with global outreach, the Group has developed an insurance offering platform unique to the market. Global Business Lines provide access to integrated insurance and assistance solutions to cover the business risks regarding employees and assets linked to property and people, comprising four units: Generali Global Corporate & Commercial, Generali Employee Benefits, Generali Global Health, and Europ Assistance. GLOBAL CORPORATE & COMMERCIAL GC&C is the new Generali Group unit that develops the P&C business and insurance services for medium and large companies. The unit acts on a global scale and deploys an integrated approach at Group level with a central management team and specialised teams active in individual countries. Through the new unit, Generali aims to become a key world player in this segment. GENERALI EMPLOYEE BENEFITS GEB is the strategic business unit of the Generali Group dealing exclusively with Employee Benefits, offering sophisticated solutions to multinational companies that wish to provide Life, Accident, Disability, Health and Pension cover to their employees. GEB is the global market leader in its business segment with more than 1,500 multinational clients. The GEB network is present in more than 100 countries. GENERALI GLOBAL HEALTH Generali Global Health is a Generali Group business unit that offers health insurance solutions that are valid worldwide, dedicated to international companies, organisations and bodies, and expatriate and travelling employees. With particular focus on multinational clients Generali Global Health offers: modular and flexible health products, insurance management with the broadest geographic coverage, a widespread network of hospitals and outpatient care in the major world markets, and personalised and multilingual client service. EUROP ASSISTANCE Europ Assistance offers Care services with a focus on innovation. Europ Assistance serves more than 300 million people around the world through 8,000 staff and 44 companies and branches in 33 countries. It is the leading global brand for care services.
Key figures /1 13 GROUP S KEY FIGURES ( MLN) 2014 2015 GROSS WRITTEN PREMIUMS 70,430 74,165 OPERATING RESULT 4,508 4,785 NET RESULT OF THE PERIOD 1,670 2,030 SHAREHOLDERS EQUITY AT BOOK VALUE 23,204 23,565 2015 GROSS WRITTEN PREMIUMS: 74 BLN PREMIUM INCOME EVOLUTION BY GEOGRAPHIC REGION Asia 3% Americas 2% Italy 39% Italy 35% Emea 15% Central Eastern Europe 5% Italy 35% By area 2003 2015 International operations 1% Germany 24% France 15% Rest of the world 61% Rest of the world 65%
Key figures /2 14 GENERALI RATINGS ASSIGNED BY THE PRIMARY AGENCIES AM BEST Rating financial strength Outlook MOODY S Rating financial strength Outlook FITCH A STABLE BAA1 STABLE Rating financial strength A- Outlook STABLE SHARE INFORMATION Subscribed and paid-in share capital 1,559,883,538.00 Number of shares in issue 1,559,883,538 Nominal value per share 1 2015 dividend 0.72 per share Other institutional and retail investors 80.50% Mediobanca Group 13.21% Delfin S.a.r.l. (Leonardo del Vecchio Group) 3.16% Caltagirone Group 3.13% Shareholder structure
Corporate social responsibility 15 As one of the leanding international insurance and financial groups, Generali is at the centre of interests and expectations of a multitude of stakeholders: shareholders and investors, customers, workforce, sales force, contractual partners, organizations, institutions and local communities. GENERALI IS INCLUDED IN THE FOLLOWING ETHICAL INDEXES: NYSE Euronext Vigeo World 120 ECPI Ethical Global & Euro Equity FTSE 4Good FTSE ECPI Italia SRI MSCI Global Sustainability Indexes MSCI Global SRI Indexes STOXX Global ESG Leaders STOXX Europe Sustainability ESI Excellence Global Ethibel EXCELLENCE Register CDP Global 500 CPLI ESG rating Prime C+ (Oekom Research) 2009 Introduction of a Group Environmental Management System that meets ISO 14001 standards 2010 Adoption of the Group Ethical Guidelines for Investments 2011 Issue of the Group Ethical Code for suppliers 2012 Adoption of the new Group Code of Conduct 2013 Approval of the Group Charter of Sustainability Commitments by the Board of Directors In 2013, the Group allocated 38 million to the community. 38% donations 14.7 mln Resources allocated to the community 62% commercial initiatives 22.8 mln
Generali, the new strategy to become the retail insurance leader in Europe 16 The Generali Group aims to be recognized as a leader in retail insurance in Europe, consistent with its history, business approach and expertise. Retail leader in Europe A distinctive brand Stronger relationship with distributors and customers Fast, lean, agile Rationalization of cost base to invest in business transformation Focus on cash generation Simple & Smart Improving client satisfaction Maximizing efficiency Leveraging on technology and partnership Further develop telematics solutions New partnership to complement current capabilities (e.g. My Drive) KEY FINANCIAL TARGETS FOR 2018 Net Free Cash Flow* Dividends* Cumulative gross expenses reduction 2017-2018 > 7 bln > 5 bln 0,5 bln ( 1,5 bln since 2012) Total investments* 1,25 bln * Cumulative total 2015-2018
Group management committee 17 The Group Management Committee is the international committee in charge of defining the Group s strategic priorities. The Committee aims to improve alignment between the Group s business units and ensure that decision making is more effective and cohesive. A. Minali GENERAL MANAGER AND GROUP CHIEF FINANCIAL OFFICER S. Panizza GROUP CHIEF RISK OFFICER N. Srinivasan GROUP CHIEF INVESTMENT OFFICER P. Donnet MANAGING DIRECTOR AND GROUP CEO COUNTRY MANAGER ITALY C. Schildknecht GROUP CHIEF OPERATING OFFICER P. Vagnone GROUP HEAD OF GLOBAL BUSINESS LINES L. Cirinà CEE REGIONAL OFFICER V. Trevisani GROUP CHIEF INSURANCE OFFICER G. Liverani COUNTRY MANAGER GERMANY E. Lombard COUNTRY MANAGER FRANCE
Corporate governance 18 BOARD OF AUDITORS Carolyn Dittmeier CHAIR Lorenzo Pozza PERMANENT AUDITOR Antonia Di Bella PERMANENT AUDITOR Francesco Di Carlo SUBSTITUTE Silvia Olivotto SUBSTITUTE R.C.C. RISK & CONTROL COMMITTEE R.P.T.C. RELATED PARTY TRANSACTIONS COMMITTEE A.R.C. APPOINTMENTS & REMUNERATION COMMITTEE C.S.C. CORPORATE GOVERNANCE, SOCIAL & ENVIRONMENTAL SUSTAINABILITY COMMITTEE I.C. INVESTMENTS COMMITTEE BOARD MEMBERS Gabriele Galateri di Genola CHAIR Francesco Gaetano Caltagirone VICE-CHAIR ** Clemente Rebecchini VICE-CHAIR Philippe Donnet MANAGING DIRECTOR AND GROUP CEO Romolo Bardin BOARD MEMBER Ornella Barra BOARD MEMBER Paolo Di Benedetto BOARD MEMBER Alberta Figari BOARD MEMBER Diva Moriani BOARD MEMBER Lorenzo Pellicioli BOARD MEMBER R.C.C. R.P.T.C. A.R.C. C.S.C. I.C. INDIPENDENT* Roberto Perotti BOARD MEMBER Sabrina Pucci BOARD MEMBER ** Paola Sapienza BOARD MEMBER * Independence criteria as per article 3.C.1 of the Issuers Self-Regulatory Code ** Members of the A.R.C. on the occasion of the meetings devoted to the appointments