The FINANCIAL — Allianz in Asia-Pacific delivered solid full-year results for 2013. Total revenues were reported at 7.2 billion euros compared to 7.4 billion euros in the previous year, according to Allianz, an international financial services provider.
Overall results were respectable in Property and Casualty as well as in Life and Health business with double digit growth in many markets. Results were adversely impacted by the euro appreciation against Asian currencies. Operating profit amounted to 367 million euros for 2013.
“With our entities in Asia-Pacific we have delivered sound results for 2013 and we saw overall healthy growth in our Property and Casualty and Life and Health entities. We are satisfied with the results as our underlying fundamentals are robust,” Manuel Bauer, Member of the Board of Management of Allianz SE, responsible for Insurance Growth Markets said.
Gross premiums written in the Property and Casualty insurance in Asia-Pacific amounted to 1,326 million euros in 2013 compared to 1,287 million euros in 2012, which represents an increase of 3 percent. Excluding foreign currency effects growth was 12 percent. Operating profit rose to 158 million euros. The good performance in the Property and Casualty business was driven across the entire region and by all markets in Asia-Pacific, according to Allianz.
Allianz in Malaysia maintained its leading position in the market for traditional Property and Casualty business. The company generated a total of 474 million euros in premiums, an increase of more than 12 percent, compared to the prior-year period. Operating profit climbed to 64 million euros which is a rise of 14 percent compared to the previous year. The insurance company is highly recognized for its contribution to road safety.
India remains the largest Property and Casualty market for Allianz in Asia. In 2013, the company was recognized and honored once again with awards for innovative claims handling. Operating profit in India rose to 87 million euros, mostly due to improved underwriting results, according to Allianz.
Total statutory premiums in the Life and Health business in Asia-Pacific for 2013 amounted to 5,913 million euros compared to 6,139 million euros in 2012 with Taiwan as the largest contributor. Compared to the results in 2012 this corresponds to a moderate decline of 3.7 percent which is predominately driven by foreign currency effects. Overall operating profit came in at 210 million euros. The results of the Allianz Life and Health entities in the Asia-Pacific region were mixed. Southeast Asian markets continued to be the profitable growth engine with healthy results. Operating profit in the Northeast Asian entities were steady with the exception of South Korea which has been impacted by one-off effects due to major restructuring efforts as well as reserve strengthening to drive the company back to profitability.
Allianz in Thailand was very successful: Statutory premiums achieved 609 million euros, an increase of 8 percent compared to the year before and operating profit showed a gain of 26.5 percent amounting to 78 million euros. A recent survey of the insurance landscape in Thailand ranked the company number one in customer satisfaction.
Malaysia showed a strong performance, with a significant increase in statutory premiums which climbed to 381 million euros by 15 percent from 330 million euros in 2012. The company expanded and diversified its distribution capabilities in 2013: It was able to implement the new bancassurance partnership with HSBC and at the same time, the agency channel has increased to 7,500 agents across the country. Allianz in Malaysia continues to outgrow the market and the brand is strong and well respected in the country, according to Allianz.
In China Allianz continued to invest in its strong cooperation with China Pacific Insurance Group (CPIC). The company provided unique product solutions through its global lines, while improving the operating performance in the Life and Health as well as the Property and Casualty business in the country.
2013 was a year with many positive developments for Allianz in Asia-Pacific. Allianz SE Singapore branch affirmed its presence in Asia with the move of eleven entities in one building in Singapore at Asia Square, underlining the role of the city state as the regional hub in Asia. Numerous innovative products have been launched in the region recently, predominantly in the savings and protection area to lay the ground for future growth and also in the Property and Casualty area to further expand into the retail business, according to Allianz.
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