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19/02/2019

Intesa Sanpaolo Vita Results and Capital Requirements as at 31 December 2018

 

  • Assets Under Management at € 148,803.2 million (€ 151,343.5 million as at December 2017 -1.7%)

  • Financial liabilities (Unit Linked) at € 67,990.2 million (€ 68,398.4 million at December 2017 -0.6%)

  • Insurance provisions at € 80,813.0 million (€ 82,945.1 million as at December 2017 -2.6%)1

  • Life Gross written premiums at € 19,276.3 million (€ 22,528.0 million euro at December 2017 -14.4%)

  • Life claims paid at € 14,896.9 million (€ 16,394.2 million at December 2017 -9.1%)

  • Life Net written premiums at € 4,379.4 million (€ 6,133.7 million at December 2017 -28.6%)

  • Investments at € 152,501.8 million (€ 156,124.0 million at December 2017 -2.3%)

  • Shareholders’ equity at € 5,336.1 million (€ 5,541.3 million at December 2017 -3.7%)

  • Net income at € 672.0 million (€ 639.3 million at December 2017 +5.1%)

  • Solvency capital requirement at 215%

 

Milan, 5 February 2019 – The Board of Directors of Intesa Sanpaolo Vita, under the chairmanship of Luigi Maranzana and under the management of the Chief Executive Officer Nicola Maria Fioravanti, also responsible for the Insurance Division of Intesa Sanpaolo, has approved the results as at 31 December 2018. These refer to the Intesa Sanpaolo Vita Insurance Group with reference only to companies subject to a controlling interest (excluding therefore Fideuram Vita) and, for the Unitary Division2, to the Intesa Sanpaolo Vita Insurance Group including Fideuram Vita which, at the entity level3, is consistent with the Insurance Division of the Parent Company Intesa Sanpaolo.

“The Insurance Division closed 2018 with a solid commercial performance and a growing income, thanks to the contribution of over 800 people who work in it and to the distribution networks and despite the instability of the financial markets that characterised most of the year.

Net income amounted to 672 million, up by more than 5%, and the Solvency Ratio stood at 215%.

The Insurance Group maintained leadership positions in the national life and pension market and contributed 11% to the Intesa Sanpaolo Group's gross operating income - said Nicola Maria Fioravanti, Head of the Insurance Division of the Intesa Sanpaolo Group.

The strategy to strengthen the Group's offer in Wealth Management & Protection, facilitated by the joint work of the Division and the Networks, allowed us to achieve significant growth in non-motor non-life business in the first year of the 2018-2021 Business Plan. In fact, premiums for Home and Health products almost doubled and their incidence among Group customers increased to 7.7% at the end of 2018 from 5.4% in 2017 and 3.8% in 2016. The Insurance Group is expected to rank among the top ten operators in the national protection business, where it confirmed its leadership in Bancassurance.”

Assets under management decreased by 1.7% from € 151,343.5 million as at December 2017 to € 148,803.2 million as at December 2018 (Intesa Sanpaolo Vita insurance group referring only to companies subject to a controlling interest decreasing by 0.9% from € 119,895.8 million as at December 2017 to € 118,848.0 million as at December 2018).

In particular:

  • -0.6% in financial liabilities related to unit linked products, decreasing from € 68,398.4 million as at December 2017 to € 67,990.2 million as at December 2018. Financial liabilities, predominantly represented by Unit Linked products, increased, which compared to total assets under management, increased from 45.2% at the end of 2017 to 45.7% at December 2018 (Intesa Sanpaolo Vita insurance Group referring only to companies subject to a controlling interest increased by 3.3%, from € 43,442.9 million as at December 2017 to € 44,885.2 million as at December 2018, with an increase in the incidence of financial liabilities compared to total assets under management from 36.2% at the end of 2017 to 37.8% as at December 2018);

  • -2.6% in insurance provisions decreasing from € 82,945.1 million at December 2017 to € 80,813.0 million at December 2018 (in the Intesa Sanpaolo Vita Insurance Group referring only to companies subject to a controlling interest, the decrease was 3.3% from € 76,452.9 million at the end of 2017 to € 73,962.8 million at December 2018).

Net consolidated income went from € 639.3 million as at December 2017 to € 672.0 million as at December 2018, highlighting an increase of 5.1% (Intesa Sanpaolo Vita insurance group referring only to companies subject to a controlling interest: from € 587.1 million as at December 2017 to € 620.4 million as at December 2018, up by 5.7%).

As regards the commercial performance, new life premiums decreased by 14.5% from € 22,268.6 million as at December 2017 to € 19,031.9 million as at December 2018 (Intesa Sanpaolo Vita insurance group referring only to companies subject to a controlling interest decreasing by 11.9% from € 17,562.8 million as at December 2017 to € 15,478.9 million as at December 2018).

Gross life written premiums also decreased by 14.4% from € 22,528.0 million as at December 2017 to € 19,276.3 million as at December 2018 (Intesa Sanpaolo Vita insurance group referring only to companies subject to a controlling interest decreasing by 11.8% from € 17,739.4 million as at December 2017 to € 15,649.8 million as at December 2018).

This performance was due to:

  • contraction in collection of Unit Linked products4 offered, also in the hybrid multi-segment configuration: as at December 2018 these products recorded gross collections totaling € 11,425.5 million, down by 28.6% (Intesa Sanpaolo Vita insurance group referring only to companies subject to a controlling interest: € 8,726.5 million as at December 2018, down 26.1%);

  • an extension of the offer of traditional products which led to an increase in collection of 21.4%, equal to € 1,243.4 million, increasing from € 5,804.2 million as at December 2017 to € 7,047.6 million as at December 2018 (Intesa Sanpaolo Vita insurance group referring only to companies subject to a controlling interest increasing by 17.7% from €5,329.8 million as at December 2017 to € 6,270.7 million as at December 2018).

  • a 10.1% increase in pension business collection from € 729.2 million as at December 2017 to  € 803.1 million as at December 2018 (Intesa Sanpaolo Vita insurance group referring only to companies subject to a controlling interest increasing by 10.0% from € 593.3 million as at December 2017 to € 652.6 million as at December 2018).

Net life premiums decreased by 28.6% from € 6,133.7 million as at 31 December 2017 to € 4,379.4 million as at December 2018 (Intesa Sanpaolo Vita insurance group referring only to companies subject to a controlling interest decreasing by 15.5% from € 4,443.0 million as at December 2017 to € 3,754.2 million as at December 2018).

P&C business premiums amounted to 507.1 million, up 17.5% compared to the previous year. There was significant growth in non-motor products on which the 2018-2021 business plan is focussed. In particular, Home and Health products grew by 96%.

Shareholders’ equity stood at € 5,336.1 million, a decrease of € 205.2 million (-3.7%) compared to the end of the 2017 financial year, which had a shareholders’ equity of € 5,541.3 million (Intesa Sanpaolo Vita Insurance Group referring only to the companies subject to a controlling interest € 4,586.9 million as at December 2018, a decrease of € 231.3 million, -4.8% compared to € 4,818.2 million at the end of 2017).

The quarterly regulatory Solvency Ratio as at 31 December 2018 of the Intesa Sanpaolo Vita insurance group, including Fideuram Vita, was equal to 215% (excluding Fideuram Vita equal to 211%).

The total amount of subordinated debt amounted to € 1,535.5 million compared to € 2,071.8 million at the end of 2017 (Intesa Sanpaolo Vita Insurance Group referring only to companies subject to a controlling interest € 1,390.4 million at December 2018 compared to € 1,926.6 million at the end of 2017). On 18 September 2018, the Company repaid a subordinated security for a total amount of 500,000,000 euros classified as TIER II for Solvency II capital requirements proposes. 

 

 

For information:
Intesa Sanpaolo Group
Wealth Management Media Department
stampa@intesasanpaolo.com
+39 02 87963119

1  Technical reserves include deferred liabilities to policyholders (shadow reserve ) amounting to € 2,029.5 million as at 31 December 2018 compared to € 4,777.8 million at the end of 2017, of which 2,024 million relating to the AFS reserve. Regarding the Intesa Sanpaolo Vita insurance group referring only to companies subject to a controlling interest (excluding, therefore, Fideuram Vita), the extent of shadow reserve as at 31 December 2018 was € 1,888.8 million compared to € 4,433.2 million at the end of 2017.

2  The insurance Parent Company Intesa Sanpaolo Vita, pursuant to Article 96 of Legislative Decree 209/2005 "Private Insurance Code", is required to prepare the consolidated/aggregate financial statements, also including the subsidiary Fideuram Vita in the scope of consolidation.

3  The companies included in the Intesa Sanpaolo Insurance Division are: Intesa Sanpaolo Vita, Intesa Sanpaolo Life, Intesa Sanpaolo Assicura and Fideuram Vita.

4  The hybrid multi-segment products only include collection referring to the Unit Linked component.