Ron van Oijen, Chairman of VIVAT’s Executive Board: “Last year’s efforts to transform the business have proven to be successful in the first half year of 2017. Our operating costs are reduced by 20% and the combined ratio of our P&C business improved to below 100%. This resulted in a net underlying result of EUR 73 million, a considerable increase compared to the first half year of 2016. Also our aim to create a leading, customer-focused and innovation-driven insurance company is progressing well. The Net Promotor Scores of our main brands have improved further and intermediaries consistently rank us high in surveys. In order to bring VIVAT in the top 5 of innovative insurers by year-end, innovation days for our employees and intermediaries were organised to accelerate innovation. We are proud that our consistent efforts to be a responsible investor were rewarded for the 5th consecutive time.
In May 2017 VIVAT successfully accessed the capital markets via the issuance of EUR 650 million senior notes. This was the first time the holding company accessed the capital markets. Of these proceeds EUR 250 million were provided to SRLEV in June, VIVAT’s main life subsidiary, as a restricted Tier 1 loan. This strengthened SRLEV’s capital position and will support future growth. The Solvency II ratio of SRLEV increased therefore to 162% whilst the Solvency II ratio of VIVAT remained with 171% at a robust level. This underpins VIVAT’s independent status and focus on growth.
Our ambition to grow the business in 2017 was supported by a buy-out of a pension fund of around EUR 375 million single premium which increased gross written premiums to EUR 1.7 billion. Gross written premiums within P&C remained stable whilst a lot of effort was put in optimising the customer portfolio and customer based pricing to improve its performance.
VIVAT will continue to focus on our customers, innovation and further improvement of its business performance. Contacts with our intermediaries are reinforced. Focusing on innovation, VIVAT will continue to cooperate with start-ups and accelerators in search for new business opportunities. Next to that we invest in data science by cooperating with universities starting up data programs for our employees. Further efforts will be made in optimising our investment portfolio and in finalising the rationalisation of our IT landscape which will help VIVAT with the integration of potential interesting acquisitions.
The first half year of 2017 shows that VIVAT is delivering on its strategy, helped by the efforts of our employees who are committed to the renewed organisation and we are confident that we will continue to do so in the remainder of 2017 and onwards.”
For the full press release please download the pdf below.
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