Premiums collection

 

Earned premiums
 
Gross amount Reinsurers' share Net amount  
(€ million) 31.12.2011 31.12.2010 31.12.2011 31.12.2010 31.12.2011 31.12.2010
Non-life earned premiums 22.676,9 22244,6 -2.014,4 -1.970,7 20.662,5 20.274,0
Premiums written 22.969,6 22278,2 -2.032,4 -1.959,7 20.937,2 20.318,5
Change in the provision for unearned premiums -292,7 -33,5 18,0 -11,0 -274,7 -44,5
Gross written premiums
(€ million) 31.12.2011 31.12.2010 Fourth quarter
2011
Fourth quarter
2010
Non-life gross written premiums 22,765.4 22,089.7 5,823.4 5,532.5
Italy 7,501.0 7,440.1 2,526.1 2,470.8
France 4,056.5 3,891.5 875.2 814.4
Germany 3,062.4 2,997.5 562.9 529.7
Central and Eastern Europe 2,260.9 2,245.7 532.9 534.0
Rest of Europe 4,329.5 4,203.2 905.0 873.4
of which Spain 1,373.8 1,371.7 323.0 313.6
of which Austria 1,343.5 1,349.9 274.3 268.8
of which Switzerland 657.9 579.9 51.1 53.5
Rest of World 1,555.1 1,311.7 421.3 310.2

Gross written premiums in Italy went from € 7,440.1 million at 31 December 2010 to € 7,501.0 million. The increase (up 0.8%) was attributable to the ongoing growth of the Motor line (up 3.4%), which continued to benefit from the growth of the average premium thanks to the portfolio restructuring policies recently adopted — which aim at recovering adequate technical profitability levels — partly offset by written premiums of the Non-motor lines (down 1.9%). The latter were affected by the decline of the Commercial/Industrial line, which was influenced by the economic situation of the country, and by stricter underwriting policy, as well as the decline in the Accident and Health line, in particular as a result of the planned reduction in written premiums from Health collective policies.

The increase in written premiums observed in the first nine months strengthened also in France, where gross written premiums amounted to € 4,056.5 million (€ 3,891.5 million at 31 December 2010). In fact, thanks to the positive performance of both the Motor line (up 2.2%), as a result of the tariff increases applied over the past few periods, and the Non-motor line (up 4.0%), mainly attributable to the Personal line (up 6.4%) and Commercial/Industrial lines (up 2.7%), total written premiums grew by 4.2%. In detail, within the Personal line, the Assistance line of the Group, which refers to the French territory, showed a recovery compared to the first nine months of the year to € 639.6 million at 31 December 2011 (up 2.0% on equivalent terms).

Also in Germany the 2.2% growth in gross written premiumswhich amounted to € 3,062.4 million 
(€ 2,997.5 million at 31 December 2010), was attributable to both the Motor line (up 1.2%) and all the Non-motor business lines (up 2.7%), especially owing to the development of the Personal line. More specifically, the Motor line, which in 2010 had suffered from severe tariff competition, confirmed the growth rates observed in the first nine months of the year, thanks to the rise in the average premium, both for the new business and the existing portfolio, as well as the expansion of the portfolio.

In a reversal of the trend in the first nine months of the year, gross written premiums inCentral and Eastern Europe increased by 1.3% on equivalent terms to € 2,260.9 million (€ 2,245.7 million at 31 December 2010). In detail, the Non-motor lines performed well (up 12.0% on equivalent terms) thanks to the positive trend of all business lines and in particular the Accident and Health lines in Russia, the Commercial/Industrial line in Poland, Russia, and Hungary and the Personal line primarily in Romania. This increase was only partly offset by the decline of the Motor line (down 9.6% on equivalent terms), characterized by strong competition due to low loss ratio of that business line in the Czech Republic, Romania and Hungary, whereas the trend was positive in Poland.

Gross written premiums in the Rest of Europe showed an overall growth (up 1.6% on equivalent terms).

In detail, though slowing compared to the first nine months of the year, gross written premiums in Switzerland increased (up 1.2% on equivalent terms) to € 657.9 million (€ 579.9 million at 31 December 2010). This increase was attributable both to the Motor line (up 1.9% on equivalent terms) and the Non-motor line (up 0.7% on equivalent terms) driven by the Personal lines. The Accident and Health lines, albeit recovering from the decline recorded in the first half of the year, decreased slightly (down 0.8% on equivalent terms) reflecting the non renewal of some collective contracts that did not meet the Group profitability requirements.

Gross written premiums in Austria remained substantially unchanged, amounting to € 1,343.5 million (€ 1,349.9 million at 31 December 2010). The Motor line showed a slight decrease (down 0.3% on equivalent terms) reflecting the performance of the Motor general liability line mainly due to the cancellation of some contracts related to corporate customers. This decrease was substantially offset by the growth in Non-motor lines (up 1.2% on equivalent terms). The latter were driven by the development of the Personal line, whose premiums reflect the tariff increases applied, which offset the decline in the Commercial/Industrial lines due to the implementation of a strict underwriting policy.

Thanks to the recovery shown in the last quarter of the year, gross written premiums in Spain remained stable at € 1,373.8 million (€ 1,371.7 million at 31 December 2010). The premiums of the Motor and Non-motor lines remained thus largely stable, reflecting the positive performance of the Personal line (up 7.7%) and Accident and Health line, which offset the downtrend of the Commercial/Industrial line (down 7.5%), which continued to be affected by the country's difficult economic situation, particularly in the transport and construction sectors.

Positive were also the contribution to the total written premiums of the Rest of World, particularly driven by the performance in Latin America (up 31.1% on equivalent terms). The latter benefited from the development in the Motor line (up 22.0% on equivalent terms) reported in Mexico and mostly in Argentina, which is still influenced by the combined effect of tariff increases and inflationary adjustments, and from the uptrend of the Non-motor line (up 54.9% on equivalent terms) driven by the Commercial/Industrial lines in Mexico and Argentina and the good performance of the Health line in Mexico.

Finally, written premiums also increased in the Middle East (up 3.1% on equivalent terms), thanks to the performance of both the Motor line (up 2.8% on equivalent terms) and Non-Motor line (up 3.3% on equivalent terms) driven by the Personal lines.

Gross direct premiums by Line of Business – non-life segment
 
 
Motor Non motor
(€ million) 31.12.2011 

Personal Commercial/Industrial Accident/Health(*) Total
Italy  
3,264.21 860.64 1,917.22 1,313.44 7,355.50
Germany  
1,112.54 1,439.06 756.65 476.84 3,785.09
Germany  
1,092.91 1,211.14 282.25 472.19 3,058.50
Central and Eastern Europe  
1,010.55 347.76 552.97 309.14 2,220.42
Rest of Europe  
1,553.74 992.77 976.76 650.25 4,173.52
of which Spain  
367.84 387.16 412.58 170.83 1,338.41
of which Austria  
526.27 310.87 344.57 143.65 1,325.36
of which Switzerland  
315.61 186.66 3.24 150.30 655.81
Rest of World  
871.72 56.14 456.89 114.49 1,499.24
Total  
8,905.67 4,907.51 4,942.74 3,336.35 22,092.28

 

(*) Life segment includes health insurance with life features

 

  MotorNon motor 
(€ million) 31.12.2010
Personal Commercial/Industrial  Accident/Health Total
Italiy   3,155.78 833.95 1,965.79 1,372.43 7,327.95
Germany   1,088.51 1,352.53 736.56 480.96 3,658.56
France   1,079.93 1,177.04 278.12 458.53 2,993.63
Central and Eastern Europe   1,128.11 326.29 505.78 251.89 2,212.07
Rest of Europe   1,486.95 903.66 1,054.53 613.19 4,058.34
of which Spain  369.12 359.33 446.05 166.65 1,341.15
of which Austria  527.86 273.85 375.73 145.04 1,322.49
of which Switzerland   276.50 163.57 2.88 135.15 578.10
Rest of World   780.97 49.99 363.17 72.14 1,266.27
Total   8,720.25 4,643.47 4,903.96 3,249.13 21,516.82