Life and health insurance
On May 12, Allianz (AZSEY) announced that the gross premiums written in Life and Health insurance increased by 9.7% when compared with the first quarter of the previous year, reaching 18.82 billion euros. Foreign currency exchange supported growth, as well as strong demand for unit-linked products in Italy, Asia-Pacific, and Turkey. Allianz registered record growth of 56% in total premiums written for clients in Italy, which reached 1.34 billion euros.
Highest growth in profits
The division’s operating profit increased by 25% to 1.1 billion euros. This increase comes mainly from investment gains realized as a result of strong market appreciation. Yet because of a low yield environment, its new business lost value as well as profits when compared with the first quarter of the previous year. The margins for the new business fell by 1% to 1.5%, and its value declined to 269 million euros.
The growth was achieved with innovative offerings based on changing investor preference for insurance products. These investments brought in 200 million euros out of the additional 224 million euros in first-quarter profits.
Here’s a look at the total assets reported by its peers in the insurance and asset management business:
- Metlife (MET) – 754 billion euros
- Prudential Financial (PRU) – 684 billion euros
- Manulife Financial (MFC) – 446 billion euros
- ING Groep (ING) – 927 billion euros
Together, these companies form 2.12% of the Financial Select Sector SPDR Fund (XLF).