• Introduction
• Progress in 2007
• In practice
• Key priorities for 2008

In practice

Keeping financial crime in check

In order to combat financial crime, including fraud and money laundering, as well as the financing of terrorism, Aviva France has launched a document detailing best practice controls in these areas. The document will be made available to all Aviva France employees, as well as being posted on external websites.

Hibernian has provided computer-based training on anti-money laundering and data protection for all relevant business areas and tied agents. We have also appointed fraud champions in our life and pensions business.

Training is at the heart of this year’s fraud prevention initiatives for AvivaSA Turkey. The induction training for new employees has been revised to include a section on anti-money laundering and fraud.

All business units within Aviva Spain were audited by Deloitte on their controls to prevent money laundering. The results were positive across the board. A tool to automatically detect money laundering operations has been implemented in Spanish subsidiary, Caja España Vida.

Delta Lloyd Group launched a centralised approach to fight fraud and criminality in 2007. The approach incorporates:

• combining expertise
• sharing knowledge
• group-wide implementation of best practices
• central policymaking
• research after internal and external fraud
• pre-employment screening.

This led to an improved awareness of fraud, more efficiency in anti-fraud processes and a substantial increase in the chances of perpetrators getting caught.

Customer surveys

Aviva’s European business units have adopted a survey that measures customer advocacy for Aviva. Results from the survey are benchmarked against our competitors and form an important part of our 2007 key performance indicators for customer service. Also included in this exercise was the introduction in 2007 of local 'touch point' surveys. These are carried out almost immediately after customers have experienced our service, thus providing instant customer feedback.

Renewable energy rewarded by Aviva France

Aviva France’s new home insurance product includes protection for those with renewable energy devices and offers lower premiums to those who act in an environmentally responsible manner. The renewable energy option protects customers against the failing or breakage of renewable energy devices such as photovoltaic panels, as well as covering the EDF Energy workers who may need to work with this equipment.

Customers receive a reduction in premiums if they carry out the following measures which lower risk and help protect the environment:

• moving into a brand new house
• checking the electrics are up to specification
• buying a new boiler
• not using combustible fuels.

Promoting the long-term view at Aviva Lithuania

In December 2007, Aviva Lithuania launched a new investment product, Aviva Funds. This product promotes long-term savings, encouraging Lithuanians to provide for their families’ futures and supporting personal finance planning. Introduction of such a product is very important in a society where long-term saving is a relatively novel concept.

Supporting customers by SMS text

In April 2007, Aviva Romania launched a new SMS text message reminder service. All customers with a cell phone number recorded in their database get a reminder two days prior to their premium payment due date. This is the first of a set of initiatives under Aviva Romania's ‘Conservation Programme’, which aims to improve customer loyalty through clearer communication, alternative payment methods and more flexible policy terms and conditions.

Socially responsible investment at Aviva Italy

In 2006, Aviva Italy introduced its first socially responsible investment fund. In 2007, a new product was introduced with similar features. Named Presente e Futuro, the fund invests in a basket of indexes among which are Wilderhill new energy global index and Standard & Poors global water, supporting enterprises in the renewable energy and water fields respectively.

MF Innovation Award Two companies within the Italian Aviva Group received the MF Innovation Award in 2007. These awards are annually conferred by MF, an Italian financial newspaper commenting on the financial services industry, to acknowledge ‘Best in class’ programmes or innovative products issued by financial/insurance companies.

(i)Aviva Previdenza S.p.A. for the pension fund ‘Linea Investimento Azionaria’
(ii) Aviva S.p.A for the unit linked ‘CU Vita Europe Click

Going the extra mile at Hibernian

One of Hibernian’s key objectives this year was to focus on enhancing customer service. The GEM (Going the Extra Mile) campaign was launched within the Life Operations department (approximately 400 staff). A different theme was promoted each month, focusing on behaviours we want to change in order to enhance the customer experience.

Rewarding low mileage at Aviva Sigorta

In 2007, Aviva Sigorta A.S. (Turkey) developed a new motor insurance product, based on mileage. The first of its kind in the Turkish market, the product gives a premium discount to customers who drive fewer miles than average, thus reducing greenhouse gas emissions.

AvivaSA Turkey

• Our announcement of the newly formed, Aviva SA ,from the merger between AK Emeklilik and Aviva Hayat ve Emeklilik, was supported with a detailed communications programme aimed at customers and the media.
• Customers received information via letter, SMS text messaging and e-mail, detailing confirmation of the merger and assurance that their rights would be retained with all gained advantages. In addition, promotional materials were created including a calender highlighting the history of the merged companies and the new Aviva SA brand.
• Details of the new company were advertised to a range of targeted print, broadcast and online media. The campaign was supported with interviews with the CEO of the company.

Customer satisfaction at Delta Lloyd

Virtually all business units within Delta Lloyd Group carry out an annual customer satisfaction survey.

At ABN AMRO Insurance, customer satisfaction remains constant: personal customers gave Life a score of 7.2 out of 10, while General scored 7.6. The customer satisfaction survey at OHRA produced an unchanged rating of 7.4 in 2007, which is a good overall score in this market. OHRA’s ratings in the general and health sectors were even better at 7.6 and 7.7 respectively.

In Belgium Delta Lloyd Life again participated in the ICMA/Intermediary satisfaction survey that was held among 980 insurance intermediaries in 2007. Relative to its main competitors, Delta Lloyd Life’s performance received lower marks compared to 2006. One priority for Delta Lloyd Life in 2008 is to significantly improve the quality of service and to ensure this is reflected in performance surveys.

Socially relevant products

Delta Lloyd Group is committed to offering solutions in areas where the government has reduced its role as social insurer. To this end, it develops products in the fields of income protection, pensions and health insurance. Delta Lloyd Asset Management uses a black list, compiled with Dutch Sustainable Research, and refrains from investing in companies engaged in the production of, and trade in, controversial weapons. Plans have been set in motion to apply this principle to human rights, labour rights, the environment and anti-corruption.

In order to increase levels of transparency concerning unit-linked insurance, in 2007, Delta Lloyd became the first insurer to give customers, on request, insight into the costs incurred. Delta Lloyd’s unit-linked insurance policies have always complied with the applicable laws and regulations, and most types of insurance include a guaranteed return.

CU Poland

Direct Debit Promotion. CU in Poland promoted direct debits as the preferred way to pay for its products. In addition to the business benefits of improving its payment matching process and accounts, it has positive environmental impacts. It reduces the need for payment calls and consumption of paper was lowered by replacing giros and letters with an electronic payment system.