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Structure and performance
Aviva is the world’s fifth-largest insurance group and the largest insurance services provider in the UK. We are one of the leading providers of life and pension products in Europe and are actively growing our long-term savings businesses in Asian markets, Australia and the USA. Our main activities are long-term savings, fund management and general insurance*.
We have annual premium income and investment sales** of £41.5 billion† and £377 billion of assets under management. We have 59,000 employees serving more than 40 million customers.
Strengths and highlights
We have maintained a balanced portfolio of businesses that benefit from diversification of distribution, products and geography
We have achieved continued growth in sales, with long-term savings sales up by
25%≈ to £19.3 billion
We have produced strong initial sales from Aviva in the United States, underlining the benefit of our increased presence in the world’s largest savings market
We have added significantly to our future distribution, agreeing deals in the UK, Italy, Spain, Turkey, Malaysia, Taiwan and Sri Lanka that will provide access to over 30 million potential new customers
We announced an innovative agreement in the UK to outsource the administration of almost three million existing life policies to Swiss Re, improving customer service and reducing costs
We remain on track to deliver £250 million of annualised cost savings by the end of 2007 across our UK business at a one-off cost of £250 million and these savings have already contributed around £80 million to our operating profit
Key financial information for the six months to 30 June 2007:
IFRS profit before tax attributable to shareholders’ profits
EEV operating profit‡
Return on equity shareholders’ funds≠
Worldwide sales#
Interim dividend per ordinary share
Equity shareholders’ funds~
UK – Total sales
 (2006: £10,031m) |
|
|---|---|
| PVNBP** | £5,820m |
| Investment sales | £1,595m |
| Net written premiums | £2,950m |
| £10,365m |
Main operations
Read more about our performance and future direction
- *
- Typically includes motor, household, creditor, health, commercial motor, commercial property and commercial liability insurance.
- **
- Present value of new business premium (PVNBP) is equal to total single premium sales in the year plus the discounted value of annual premiums expected to be received over the term of new contracts, and is expressed at the point of sale.
- †
- For the year ended 31 December 2006.
- ≈
- All growth rates in this Interim Report are calculated on a constant currency basis.
- ‡
- From continuing operations, including long-term savings result on a European Embedded Value (EEV) basis before adjusting items.
- ≠
- Return based on opening equity shareholders’ funds on an EEV basis.
- #
- From continuing operations, including share of associates’ premiums. Calculated as the sum of present value of new business premiums (PVNBP), investment sales and general insurance and health net written premium
- ~
- On an EEV basis.