Significant increase in premiums written in the first half of 2009, noticeably above market level – 56% growth in long-term care and occupational disability business.
In the first half of 2009, the Wiesbaden-based financial services provider Delta Lloyd Deutschland AG was able to increase premiums written compared to the previous year and above the market level, building on its market position in central product sectors, particularly the occupational disability sector.
Overall new business in the first six months of the year has increased from €49.5 million last year to €139.5 million in the most important area of activity, the financial security sector. Premiums written increased by 43% to €277.6 million (first half 2008: €194.5 million), whereas the market as a whole showed growth of just 7%. Especially welcome was the increase in one-off contributions, from €40.4 million last year to €130.3 million. Regular new contributions remained stable at €9 million, while the industry overall recorded a 28% fall. The share of these not honoured has, at 3.4%, also seen a further decrease to a low level (first half 2008: 4.5%). This demonstrates a continuing high standard of new business. Assets under management fell compared to the previous year, to €5.6 billion (first half 2008: €5.9 billion), but remained at the same level as at year-end 2008.
Market share increased in the occupational disability sector
Market shares were gained in the financial security sector, above all in long-term care and occupational disability. Delta Lloyd has long been established as an expert in this area, and has set the standard with innovations such as tele-underwriting, and with tele-claiming which was introduced at the start of the year.
Accordingly, regular new contributions in this sector increased by 56% in comparison to the previous year, whereas the market grew by only 12%. Delta Lloyd’s market share therefore increased to 1.6%, in comparison to its 1.1% share at the end of 2008.
The financial crisis has caused customers and brokers to be more cautious and this was also evident for unit-linked products at Delta Lloyd. However, the decrease in premium income was less than in the industry as a whole, so the company’s market share has remained stable.
The payment protection insurance sector, in which Delta Lloyd is traditionally one of the leading providers, showed very positive development. Premiums in this area increased by 28% compared to the previous year.
On the right track
“The positive progress of our premium income in the first half of 2009 shows once more that our product strategy and the measures we have introduced are effective and that we are on the right path”, explains Christof W Göldi, chairman of the board of Delta Lloyd Deutschland AG. “The restructuring announced in May is also going to plan, and our cost-saving programme is beginning to show results.”
Strong financial footing
The financial footing of Delta Lloyd in Germany is still very strong. The solvency margin stood at 179% at 30 June 2009, well above the statutory level of 100%, offering Delta Lloyd customers a high level of security for their investments.
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For further information:
Martina Fassbender
Telephone: 0611 773 25 71
E-mail: martina.fassbender@deltalloyd.de
Notes to editors:
About Delta Lloyd
Delta Lloyd Germany is a 100% subsidiary of the Delta Lloyd Group, Amsterdam, and therefore part of the British Aviva Group. The company offers a wide range of financial, investment and provident products and also provides expert advice on all financial matters. Along with the Delta Lloyd Lebensversicherung and Hamburger Lebensversicherung life insurance companies, the Delta Lloyd Group in Germany is made up of a pension fund and a consultancy company for company pension schemes, as well as its own private bank, an investment management company and a mortgage brokerage.