insurance international — The International segment serves international high net worth individuals (PPLI) and multinationals (Corporate Clients). Due to strict cost management and reduced investment in new business areas, the segment loss was brought down to CHF 10 million (2010: CHF –27 million). However, exchange rates had a particularly negative effect on the result, as did the cost of restructuring in the affluent segment, for which there will no longer be any direct sales outside the Swiss Life national companies. Gross written premiums, policy fees and deposits received remained below the previous year’s level (CHF 5.2 billion) at CHF 3 billion, which represents a 37% loss in local currency.

The PPLI area specialises in life insurance for high net worth individuals and has built up a presence in Liechtenstein, Luxembourg, Singapore, Dubai and Switzerland. At CHF 2.8 billion, gross premium volume in 2011 was lower than the previous year’s figure of CHF 5 billion. The decrease is due to an exceptionally strong result in the same period the previous year (an effect of the Italian tax amnesty (“Scudo Fiscale”) and to the reorientation in private banking – the most important client interface in this business.

Corporate Clients specialises in global life and pensions solutions for multinationals. It increased its new business in all markets and cemented its market leadership as a provider of global employee benefits solutions. Growth will be driven forward in 2012, with a focus on profitability.

key figures for insurance International
Amounts in CHF million  
  2011 2010 +/–
Gross written premiums, policy fees and deposits received
  3 033 5 159 –41.2%
Net earned premiums and policy fees
  120 126 –4.8%
Commission income
  13 12 8.3%
Financial result
  30 32 –6.3%
Other income
  –1 –3 –66.7%
Total income
  162 167 –3.0%
Net insurance benefits and claims
  –19 –21 –9.5%
Policyholder participation
  –14 –18 –22.2%
Interest expense
  –15 –16 –6.3%
Operating expense
  –124 –139 –10.8%
Total expense
  –172 –194 –11.3%
Segment result
  –10 –27 63.0%
Assets under control
  17 360 16 619 4.5%
Insurance reserves
  17 075 16 346 4.5%
Number of employees (full-time equivalents)
  286 283 1.1%


 

The future starts here.