Major British insurer Legal & General (L&G) is the top insurance firm in the world when it comes to creating value for shareholders, according to a new study by the Boston Consulting Group.
The firm’s 2016 Value Creators Report examined the world’s 200 biggest companies by market valuation that were listed on stock exchanges from 2011 to 2015. The research reviewed the companies’ total shareholder returns (TSR) during the period and listed the top 10 in various industries.
In the insurance industry, the L&G Group led the pack with a market valuation of US$23.4 billion as of December 31, 2015 and average annual TSR of 28.5%.
Germany’s Hannover Re is the world’s second biggest value creator among insurers with a market value of US$13.9 billion and TSR of 27.8%. Third on the list is Finland’s Sampo Group, which is valued at US$13.9 billion with TSR of 24.4%.
Apart from L&G, two other UK-based insurers made it into the top 10. According to the report, Prudential has a market value of US$57.8 billion and 21.5% average annual TSR. Standard Life is valued at US$11.3 billion with TSR of 18.3%.
The top ten value creators in the global insurance industry, according to the Boston Consulting Group report:
| Rank |
Company |
Headquarters |
Market Value as of Dec. 31, 2015 (in US$ billions) |
Average annual TSR (%) |
| 1 |
Legal & General |
UK |
23.4 |
28.5 |
| 2 |
Hannover Re |
Germany |
13.9 |
27.8 |
| 3 |
Sampo Group |
Finland |
28.6 |
24.4 |
| 4 |
Swiss Re |
Switzerland |
33.5 |
21.8 |
| 5 |
Prudential |
UK |
57.8 |
21.5 |
| 6 |
Axa Group |
France |
66.4 |
21.0 |
| 7 |
The Chubb Corporation |
US |
30.1 |
19.9 |
| 8 |
Markel |
US |
12.3 |
18.5 |
| 9 |
Standard Life |
UK |
11.3 |
18.3 |
| 10 |
Allianz |
Germany |
80.9 |
18.3 |
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