Earlier this morning the global insurance Allianz SE revealed that Q3 2021 was its “strongest ever third quarter” but how has Allianz Holdings plc, the holding company which comprises Allianz Commercial and Allianz Personal, fared?
The business today unveiled its quarterly update for the three months ended 30 September 2021, with key financial takeaways outlined below.
|
Gross Written Premium (GWP) |
YTD Q3 2021 |
YTD Q3 2020 |
Variance |
|
Allianz Holdings |
£2,856m |
£2,988m |
-4.40% |
|
Allianz Commercial |
£929m |
£970m |
-4.20% |
|
Allianz Personal |
£1924m |
£1969m |
-2.30% |
|
Run-off business |
£3m |
£49m |
-94.10% |
Commenting on the results, Jon Dye, CEO of Allianz Holdings, said: “While revenues are down, mainly due to lower motor pricing levels, our well-balanced business is well equipped not just to respond to the climate emergency but to accompany and support the transition to a low-carbon economy. Clients and partners can rely on our expertise and commitment.”
Allianz Holdings noted that the reduced GWP seen by Allianz Commercial mainly reflects a reduction in motor premiums, as lower claims frequency is being reflected in rates. The business has continued to see further improvement in the pricing of its property and liability lines as it engages with customers and brokers on managing an uncertain risk environment. Meanwhile, its engineering, construction and power (EC&P) business continues to show strong growth and is now beginning to see emerging opportunities in other areas of the market.
Simon McGinn, CEO, Allianz Commercial, said: “This quarter saw further improvement in the performance of our business fundamentals, with good profitability flowing from commercial motor and EC&P, and property and packages improving despite some impact from the July floods. Economic volatility is creating a number of emerging trends which we are monitoring while we continue to pursue the prospects for growth we have identified in partnership with our brokers.”
Allianz Personal saw its GWP in the first three quarters drop slightly by 2.3% to £1.92 billion compared to the same period in 2020.
In LV= General Insurance (LV= GI), GWP was down by 5.9% to £1.48 billion (Q3 2020: £1.57 billion) as a result of falling premiums in an extremely competitive motor market. The specialty business (made up of Petplan, Home & Legacy and Allianz Musical Insurance), saw its GWP increase by 11.5% to £444 million (Q3 2020: £399 million), primarily driven by growth in Petplan which recorded its highest ever GWP.
Steve Treloar, CEO, Allianz Personal, said: “We continue to maintain our relentless focus on providing excellent customer service and supporting our colleagues, while ensuring we have a positive influence on society. Operationally, we are making good progress on the integration of our businesses that we have recently brought together in creating Allianz Personal.
Allianz Holdings will welcome Colm Holmes as CEO on 01 December 2021 which makes this the last trading update to be issued by Dye as CEO of this business. Addressing this, Dye noted that after eight years as CEO, he is “hugely proud” of what the team has achieved.
“The revenues that we are reporting at Q3 2021 (£2.86 billion) are almost double the result that we achieved at the beginning of my tenure in Q3 2013 (£1.46 billion),” he said. “Sincere thanks to all of my colleagues and all of our broker partners who have supported the business over the years. They can be proud to share in this profitable growth story and I am pleased to hand over a great business to Colm.”
