Solutions designed for companies and their staff
Whether they need to send staff abroad or simply to attract and retain an ever more mobile and demanding workforce, it is vital for companies to offer their employees attractive life and pensions solutions. The issues they are faced with are often complex, especially in a cross-border context, which is why there is an increasing demand for effective solutions.
Retaining leadership in Luxembourg
As Swiss Life has been the market leader in group insurance in the Grand Duchy for several years, the Group is placing Luxembourg at the core of its growth strategy in the employee benefits sector. Swiss Life owes this dominant position in Luxembourg to indisputable expertise which has been developed to meet the needs of Luxembourg companies and their local employees, as well as internationally operating corporations and their expatriates. Active in Luxembourg in this sector for more than 20 years, Swiss Life firmly intends to remain a leader, by building on its increasing proximity to companies, by enhancing its services, and by customising its solutions.
Expanding the international range
Swiss Life advises and assists multinationals in implementing employee benefits solutions through a network of insurers from more than 50 countries – the Swiss Life Network. Thanks to the network, it is possible to spread risks while maintaining local coverage. By combining the strengths of the Luxembourg team and the Swiss Life Network, Swiss Life intends to open up new perspectives in the area of corporate solutions and to position itself as the global in this sector worlwide.
Tanguy Polet, the new CEO of Swiss Life (Luxembourg) S.A. and responsible for this business area in Luxembourg, explains: “By drawing on both the potential for innovation in Luxembourg and on the distribution capability of the Swiss Life Network, we can optimally channel this growth. We will attract companies in new countries, in particular by developing cross-border solutions. With the support of the Luxembourg authorities, we intend to offer pension fund solutions.”
A unique range of solutions in private placement life insurance
In terms of wealth management instruments, life insurance is becoming increasingly important. This is because it meets the growing demand for specialised products and services which satisfy the specific requirements of increasingly international, wealthy customers.
After marketing private placement life insurance solutions from Luxembourg, Swiss Life offered products developed in Liechtenstein. It subsequently pooled operations together under one management, with the aim of optimising synergies, of consolidating its range of solutions, and of driving its international development.
A common platform for international solutions
Swiss Life now has a common platform, enabling it to provide international solutions from its various financial centres specialising in private placement life insurance: Luxembourg, Liechtenstein, Singapore and – before the end of the year – Dubai.
Each distribution team mutually benefits from the products developed in different financial centres as they all serve to enrich the overall range offered to customers.
This offer is unique on the market, and this is one of Swiss Life’s key arguments in the B2B approach that it adopts for distributing this type of products. Its partners are mainly well-known private banks, specialised financial advisors, and family offices.
Local expertise and global solutions
Luxembourg is one of the major centres of development and expertise in this cross-border structure. Within the European Union, Luxembourg sets the benchmark for the marketing and sale of high-end life insurance products under the freedom to provide services, thanks to the creativity of its financial sector and its compliance regulations. “Our organisation comprises all the services necessary to serve and advise partners and clients in finding customised solutions and services,” says Beat Reichen, who manages this business area in Luxembourg. “Our team is made up of experts who completely understand both the specific characteristics of this branch and the Luxembourg environment. At the same time, they have in-depth knowledge of Swiss Life’s complete range, regardless of the origin of the solutions”.
Innovation in a high potential market
Variable annuities are an innovative combination of returns and security. This is a new concept, also offered to traditional customers of life insurance and general investment products. Such solutions combine the advantages of the higher yield outlook offered by investment funds with those of traditional life insurance, providing various forms of financial guarantees.
This product line has expanded considerably in Japan and the United States, and Swiss Life is one of the first companies to offer this type of solutions in Europe.
To develop this new business area, Swiss Life has deliberately adopted an original approach: Despite its ambition to offer these products in several European markets simultaneously, it has opted to centralise activities relating to their development and management. In contrast, the marketing and sales activities are decentralised among direct participants in the distribution markets.
Centralised development and management to build on
By centralising development and management, Swiss Life has built a single team of experts with broad international experience in markets and products. Furthermore, the centralised approach justifies setting up state-of-the-art infrastructure for risk management and hedging.
The products developed consist of variable combinations of a series of technical and financial elements, adapted to each individual distribution market. Thus, each client segment in each geographic market is offered a targeted solution.
New platform ideally located
Martin Tschopp, head of this new Group-wide business area and CEO of Swiss Life Products (Luxembourg) S.A., which was founded in the spring of 2008, explains: “We made the decision to set up our platform in Luxembourg based on the regulatory and accounting framework which is especially favourable to developing variable annuities, the support we received from the supervisory authorities, and the security offered by the legal framework to our clients and shareholders.”
A first product, Swiss Life Champion, was successfully launched in Germany this summer. Initially managed by the network of Swiss Life agents, distribution is now also handled by independent brokers. Other products are currently being developed for the German, Austrian, Swiss and French markets, with distribution systems specific to each client segment.
Local ambitions and global strategy
On the strength of its long-standing experience and recognised expertise in pensions and long-term savings, and supported by a solid brand, Swiss Life is adopting a unique strategy to respond optimally to the growing needs of multinationals and of international High Net Worth Individuals.
The company consolidates its hold on the Luxembourg market by renewing its drive to extend its leadership position as a provider of corporate solutions for local companies, and by establishing the nerve centre for development of the variable annuities to be distributed in several European countries.
Swiss Life is committed to consistently meeting the needs of its clients and partners. The company will continue to focus on innovations, leading to ever more efficient products and services.
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Swiss Life has been active in Luxembourg since 1985. Three business areas are now developed from the Grand-Duchy: employee benefits solutions for corporate clients, private placement life insurance, and variable annuities.
Swiss Life is the local group insurance market leader. It is also the Group's unique competence centre for pension corporate solutions for expatriates. Since 2008, Swiss Life Network and the Luxembourg group's insurance business have been combined into one cross-border unit. Its objective is to provide top quality employee benefit solutions (risk and pension) worldwide for large corporations and multinational companies.
In private placement life insurance, the company is focused on marketing life insurance products to high net worth individuals. This business line is now developed from a supranational structure, enabling Swiss Life to offer private placement life insurance internationally from Luxembourg, Lichtenstein, Singapore and - soon – Dubai.
Also in Luxembourg, Swiss Life has created its pan-European development and management platform for variable annuities.
The Swiss Life Group is one of Europe's leading providers of life insurance and pension solutions. The Group offers individuals and corporations a broad range of products combined with comprehensive advice through its own sales force as well as brokers and banks in Switzerland, France and Germany. It provides internationally operating corporations with employee benefits solutions from a single source, and is among the global leaders in structured life and pension products for high net worth individuals with its centres of competence in Luxembourg, Liechtenstein and Singapore.
Swiss Life is the majority shareholder of the Hanover-based AWD Group, one of Europe's top financial services providers for the medium- and high-income customer segments. AWD offers its clients independent financial advisory services. It employs around 6600 financial consultants in ten European countries.
Swiss Life Holding Ltd, registered in Zurich, was founded in 1857 as Schweizerische Rentenanstalt. The shares of Swiss Life Holding Ltd are listed on the SWX Swiss Exchange (SLHN). The Swiss Life Group employs a staff of around 9 000.
This publication contains specific forward-looking statements, e.g. statements including terms like “believe”, “assume”, “expect” or similar expressions. Such forward-looking statements are subject to known and unknown risks, uncertainties and other factors which may result in a substantial divergence between the actual results, financial situation, development or performance of the company and those explicitly or implicitly presumed in these statements. Against the background of these uncertainties, readers should not place undue reliance on forward-looking statements. The company assumes no responsibility to update forward-looking statements or to adapt them to future events or developments.