2006 was again characterised for Swiss Life in Luxembourg by a growth which far exceeded market performance. Indeed, while the output of the Luxembourg life insurers expanded by 18.5% in 2006, Swiss Life’s premium income was up 75% to 534.9 million euros. As a reminder, the company had already doubled its turnover during the two preceding financial years (305.3 million euros in 2005, 153.2 million euros in 2004, and 78.4 million euros in 2003).
On the Luxembourg market, the company’s production, which is mainly achieved with group insurance, was up by 28.6% compared with the previous year, due to significant single premiums. Swiss Life thus consolidated its leading position in this sector.
The most important part of the company’s escalation was, however, realised on the international market. Group insurance contributed to this gain, but the growth is mainly due to the company’s individual insurance products for high net worth individuals.
Business on the Belgian market predictably fell following the introduction, on 1st January 2006, of a tax on life insurance premiums. However, the company’s diversification strategy with regard to products, distribution networks and markets resulted in it being able to compensate for the negative consequences of this unfavourable taxation with a tremendous upsurge in turnover on the French and Italian markets.
Another effect of this diversification was an important change in the structure of the premium income of international individual insurance: in 2006, dedicated funds premiums nearly tripled. This rise was the result of the development of partnerships especially targeting high net worth individuals, while confirming the company’s interest in the segment of affluent customers.
Profits in the grand-ducal accounting standards amounted to 1.9 million euros in 2006.
The company continues to focus on the strategic priorities set by the Swiss Life Group: achieve sustainable and profitable growth, strengthen operational efficiency to increase profitability and position itself as provider of choice for pension solutions for private individuals and companies. Moreover, Swiss Life in Luxembourg is well on track to achieving the figures set as objectives by the Group for 2008.
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Press release on Swiss Life Group’s 2006 results
Swiss Life Group’s interactive annual report 2006
The Swiss Life subsidiary in Luxembourg was created in 1985. On the local market, it is the leading provider of group insurance solutions. At an international level, Swiss Life in Luxembourg focuses on the marketing of unit-linked individual life insurance contracts for European high net worth individuals (assurfinance), in particular, on the Belgian, Italian, French and German markets. In Luxembourg, Swiss Life is also a specialist in group insurance solutions for expatriates and third country nationals.
The Swiss Life Group is one of Europe’s leading providers of pension and life insurance products. The Swiss Life Group offers individuals and companies comprehensive advice across a broad range of products via agents, brokers and banks in its domestic market, Switzerland, where it is market leader, and selected European markets. Multinational companies are serviced with tailormade solutions by a network of partners in over 60 countries and regions. With Banca del Gottardo, the Swiss Life Group is also active in private banking. The bank, with its head office in
Lugano, has an extended national and international network and around CHF 36 billion in customer assets under management.
Swiss Life Holding, registered in Zurich, dates back to Schweizerische Rentenanstalt founded in 1857. Shares of Swiss Life Holding are listed on the SWX Swiss Exchange (SLHN). The Swiss Life Group employs a staff of around 9000.