Tryg A/s · OMXCOP:TRYG
Tryg A/s — Handelsbanken Nordic Mid/ Small Cap Seminar 2017
19 slides from Tryg A/s's conference presentation, Jun 8, 2017
Slide 1: Handelsbanken Nordic Mid/ Small Cap Seminar
Handelsbanken Nordic Mid/ Small Cap Seminar 8 June 2017 Johan Kirstein Brammer, SVP Private Denmark Download presentation at tryg.com
Slide 2: Agenda
Agenda 1. Tryg at a glance 2. Current performance 3. Current initiatives in Private Lines 4. Wrap up 2
Slide 3: Tryg – at a glance I
Tryg – at a glance I Gross premium split by products 2016 • Tryg goes back to 18th century 9 • Very strong brand position especially in Denmark 30 Motor 14 Workers' comp • Non-life insurance in Denmark, Norway and Sweden Health & accident Percentage • Approx. 80% retail business Liability Norway Fir
Slide 4: Tryg – at a glance II
Tryg – at a glance II Shareholder remuneration since 2012 Shareholder breakdown 2016 DKK 10 9 13 8 3.5 3.5 3.4 7 3.2 2.6 Danish 6 15 institutional 5 Percentage Non-Danish 4 institutional 60 3 6.0 6.2 5.2 5.4 5.8 Smaller 12 2 shareholders 1 1.6 0 2012 2013 2014 2015 2016 Q1 2017 Ordinary dividend Ext
Slide 5: TryghedsGruppen and its members' bonus
TryghedsGruppen and its members’ bonus Denmark's ‘biggest’ family Bonus positive effect on retention ‘I expect to be in Tryg next year’ Have heard about Customer bonus 93% Have not heard about Customer Bonus 81% Retention rate increase by 1% gives approx. DKK 50-150m reduction in expenses on group l
Slide 6: Tryg's equity story
Tryg’s equity story Leading Scandinavian insurer with strong track record Financial targets 2017 Customer targets 2017 • ROE: ≥21% • NPS +100% Low risk and high Customer care worth returns • Combined ratio: ≤87% • Retention rate +1 pp recommending • Expense ratio: ≤14% • ≥ 3 products +5 pp • Matchin
Slide 7: Agenda
Agenda 1. Tryg at a glance 2. Current performance 3. Current initiatives in Private Lines 4. Wrap up 7
Slide 8: Group premiums up 1.6% in Q1
Group premiums up 1.6% in Q1 • Group premiums were up 1.6% in local currencies, Private lines DK and of Skandia child book key drivers • Danish premiums up more than 2% while Norwegian premiums still declining • Private lines increased 0.6% in particular driven by a positive development in Private D
Slide 9: Underlying claims ratio at same level as Q1 2016
Underlying claims ratio at same level as Q1 2016 • Group underlying Claims ratio at 77.0% in line with Q1 2016 Claims ratio, net (Commercial DK & NO) • Private underlying Claims ratio at 75.5% also in line with Q1 2016 75 • Corporate & Sweden underlying claims ratio developed favourably 70 65 • “Exp
Slide 10: Motor insurance, not all claims are coming down
Motor insurance, not all claims are coming down Number of accidents Jan-Feb. Bumpers, price increases in % from 2011-2016 65,000 Ford Focus Nissan Qashqai 60,000 58,437 58,136 20000 12000 53,953 54,634 54,850 10000 116% 55,000 15000 19,378 242% DKK 8000 50,000 17% 10000 6000 45,000 15% 4000 5000 6,6
Slide 11: Private - average prices in positive development
Private - average prices in positive development House insurance – average price (index 2011 = 100) Average price development Y/Y 125 1.2% 1.6% NO 120 (Q4 0.4%) (Q4 0.7%) • DK: 1.2% positive development 115 reflects both price increases and 110 Average price: conversion 105 DK 5,000 5,700 100 95 • N
Slide 12: On track to meet the 2017 expense ratio target
On track to meet the 2017 expense ratio target Efficiency programme up until 2017 (DKKm) Expense ratio 395 388 15.7 15.6 15.3 15.3 125 15.1 14.8 14.9 14.4 14.6 175 75 65 50 60 250 150 2013 2014 2015 2016 Q1 2016 Q1 2017 145 100 105 25 As reported Adjusted for one-offs 45 2012 2013 2014 Target 2015 T
Slide 13: Agenda
Agenda 1. Tryg at a glance 2. Current performance 3. Current initiatives in Private Lines 4. Wrap up 13
Slide 14: Claims – new costumer experience model designed
Claims – new costumer experience model designed Sales division Claims division Customer Win- Contents Inbound Outbound Car claims Travel claims service /holdback claims New organisation Easy & simple access for customers Customer front-end New sales channel Customer Win- Moving across claims areas I
Slide 15: Two new packages launched
Two new packages launched Child insurance ‘Peace-of-mind’ package 3+ share among new customers Number of products sold/customer • DKK 920 in average premium compared to DKK 713 on child accident insurance +17% Before After • +50% has bought the largest package incl. Sales agent >95% >95% +10% +20% h
Slide 16: Progress on customer adaptation of Digital Universes
Progress on customer adaptation of Digital Universes Logins ‘My page’ Digital claim forms 160 24 151 23.5 150 23 22.6 140 132 22.4 22.4 130 22 21.6 120 111 21 20.6 110 21 100 20 January February March Sept 16 Oct 16 Nov 16 Dec 16 Jan 17 Feb 17 Mar 17 2017 ift. 2016 index • Index 98 on target: 1 mill
Slide 17: Agenda
Agenda 1. Tryg at a glance 2. Current performance 3. Current initiatives in Private Lines 4. Wrap up 17
Slide 18: Why invest in Tryg?
Why invest in Tryg? Pre-tax result by division (YE 2016 data) High insurance penetration in the Nordics Premiums per capita (USD), 2015 2,000 130% 1,401 1,330 1,380 100% 1,129 1,067 70% 1,000 40% 612 10% -20% 0 -50% Non-life Life Banking Other Motor combined ratios Nordics vs international Sharehold
Slide 19: Questions?
Tryg|© Questions?
Tryg — Handelsbanken Nordic Mid/ Small Cap Seminar 2017 on 6ix