Scor Se · EURONEXT:SCR
Scor — Investor Presentation (February 2010)
22 slides from Scor's investor presentation, Feb 10, 2010
Slide 1: SCOR Global P&C January 2010 renewal results
SCOR GLOBAL P&C January 2010 renewal results SCOR executes its strategy: the successful outcome of the 1/1 renewals combines growth and an increase in expected profitability 10 February 2010
Slide 2: Notice
Notice Certain statements contained in this presentation are forward-looking statements, of necessity provisional, that are based on risks and uncertainties that could cause actual results, performance or events to differ materially from those in such statements. Additional information regarding ris
Slide 3: Agenda: portfolio management, selective growth, 2010 outlook
1 SCOR’s strong portfolio management and drive for underwriting profitability generate improvements in expected technical results SCOR maintains focus on profitability, enhancing diversification 2 through selective growth 3 2010 Outlook
Slide 4: SCOR executes its strategy at 1/1 renewals, achieving greater expected profitability and growth
Portfolio Management | Profitability Focus | 2010 outlook SCOR executes its strategy at 1/1 renewals, achieving greater expected profitability and continued growth… Outcome of January 2010 renewals confirms SCOR Global P&C’s pre-renewal expectations, combining two positive features: Î Continued posi
Slide 5: Expected improvement in the 2010 Net Combined Ratio
Portfolio Management | Profitability Focus | 2010 outlook …leading to an expected improvement in the 2010 Net Combined Ratio Î 2010 Terms & Conditions are overall unchanged compared to 2009 Î The successful 1/1 renewals lead to an expected Net Combined Ratio for the 2010 accounting year trending tow
Slide 6: Business up for renewal in January
Portfolio Management | Profitability Focus | 2010 outlook Business up for renewal in January: 72% of total SCOR Global P&C Treaty premiums Treaty P&C -1) Total 2009 U/W Year premiums: € 3.1 billion 8% of which 01/01 Rest of the year 49% renewals: 76% renewals Treaty P&C (€ 1 275 m) 73% 92% 51% Janua
Slide 7: SCOR continues to actively execute its portfolio management strategy
Portfolio Management | Profitability Focus | 2010 outlook SCOR continues to actively execute its portfolio management strategy… Active portfolio management in % of 1/1 gross premiums, rounded Business up for renewal Business renewed Global P&C Global P&C Treaty P&C 76% Continue to Treaty P&C 73%
Slide 8: Shifting business towards improved expected gross technical profitability
Portfolio Management | Profitability Focus | 2010 outlook …by further shifting its business towards improved expected gross technical profitability Distribution by expected gross pricing underwriting ratios (UWR)-1): 3 percentage points improvement driven by portfolio management and price increases
Slide 9: 2% weighted average price increase demonstrates active portfolio management
Portfolio Management | Profitability Focus | 2010 outlook 2% weighted average price increase further demonstrates active portfolio management in a generally balanced market Most significant pricing movements Treaty P&C Specialty Treaty Property Non- Motor Non- Liability Non- Americas Europe Credit &
Slide 10: Selective growth: Treaty P&C and Specialty Treaty
SCOR’s strong portfolio management and drive for underwriting 1 profitability generate improvements in expected technical results SCOR maintains focus on profitability, enhancing diversification 2 through selective growth 2.1 Treaty P&C 2.2 Specialty Treaty & Business Solutions 3 2010 Outlook
Slide 11: Treaty P&C: focus on profitable business
Portfolio Management | Profitability Focus | 2010 outlook Treaty P&C: focus on profitable business in €m, rounded Change in % -8% -2% +3% +5% +3% +3% +3% +38 +34 -106 +32 +66 -24 Of which, price : +1.5% Proportional : +0.6% Non-Proportional : +3.4% 1 275 1 315 Main reasons: Pricing : -5.0% C
Slide 12: Shift of portfolio towards greater technical profitability
Portfolio Management | Profitability Focus | 2010 outlook Shift of portfolio towards greater technical profitability… By Line of Business High selectivity, client differentiation and new opportunities in €m, rounded led to further significant improvements in expected pricing Property 486 gross Under
Slide 13: Geographical shift towards the Americas and Asia increasing diversification
Portfolio Management | Profitability Focus | 2010 outlook …with geographical shift towards the Americas and Asia increasing the diversification of the portfolio By Geography in €m, rounded Î Europe, Middle East and Africa: Stable premium volume 202 (-0.1%) with an active portfolio management strateg
Slide 14: Specialty Treaty & Business Solutions
SCOR’s strong portfolio management and drive for underwriting 1 profitability generate improvements in expected technical results SCOR maintains focus on profitability, enhancing diversification 2 through selective growth 2.1 Treaty P&C 2.2 Specialty Treaty & Business Solutions 3 2010 Outlook
Slide 15: Specialty Treaty: selective growth continues
Portfolio Management | Profitability Focus | 2010 outlook Specialty Treaty-1): selective growth continues, leveraging on franchise and network in €m, rounded Change in % -4% +4% +2% +9% +3% +7% +20% +11 +28 +15 +7 +34 -17 Of which, price : +2.6% Proportional : +2.5% 472 Non-Proportional : +3.9%
Slide 16: Strong growth with improving expected technical profitability
Portfolio Management | Profitability Focus | 2010 outlook Strong growth with improving expected technical profitability By Line of Business Î Credit & Surety: Significant growth driven by double- inBy €m,Line of Business rounded digit price increases in Credit, share increases and new business; expe
Slide 17: Business Solutions: strong portfolio management in a competitive environment
Portfolio Management | Profitability Focus | 2010 outlook Business Solutions: strong portfolio management in a competitive environment 4Q2009 and January renewal development-1) Pricing trend-2) in €m, rounded in %, rounded 10% -19 25 -4 5% 123 0% Offshore 120 Price: -2.5% Property Non Energy Exposur
Slide 18: 2010 Outlook
SCOR’s strong portfolio management and drive for underwriting 1 profitability generate improvements in expected technical results SCOR maintains focus on profitability, enhancing diversification 2 through selective growth 3 2010 Outlook
Slide 19: Premium volume expected to increase to approximately €3.5 billion
Portfolio Management | Profitability Focus | 2010 outlook SCOR Global P&C premium volume is expected to increase to approximately € 3.5 billion in 2010 Estimated SCOR Global P&C premium income for 2010 in €bn, rounded January 2010 Treaty renewals 1.8 bn Treaty P&C 1.3 bn Specialty Lines 0.5 bn Upcom
Slide 20: SCOR Global P&C well positioned to play a leading role in reinsurance
Portfolio Management | Profitability Focus | 2010 outlook SCOR Global P&C is well positioned to play a leading role in the reinsurance industry SCOR Global P&C delivers strong January 2010 renewals… Î Achieved improvement of expected underwriting results thanks to portfolio management and technical
Slide 21: Appendix
APPENDIX
Slide 22: Definitions
Definitions Î Total premiums up for renewal: premiums of all Treaty contracts incepting in January 2009 at the exchange rate as at December 31, 2009 Î Cancelled/restructured: client or SCOR decided to cancel the business/programs and/or to change their programs (e.g. from proportional to non-proport