Allianz Se · XETR:ALV

Allianz — Investor Day (November 2016)

91 slides from Allianz's investor day presentation, Nov 30, 2016

1. Slide 1: Allianz Capital Markets Day – Digital

   Allianz Capital Markets Day Digital Munich, November 30, 2016 Allianz Investor Relations App

2. Slide 2: Agenda

   Agenda A Introduction Oliver Bäte Christof Mascher Solmaz Altın B Modular health – disrupting the market Aylin Somersan-Coqui C Digital Agency 2.0 Joachim Müller D Claims handling in the digital world Birgit König E Genialloyd – profitable growth Leonardo Felician F Smart home Sylvie Ouziel G Allian

3. Slide 3: A. Introduction

   A. Introduction Services Oliver Bäte, CEO Christof Mascher, COO Solmaz Altın, CDO Customer experience Munich, November 30, 2016 Platforms

4. Slide 4: Why? What? How?

   1 1 2 Oliver Bäte Christof Mascher Why? What? 3 Solmaz Altın How? © Allianz SE 2016 A2

5. Slide 5: We all know that we need to transform

   A. Introduction We all know that we need to transform Insurance is changing … … consumers too … … and time is of the essence © Allianz SE 2016 A3

6. Slide 6: Digital is an essential part of our Renewal Agenda

   A. Introduction That is why Digital is an essential part of our Renewal Agenda Inclusive Meritocracy Digital by Digital by Default Default True True Customer Customer Centricity Centricity Growth Growth Engines Engines Technical Technical Excellence Excellence © Allianz SE 2016 A4

7. Slide 7: We have accomplished a lot already

   A. Introduction We have accomplished a lot already1 … … share of digital … digital led to Today’s topics mailing at 90% … +88% weekly … efficiency of 56% new Allianz Turkey contacts via claims assessment business growth process improved social media by 30-40% Allianz Germany … more than Allianz Germ

8. Slide 8: … but this is still only the beginning

   A. Introduction … but this is still only the beginning 2018+ Laying the 2017 Harvesting the foundations digital dividend 2016 Accelerating and © Allianz SE 2016 embedding digital culture A6

9. Slide 9: The good news – we have all it takes

   A. Introduction The good news – we have all it takes Budget and scale People, processes and products Customers and brands Today’s event: ~ EUR 650mn 85mn customers best practice examples investments from Strong global brands in digitalization p.a.1 Allianz Group © Allianz SE 2016 1) Total IT spend ~

10. Slide 10: Why? What? How?

    2 1 2 Oliver Bäte Christof Mascher Why? What? 3 Solmaz Altın How? © Allianz SE 2016 A8

11. Slide 11: Customer experience as the ultimate goal

    A. Introduction Customer experience as the ultimate goal – platforms as the connection – services strength as the differentiator Digital business model Demand Supply Simple & Individual & Anywhere Protected Social Mobile Analytics Cloud convenient tailor-made & anytime & private Digital ecosystems C

12. Slide 12: Through the Allianz digital ecosystem

    A. Introduction Through the Allianz digital ecosystem … Customer experience Platforms Services ► Digital journeys: transformation of the ► Agile hybrid 2-speed IT architecture ► Shift from traditional product logic core (NPS!) ► Integrated platform: customer, business, to service logic ► New offers:

13. Slide 13: Allianz connects with retail and commercial customers

    A. Introduction … Allianz connects with retail and commercial customers Customer © Allianz SE 2016 A 11

14. Slide 14: Digital by Default ambition 2018 on track

    A. Introduction Digital by Default ambition 2018 on track Digital productivity gains Digital P/C business1 EUR bn GPW in EUR bn CAGR ~ +8% 8.2 0.4 6.0 1.0 Digital GPW as 11.6% % of overall GPW 0.8 2015 2019e Digital health claims Allianz Private Krankenversicherung Allianz Worldwide Care 1,473 674 5

15. Slide 15: Agenda today

    A. Introduction Agenda today Digital factories co-creation Global #1 service and assistance provider Digital transformation (Solmaz Altın) Smart home (Sylvie Ouziel) Modular health (Aylin Somersan-Coqui) Digital Agency 2.0 (Joachim Müller) Drone flight Guided tour Global Digital Factory Services Dig

16. Slide 16: Why? What? How?

    3 1 2 Oliver Bäte Christof Mascher Why? What? 3 Solmaz Altın How? © Allianz SE 2016 A 14

17. Slide 17: A Single Digital Agenda to transform the Allianz core

    A. Introduction A Single Digital Agenda to transform the Allianz core and to create new business Single Digital Agenda Shaping and organizing the digital transformation of Allianz Group together Global Global digital Digital Allianz X Advanced Digital partnerships pure play business Factory analytic

18. Slide 18: Allianz X: build companies and connect to start-up ecosystem

    A. Introduction Allianz X: build companies and connect to the start-up ecosystem Start date: 1 January 2017 Fields of activity  Company building (majority share) Fund structure  Venture investments  Group-wide vehicle (minority share)  Setup as general partners /  Fund-in-fund investments limit

19. Slide 19: Global Digital Factory: we innovate globally

    A. Introduction Global Digital Factory (GDF): we innovate globally Agile development factories and labs Digital factory Digital lab Driver of global digital initiatives Ibero-LatAm Center of digital knowledge Global Digital … Factory Role model for Allianz’ digital culture plus © Allianz SE 2016 loc

20. Slide 20: The factory approach: radical transformation of the way we work

    A. Introduction The factory approach: radical transformation of the way we work Today Way of working Deploy at scale Faster at scale Develop Design Globally coordinated Development and rapid scale up at Market-led co-creation implementation by all entities of digital customer leading entities, OE OE

21. Slide 21: New journeys will increase retention and NPS

    A. Introduction New journeys will increase retention and NPS, thereby growing our business Illustrative The customer … … installs app … fills in interactive that analyzes … browses visual and visual … checks possible payment and personalized questionnaire appointments at … signs personal streams to

22. Slide 22: Outlook: we will build new digital businesses at scale

    A. Introduction Outlook: we will build new digital businesses at scale Proof of concept successful with Overwhelming contribution from 10+ local entities participating 10+ OEs in 2016 2016  Motor claims  Life customer onboarding 6 additional key journeys in 2017 to be transformed with 30+ OEs, e.g

23. Slide 23: B. Modular health – disrupting the market

    B. Modular health – disrupting the market Services Aylin Somersan-Coqui CEO Allianz Turkey Customer experience Munich, November 30, 2016 Platforms

24. Slide 24: Turkey at a glance

    B. Modular health – disrupting the market Turkey at a glance Key data 2015 Market size and growth (CAGR) Pension AuM (CAGR) P/C&H (Stat.) GPW, TRY bn TRY bn Life  Population: 79mn  GDP (EUR): 647bn +13% +35%  GDP/capita (EUR): 8,300 39.8 61.2 31.1 48.0  Inflation: 8.8% 24.2 26.0 37.8  Insurance

25. Slide 25: Allianz Turkey (1/2)

    B. Modular health – disrupting the market Allianz Turkey (1/2) Revenues (EUR mn) Operating profit (EUR mn) Highlights +24%1 +29%1  More than 5.3 million customers 2,297  ~3,900 agents and 99 brokers 1,936 144  Co-operation with 501 car dealers 116 1,312  2,481 employees 1,082 90  Collaboration

26. Slide 26: Allianz Turkey (2/2)

    B. Modular health – disrupting the market Allianz Turkey (2/2) 2015 Product mix (GPW) Distribution mix (GPW) Profitability Other 6% Sal. sales force 1% RoE (%)1 Car dealers 8% Agents Casualty 4% 59% 15.1 14.9 Fire 10% Banks 8% Motor P/C 49% &H Health Corporate 31% 23% 2014 2015 Life savings Pension

27. Slide 27: High potential in Turkish health insurance market

    B. Modular health – disrupting the market High potential in Turkish health insurance market: low penetration, young population and accelerated healthcare investments Turkey 20151 Below 25 yrs: Turkey 42.3% Europe 20151 Below 25 yrs: Europe 26.7% © Allianz SE 2016 1) Source UN Population Division Dep

28. Slide 28: High potential in Turkish health insurance market

    B. Modular health – disrupting the market High potential in Turkish health insurance market: low penetration, young population and accelerated healthcare investments Turkey 20151 Healthcare expenditure Aging population and increasing expected to grow healthcare costs pressurize Below 25 yrs: sustain

29. Slide 29: Allianz Turkey health at a glance

    B. Modular health – disrupting the market Allianz Turkey health at a glance 932 hospitals / diagnostic centers 90% 2,030 pharmacies of claims in own network 882,000 612 physicians customers Widest medical Dominant leader network in the market in GPW and profitability Direct (98% CR vs 102% market) s

30. Slide 30: The challenge: private health insurance with limited product variety

    B. Modular health – disrupting the market The challenge: private health insurance with limited product variety and too expensive for mass segment Challenges to overcome Two different product portfolios and customer expectations after merger with YK (9 products, 96 different plans) Fierce competition

31. Slide 31: The solution: modular health to attract more customers

    B. Modular health – disrupting the market The solution: modular health to attract more customers Segments Top service seekers Modular product taps Quality seekers into wide range of customer segments Value PHI seekers Low-mid income Low income © Allianz SE 2016 B9

32. Slide 32: The solution: modular health custom made for you

    B. Modular health – disrupting the market The solution: modular health «custom made for you» © Allianz SE 2016 B 10

33. Slide 33: Modular product tailored to meet customer needs

    B. Modular health – disrupting the market The solution: modular product tailored to meet customer needs with flexible features Modules Inpatient Outpatient Maternity Dental & Additional vision services Base package Optional Optional Optional Optional Features to be specified (compulsory) Limit Limit

34. Slide 34: Modular health solves pain points in customer experience

    B. Modular health – disrupting the market The solution: modular health solves pain points in the customer experience Pain point Solution 1 Difficult to compare plans and prices Immediate price comparison possible for each option change Will be available on 2 Complexity in policy design New user frie

35. Slide 35: The result: a winning solution in all aspects

    B. Modular health – disrupting the market The result: a winning solution in all aspects New business growth (TRY mn, 12M) Optimized treatment costs NPS1 results +56% Customers able to select hospital network that fits their needs 20.8  Lower treatment costs Other 34%  Customer co-payment decreases

36. Slide 36: Allianz Turkey shapes the market with innovative products and services

    B. Modular health – disrupting the market Allianz Turkey shapes the market with innovative products and services Everyone needs a doctor friend !! Dr. Allianz is a 24/7 Next to come dedicated healthline offering these services  Chronic disease management  Medical information Allianz One App  Stee

37. Slide 37: C. Digital Agency 2.0

    C. Digital Agency 2.0 Services Joachim Müller Member of the Board Allianz Deutschland AG CEO Allianz Beratungs- Customer und Vertriebs-AG experience Munich, November 30, 2016 Platforms

38. Slide 38: Germany at a glance

    C. Digital Agency 2.0 Germany at a glance Key data 20151 Market size and growth (GPW, EUR bn)3  Population: 81.5mn CAGR +1.9%  GDP (EUR): 3,026bn 193 194 194 187  GDP/capita (EUR): 37,129 61 63 64 66  Inflation: 0.5%  Insurance penetration2: P/C 3.4% Life 2.9% 91 94 93 91  Country rating (S&P)

39. Slide 39: Allianz Germany (1/2)

    C. Digital Agency 2.0 Allianz Germany (1/2) Revenues1 (EUR bn) Operating profit1 (EUR mn) Highlights CAGR +1.7% CAGR +30.7%  Leading market position  ~20mn retail customers 32.1 2,622 2,727 29.9 30.9  Leading P/C insurer in Germany with 1,596 9.5 1,304 1,216 nearly 2x market share of number 2 9.3

40. Slide 40: Allianz Germany (2/2)

    C. Digital Agency 2.0 Allianz Germany (2/2) Product mix (GPW) Distribution mix (GPW) Market shares 2015 (GPW, %)1 Other 13% Motor 37% Other 3% Agents 68% 14.8 P/C combined ratio (%) Direct 2% Banks 4% Liability 12% Automotive 8% 7.7 7.0 6.6 6.2 P/C Brokers 15% 2015 Accident 14% 95.6 100.9 96.2 107.7

41. Slide 41: Digital transformation of Allianz Germany's proprietary channel

    C. Digital Agency 2.0 The digital transformation of Allianz Germany’s proprietary channel Since 20111 Since 2015 “Fixing the basics” “Digital transformation” Dec Jan Nov Feb Needs-based Oct Sep Mar Apr Targeted customer advisory process Aug Jul Jun May approach Systematic Professional Voraus - schau

42. Slide 42: Digital Agency 2.0: tied agents as integral part of digital value chain

    C. Digital Agency 2.0 Digital Agency 2.0: tied agents as integral part of the digital value chain Claims app Social media Health app Agency Digital homepage Digital Agency services (Web) presence & After sales & lead management 2.0 service New opportunities to Online agency communicate with customer

43. Slide 43: Higher customer satisfaction and lead conversion with digital journey

    C. Digital Agency 2.0 Higher customer satisfaction and lead conversion with digital customer journey (Web) presence & lead management Advice & sales After sales & service Google search Allianz.de Agent selection Agency webpage Contact Best match © Allianz SE 2016 agent offered based on 35.1mn visits

44. Slide 44: Setting new standards in advisory quality

    C. Digital Agency 2.0 Setting new standards in advisory quality – online and offline (Web) presence & lead management Advice & sales After sales & service Excellence in advisory Offline Online Online support & training Digital Specialist Unit (DSE) Go live 01/2016 Only agent network with >70,000 onl

45. Slide 45: Holistic and convenient after sales process

    C. Digital Agency 2.0 Holistic and convenient after sales process ensures sustainable customer satisfaction (Web) presence & lead management Advice & sales After sales & service Online agency evaluation Digital interaction 80% with score ≥4.9 Rollout 08/2016 Evaluation of agencies, as of 09/2016 45%

46. Slide 46: Significant positive impact in all sections of customer journey

    C. Digital Agency 2.0 Significant positive impact in all sections of the customer journey1… 99% of tied ~45% of our agents with agencies use Agency homepage homepages Social media Facebook Online advisory Visits per agency Visibility index2 Tied agent with Weekly reach4 Online consulting appointment

47. Slide 47: Outperforming competition in customer contact frequency

    C. Digital Agency 2.0 … outperforming the competition … leading to significantly in customer contact frequency, … increased customer satisfaction … Frequency of customer contact NPS2 Advantage over competition1 81% Ø 4.0 Ø 16.9 Ø 27.6 51% 45% 2014 2015 2Q 2016 2014 2015 10/2016 © Allianz SE 2016 1)

48. Slide 48: Resulting in sustainable growth

    C. Digital Agency 2.0 … and resulting in sustainable growth Agent productivity at all-time high P/C1, new business2 (in ‘000) New business (in ‘000)5 +10% 62 63 65 68 +19% 89 81 83 75 Life, new business3 (in ‘000) +22% 538 633 591 656 Health, new business4 +37% 2013 2014 2015 2016e 303 335 363 415 ©

49. Slide 49: Digital Agency 2.0 as role model for Allianz' digital journey

    C. Digital Agency 2.0 Digital Agency 2.0 as role model for Allianz’ digital journey Enable full digital relationship between customers and agents – improve customer experience along all relevant touchpoints with agents – develop indicator for digital readiness of agencies 1 Homepage optimization 2 O

50. Slide 50: D. Claims handling in the digital world

    D. Claims handling in the digital world Services Birgit König CEO Allianz Private Krankenversicherungs-AG Customer experience Munich, November 30, 2016 Platforms

51. Slide 51: German health insurance market at a glance

    D. Claims handling in the digital world German health insurance market at a glance Market size and growth (GPW, EUR bn) Product mix 2015 (GPW) CAGR +1.1% 36.1 36.3 36.8 37.4 Supplementary 8.3 8.5 8.7 Supplementary 24% Comprehensive 27.8 27.8 28.1 76% Comprehensive 2013 2014 2015 2016e1 Market shares

52. Slide 52: Allianz Health Germany at a glance

    D. Claims handling in the digital world Allianz Health Germany at a glance GPW (EUR mn) Operating profit (EUR mn) Highlights  Two-pillar German health system unique in the world CAGR -0.1% CAGR +3.0%  No long-term guarantees plus ability to adjust premiums reduce interest rate sensitivity substant

53. Slide 53: The challenge: processing >53,000 claims every day

    D. Claims handling in the digital world The challenge: processing > 53,000 claims every day 53,033 € 8-11mn > 95t claims received claims paid out weight of claims per working day per day processed per year* * If all submitted paper-based 21.9mn 12.6mn 573k documents claims without claims with proces

54. Slide 54: The solution: full digitalization of claims management

    D. Claims handling in the digital world The solution: full digitalization of claims management to ensure a hassle-free and efficient process for customers and Allianz 1 2 3 4 Claims app Automated processing Online tracking “Best-of” bonus check © Allianz SE 2016 D5

55. Slide 55: One-click claims submission per app

    D. Claims handling in the digital world 1 One-click claims submission per app Number of claims submitted via app January 2013 – October 2016 Go-live photo app © Allianz SE 2016 2013 2014 2015 2016 1  ~ 10% of claims submitted via app 1) In total 33% of claims submitted digitally D6

56. Slide 56: Artificial intelligence in operations

    D. Claims handling in the digital world 2 Artificial intelligence in operations Solution: spline-based regression models Invoice data Issue  Reduction potential of complex claims unknown to claims manager before time is invested in going through the claim item by item Spline-based regression model

57. Slide 57: 24/7 transparency through status tracking and bonus check

    D. Claims handling in the digital world 3 4 24/7 transparency through status tracking and bonus check 3 Online status tracking 4 “Best-of” bonus check User statistics 2016 Statistics 2016  Close to 20,000  417,000 customers registered users potentially eligible  25,000 messages for premium refund

58. Slide 58: Summary and outlook: application of digital assets across Allianz Group

    D. Claims handling in the digital world Summary and outlook: application of digital assets across Allianz Group Summary Outlook Customer satisfaction App Convenient processes and high transparency Roll-out of app functionalities from Allianz Health Germany to other operating entities within the Grou

59. Slide 59: E. Genialloyd – profitable growth

    E. Genialloyd – profitable growth Services Leonardo Felician CEO Genialloyd S.p.A. Customer experience Munich, November 30, 2016 Platforms

60. Slide 60: Italian Direct market at a glance

    E. Genialloyd – profitable growth Italian Direct market at a glance Direct motor share in Hard market Soft market Key drivers of growth total motor market GPW CAGR +21% GPW CAGR 0%  Price sensitivity of consumers 10.3% 10.8% 9.5% 9.8%  Consumers buying online 8.4% 7.2%  Growing importance of aggr

61. Slide 61: Genialloyd at a glance

    E. Genialloyd – profitable growth Genialloyd at a glance (EUR mn) Revenues (EUR mn) Operating profit (EUR mn) Highlights CAGR +18% +8%  #1 Direct insurer in Italy, #5 in Europe 617 89  #8 motor insurer in Italy 566 512 72  Largest Direct operation of Allianz Group 422 56 57 (1/3 of global Direct

62. Slide 62: Today's presentation

    E. Genialloyd – profitable growth Today’s presentation 1 How digital enhances pricing, underwriting, operations, customer experience and growth 2 GenialClick as a new sales trigger 3 Scalability within Allianz Group © Allianz SE 2016 E4

63. Slide 63: Digital enhances pricing, underwriting, operations

    E. Genialloyd – profitable growth 1 Digital enhances pricing, underwriting, operations … Underwriting Document request for new business1 Loss ratio (Ø 2009-2015)3  Use of 10 different national  -18%-p  -1.4%-p databases for information gathering  Better risk selection and less u/w 25% 75.8% 74.4

64. Slide 64: … customer experience and growth

    E. Genialloyd – profitable growth 1 … customer experience and growth Experience # of complaints per Net Promoter Score EUR 1mn MTPL GPW2 (NPS)3  #1 in customer satisfaction (NPS) 17.5  Simplicity of customer-related 14.7 processes as key driver of +65.9% customer satisfaction 8.9  Significantly l

65. Slide 65: GenialClick as a new sales trigger (1/2)

    E. Genialloyd – profitable growth 2 GenialClick as a new sales trigger (1/2) Business Enhanced Processes Architecture model customer experience  Fully digital business model:  Mobile first  100% paperless & digital;  “Allianz Direct Platform” 100% web, no call center support e-mails and pdf only

66. Slide 66: GenialClick as a new sales trigger (2/2)

    E. Genialloyd – profitable growth 2 GenialClick as a new sales trigger (2/2) Webpage Mobile Aggregators © Allianz SE 2016 E8

67. Slide 67: Business case transferable within Allianz Group

    E. Genialloyd – profitable growth 3 Business case transferable within Allianz Group  “Allianz Direct Platform” = off-the-shelf software with back-end neutrality ready for other Allianz entities  Global and local layer design – usable also in countries outside Italy  Concrete projects about use of

68. Slide 68: F. Smart home

    F. Smart home Services Sylvie Ouziel Allianz Worldwide Partners CEO Global Assistance Customer experience Munich, November 30, 2016 Platforms

69. Slide 69: The Allianz Worldwide Partners market

    F. Smart home The Allianz Worldwide Partners market Key data Modelled market size and growth (EUR bn)3  Global travel market expected to grow 9% p.a., CAGR +6% CAGR 2015-2018e roadside assistance market 6% p.a. until 20181 109 91 12 7%  Mobile device and appliance protection market expected Int. h

70. Slide 70: AWP at a glance (1/2)

    F. Smart home AWP at a glance (1/2) Revenues (EUR mn)1 Operating profit (EUR mn)1 Highlights +13.9% +20.8%  AWP is market leader in all lines of business  Strong growth in all lines of business 7,272 6,387 1,308 266  Comprehensive suite of services 1,110 220 65  Bundled offers to get more integr

71. Slide 71: AWP at a glance (2/2)

    F. Smart home AWP at a glance (2/2)1 Product mix (revenues) Distribution mix (revenues) AWP Expats / corporate 63% Direct 39% Broker / TPA3 61% health & life 2015 IGO / NGO2 37% EUR 1,308mn AWP Global Warranty 11% Motor 79% APAC & South Africa 14% Australia 31% Automotive PPI4 and other P/C 10% 2015

72. Slide 72: High touch & high tech services – the heart of AWP's DNA

    F. Smart home High touch & high tech services – the heart of AWP’s DNA Insurance … Illustrations … bundled with high availability / high 31 European countries served via one reliability emergency services … simple Freedom of Service setup … delivered via a capillary high 1.3 calls handled every seco

73. Slide 73: Always connected changes our lives and our business model

    F. Smart home “Always connected” changes our lives – and our business model Consumer life transformation Connected objects enter all home Number of 21 billion areas (alarms, connected objects linked sensors, objects together in the 197 minutes cameras, lighting, +30% CAGR Internet of Things daily mo

74. Slide 74: Our response: smart home

    F. Smart home Our response: smart home Elderly at home Mobile devices & digital risks Safe home Connected Connected © Allianz SE 2016 home repair pets F7

75. Slide 75: Elderly at home

    F. Smart home Elderly at home Home adaption Home and health Family Teleassistant Home for convenience monitoring communication to alert family, assistance over time and health entertainment professionals  E-commerce  Connected objects  Connected objects  Call center  Home assistance platform pl

76. Slide 76: Safe home

    F. Smart home Safe home Sensor installation Installation  With a wide range of sensors: smoke, water, electricity, door / windows, … Incident detection Monitoring  Via connected objects detection of: fire, water leakage, electric surge, intrusion, … Emergency Emergency  Warning of owner and full

77. Slide 77: Connected home repair

    F. Smart home Connected home repair Repair in kind Home concierge Repair network  Repair of damage  Assistance services related to instead of claims payment  Urgency & maintenance home via concierge platform provided for business partners Privileged access Web platform Home services  Insured cus

78. Slide 78: Mobile devices and digital risks

    F. Smart home Mobile devices and digital risks Accidental damage E-commerce protection Theft Digital risks Banking protection Loss ? Data analysis & recovery Mobile device Airtime abuse Legal protection Extended warranty E-reputation Example – Europe and China  Allianz Worldwide Partners supports O

79. Slide 79: Connected pets

    F. Smart home Connected pets Pet insurance Third party administration Network  Health cover  Claims management for  Veterinaries other insurers  Pet sitters Pet care Platform Pet assistance  Pet sitter  Call center  Health monitoring  Claims handling  Geofencing, find my pet services Center

80. Slide 80: Allianz well positioned to capture smart home opportunity

    F. Smart home Allianz well positioned to capture smart home opportunity Experience in handling Capillary high quality emergency situations network 2020e EUR 500mn revenues 35% CAGR1 World-class Seamless © Allianz SE 2016 customer services technology integration 1) CAGR 2015–2020 F 13

81. Slide 81: G. Allianz in the low interest rate environment

    G. Allianz in the low interest rate environment Dieter Wemmer CFO Allianz SE Munich, November 30, 2016

82. Slide 82: Concerns versus facts

    G. Allianz in the low interest rate environment Concerns versus facts Concern Fact 1 Declined yields reduce EPS growth Impact from lower yields manageable 2 Combined ratio target of 94% too ambitious Action plan implemented 3 Run-offs not sustainable Excellent reserve quality 4 L/H business model no

83. Slide 83: Impact from lower interest rates manageable

    G. Allianz in the low interest rate environment 1 Impact from lower interest rates manageable Net income impact of 50bps lower yields on 5% EPS growth target plan EUR 2018e Comments P/C -0.1bn  Duration of 5 with a current yield of 2.7% for debt securities as of 3Q 2016 L/H -0.1bn  Largely cash fl

84. Slide 84: 94% CR target 2018 achievable

    G. Allianz in the low interest rate environment 2 94% CR target 2018 achievable +1.1%-p -0.4%-p 94.6% ~0%-p ~94.3% At least ~94% -1.0%-p At least -0.3%-p Normalization Improvement Impact of price Claims Expenses / for NatCat South America, movements inflation to be efficiency gains and run-off AGCS

85. Slide 85: Excellent reserve quality

    G. Allianz in the low interest rate environment 3 Excellent reserve quality Run-off ratio 2006 – 3Q 2016 FFIC In % of NPE % Run-off ratio +8% +6% Releases Ø 4.5% +4% +2% 1.9 4.5 1.2 2.7 2.2 4.5 2.5 4.9 3.6 4.8 1.5 5.3 2.3 2.1 1.9 5.1 3.5 4.2 3.4 4.6 3.9 4.0 3.6 5.1 2.6 2.2 1.5 5.3 1.5 5.7 4.4 4.5 2.

86. Slide 86: Successful shift to modern L/H products

    G. Allianz in the low interest rate environment 4 Successful shift to modern L/H products Share of preferred lines of business1 NBM L/H OEs with RoE2 > 10% 80% 100% 72% 3.0% 20% 63% 19% 16% 2.6% 2.6% > 7% 27% 13% 46% 2.1% 54% 75% 17% 24% 65% 10% 21% 1.0% 16% 0.8% 39% 0.4% 36% > 10% 29% 29% 20% 12M 2

87. Slide 87: Allianz Leben: cash flow matched for 30 years

    G. Allianz in the low interest rate environment 5 Allianz Leben: cash flow matched for 30 years with sufficient buffers beyond Years 1-30 Years 1-60 In-force From fixed income and premiums  Portfolio largely duration Minimum guarantee and expenses matched (3Q 2016) EUR Cash inflows Surplus/deficit

88. Slide 88: Protektor: high hurdles for activation, exposure manageable

    G. Allianz in the low interest rate environment 6 Protektor: high hurdles for activation, exposure manageable Remaining potential impact manageable  Protektor protects customers, not companies Wide range of actions possible, e.g.  Existing Protektor funds of EUR 0.9bn sufficient to deal with small

89. Slide 89: Transparent capital management policy – unchanged

    G. Allianz in the low interest rate environment 7 Transparent capital management policy – unchanged Re-risking or As of 3Q 2016 capital actions 220%  Solvency II ratio at 186% Stated dividend policy  Unused M&A budget at  50% pay-out ratio EUR 2.5 - 3.0bn Target range  Dividend ratchet  20% of

90. Slide 90: Summary: we stick to our ambitions for 2018

    G. Allianz in the low interest rate environment Summary: we stick to our ambitions for 2018 9M 16 2018 9M 16 2018 Businesses with 3.5%1 5%1 EPS Growth NPS above market 50%4 75% SII interest rate 12.4%2 13% RoE Allianz Group sensitivity 11%-p <11%-p 94.4% 94% P/C CR PIMCO CIR 61.1% 60% L/H OEs with 7

91. Slide 91: Disclaimer

    Disclaimer These assessments are, as always, subject to the disclaimer provided below. Forward-looking statements The statements contained herein may include prospects, statements of extent of credit defaults, (vii) interest rate levels, (viii) currency exchange future expectations and other forward

Allianz — Investor Day (November 2016) on 6ix