Swiss Re Ag · SIX:SREN
Swiss Re — Investor Presentation (November 2017)
32 slides from Swiss Re's investor presentation, Nov 17, 2017
Slide 1: Who are the Ageing? Who pays for them?
Who are the Ageing? Who pays for them? Domenico Savarese Head of L&H Products Strategy Zurich, 17th November 2017 We’re smarter together
Slide 2: Ageing: an opportunity
Ageing: an opportunity 2
Slide 3: Global consumption forecasts by age groups (2015-2030)
Global consumption forecasts by age groups (2015-2030) 60+ Developed China world 29% years old 15-59 North China Others 46 years old America All other 75% from higher per-capita spending 25 groups (vs. population growth) Growth in USD 23 trillion consumption Changing New con- Tech Evolving Structura
Slide 4: Who are the ageing?
VAVA aXe) are the ageing?
Slide 5: Ageing consumer research 2016-17
9 countries 900 personal 9000 online consumer contacts 5000 hours with consumers Source: Swiss Re Ageing consumer research 2016-17 5
Slide 6: People's views on Ageing are varied and often messy
People’s views on Ageing are varied and often messy Source: Swiss Re Ageing consumer research 2016-17 66
Slide 7: Vision and Provision
Vision and Provision Source: Swiss Re “Who are the ageing?”, 2017 77
Slide 8: Ageing consumer research 2016-17
Source: Swiss Re Ageing 8 consumer research 2016-17
Slide 9: Propensity to buy Ageing solutions: Need type trumps objective need
Propensity to buy Ageing solutions: Need type trumps objective need Share of respondents who made need-specific preparations for retirement, % Health status Income levels Need types Health Care Funding Bequest Healthy Serious cond. Low High Segment 4 Segment 2 Minor cond. Medium Segment 3 Segment 1
Slide 10: Owl: Stay in established environment. Strive to upgrade it
Owl: Stay in established environment. Strive to upgrade it “planner” Enjoy lifetime achievements Continued control and be self-sufficient Access to all types of information Reliability of product and certainty of being protected Source: Swiss Re “Who are the ageing?”, 2017 10
Slide 11: Eagle: Continue the good and full life
Eagle: Continue the good and full life, enjoy high quality of life “entrepreneur” Explore the world and seek new experiences Remain active when retired, create value for society Delegate time-consuming and complex tasks Fear trusting the wrong consultant/sales person Source: Swiss Re “Who are the ag
Slide 12: Ostrich: Look forward to have free time
Ostrich: Look forward to have free time, not very aspirational “recipient” Prefer hobbies, travel to known destinations Freeze stability, avoid change Stay alert to risk of state pension Fear for young generation and poverty at older age Source: Swiss Re “Who are the ageing?”, 2017 12
Slide 13: Toucan: Don't think much about ageing
Toucan: Don’t think much about ageing: live in the moment “explorer” Old age is the new youth: young-at-hearts Optimistic and idealistic about the future Can see the truth of growing older without financial plans Positive about new challenges and meeting new people Source: Swiss Re “Who are the agei
Slide 14: What is your ageing profile? Please vote
What is your ageing profile? Please vote 1= Planner 2= Entrepreneur 3= Recipient 4= Explorer Source: Swiss Re Ageing 14 consumer research 2016-17
Slide 15: Source: Swiss Re “Who are the ageing?”, 2017;
Source: Swiss Re “Who are the ageing?”, 2017; ANZ “Through Retirement” consumer research, 2016 15
Slide 16: Who pays for ageing?
Who pays for ageing? 16
Slide 17: Who pays for ageing?
Source: Swiss Re Ageing consumer research 2016 17 Source: Swiss Re “Who pays for ageing?”, 2017
Slide 18: Ageing needs are funded by a wallet of savings, society support and insurance
Ageing needs are funded by a “wallet” containing individual savings, society support and insurance solutions ESTIMATES 18 Source: Swiss Re analysis based on numerous sources
Slide 19: Ageing needs are funded by a wallet of savings, society support and insurance
Ageing needs are funded by a “wallet” containing ESTIMATES individual savings, society support and insurance solutions Source: Swiss Re analysis based on numerous sources 19
Slide 20: Source: Swiss Re analysis based on numerous sources (“Who pays for ageing?”, 2017)
Source: Swiss Re analysis based on numerous sources (“Who pays for ageing?”, 2017) 20
Slide 21: Source: Swiss Re analysis based on numerous sources (“Who pays for ageing?”, 2017)
Source: Swiss Re analysis based on numerous sources (“Who pays for ageing?”, 2017) 21
Slide 22: Source: Swiss Re analysis based on numerous sources (“Who pays for ageing?”, 2017)
Source: Swiss Re analysis based on numerous sources (“Who pays for ageing?”, 2017) 22
Slide 23: Multiple trends impact consumer needs and funding sources
Multiple trends impact consumer needs and funding sources Source: Swiss Re “Who pays 23 for ageing?”, 2017
Slide 24: The absolute impact of Ageing cannot be underestimated
The absolute impact of Ageing cannot be underestimated 80+ years old 65-79 years old % of population 2015 17% 5 Total 65+ 0.6 Bn 13 2.5x 27% % of population 2050 9 Total 65+ 17 1.5 Bn Europe Far East North South Oceania Other Africa Asia America America Asia Aged population (absolute figures) Far Ea
Slide 25: 2x seniors but 20% fewer middle-aged people by 2050
2x seniors but 20% fewer middle-aged people by 2050 Source: United Nations (medium fertility scenarios) 25
Slide 26: Where is our core customer group going?
Where is our core customer group going? More elderly... ...fewer 30-49 years old Million individuals 2.4 2.3 1.8 -5% 1980 2015 2050 1980 2015 2050 437 307 -30% 205 Source: United Nations (medium fertility scenarios) 26
Slide 27: Underwriting the elderly: yet another inverted pyramid
Underwriting the elderly: yet another inverted pyramid Age 35 Age 75 Known impairment Suspect impairment Apparently healthy Source: Swiss Re 27
Slide 28: Repeated phrase types, word types, indefinite words by age
9,000 8,000 7,000 6,000 5,000 4,000 Repeated phrase types Word types 3,000 25 30 35 40 45 50 55 60 65 70 75 80 85 1.5 Indefinite words, % 1.0 0.5 0.0 25 30 35 40 45 50 55 60 65 70 75 80 85 Source: University of Toronto (I. Lancashire, G. Hirst); Wikipedia 28
Slide 29: A call to action for us
A call to action for us re/insurers: Be relevant or be bypassed Consumption Low-yield world Family structure Public finances Source: Swiss Re 29
Slide 30: Centre on the ageing consumer, accelerate innovation
Centre on the ageing consumer, accelerate innovation swissre.com/ageing 30
Slide 31: (in) Swiss Re
(in) Swiss Re 31
Slide 32: Legal notice
Legal notice ©2017 Swiss Re. All rights reserved. You are not permitted to create any modifications or derivative works of this presentation or to use it for commercial or other public purposes without the prior written permission of Swiss Re. The information and opinions contained in the presentati