Aviva Plc · LSE:AV.
Aviva — Investor Presentation (January 2023)
32 slides from Aviva's investor presentation, Jan 25, 2023
Slide 1: In Focus: UKGI Personal Lines
In Focus: UKGI Personal Lines 25th January 2023
Slide 2: Disclaimer & important information
Disclaimer & important information Cautionary statements This document should be read in conjunction with the documents distributed by Aviva plc (the ‘Company’ or ‘Aviva’) through The Regulatory News Service (RNS). This announcement contains, and we may make other verbal or written ‘forward- looking
Slide 3: Agenda
Agenda Welcome and introduction Charlotte Jones Group CFO UKGI Personal Lines update Adam Winslow CEO UK&l General Insurance Owen Morris MD UKGI Personal Lines BIAVIVA 3
Slide 4: UK Personal lines is a key contributor in a diversified group
UK Personal lines is a key contributor in a diversified group Our UKGI Personal Lines Business: UK&I General Insurance c.50% Personal Lines Strong and profitable growth opportunities in attractive market segments The focus of today’s session Well diversified across product and distribution, with tar
Slide 5: Aviva full year 2022 General Insurance update
Aviva full year 2022 General Insurance update * Aviva’s GI businesses in UK, Ireland & Canada continued to trade positively over the closing months of 2022 * We continue to price appropriately for inflation * 2022 full year weather for the Group broadly in line with long-term averages * December’s f
Slide 6: The UK Personal Lines market
The UK Personal Lines market Products | Distribution | Key trends | Major players
Slide 7: Personal Lines competitive landscape
Personal Lines competitive landscape Success in Personal Lines Leading providers by scale Positive trajectory Factors for success HY 2022 GWP!| £bn HY 2021 vs HY 2022 130013 12 ey Other Market Customer & Brand “4d Personal Lines Rank (Home I Motor PEER1 #1(1) > +23pp F) Technical Foundations & Effic
Slide 8: Aviva: Confidential
✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ Aviva: Confidential
Slide 9: The Aviva Personal Lines Business
The Aviva Personal Lines Business Diversification | Performance | Team | Strategic priorities
Slide 10: Aviva's well balanced and diversified PL business
Aviva’s well balanced and diversified PL business Diverse portfolio mix Multi- ibution model GWP, 2022 GWP, 2022 2% Retail fl Non-Retail Bi becker 18% £0.4bn 42% £1.0bn ime £0.9bn » £1.1bn HE Motor [lj Home emergency Hi travel 2014 2022 van [Gadget [ll other Vv #1in Homeand soon to be in High Net Wo
Slide 11: Transforming performance
Transforming performance 2019 to 2021 2022 to 202473 2027 Ambition? Portfolio reshapin Targeted Retail & Diversified & ping Specialist growth customer focused Strategic #1 Non-Retail player Prioritised mass-market Retail growth Optimised portfolio & diversified growth A h Dialling up in Retail #1 Ba
Slide 12: Refreshed leadership team to optimise performance
Refreshed leadership team to optimise performance o oe Managing Director Finance Director Owen Morris Tom Latter Retail Zero HNW Partnerships Broker & Affinities Stuart Michael Ann Jonathan Jonathan Curson Korner Owen Marsh Santer Customer Claims Data &Al Pricing & UW Marketing Charlotte Wagar Steph
Slide 13: Personal Lines' strategic priorities
Personal Lines’ strategic priorities 2027 Ambition? Atrusted r yy is Deeper Intelligent, Customer-led >5m customer customer digitally based roneritthns . champion er 5 aa 4 relationships journeys Prop’ Retail customers Becoming a ee 6 Accelerate Maintain diversified Se growth in Target si Home growt
Slide 14: Delivering on our Priorities
Delivering on our Priorities Customer | Growth | Foundations | Sustainability
Slide 15: Customer led, segmented PL portfolio strategy
Customer led, segmented PL portfolio strategy Quote me AVIVA AVIVA BANK ENERAL | a Gavinsure happy.com ero. L Pcw L DIRECT PARTNERSHIPS ACCIDENT © HomeServe RAC z 5 Environmentally aware 3 eerie Convenient, comprehensive We’re there for you when product cxcqulcncezwina 5 Chien iayontio nasa an ca ce
Slide 16: Deepening our customer centricity
Deepening our customer centricity Trusted consumer brands Deliver intelligent, digitally based journeys 36 34 Overall oe + Allservicing requirements enabled to be Transactional Digital completed online NPS » intuiti : Dec 2022 Intuitive customer journeys SBE moet mn * Voice assistant drives telephon
Slide 17: Leveraging our Aviva customer franchise
Leveraging our Aviva customer franchise Proven cross-sell capability in Personal Lines To be leveraged across the wider Aviva group Share of Aviva Direct sales to multi-product customers Growing marketable customer base By product Of allsales Personal Lines Retail Aviva group customer customers mark
Slide 18: The Retail and HNW growth opportunity
The Retail and HNW growth opportunity “< > Retail is largest segment & HNW is yA eae UK High Net Worth materially growing cal Ambition Individuals, 20212 8% 11% 11% Aviva has headroom to Retail t 4% > grow in both of these 2001 segments Retail HNW Partner Broker HNW t Approx. U/W margin? % 10 6 a >
Slide 19: Profitable, targeted, growing portfolio
Profitable, targeted, growing portfolio wy Evolution & flightpath of the portfolio tle Winning segment strategies Portfolio Retail & Diversified, Retail Non-Retail Reform Specialist ce r PCW and Direct growth Aviva through ‘own > >50% 67% brand’ strategy across multiple customer of PL GWP by 2024 =
Slide 20: Retail - multi-brand driver of profitable growth
Retail - multi-brand driver of profitable growth Expanding our competitive footprint via distinct, complementary customer propositions Increasingly PCW-based Retail portfolio composition Quote me happy.com £1.1bn 2022 GWP @) GENERAL ‘ACCIDENT PCW Five Year Ambition Flightpath {not to scale) To Date
Slide 21: Broker & HNW - shift to more attractive segments
Broker & HNW - shift to more attractive segments at Becoming market’s #1 HNW insurer LY Selective participation in Mass Market Broker Capability and clear targeting across all segments, from mid to ultra high net worth, exclusively via brokers ETO Team Customer access & competitive access or data ad
Slide 22: Partnerships - an evolving business
Partnerships - an evolving business Building on existing capability to maintain leading scale, optimise for new business and enhance our offering Leading in scale markets Bancassurance strength » > od HSBC Santander fom M&S = BANK GOO Home, Travel and Gadget insurance at scale, through some of the U
Slide 23: Aviva: Confidential
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Slide 24: Aviva: Confidential
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Slide 25: Aviva: Confidential
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Slide 26: Leading inflation response
Leading inflation response 2021 2022 2023 + > Early Mover © Performance Optimisation ) Mature, Leading Model Inflation task force mobilised September Leverage Solus to create better 2021 across Claims, U/W & Actuarial data, deeper into supply chain Multiple ongoing levers to manage inflation and opt
Slide 27: Industry leadership on Sustainability
Industry leadership on Sustainability Focus areas © Climate Action Stronger Communities Sustainable Business Target outcomes Net Zero Claims by 2030 and Net Zero Underwriting by 2040 Insuring the electrification & low carbon transition with 1m Aviva insured BEVs Lead in ensuring that Financial Servi
Slide 28: Aviva: Confidential
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Slide 29: In Summary
In Summary Key Takeaways | Q&A
Slide 30: Key takeaways
Key takeaways Factors for success in Personal Lines Customer & Brand Technical Foundations & Efficiency Retail Scale Diversified but Focused Key messages for Aviva Profitable growth opportunities in attractive segments - Retail & HNW - enabled by #1 brand VV) Leading diversification across products
Slide 31: Welcome and introduction UKGI Personal Lines update Q&A
Welcome and UKGI Personal Lines update introduction ✓ ✓ Q&A Aviva: Confidential
Slide 32: Aviva: Confidential
Aviva: Confidential