Allianz Se · XETR:ALV

Allianz — Investor Day (July 2014)

97 slides from Allianz's investor day presentation, Jul 4, 2014

1. Slide 1: Capital Markets Day

   Capital Markets Day Allianz Insurance UK Allianz Insurance Australia Allianz Worldwide Partners Allianz SE London, July 4, 2014

2. Slide 2: Agenda

   Agenda A Introduction Dieter Wemmer B Allianz UK Jon Dye C Allianz Australia Niran Peiris D Allianz Worldwide Partners Ida Luka-Lognoné E Allianz SE Dieter Wemmer Disclaimer Investor Relations contacts © Allianz SE 2014

3. Slide 3: Introduction

   Introduction Dieter Wemmer CFO Allianz SE London, July 4, 2014

4. Slide 4: Allianz is one of the strongest financial communities

   A. Introduction Allianz is one of the strongest financial communities … … servicing approximately © Allianz SE 2014 83 million customers B2C, 25 million micro insurance customers and Countries with Allianz presence 250 million customers B2B2C A2

5. Slide 5: Complementing local presence with global coverage

   A. Introduction … complementing local presence with global coverage Regions France Australia Asia Germany Spain USA insurance Italy UK CEE Austria Portugal Benelux Ireland Middle Suisse Latin Greece East America Turkey Africa Global lines Allianz Global Corporate & Specialty Allianz Asset Management

6. Slide 6: Strong position in all business segments and global business units

   A. Introduction Strong position in all business segments and global business units … (EUR bn) World market Business segment Global business unit position1 #1 P/C Credit insurance Assistance business2 1. Allianz 47 1. Euler Hermes 2.5 1. Allianz Global Ass. 2.4 2. State Farm3 39 2. Atradius 1.6 2. Eu

7. Slide 7: Increasing geographic diversification

   A. Introduction … and an increasing geographic diversification 42 44 47 10% 4% 100% North America 14% 2% 3% 6% P/C Other mature markets GPW Western Europe 67% 67% 54% (EUR bn) 11% Emerging markets 8% 6% 25% Global Lines 10% 12% 12% 34 47 57 100% North America 15% 19% 13% L/H GPW Western Europe 78% 7

8. Slide 8: Capital Markets Day London: today's universe

   A. Introduction Capital Markets Day London: today’s universe UK Allianz SE Australia © Allianz SE 2014 AWP A6

9. Slide 9: Allianz Insurance UK

   Allianz Insurance UK Jon Dye CEO Allianz Insurance UK London, July 4, 2014

10. Slide 10: UK at a glance

    B. Allianz Insurance UK UK at a glance Key data 2013 P/C market size1 (GPW, EUR bn2) and growth (GBP)  Population: 64mn CAGR 3.0%  GDP (EUR): 1,900bn 47 51 44 44 46 42  GDP growth: 1.9%  GDP/capita (EUR): 30,180  Inflation: 2.5%  Insurance penetration3 2.5%  Country rating (S&P): AAA 2009 201

11. Slide 11: Allianz Insurance in UK (1)

    B. Allianz Insurance UK Allianz Insurance in UK (1) Revenues (EUR mn) Operating profit (EUR mn) Highlights CAGR1 +2.2% CAGR1 -2.5%  Fifth largest P/C insurer in the UK 2,318 2,274  Customer count of 4.2mn by YE 2013 2,111 206 215 201  Strong player growing its market share in a competitive market

12. Slide 12: Allianz Insurance in UK (2)

    B. Allianz Insurance UK Allianz Insurance in UK (2) 2013 Product mix (GPW) Distribution mix (GPW) Market shares (GPW) Engineering 10% Motor 37% Direct 2% Brokers 98% 12% Packages 15% 9% Commercial GPW 5% 5% EUR 1,179mn 1% Liability 15% Property 23% RSA Aviva AXA Ageas Other 5% Pet 31% Other 10% Brok

13. Slide 13: UK insurance market

    B. Allianz Insurance UK UK insurance market UK is the largest insurance market in Europe … … but highly competitive in P/C Other 27% USA 28% Other 50.2% Aviva 12.2% RSA 10.6% Worldwide premiums P/C by country market shares UK (P/C + Life GPW 2013, DLG1 8.0% (GPW 2013) Italy 4% total EUR 2.9tn) South

14. Slide 14: A consistent track record of performance

    B. Allianz Insurance UK A consistent track record of performance Average combined ratio Cumulative growth in GPW Dividends 2009 - 2013 (%) 2009 - 2013 (%) 2009 - 2013 96.2 21.7 99.0 -17.6  GBP 380mn 101.0 -6.9 103.7 15.6 89 80 106.8 -33.2 © Allianz SE 2014 108.1 5.5 2009 2013 Sources: SynThesys PRA

15. Slide 15: Strategy going forward

    B. Allianz Insurance UK Strategy going forward Commercial Retail  Underwriting capabilities and distribution optimization  Maintain leadership in pet insurance underpin growth  Build further successful corporate distribution  Customer segmentation and differentiated offerings partnerships are ke

16. Slide 16: Commercial: strong underwriting expertise

    B. Allianz Insurance UK Commercial: strong underwriting expertise … Commercial Excellent underwriting expertise (CR in %) Allianz GPW CAGR 2009 - 2013 (in %) Peers1 3 110 Loyalty position2 2 99 100 100 0 +1.86 97 98 95 96 96 89 1 1 1 1 1 -6 -14.7 -8 2009 2010 2011 2012 2013 AXA Aviva RSA Zurich  Co

17. Slide 17: Commercial: further growth potential in diversified portfolio

    B. Allianz Insurance UK … with further growth potential in well diversified portfolio Commercial Commercial Share of Market Combined Business description and future focus Additional focal points 2013 business share ratio Current and future performance driven by:  strong technical knowledge A large

18. Slide 18: Retail: optimizing growth and profit

    B. Allianz Insurance UK Retail: optimizing growth and profit Retail Allianz Excellent underwriting expertise (CR in %) GPW CAGR 2009 - 2013 (in %) Peers1 14 113 13 Loyalty position2 109 101 101 100 5 98 98 2 2 96 96 95 1 1 -12 2009 2010 2011 2012 2013 AXA -14.7 Aviva RSA DLG LV  Consistently outper

19. Slide 19: Retail: strong player with diversified business

    B. Allianz Insurance UK Retail: strong player with diversified business Retail Retail Share of Market Combined Business description 2013 business1 share ratio Market leading products with strong distribution and Pet2 31% 40% 92% excellent customer satisfaction, with renewal rates of 95% Motor 28% 2%

20. Slide 20: Retail: Petplan market leader

    B. Allianz Insurance UK Retail: Petplan will continue to be an outstanding market leader Retail GPW (GBP mn) Underwriting profit (GBP mn) CAGR 8.2% CAGR 11.6%  Business acquired by Allianz in 1996 400 30 for GBP 32mn 25 300  Number one brand in pet insurance 20 for 30 years 200 15  Longstanding r

21. Slide 21: Retail: Allianz UK Petplan TV advert

    B. Allianz Insurance UK Retail: Allianz UK Petplan TV advert Retail © Allianz SE 2014 B 13

22. Slide 22: Retail: grow in motor and property via direct sales

    B. Allianz Insurance UK Retail: grow in motor and property insurance via direct sales Retail New direct approach Motor and property are the dominant retail Allianz is underweight Customers business lines (>80% of in retail motor and Mass affluent 35-54 year olds retail market GPW) property Product M

23. Slide 23: Retail: building successful corporate partnerships

    B. Allianz Insurance UK Retail: building successful corporate partnerships Retail Car insurance for Key achievements Key achievements Key achievements motor manufacturers 2013 until 2013 until 2013 >250 Covering more than 40% of all  GPW GBP 44mn  All BMW products  Broker model new car registrati

24. Slide 24: Cost efficiency: consistent outperformance

    B. Allianz Insurance UK Cost efficiency: consistent outperformance Cost efficiency Expense ratio (excluding commission in %) 25% 20%  Offshore captive provides 15% significant cost advantage  Commercial branch network and retail contact centers Allianz Peers1 deliver efficient platforms 10% Market

25. Slide 25: Cost efficiency: offshore captive in India

    B. Allianz Insurance UK Cost efficiency: offshore captive in India provides competitive advantage Cost efficiency Benefits to UK Offshoring activities started in 2003 in Trivandrum, India business of GBP 40mn p.a. (total cost base Wholly owned subsidiary, delivering systems development, financial &

26. Slide 26: Brand strategy

    B. Allianz Insurance UK Brand strategy – Allianz presented as a consumer brand in Brand strategy the UK for the first time © Allianz SE 2014 B 18

27. Slide 27: Key takeaways

    B. Allianz Insurance UK Key takeaways Outperforming peers in CR and GPW growth Market leading underwriting capability in commercial allows further gain in market share Strong growth aspiration in retail, including investment in direct sales Branding activities deliver greater name awareness Profitab

28. Slide 28: Allianz Insurance Australia

    Allianz Insurance Australia Niran Peiris CEO Allianz Australia London, July 4, 2014

29. Slide 29: Australia at a glance

    C. Allianz insurance Australia Australia at a glance Key data 2013 P/C market size (GPW, EUR bn2) and growth (AUD)  Population: 23mn CAGR3 +7.1%  GDP (EUR): 1,129bn  GDP growth: 2.4% 25 27 21 23  GDP/capita (EUR): 48,687 19 20  Inflation: 2.8%  Insurance penetration1: 2.2%  Country rating (S&

30. Slide 30: Allianz Insurance in Australia (1)

    C. Allianz insurance Australia Allianz insurance in Australia (1) Revenues (EUR mn) Operating profit (EUR mn) Highlights  Fourth largest insurer in the Australian market CAGR +7.6%1 CAGR +11.1%1  The only truly integrated multi-channel, multi-line insurer 3,018 2,847  Sustainable cost leadership

31. Slide 31: Allianz Insurance in Australia (2)

    C. Allianz insurance Australia Allianz insurance in Australia (2) 2013 Product mix (GPW) Distribution mix (GPW) Other 16% Motor 61% Club Marine 5% Fronting for AGA1 Automotive 43% 8% Retail Direct 13% GPW EUR 1,755mn Property 23% Brokers 14% Financial services 17% Other 30% Property 28% Direct 2% Au

32. Slide 32: Strategy on a page

    C. Allianz insurance Australia Strategy on a page Growth Discipline Diversification Ambition: 12% to 16% of Goals Grow 2% faster than market CR ≤ 95% operating profit from over the cycle diversified businesses1 1. Multi-channel leadership: 1. Underwriting excellence 1. Claims and premium services: -

33. Slide 33: Distribution: integrated multi-channel, multi-line insurer

    C. Allianz insurance Australia Growth Distribution: an integrated multi-channel, multi-line insurer that can choose where and how it competes Distribution mix (GPW)1 Distribution highlights Club Marine 3%  Number 1 NPS4 position Direct 9% Broker and  Leading loyalty program (Blue Eagle) Financial

34. Slide 34: Financial institutions: focused approach within distribution channels

    C. Allianz insurance Australia Growth Example financial institutions: focused approach within distribution channels Sophisticated segmentation … combined with … leads to Segmentation approach of distribution partners1 … focused distribution model2 … superior growth2 (CAGR 2009 - 2013)  Understand a

35. Slide 35: Automotive business

    C. Allianz insurance Australia Growth Automotive business A value proposition built on deep understanding and experience … Understanding customers needs Understanding distributor needs (dealers, financiers, manufactures) “A convenient and easy way to cover/secure all Allianz will ensure you maximize

36. Slide 36: Products: solutions for retail and small business customers

    C. Allianz insurance Australia Growth Products: attractive solutions for retail and small business customers Product mix (GPW excl. fronting)1 GPW 1 Mkt. share1 3 yr CR4 Product group (AUD mn) (%) CAGR3 (%) Other2 3% Retail motor 38% Retail motor 1,470 12.5% 7.9% 94.4% Pleasure craft 3% Commercial l

37. Slide 37: Rising brand awareness supports growth

    C. Allianz insurance Australia Growth Rising brand awareness supports direct and intermediated growth Unaided/spontaneous brand awareness Brand journey in %  Development of brand to support multi-channel distribution 100  Focused advertising on driving consumer awareness and consideration of Allia

38. Slide 38: Aaah moments

    C. Allianz insurance Australia Aaah moments © Allianz SE 2014 C 11

39. Slide 39: Disciplined underwriting facilitates profitable growth

    C. Allianz insurance Australia Discipline Disciplined underwriting facilitates profitable growth … GPW1 in AUD mn GPW CAGR 6.1% 3,740 3,915 3,108 3,380 2,573 2,832 2,241 2,394 2,423 2,521 2,170 Combined ratio 99.4 101.0 95.2 96.1 95.7 97.1 95.2 96.3 97.6 95.2 93.5 (%) Ambition Soft commercial market

40. Slide 40: Superior operating profits and RoEs

    C. Allianz insurance Australia Discipline … and supports superior operating profits / RoEs 1 Discipline leads to lowest admin. expense ratio … 18% (2013) 15% 15% 14% 12% IAG Suncorp Wesfarmers QBE Allianz … a favorable operating profit … (AUD mn) 482 460 430 420 490 519 Ambition 385 376 409 250 226

41. Slide 41: Diversified businesses stabilize earnings

    C. Allianz insurance Australia Diversification Diversified businesses stabilize earnings Fee for service model Basic structure of fee for service model  All risk is underwritten by the regulators  While we collect premiums and pay claims NT it is not our money privately underwritten  Operate unde

42. Slide 42: Key takeaways

    C. Allianz insurance Australia Key takeaways Flexible, integrated multi-line, multi-channel set-up High market shares in attractive product segments Fast growing brand awareness Proven underwriting and cost discipline Diversified businesses stabilize earnings © Allianz SE 2014 Target: 2% more organi

43. Slide 43: Allianz Worldwide Partners

    Allianz Worldwide Partners Ida Luka-Lognoné Member of the Board of Management Allianz Worldwide Partners London, July 4, 2014

44. Slide 44: AWP to set market standard in B2B2C

    D 1 2 AWP to set market standard in B2B2C AWP International Health business © Allianz SE 2014 D2

45. Slide 45: The Allianz Worldwide Partners market

    D. Allianz Worldwide Partners The Allianz Worldwide Partners market (Automotive, Assistance, International Health) Key data 2013 Modelled market size and growth (CAGR, EUR bn)1  Global expatriate population is supposed to grow by 3% p.a. from 2013 to 20172 >60 CAGR 2013-’16 ~47 ~50 14 11%  Global

46. Slide 46: AWP at a glance (1)

    D. Allianz Worldwide Partners AWP at a glance (1) GPW (EUR mn)1 Revenues (EUR mn)2 Highlights +14.7% +7.6%  Target legal set-up for AWP finalized  Implementation of common operations & IT platform started 2,507 5,978 2,186 5,557 with fast scale-up of Global Competence Centers (GCCs) 83 2 2,551 452

47. Slide 47: AWP at a glance (2)

    D. Allianz Worldwide Partners AWP at a glance (2)1 Product mix (revenues) Distribution mix (revenues) Automotive PPI2 and other P/C 12% Motor 80% APAC & South Africa 12% Australia 34% 2013 Warranty 8% Europe ex Germany 25% EUR 2,551mn Germany 29% International IGO / NGO3 32% Expats / Corporate 68% D

48. Slide 48: AWP only company with leading positions in three lines

    D. Allianz Worldwide Partners AWP is the only company with leading positions in International Health, Global Automotive and Assistance 1 LoB 2 LoBs 3 LoBs Revenues Competitors Presence in number of LoBs © Allianz SE 2014 Each segment achieved double-digit growth rates on its own in the past. We expe

49. Slide 49: AWP is more than the sum of its parts

    D. Allianz Worldwide Partners AWP is more than the sum of its parts  Motor insurance and mobility services, PPI1, EW2  GPW 2013: EUR 2.6bn3  Customers: 6mn  IPMI4, life, accident and disability for expatriates and IGOs / NGOs  GPW 2013: EUR 1.0bn3 B2B2C expertise Combining Allianz assets to ser

50. Slide 50: 'One AWP' value proposition

    D. Allianz Worldwide Partners ‘One AWP’ value proposition Set market standards for integrating Common global platform, AWP with global business partners market management and innovation Vision Attractive product bundles for business-partners and customers AWP Increased customer touch-points and Supp

51. Slide 51: AWP as innovation driver

    D. Allianz Worldwide Partners AWP as innovation driver Digital capability  Operating similarities between LoBs, which all have leading market positions on their own Ensure digital readiness of  Growth & expertise: LoBs have deep knowledge product offering of global B & C market trends ▪ Freeing up

52. Slide 52: Digital access, services and insurance lead to unique offers

    52 D. Allianz Worldwide Partners The combination of digital access technologies, services and insurances leads to unique offers Connected Life = Digital Access + Assistance + Insurance A Connected home B Connected car C Connected health  Security and safety for family and  Safety and security whil

53. Slide 53: Client eco system generating value for customers

    D. Allianz Worldwide Partners This allows us to create a client eco system, generating substantial value for B- & C-customers Travel / Assistance Allianz Worldwide Partners Home / Assistance Insurance Assistance Insurance Assistance Assistance Assistance add-ons like B-services: add-ons like Applian

54. Slide 54: Key takeaways

    D. Allianz Worldwide Partners Key takeaways Growth engine responding to the globalization of retail business Innovation driver for digitally driven delivery and services Deep integration with global B-partners and 24h customer service worldwide © Allianz SE 2014 D 12

55. Slide 55: AWP International Health business

    D 1 2 AWP to set market standard in B2B2C AWP International Health business © Allianz SE 2014 D 13

56. Slide 56: Allianz Worldwide Care: the start-up success story

    D. Allianz Worldwide Partners Allianz Worldwide Care: the start-up success story Staff Helpline calls 2014 AWP starts answered within 213,754 61% Female helpline calls 2012 Belgium and China offices open. 7secs answered (2013) Granted branch license in Qatar 39% Male 2011 Successful entry into IGO m

57. Slide 57: Our awards

    D. Allianz Worldwide Partners Our awards 2004 2005 2008 2010 2011 2013 2014 © Allianz SE 2014 D 15

58. Slide 58: Financial results AWC Dublin

    D. Allianz Worldwide Partners Financial results AWC Dublin1 GPW CAGR: 22.2% 452 383 20.7% 302 22.4% 245 30.4 16.4% 169 182 GPW (EUR mn) 136 16.7% 23.7 21.3% 23.9% Return on equity (net)2 23.5% 14.1 10.1 8.5 9.0 Operating profit (EUR mn) 5.4 Combined ratio 97.0% 96.4% 95.8% 96.5% 95.9% 93.9% 93.3% ©

59. Slide 59: Success factors

    D. Allianz Worldwide Partners Success factors AWC Success factors Allianz brand Service-oriented company culture 24 / 7 accessibility in 6 languages Efficient IT system Highly effective cost containment © Allianz SE 2014 Partnerships for locally compliant solutions D 17

60. Slide 60: MyHealth app

    D. Allianz Worldwide Partners MyHealth app as an example for taking service to the next level Mobile health management / mobile commerce Mobile health app scheduled for roll-out in July 2014  First app in the IPMI market to deliver quick and easy claims submission  Use app to photograph medical re

61. Slide 61: Leveraging existing capabilities to maximize future opportunities

    D. Allianz Worldwide Partners Leveraging existing capabilities to maximize future opportunities New AWC incl. AWC going forward: AWC Dublin Allianz France International Health harvesting opportunities from new setup  From a start-up  Merger with AZ France IH, a leading  Optimal customer service w

62. Slide 62: Product range

    D. Allianz Worldwide Partners Product range International Accidental death Third party Corporate private medical Life cover and Disability administration assistance insurance (IPMI) dismemberment © Allianz SE 2014 D 20

63. Slide 63: Major client groups

    D. Allianz Worldwide Partners Major client groups Food Manufacturing, Oil, gas Transportation and beverage technology and retail IGO, © Allianz SE 2014 Legal and financial Private individuals/ Construction governmental, services families NGO D 21

64. Slide 64: Distribution channels

    D. Allianz Worldwide Partners Distribution channels AWC Distribution AZ OEs Local specialist brokers Employee benefit specialists Online © Allianz SE 2014 International brokers D 22

65. Slide 65: Significant growth potential to be tapped

    D. Allianz Worldwide Partners Significant growth potential to be tapped International private medical AWC with AWC opportunities insurance (IPMI) market trends strong growth prospects (revenues, EUR mn)2 CAGR 13.2% 1,262  Continue multinational  Continuing increase in the corporate market number o

66. Slide 66: 2014: AWC to become the largest player in GPW

    D. Allianz Worldwide Partners 2014: Confident prediction that AWC will become the largest player in terms of GPW © Allianz SE 2014 D 24

67. Slide 67: Allianz SE

    Allianz SE Dieter Wemmer CFO Allianz SE London, July 4, 2014

68. Slide 68: Functions of Allianz SE

    E 1 2 Functions of Allianz SE Financing and liquidity management 3 Capital and risk management 4 IT development and strategy 5 Summary © Allianz SE 2014 E2

69. Slide 69: Key functions of holding company

    E. Allianz SE Key functions of holding company Strategy Financing Governance Liquidity management Business steering Allianz SE Capital management IT development Risk management & strategy & reinsurance © Allianz SE 2014 E3

70. Slide 70: Functions of Allianz SE

    E 1 2 Functions of Allianz SE Financing and liquidity management 3 Capital and risk management 4 IT development and strategy 5 Summary © Allianz SE 2014 E4

71. Slide 71: Prudent balance sheet management

    E. Allianz SE Prudent balance sheet management: participations fully covered by equity and long-term debt Assets Allianz SE 2013 (IFRS1, EUR bn) Liabilities 67.2 OE stakes / Shareholders’ equity 48.6 participations Subordinated debt 10.9 Including senior bonds, Pension liabilities 6.4 commercial pap

72. Slide 72: Best-in-class rating and risk management

    E. Allianz SE Best-in-class rating and risk management S&P financial strength rating / outlook1 S&P enterprise risk management (ERM) AA+  AA+  AA+   “Very strong” AA   Highest possible rating, best in class2 AA  AA  AA-  AA-  AA-   Recognition of internal capital model A+  by S&P A+  A

73. Slide 73: Modest financial leverage, well in AA range

    E. Allianz SE Allianz Group: modest financial leverage, well in AA range (EUR bn) Financial leverage1 27.2% 25.7% Senior debt leverage2 12.0% 12.5% S&P fixed charge coverage3 8.3x 8.5x 11.4 9.83 50.4 50.1 Senior debt4 Hybrid bonds5 7.4 7.5 © Allianz SE 2014 Shareholders’ equity 2012 2013 1) Calculat

74. Slide 74: Declining financing costs for existing debt

    E. Allianz SE Declining financing costs for existing debt … Interest expenses in %1: sub bonds 6.3% 6.0% 6.1% 5.9% 5.3% Interest expenses in %2: senior bonds 4.9% 4.9% 4.6% 4.0% 3.9% Interest expenses EUR mn p.a.3 991 963 959 890 675 647 659 629 402 272 315 316 300 261 Subordinated bonds 6.8 7.4 7.5

75. Slide 75: Future financing activities

    E. Allianz SE … and for future financing activities 7.4% 6.4% Yield-to-call1: sub bonds 5.8% 3.7% Yield-to-maturity2: senior bonds 2.8% 3.0% 3.0% 1.7% 2.0% 1.9% Interest expenses EUR mn p.a.3 991 963 959 890 675 647 659 629 402 272 315 316 300 261 Subordinated bonds 6.8 7.4 7.5 130 © Allianz SE 2014

76. Slide 76: Solid economic solvency ratio

    E. Allianz SE Solid economic solvency ratio Economic solvency1,2 (EUR bn) 203% Solvency II model adoption3 Transferability restrictions removed 66.0 Correlation updated Sovereign credit and pension risk reflected 32.5 Volatility adjusted for spread risk Limited sensitivity Available funds Requiremen

77. Slide 77: Global systemically important insurers (G-SII) status quo

    E. Allianz SE Global systemically important insurers (G-SII) – status quo Current G-SII G-SII Player P/C Life AM/Banking  Identified by Financial Stability Board according to methodology of International Association of Insurance Supervisors Europe  Reviewed annually by Financial Stability Board Co

78. Slide 78: Timeline Solvency and G-SII

    E. Allianz SE Timeline Solvency 2 and G-SII S2 May EIOPA: 2H 2014 Finalization January Solvency 2 Technical of level 2 goes live specifications work 1Q 2014 preparation Omnibus 2 phase Autumn comes into Major uncertainties (e.g. force. Level 2 June - August volatility adjuster, work starts EIOPA: tr

79. Slide 79: Strong free cash flows

    E. Allianz SE Strong free cash flows 2013 (EUR bn) Allianz SE -1.6 AM 3.2 -1.4 -0.4 L/H 2.7 7.7 P/C 5.3 Operating Non-cash Admin. expenses, Strategic IT Free © Allianz SE 2014 profit items pensions, investments cash flow interest paid, (before M&A, other tax and dividends) E 13

80. Slide 80: High remittance ratio

    E. Allianz SE High remittance ratio P/C L/H AM Corporate/Other Net income s/h Net income s/h Net income s/h Net income s/h x x x ~ 85% ~ 70% ~ 100% ~ EUR -1.3bn Ø remittance ratio > 80% Additional measures to upstream ~ EUR 3bn until © Allianz SE 2014 capital from operating entities end of 2016 E 14

81. Slide 81: Fast up-streaming of dividends to Allianz SE

    E. Allianz SE Fast up-streaming of dividends to Allianz SE Example: PIMCO Operating entity Regional holdings Central holding Allianz SE Timing1 t0 PIMCO t0 US sub-holding t0 LH t0 PC Allianz Europe B.V. t0 t1 (Amsterdam) LH t0 t1 French sub-holding t1 t0 PC 67% of OE 45% 55% remittance Allianz SE t1

82. Slide 82: Functions of Allianz SE

    E 1 2 Functions of Allianz SE Financing and liquidity management 3 Capital and risk management 4 IT development and strategy 5 Summary © Allianz SE 2014 E 16

83. Slide 83: Adequate capital position at OE level

    E. Allianz SE Adequate capital position at OE level, local excess capital up-streamed into central capital buffer at Allianz SE Capitalization Tight solvency limits  Local entities to be capitalized at ratio regulatory minimum plus adequate Upstream excess capital to Allianz SE volatility buffer fo

84. Slide 84: Consistent capital allocation process

    E. Allianz SE Consistent capital allocation process … Optimize available capital:  > Risk capital  Minimize excess capital  Meet constraints (rating, solvency) 1 Budget for  Debtholders (rating policy) 2 Available allocation Risk  Shareholders capital capital (dividend policy) Risk capital allo

85. Slide 85: Risk-capital based business steering

    E. Allianz SE … with risk-capital based business steering P/C NEP Claims Expenses Risk free Capital Tax Economic inv. income1 benefit2 profit = 15% Return on RoRC takes the following Risk Capital (RoRC) into account: > 15% RoRC ambition  Economic profit = numerator  Risk capital = denominator NatC

86. Slide 86: Efficient use of reinsurance

    E. Allianz SE Efficient use of reinsurance … Structures its local reinsurance program OE in line with Group guidelines All P/C treaties excl. cat XL Cat XL Pools cat risk, calculates Group 100% Allianz Re 100% Allianz Re retention in line with Group risk appetite Quota share as com- max. External Pe

87. Slide 87: Usage of diversification potential

    E. Allianz SE … allows usage of diversification potential … Cat risks as part of total capital requirements Cat risks as part of total capital requirements (1Q 2014, EUR bn) (1Q 2014) Cat risks only 3% 1.9 P/C cat risks 3% 1.0 P/C premium risk 7% P/C reserve risk 6% L/H non-market risks 1% Market ri

88. Slide 88: Reduces externally ceded volume and profits

    E. Allianz SE … and reduces externally ceded volume and profits External treaty cessions of AZ Group1 (EUR mn) 1,135 1,125 816 500-600 145 143 101 60 xx = Ceded underwriting profit (EUR mn) 2012 2013 2014e 2015e © Allianz SE 2014 1) Based on underwriting year view and only for core treaty business.

89. Slide 89: Functions of Allianz SE

    E 1 2 Functions of Allianz SE Financing and liquidity management 3 Capital and risk management 4 IT development and strategy 5 Summary © Allianz SE 2014 E 23

90. Slide 90: AMOS: transforming Allianz into a digital Group

    E. Allianz SE AMOS1: transforming Allianz into a digital Group Ongoing optimization,  Founded in 2010 e.g. overhead reduction  Global shared services company for Allianz Group in the area of IT (infrastructure, application development and maintenance), Services provided to operations, and business

91. Slide 91: Global rollout of major AMOS projects

    E. Allianz SE Global rollout of major AMOS projects Done In progress Planned AZ SE AWP AZ Re AAM CEEMA Benelux LatAm AGCS Data center Asia consolidation AZ SE AZ Re Benelux AGCS AWP LatAm Asia Allianz Global Network Asia AWP Benelux © Allianz SE 2014 Core insurance platforms E 25

92. Slide 92: Functions of Allianz SE

    E 1 2 Functions of Allianz SE Financing and liquidity management 3 Capital and risk management 4 IT development and strategy 5 Summary © Allianz SE 2014 E 26

93. Slide 93: Healthy position for dividend payment

    E. Allianz SE To sum it up: healthy position for dividend payment Dividend per share (in EUR) CAGR +7% +18% 5.30 4.50 4.50 4.50 4.10 Payout ratio1 40% 40% 81% 40% 40% tbd © Allianz SE 2014 2009 2010 2011 2012 2013 2014e 1) Based on net income attributable to shareholders, no adjustment for treasury

94. Slide 94: Capital Markets Day Wrap-up

    Capital Markets Day Wrap-up London, July 4, 2014

95. Slide 95: Allianz Group: skills, scale and brand

    Wrap-up Allianz Group: skills, scale and brand provide unlimited access to business opportunities  Leading P/C insurer globally  Top 3 Life insurer globally  Top 3 asset manager globally  Largest global assistance provider  Worldwide leader in credit insurance  One of the leading industrial in

96. Slide 96: Investor Relations contacts

    Investor Relations contacts Oliver Schmidt  +49 89 3800-3963 Peter Hardy  +49 89 3800-18180 Head of E-mail: E-mail: Investor Relations oliver.schmidt@allianz.com peter.hardy@allianz.com Reinhard  +49 89 3800-17224 Christian  +49 89 3800-3892 Lahusen Lamprecht E-mail: E-mail: reinhard.lahusen@all

97. Slide 97: 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 (July 2014) on 6ix