Zurich Insurance Group Ltd · SIX:ZURN
Zurich Insurance — Zurich Financial Services — H1 2004 Earnings Presentation
16 slides from Zurich Insurance's earnings presentation, Aug 19, 2004
Slide 1: Half Year Results Reporting 2004
Half Year Results Reporting 2004 Zurich, August 19, 2004
Slide 2: Disclaimer and cautionary statement
Disclaimer and cautionary statement Certain statements in this document are forward-looking statements, including, but not limited to, statements that are predications of or indicate future events, trends, plans or objectives. Forward- looking statements include statements regarding our targeted pro
Slide 3: Agenda
Agenda • Introduction and Overview James J. Schiro • Half year results 2004 Patrick O’Sullivan • Q&A © Zurich Financial Services - Half Year Results Reporting 2004 3
Slide 4: Introduction and Overview
Introduction and Overview James J. Schiro Chief Executive Officer August 19, 2004
Slide 5: Financial highlights
Financial highlights in USD millions HY 2004 HY 20031 Change Gross written premiums and policy fees 26,412 25,971 2% Business operating profit 1,948 1,326 47% Net income 1,448 752 93% ROE, annualized 16.8%2 12.1%3 4.7pts Business operating profit ROE, annualized 15.1%2 9.8%3 5.3pts General Insurance
Slide 6: Half year results 2004
Half year results 2004 Patrick O’Sullivan Group Finance Director August 19, 2004
Slide 7: General Insurance key performance indicators
General Insurance key performance indicators Business Operating Profit Combined ratio (%) 1 98.8 in USD millions HY 2004 HY 2003 Change Total 96.7 NA Corporate 405 468 -13% NA Corp. 96.3 97.9 NA Consumer 92 57 61% 98.5 NA Cons. Continental Europe 412 289 43% 97.0 99.0 UKISA 322 224 44% Cont. Eur. 96
Slide 8: Insurance reserves development
Insurance reserves development in USD millions 2004 Reserves for losses and LAE, net, as of January 1 37,013 Net losses and loss adjustment expenses incurred Current year 10,219 Prior periods 656 Net losses and loss adjustment expenses paid -8,451 Other movements (FX and divestments) -914 Reserves f
Slide 9: Life Insurance key EV performance indicators
Life Insurance key EV performance indicators EV operating profit New business margin1 in USD millions HY 2004 HY 2003 Change Total 8.2 9.7 NA Consumer 120 184 -35% NA 27.5 Continental Europe 139 187 -26% Cons. 56.9 UKISA 260 176 48% Cont 5.5 Rest of World 34 36 -6% Europe 9.5 7.4 UKISA Total 553 583
Slide 10: Business operating profit by segment
Business operating profit by segment in USD millions HY 2004 HY 20031 Change General Insurance 1,302 953 37% Life Insurance 453 463 -2% Farmers Management Services 539 513 5% Other Businesses -69 -330 79% of which: Centre -79 -328 76% Corporate Center -277 -273 -1% Total 1,948 1,326 47% 1 Certain re
Slide 11: Shareholders' equity
Shareholders’ equity in USD millions 2 1 '0 0 0 -351 2 0 '0 0 0 -226 1,448 -758 - 450 1 9 '0 0 0 19,384 18,934 19,047 1 8 '0 0 0 Ba l a nce a s o f SOP 0 3 -0 1 Re sta te d N e t i nco m e N o m i na l Le g a l q u o te C ha ng e i n Ba l a nce a s o f D e c 3 1 , 2 0 0 3 i m p l e m e nt. Ba l a nc
Slide 12: Q&A
Half Year Results Reporting 2004 Q&A
Slide 13: Appendix
Half Year Results Reporting 2004 Appendix
Slide 14: Farmers P&C Group Companies (1/3)
Farmers P&C Group Companies1 (1/3) in USD millions HY 2004 HY 2003 4'000 40.0% Gross written premiums 7,083 6,908 38.0% Net underwriting gain 67.6 (174.8) 3'800 Net surplus change (YTD) 231.3 70.5 36.0% 3'600 12-month gain 372.0 34.0% Ending Surplus 3,915.6 3,543.6 3'400 Surplus Ratio 37.0% 35.6% 32
Slide 15: Farmers P&C Group Companies (2/3)
Farmers P&C Group Companies (2/3) Combined ratio by line of business HY 2004 HY 2003 Change Auto 100.8% 99.0% -1.8pts Homeowners 84.8% 97.9% 13.1pts Commercial P&C1 100.1% 104.8% 4.7pts Specialty 90.2% 92.5% 2.3pts Sub total 96.6% 100.1% 3.5pts Earthquake 1.1% 1.5% 0.4pts Total 97.7% 101.6% 3.9pts A
Slide 16: Farmers P&C Group Companies (3/3)
Farmers P&C Group Companies (3/3) Quarterly Combined Ratio 125% 120% 115% 110% Californian Wildfires 105% 100% 95% 90% Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 2001 2002 2003 2004 © Zurich Financial Services - Half Year Results Reporting 2004 16
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