Allianz Group announces revenue of £2.9bn in the UK
Authored by Allianz
Half year results for Allianz Group reveal that the business continues to grow in the UK, achieving a total revenue of £2.88bn - up 12.9% on previous year.
Allianz’s insurance businesses in the UK
Allianz Global Corporate & Specialty UK continued its trend of positive development, growing its gross written premium by over 30% on the equivalent period in 2021, driven by new business development and continuing rate momentum. Allianz Holdings achieved strong levels of growth across the business in H1. Euler Hermes rebranded as Allianz Trade in the first half of the year. The core business of trade credit insurance saw positive commercial evolution through a strong performance in both new business and client retention. Following recent client wins, Allianz Partners UK is focused on implementing this new business in a post-Covid world, ensuring it continues to deliver great experiences to clients and customers.
Allianz Holdings delivers strong growth for first half of 2022
Allianz Holdings plc has announced 5% growth in the first six months of the year with a Gross Written Premium (GWP) of £1,957m.
Commenting on the figures, Colm Holmes, CEO Allianz Holdings (pictured), said:
“I’m pleased with Allianz’s performance. We’ve seen strong trading in the first half of the year, although this was impacted by motor claims returning towards pre-pandemic levels, the February storm events and increasing inflationary pressures.
“As we enter the second half of the year, we’re doing the right things to navigate market challenges and we remain in very good shape with a strong set of results behind us. The scale and diversity of our business means we’re well positioned for profitable growth. With a continued focus on profitably, expense management and a clear risk appetite, I’m confident in Allianz’s ability to steer our way through these turbulent conditions.”
Allianz Holdings delivered good levels of growth across the business with a 5% increase in revenue to £1,957m (HY2021: £1,863m). Operating profit fell by 42% to £99m (HY2021: £170m) and the Combined Operating Ratio (COR) deteriorated to 97.2% (HY2021: 91.7%). A key driver behind the fall in profitability was the continued increase in motor claims frequency as drivers returned to the road after lockdown. The result was also impacted by the cost of the severe February storms which amounted to £50.1m across Allianz Commercial and Allianz Personal. All parts of the business are also seeing the unexpectedly high rate of inflation, which is running ahead of our predictions and pricing assumptions at the beginning of the year, hit Allianz’s profits.
Allianz Personal achieved an increase in revenue with GWP at £1,263m, up 3% compared to HY 2021, with direct own brand in-force policies also growing 3%. This was due to a particularly strong performance from Petplan, which saw greater focus and alignment by moving into the Allianz Personal family of brands, and the successful launch of Flow, LV=’s digital only motor proposition.
The LV= Retail business also saw good growth and retention following the implementation of the FCA General Insurance Pricing Practices, which has led to a reduction in people shopping around and a significant number of customers renewing. Growth, however, was offset by lower new business volumes in the home market.
Overall, the Allianz Personal business is seeing the benefits of its multi-distribution and multi-brand approach, combined with improved pricing capability.
Allianz Commercial delivered growth of 10% year-on-year and a GWP of £694m, driven by a strong underwriting performance and the success of its new regional structure which brought together the Commercial Broker Markets and the Engineering, Construction & Power (ECP) businesses.
Commercial Property performed particularly well, achieving good levels of profit and growth as the benefits of previous remediation work on the portfolio came to fruition. The Engineering business continued to grow and deliver strong results, while Allianz is also starting to see the benefits of its investment in SME digital transformation. Commercial new business was ahead of plan as a result of good targeting, clarity of risk appetite and the mobilisation of trading teams.
Allianz Insurance is one of the largest general insurers in the UK and part of the Allianz Group, a leading integrated financial services provider and the largest property and casualty insurer in the world.
The mission of Allianz Insurance is to be the outstanding competitor in our chosen markets by delivering products and services that our clients recommend, being a great company to work for and achieving the best combination of profit and growth. We aim to achieve this by putting the customer at the heart of everything we do.
Allianz is able to offer customers a wide range of products and services including home and motor and commercial insurance with full range of products and service for sole traders' right up to large commercial organisations.
Allianz Insurance employs over 4,500 people across a network of 20 offices in the UK and the company’s Head Office is situated in Guildford, Surrey. Our heritage and financial strength help make Allianz what it is today; a safe and trusted partner. Over 40 FTSE100 companies partner with Allianz. youTalk-insurance sharing Allianz Insurance news and video