Zurich on track to deliver 2022 targets
Zurich - Zurich Insurance Group (Zurich) will today update investors and analysts on the progress of the company’s strategy. The presentations will cover strategic priorities for 2020 to 2022, digitalization and innovation, commercial insurance, and finance.
“We are very confident in our ability to deliver on our 2022 targets,” said Group Chief Executive Officer Mario Greco. “Over the past 18 months, we have invested in developing customer satisfaction by deploying new technology and adjusting our services to respond to customer needs.”
“We’re growing our business through the combined effect of our own initiatives and increasing rates. Our business is well placed to deliver shareholder returns and our strong dividend proposition is well-founded on the business composition we have today. We have also made remarkable progress in making our business more sustainable, by changing and adapting what we do in our operations and how we work with customers.”
Mr. Greco will open the virtual event, followed by Ericson Chan, Group Chief Information & Digital Officer; Sierra Signorelli, CEO Commercial Insurance; and George Quinn, Group Chief Financial Officer.
Delivering on our strategy
In Commercial, Zurich is taking full advantage of the hard insurance market to improve the profitability and quality of the commercial book. The Group sees significant opportunities to continue growing profitably while improving the portfolio quality, expanding resilience services and supporting the energy transition.
In Retail, Zurich’s strategy of putting the customer at the heart of its business is delivering rewards. The Group continued with innovation of products and services, even during the pandemic, to position Zurich as the consumer's insurer of choice, adding a net 2.5 million retail customers from end-2019 through September 2021. The Group has improved customer retention following investments in measures to enhance customer satisfaction and the renewal or expansion of distribution partnerships.
Zurich’s Life business, meanwhile, remains an important contributor to earnings thanks to its resilient distribution channels and its focus on unit-linked and protection products.
Farmers is a key part of Zurich’s business. The Farmers Exchanges1, which are owned by their policyholders, are concentrating on growing customer reach by expanding and diversifying distribution channels. The acquisition of MetLife’s P&C business in the U.S., meanwhile, offers further opportunities to accelerate new business growth.
Capital allocation
Zurich is focusing on the way capital is allocated across the business to further improve the Group’s return on capital. Decisions will be based on strategic priorities and long-term financial and market trends. Zurich’s priorities for the capital released are eliminating earnings dilution and supporting growth.
The Group remains committed to its attractive dividend policy, which targets a pay-out ratio of around 75% of net income attributable to shareholders, reflecting sustainable earnings development, and a minimum target of the prior year level.
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