Baloise is on target

Basel, In local-currency terms, the Baloise Group reported growth of 1.4 per cent in its volume of business for the first nine months of the year, which rose to CHF 7,054.1 million. Non-life business saw marginal growth of 0.7 per cent, while life business generated robust growth of 2.7 per cent, providing confirmation that Baloise will meet its predicted targets.

In the first nine months of 2015, total non-life premiums rose slightly, increasing by 0.7 per cent to CHF 2,611.6 million. The ongoing restructuring of less profitable sectors, such as group accident/health insurance in Switzerland, was reflected in the volume of business. Baloise continued to grow in its target segments, including those in Germany. The claims environment, particularly in Switzerland, Belgium and Luxembourg, remained benign with a similar level of claims as in the same period in 2014. The trend in large claims seen in the first half of the year, when there were prominent large claims in Germany, continued to the end of the nine-month period. However, Baloise is confident that the excellent quality of its non-life portfolio will enable it to achieve a combined ratio at the lower end of its own target range of 93-96 per cent in 2015.

Growth in its life insurance business held steady in the first nine months of the year,with demand for solutions in group life business continuing unabated. There was also encouraging growth in occupational pension-related products other than comprehensive insurance, such as partially autonomous solutions. The volume of single-premium business in unit-linked life products, which is subject to seasonal fluctuations, was virtually unchanged on the same prior-year period.

The tough interest rate environment continues to present a challenge. Baloise remains very well capitalised; its Solvency I ratio as at 30 September 2015 was 341 per cent. This strong capital base underpins the payment of reliable and attractive dividends to shareholders.

Business volumes* as at 30 September 2015 (YTD)

CHF million, changes on Q3 2014 in local currency (%)

  Life Investment-type
premiums
Non-life Total
Switzerland 2,622.8
4.0%
118.6
-8.5%
1,228.4
-1.5%
3,969.8
1.9%
Germany 348.6
-4.6%
150.4
3.3%
613.0
0.9%
1,112.1
-0.6%
Belgium 99.0
3.6%
267.8
1.6%
680.0
3.5%
1,046.9
3.0%
Luxembourg 57.2
-5.4%
769.0
0.5%
86.5
5.4%
912.7
0.6%
Other -
-
-
-
3.6
-4.3%
3.6
-4.3%
Total 3,127.7
2.7%
1,305.8
0.3%
2,611.6
0.7%
7,045.1
1.4%

* The business volume was calculated in local currency on a like-for-like basis and excludes discontinued operations(Austria, Croatia and Serbia).

Headquartered in Basel, Switzerland, the Baloise Group is a European provider of insurance and pension solutions and has positioned itself as a market player that offers an intelligent 'Safety World' prevention strategy. In Switzerland the Company operates as a focused financial services provider, offering a combination of insurance and banking services. It also has a market presence in Belgium, Germany and Luxembourg. Its distribution network includes its own sales organisation as well as brokers and other partners. The Company uses its competence centre in Luxembourg to run its business in innovative pension products for private customers throughout Europe. Bâloise Holding Ltd shares are listed in the main segment of the SIX Swiss Exchange. The Baloise Group employs some 7,400 people.