The Top Ten Global Insurance Companies: Positioning, performance and SWOT analyses
This report profiles the top players in the global insurance industry. It analyses company developments in the light of industry size, industry structure, service offerings, major strategies and competitive situation, to discern trends of the industry as well its major players.
Table of Contents
The Top Ten Global Insurance Companies
Executive summary 16
Market development 16
AXA 17
Allianz 17
Generali 18
AIG 19
ING 20
Aviva 20
Prudential 21
State Farm 22
CNP 22
Nippon Life 23
Chapter 1 Introduction 26
What is this report about? 26
Methodology and definitions 26
Chapter 2 Market development 28
Summary 28
Overview 29
Market size and growth 29
Positioning and performance of top ten companies 30
Major trends and growth drivers 32
Growth of bancassurance 32
Increasing demand for retirement and savings products 32
Growth in emerging markets 32
Impact of US subprime crisis on insurance industry 33
Outlook for life and non-life insurance 34
Chapter 3 AXA 36
Summary 36
Business segments 37
Life & Savings 37
Property & Casualty 37
International Insurance 37
Recent financial performance 38
Performance by business segments 39
Life & Saving 39
Property & Casualty 39
International Insurance 39
Acquisitions and divestments 40
Strategies for growth 43
Diversified geographic growth 43
Multidistribution 44
SWOT analysis 44
Strengths 45
Global presence 45
Strong market position 45
Diversified product portfolio 45
Weaknesses 45
Weak performance of International Insurance business 45
Opportunities 46
Emerging markets 46
Increasing demand for retirement and savings products 46
Threats 46
Subprime crisis 46
US economy slowdown 46
Exposure to political, legal and economic risks 47
Chapter 4 Allianz 50
Summary 50
Business segments 51
Property-Casualty 51
Life/Health 51
Recent financial performance 52
Performance by business segments 53
Property-Casualty 53
Life/Health 54
Performance by geographies 54
Acquisitions and divestments 56
Strategies for growth 57
Launching new and innovative products 57
New channels of distribution 57
Focus on emerging markets 58
Simplifying organization structure 58
SWOT analysis 59
Strengths 59
Diversified operations 59
Strong market position 60
Strong operating results 60
Weaknesses 60
Performance of Dresdner Bank 60
Dependence on mature markets 61
Weak US business 61
Opportunities 61
Emerging markets 61
Pension markets 61
Threats 62
US market crisis 62
Pricing pressures in insurance market 62
Chapter 5 Generali 64
Summary 64
Business segments 65
Life segment 65
Non-life segment 65
Recent financial performance 66
Performance by business segments 67
Life segment 67
Non-life segment 68
Performance by geographies 69
Acquisitions and divestments 69
Strategies for growth 70
Expansion into emerging markets 70
Organic growth in developed markets 70
Strengthening and expanding direct channels 71
SWOT analysis 71
Strengths 72
Strong market position in Europe 72
Improved profitability 72
Weaknesses 72
Limited top-line growth 72
Concentration of revenues 72
Opportunities 73
Emerging markets 73
Threats 73
Competition 73
Potential takeover target 73
Chapter 6 AIG 76
Summary 76
Business segments 77
General Insurance 77
Life Insurance & Retirement Services 77
Recent financial performance 77
Performance by business segments 79
Performance by geographies 79
Acquisitions and divestments 80
Strategies for growth 81
SWOT analysis 82
Strengths 82
Extensive global presence 82
Good brand equity 83
Balanced portfolio 83
Weaknesses 83
Exposure to US subprime crisis 83
Regulatory actions 83
Opportunities 84
Emerging markets 84
New products 84
Threats 84
Further lawsuits 84
Bankruptcy 85
Chapter 7 ING 88
Summary 88
Business segments 89
Insurance Europe 89
Insurance Americas 89
Insurance Asia/Pacific 89
Recent financial performance 90
Performance by business segments 91
Insurance Europe 91
Insurance Americas 92
Insurance Asia/Pacific 92
Performance by geographies 93
Acquisitions and divestments 94
Strategies for growth 95
Focus on banking, investments, retirement products and life insurance 95
Strengthening banking channel of insurance distribution 95
Further expansion into emerging markets 96
SWOT analysis 97
Strengths 97
Strong geographic portfolio 97
Strong position in key markets 98
Strong growth in profitability 98
Weakness 98
Weak domestic market 98
Opportunities 98
Emerging markets 98
Growing retirement market 99
Threats 99
US market turmoil 99
Stiff competition 99
Chapter 8 Aviva 102
Summary 102
Business segments 103
Long-term business 103
General insurance and health 103
Recent financial performance 103
Performance by business segments 105
Performance by geographies 106
Acquisitions and divestments 106
Strategies for growth 108
Expansion into emerging markets and North America 108
Strengthening position in Europe 109
Bancassurance 109
SWOT analysis 110
Strengths 110
Expanding geographic portfolio 110
Strong market position 111
Strong bancassurance network 111
Weaknesses 111
Weak financial performance in 2007 111
Small Asia-Pacific operations 112
Opportunities 112
Further expansion into emerging markets 112
AmerUS acquisition 112
Threats 112
Margin pressure 112
Court action 113
Chapter 9 Prudential 116
Summary 116
Business segments 117
Recent financial performance 118
Performance by geographic segments 119
Strategies for growth 121
Expanding presence in existing markets 121
Focus on retirement products 121
SWOT analysis 122
Strengths 123
Balanced geographic portfolio 123
Strong presence and brand name in Asia 123
Weaknesses 123
Weak performance in the UK market 123
Limited presence in emerging markets 123
Opportunities 124
Retirement market 124
Asian market 124
Threats 124
Possible take over target 124
Investor pressure to sell off UK business 124
Weak US economy 125
Chapter 10 State Farm Insurance 128
Summary 128
Business segments 129
Property & Casualty 129
Life 129
Recent financial performance 129
Performance by business segments 130
Property & Casualty 130
Life 131
Strategies for growth 131
SWOT analysis 132
Strengths 132
Strong position in the US market 132
High net worth 133
Weaknesses 133
Geographic concentration 133
Sluggish top line growth 133
Opportunities 133
The US Retirement market 133
Threats 134
Competition 134
Auto price cuts 134
US market crisis 134
Chapter 11 CNP Assurances (CNP) 136
Summary 136
Business segments 137
Recent financial performance 137
Performance by business segments 138
Performance by geographies 139
Acquisitions and divestments 140
Strategies for growth 141
Expanding in international markets 141
Strategic partnerships 141
SWOT analysis 142
Strengths 142
Strong position in the French insurance market 142
Strong distribution network 143
Weaknesses 143
Ownership structure 143
High dependence on savings business 143
Opportunities 143
Emerging markets 143
Partnerships 144
Threats 144
Declining French individual insurance market 144
Stiff competition 144
Chapter 12 Nippon Life Insurance 146
Summary 146
Business segments 147
Recent financial performance 148
Performance by business segments 149
Acquisitions and divestments 149
Strategies for growth 149
Expansion into Asian markets 149
Alliances and Partnerships 150
Organic measures 150
SWOT analysis 151
Strengths 151
Strong position in Japanese market 151
Strong distribution and service network 152
Financial strength 152
Weaknesses 152
Weak operating performance 152
Limited international presence 152
Problems in paying insurance claims and benefits 153
Opportunities 153
Expansion into emerging markets 153
Japanese individual annuity market 153
Partnerships and alliances 153
Threats 154
Strong competition and falling market share 154
Fall in demand for death benefit products 154
Chapter 13 11 to 20 Companies 156
Aegon 156
Company Description 156
Recent financial performance 156
Zurich Financial (Zurich) 157
Company description 157
Recent financial performance 157
MetLife 158
Company Description 158
Recent financial performance 159
China Life Insurance Group (China Life) 160
Company description 160
Recent financial performance 160
Dai-ichi Mutual Life Insurance (Dai-ichi) 161
Company description 161
Recent financial performance 162
Allstate 162
Company description 162
Recent financial performance 163
Tokio Marine 163
Company description 163
Recent financial performance 164
Sumitomo 165
Company description 165
Recent financial performance 165
Munich Re 166
Company description 166
Recent financial performance 166
Manulife 167
Company description 167
Recent financial performance 168
Index 169
List of Figures
Figure 2.1: Global insurance premium income, 2003–2007 29
Figure 2.2: Market positioning of top 10 companies, 2007 31
Figure 3.3: AXA’s insurance financial performance ($bn), 2005-2007* 38
Figure 3.4: AXA SWOT analysis 44
Figure 4.5: Allianz’s insurance financial performance ($bn), 2004-2007* 53
Figure 4.6: Property-Casualty Gross Premium by geography (%), 2007 55
Figure 4.7: Life/Health Statutory Premium by geography (%), 2007 55
Figure 4.8: Allianz SWOT analysis 59
Figure 5.9: Generali’s insurance financial performance ($bn), 2004-2007* 67
Figure 5.10: Gross direct premium break-up by geography (%), 2007 69
Figure 5.11: Generali SWOT analysis 71
Figure 6.12: AIG’s insurance financial performance ($bn), 2003-2007 78
Figure 6.13: AIG Revenues by geography (%), 2007 80
Figure 6.14: AIG SWOT analysis 82
Figure 7.15: ING’s insurance financial performance ($bn), 2005-2007* 91
Figure 7.16: ING’s insurance revenues break-up by geography (%), 2007 93
Figure 7.17: ING SWOT analysis 97
Figure 8.18: Aviva’s insurance financial performance ($bn), 2006-2007* 104
Figure 8.19: Aviva’s gross premium written break-up by geography (%), 2007 106
Figure 8.20: Aviva SWOT analysis 110
Figure 9.21: Prudential’s insurance financial performance ($bn), 2004-2007* 119
Figure 9.22: Prudential’s Gross Premium Earned break-up by geography (%), 2007 121
Figure 9.23: Prudential SWOT analysis 122
Figure 10.24: State Farm’s financial performance ($bn), 2005-2007* 130
Figure 10.25: State Farm SWOT analysis 132
Figure 11.26: CNP’s insurance financial performance ($bn), 2004-2007* 138
Figure 11.27: CNP’s revenues break-up by geography (%), 2007 139
Figure 11.28: CNP SWOT analysis 142
Figure 12.29: Nippon Life’s financial performance ($bn), 2003-2007 148
Figure 12.30: Nippon Life SWOT analysis 151
List of Tables
Table 2.1: Life & Non-Life Premiums ($bn), 2005-2007 30
Table 2.2: Top ten companies’ growth & profitability, revenue and operating margin, (2005-
2007) 31
Table 3.3: AXA Company snapshot 36
Table 3.4: AXA’s insurance financial performance ($bn), 2005-2007 39
Table 3.5: AXA’s business segments performance ($bn), 2005-2007 40
Table 4.6: Allianz Company snapshot 50
Table 4.7: Allianz’s insurance financial performance ($bn), 2004-2007 53
Table 4.8: Allianz’s insurance business segments performance ($bn) 2005-2007 54
Table 5.9: Generali snapshot 64
Table 5.10: Generali’s insurance financial performance ($bn), 2004-2007 67
Table 5.11: Generali’s business segments performance ($bn), 2005-2007 68
Table 6.12: AIG Company snapshot 76
Table 6.13: AIG’s insurance financial performance ($bn), 2003-2007 78
Table 6.14: AIG’s insurance business segments performance ($bn), 2005-2007 79
Table 6.15: AIG’s performance by geography ($bn), 2005–2007 80
Table 7.16: ING Company snapshot 88
Table 7.17: ING’s insurance financial performance ($bn) 2005-2007 91
Table 7.18: ING’s insurance business segments performance ($bn), 2005-2007 92
Table 7.19: ING’s insurance performance by geography, 2005–2007 93
Table 8.20: Aviva Company snapshot 102
Table 8.21: Aviva’s insurance financial performance ($bn), 2006-2007 105
Table 8.22: Aviva’s insurance business segments performance ($bn), 105
Table 9.23: Prudential Company snapshot 116
Table 9.24: Prudential’s insurance financial performance ($bn), 2004-2007 119
Table 9.25: Prudential’s geographic segments performance ($bn), 2005-2007 120
Table 10.26: State Farm Insurance Company snapshot 128
Table 10.27: State Farm’s financial performance ($bn), 2004-2007 130
Table 11.28: CNP Company snapshot 136
Table 11.29: CNP’s insurance financial performance ($bn), 2004-2007 138
Table 11.30: CNP’s business segments performance ($bn), 2005-2007 139
Table 11.31: CNP’s performance by geography, 2005–2007 140
Table 12.32: Nippon Life Company snapshot 146
Table 12.33: Nippon Life’s financial performance ($bn), 2003-2007 149
Table 13.34: Aegon Company snapshot 156
Table 13.35: Aegon’s financial performance ($bn), 2005-2007* 157
Table 13.36: Zurich Company snapshot 157
Table 13.37: Zurich’s insurance financial performance ($bn), 2006-2007* 158
Table 13.38: MetLife Company snapshot 158
Table 13.39: Metlife’s insurance financial performance ($bn), 2005-2007* 159
Table 13.40: China Life Company snapshot 160
Table 13.41: China Life’s financial performance ($bn), 2005-2007* 161
Table 13.42: Dai-ichi Company snapshot 161
Table 13.43: Dai-ichi’s financial performance ($bn), 2003-2007* 162
Table 13.44: Allstate Company snapshot 162
Table 13.45: Allstate’s financial performance ($bn), 2003-2007* 163
Table 13.46: Tokio Marine Company snapshot 163
Table 13.47: Tokio Marine’s financial performance ($bn), 2005-2006* 164
Table 13.48: Sumitomo Company snapshot 165
Table 13.49: Sumitomo’s insurance financial performance ($bn), 2003-2007 165
Table 13.50: Munich Re Company snapshot 166
Table 13.51: Munich Re’s insurance financial performance ($bn), 2006-2007* 167
Table 13.52: Manulife Company snapshot 167
Table 13.53: Manulife’s insurance financial performance ($bn), 2005-2007* 168
