Insurance
Strategy and targets
Core activities Interpolis
Review of activities
Market and clients
□E
41 Rabobank Group Annual Report 2004
Core activities
Interpolis had an excellent year, in which its operating profit before
taxation increased by 29% to EUR 308 (238) million. In 2004, the first steps
were taken towards intensive collaboration in healthcare insurance
between Interpolis and Achmea. Together with Zilveren Kruis Achmea,
Interpolis developed the new ZorgActief product. Other new products
were launched as well, including the No-Claim guarantee® in car
insurance. Developments in the occupational health and safety and
reintegration activities were disappointing.
Interpolis' main activities concern provisions for the future (life insurance
and pension insurance), non-life insurance and occupational health and
safety. Customer value and market leadership are central elements in
Interpolis' strategy. Changes in social security, such as provisions for the
future, and the increasing ageing of the population are causing customer
needs to change as well. Interpolis aims to respond as effectively as
possible with a more varied and tailored product. In this respect, it was
successful in 2004 as its higher premium income shows. Customer
satisfaction likewise remained high, with a score of 7.7 (7.8). Interpolis'
market share in 2004 was 7%.
Insurance products
Life insurance premium income slightly up in the Netherlands
In recent years, the government has been making it less attractive, from
a fiscal point of view, for private individuals to make provisions for the
future by means of savings. As it becomes increasingly difficult to fill
pension gaps, people are becoming less inclined to take responsibility
themselves. Interpolis' FuturePlanner offers a simple and crystal-clear
solution. The changes will have great impact on the life insurance
market. Despite the changing market conditions, Interpolis realised a
handsome 11% increase in premium income in the Netherlands, to
EUR 2,008 (1,807) million. Foreign premium income fell by EUR 326
million to EUR 80 million, reflecting the decision to reduce the activities
abroad. Total life insurance premium income, comprising single-premium
policies, recurring premiums and pensions, declined by 5% to EUR 2,319
(2,436) million. Due to declining volumes abroad, premium income
from single-premium policies fell by 13% to EUR 1,141 (1,315) million.
Recurring premiums were 5% higher at EUR 947 (898) million. The market
share in life insurance was unchanged at 15.5%. Clients rated Interpolis'
service provision in life insurance at 7.3.
Interpolis offers collective provisions for the future to companies and
pension funds. Premium income from collective pension insurance was
4% higher in 2004, at EUR 231 (223) million.
Life insurance premium income
in EUR millions
1,400
1,200
800
400
2003
0
2004
Single-premium
policies
Recurring
premiums
Pension
insurance
Interpolis among the top five of non-life insurers
By offering integrated solutions and new products, Interpolis aims to
continue to respond to changing customer needs. The No-Claim gua
rantee® for private individuals is a good example of product innovation.
This product enables the client to insure against the possibility of losing
Building up a distinct position in the market by offering crystal-
clear solutions that are considered appropriate by the client.
Seeking partnerships in distribution: achieving substantial
In due course, a market
growth, not only via the Rabobank channel but also via brokers,
share in insurance of at
direct channels and collaborative ventures.
least 20%
Stronger focus on risk and return. Market positioning on the
Return on equity of at
basis of operational excellence.
least 10%
