Good results reflecting business in France and sustained development in Asia and Latin America
Significant growth of business in France (+11%)
Strong development of business in Asia (+101) and Latin America (+21%1)
Continued business diversification: a quarter of gross written premiums generated by Protection insurance
Gross written premiums for 2015 totalled 28 billion euros, up 2%
Assets under management at 31 December 2015 totalled 215 billion euros (+6.2%)
Net Banking Income (NBI) rose to 2.3 billion euros (+5.7%)
Pre-tax net profit was 1.3 billion euros (+6.8%)
BNP Paribas Cardif posted significant growth rates for all key indicators, confirming its solidity. Business in 2015 was led by Savings in France and Asia, and by continuing growth in Protection across all geographies where BNP Paribas Cardif does business.
BNP Paribas Cardif continues to grow, leveraging the strength of its unique business model:
Increased business diversification: 25% of gross written premiums came from Protection insurance (compared with 23% the previous year). In the Savings segment, which accounts for 75% of business, the share of unit-linked and Eurocroissance (“Euro-growth”) funds represented 40% of gross written premiums in 2015 (compared with 34% in 2014).
An international footprint with strong positions in Europe, Asia and Latin America: 59% of BNP Paribas Cardif gross written premiums are generated outside France.
A robust partnership culture, with product distribution by banks, financial institutions, consumer credit firms, automobile dealers, retailers, telecoms providers, as well as independent financial advisors and insurance brokers.
"BNP Paribas Cardif recorded excellent results across all its businesses in 2015. The year was marked by our significant growth in France, as well as good performance in Asia and Latin America, two regions that make a decisive contribution to the continued development of our company,” said Pierre de Villeneuve, Executive Chairman of BNP Paribas Cardif.
“In 2015 BNP Paribas Cardif continued to expand its offering in the numerous markets where we do business. This development is aligned with our diversification strategy for both products and distribution channels and we will pursue this strategy in the years ahead,” added Renaud Dumora, Chief Executive Officer of BNP Paribas Cardif.
1- Domestic market momentum led by strong business growth in France
Domestic markets (France, Italy and Luxembourg) had gross written premiums of 18.5 billion euros in 2015, a slight decline (-3%). These mature markets recorded 16.3 billion in Savings (-5%) and 2.2 billion in Protection (+14%).
BNP Paribas Cardif posted double-digit growth in France as gross written premiums reached 11.6 billion euros up sharply (+11%) over 2014.
Savings gross written premiums topped 10 billion euros (10.1 billion euros), rising 11% compared with 2014, driven in part by favourable market conditions. This business is characterized by a high proportion of unit-linked contracts. These unit-linked products accounted for 30% of new cash during the year, compared with 28% at 31 December 2014. Last year also saw very satisfactory performance from all distribution channels.
BNP Paribas Cardif Eurocroissance contracts represented aggregate outstandings of 1.39 billion euros at 31 December 2015, recording significant 39% growth over end 2014. Eurocroissance funds represented 5% of new cash in 2015. BNP Paribas Cardif is a pioneer in Eurocroissance funds, having launched its first diversified contracts back in 2010.
Protection gross written premiums totalled 1,5 billion euros, a 7% rise over 2014. This performance in the Protection segment in France was due in particular to business at Icare Assurance, a specialist in extended warranties for motor vehicles, which recorded gross written premiums of nearly 60 million euros in 2015.
In property and casualty insurance, gross written premiums from Natio Assurance2 (primarily car and home insurance) were stable compared with 2014 at 170 million euros. This amount includes 92 millions euros from comprehensive homeowner insurance (+3%) and 72 million euros from auto insurance (-2%).
Gross written premiums from business in Italy totalled 4.8 billion euros (-16%), with 4.1 billion euros from Savings (-21%) and 0.7 billion from Protection (+34%). After exceptional levels of new cash in 2014, the Italian subsidiary of BNP Paribas Cardif saw a slowing of asset inflows to its general fund in 2015, but continued to develop unit-linked products. The significant rise in gross written premiums from Protection insurance reflects the acquisition with Ageas of 100% of UBI Assicurazioni in 20143.
In Luxembourg, BNP Paribas Cardif recorded gross written premiums of 2.1 billion euros (-28%), mainly from Savings business, with a majority of new cash in unit-linked products (66%). Like Italy, Luxembourg had record levels of new cash in 2014.
2- International markets led by sustained business development in Asia and Latin America
BNP Paribas Cardif had total gross written premiums in its international markets (Asia, Latin America and Europe excluding domestic markets) of 9.5 billion euros, a rise of 8%1 compared with 2014. This increase was due to sustained growth of business in both Savings (4.9 billion euros, +8%1) and Protection (4.6 billion euros, +9%1).
BNP Paribas Cardif continues to enjoy strong positions in Europe, Asia and Latin America. The latter two regions continued their robust growth with strong increases in business levels:
- Europe (excluding domestic markets): gross written premiums were stable at 3 billion euros
- Asia: 4.8 billion euros in gross written premiums, an increase of 10%1
- Latin America: 1.7 billion euros in gross written premiums, an increase of 21%1
Savings gross written premiums in international markets totalled 4.9 billion euros, a rise of 8%1. Unit-linked products represented 66% of this amount.
Asia recorded 4 billion euros in gross written premiums (+11%)1 in the Savings segment:
- Taiwan had gross written premiums of 2.8 billion euros, a slight increase (+2%)1, maintaining the record share of unit-link products seen in 2014 (98%), on the strength of favourable market conditions.
- India4 (500 million euros in gross written premiums attributable to BNP Paribas Cardif’s 26% interest) leveraged dense coverage of its distribution network to develop assets gathered (+20%)1, while South Korea recorded a slight dip in Savings gross written premiums to 471 million euros.
- China, a market that BNP Paribas Cardif entered in 2013 through an agreement with Bank of Beijing, had 300 million euros in gross written premiums from Savings.
Protection insurance in international markets generated 4.6 billion euros in gross written premiums, an increase of 9%1.
This increase reflects sustained business in Latin America, where gross written premiums reached 1.7 billion euros (+21%)1. Chile, which is BNP Paribas Cardif’s largest market in Latin America, continued to deliver strong growth with gross written premiums of 524 million euros an increase of 24%1. The launch of auto insurance contributed to the development of the Protection segment in the country. Brazil had gross written premiums of 487 million euros (-2%1 compared with 2014) and Colombia had 267 million euros in gross written premiums, a surge of 47%1, reflecting strong growth in its creditor insurance business. Argentina also continued its strong growth with a 33%1 increase in gross written premiums to 240 million euros.
Asia recorded 728 million euros in gross written premiums in the Protection segment, an increase of 3%1. Japan was one of the main contributors in this region with 459 million euros in gross written premiums (+9% compared with 20141), thanks to new cash from creditor insurance. Taiwan had 147 million euros in gross written premiums (+6% compared with 20141).
In Europe (excluding domestic markets), gross written premiums in the Protection segment totalled 2.1 billion euros (+3%1). This increase was due in particular to strong growth in Spain (198 million euros, +14%), which continued to develop creditor insurance business, and in Germany (419 million euros, +10%), due in particular to extended warranty business.
1At constant exchange rates
2Natio Assurance is 50%-owned by BNP Paribas Cardif and fully consolidated in its gross written premiums.
3CARGEAS Assicurazioni (the new trading name of UBI Assicurazioni since 2015) is 50%-owned by BNP Paribas Cardif and fully consolidated in its gross written premiums.
4BNP Paribas Cardif owns a 26% interest in the SBI Life joint venture.