Allianz Ayudhya posts strong Q1 results

Allianz Ayudhya posts strong Q1 results

Mr Wilson says gross written premiums rose 8% year-on-year to 8.69 billion baht during the first quarter.
Mr Wilson says gross written premiums rose 8% year-on-year to 8.69 billion baht during the first quarter.

Allianz Ayudhya Assurance recorded strong business growth in the first quarter this year, with annualised new premiums (ANP) surging 21% year-on-year, putting the life insurance firm on track to achieve its gross written premiums (GWP) target of 37.7 billion baht this year.

The highest quarterly increase of ANP in several years demonstrated the strength of all distribution channels, as well as the company's professionalism and effective business strategies, said chief executive Thomas Wilson.

First-quarter GWP rose 8% year-on-year to 8.69 billion baht. ANP grew by 21% to exceed 1.79 billion baht, with the agency channel generating 711 million baht, up 33%, the bancassurance channel contributing 637 million baht, up 23%, and the direct marketing channel generating 358 million baht, a gain of 6%.

"Allianz Ayudhya had an excellent start to 2023," said Mr Wilson. "The strong growth from all channels not only validates our efficient business strategies, but also reflects our commitment to developing our people, especially our agency force."

The company launched a "franchise builder" programme, an initiative designed to build new teams, facilitate quality recruitment and stimulate sales, leading to the highest first-quarter growth in new annual premiums in years, he said.

"We are confident Allianz Ayudhya will continue its strong business growth trajectory, aiming to achieve GWP of 37.7 billion baht and ANP of 7.7 billion baht. We are poised to become a leader in Thailand's life insurance market," Mr Wilson said.

Total business volume for the Allianz Group surged by 3.9% year-on-year to €46 billion (1.71 trillion baht), driven by the property-casualty business segment, thanks to higher prices and volumes.

This result was partly offset by lower business volume in the life and health businesses, primarily attributed to softer single-premium volumes and a decrease in revenues driven by assets under management, he said.

Operating profit jumped 24.2% from a year earlier to €3.7 billion because of gains in the US life and health segment as well as stronger insurance service in the property-casualty business, though the asset management business declined.

Operating profit and bottom line reflected the strength and consistent execution of the company's strategy, said Oliver Bäte, chief executive of Allianz SE.

"We benefited from our diversified business mix and strong performance in the property-casualty segment, driven by robust pricing, continued underwriting discipline and further productivity gains," he said.

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