Länsförsäkringar Alliance: Interim Report January-March 2017

First quarter of 2017 compared with first quarter of 2016:

• Operating profit for the Länsförsäkringar Alliance’s non-life insurance operations increased to SEK 2,166 M (loss: 277). Premiums earned after ceded reinsurance rose to SEK 6,129 M (5,871).
• The technical result for the Länsförsäkringar Alliance’s non-life insurance operations increased to SEK 520 M (356). The combined ratio improved to 94% (97).
• Investment income in the Länsförsäkringar Alliance increased to SEK 1,852 M (neg: 150).
• Operating profit for the Bank Group increased to SEK 353 M (341).
  Net interest income strengthened to SEK 940 M (791).
• Operating profit for Länsförsäkringar Fondliv increased to SEK 136 M (118). Premium income rose to SEK 2,462 M (2,297). Commission income increased to SEK 388 M (343).
• Profit for Länsförsäkringar Liv increased to SEK 1,025 M (loss: 1,082).

Comments from Johan Agerman, President of Länsförsäkringar AB, The Länsförsäkringar Alliance´s jointly owned company:
Länsförsäkringar Alliance summarises strong earnings for the first quarter of 2017, with continued rising business volumes, which is confirmation that customers appreciate the regional insurance companies’ customer-owned, local business. Operating profit for the non-life insurance operations amounted to SEK 2.2 billion, benefiting from healthy growth, strong investment income and an improved combined ratio of 94%. Profit and business volumes continued to increase at a stable rate in other business areas as well. Operating profit for the banking operations amounted to SEK 0.4 billion, and deposits and lending rose 9% and 13%, respectively. Managed assets in the unit-linked insurance operations increased to SEK 120 billion, mainly driven by a favourable value growth trend but also a stable inflow of premiums. We work continuously on developing our fund range and launched some ten new funds during the quarter from various fund companies in a new, expanded fund offering.

We won the Web Service Award for “Best Mobile Site and App” for our digital services. We launched a new function in the bank app – a digital guide for better savings – and initiated a partnership with Wrapp.

During the quarter, we introduced a programme for ensuring a sustainable IT environment based on increased investments in digital development, in order to offer the best customer experience and eliminate greater threats from cyber risks.

Länsförsäkringar pursues long-term sustainability activities, for example, gradually increasing climate-smart investments and actively influencing the companies it invests in to reduce their climate risks. Länsförsäkringar continued to phase out non-sustainable investments in fossil-fuel companies during the first quarter by excluding companies that generate more than 20% of their sales from coal.

The Länsförsäkringar Alliance is not a Group in the legal or practical sense of the term, but an alliance between 23 independent regional insurance companies that jointly own Länsförsäkringar AB. Earnings from the Länsförsäkringar Alliance’s non-life insurance operations consist of the total earnings of the 23 regional insurance companies and the Länsförsäkringar AB Group, excluding life assurance and bank.

For further information, please contact:
Johan Agerman, President Länsförsäkringar AB
johan.agerman@lansforsakringar.se, 08-588 418 02, 070-348 93 50

Malin Rylander Leijon, CFO Länsförsäkringar AB
malin.rylander-leijon@lansforsakringar.se, 08-588 408 64, 073-964 08 64

Anna Glennmar, Investor Relations Länsförsäkringar AB
anna.glennmar@lansforsakringar.se, 08-588 417 42, 072-141 44 08

Fanny Wallér, Director of Corporate Communications Länsförsäkringar AB
fanny.waller@lansforsakringar.se, 08-588 414 69, 070-692 77 79


The Länsförsäkringar Alliance comprises 23 local and customer-owned regional insurance companies and the jointly owned Länsförsäkringar AB. Customers are provided with a complete offering of banking and insurance services through their local, regional insurance companies. We offer animal and crop insurance through Agria Djurförsäkring and total solutions for reliable mortgage transactions are offered through Länsförsäkringar Fastighetsförmedling.

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