Alliance’s Asia-Pacific operations fired on all cylinders in 2010, lifting total revenue from €6.84bn ($9.5bn) in 2009 to €9.3bn, and operating profit from €204m to €342m. Based on Alliance’s adjustments for currency movements and consolidation effects, the 2010 figures represented increases of 20.7% and 46%, respectively.
“This is an outstanding development,” said Manuel Bauer, Alliance SE board member responsible for regions the insurer targets as growth markets. Bauer added that over the past five years Alliance’s Asia-Pacific operations achieved organic premium growth of €3bn which represents a CAGR of 24.4%.
Alliance’s life operations in the region were the prime growth drivers in 2010, lifting total premium income by 21.6% to €8.2bn. Operating profit increased from €135m in 2009 to €259m in 2010, an adjusted growth rate of 65.4%.
“A third of Allianz’s regular life insurance premiums, 34%, are generated in Asia-Pacific,” commented Bauer. “This shows the increasing importance of the Asian growth markets for Allianz.”
Bauer noted that in Alliance’s largest Asia-Pacific life market, Taiwan, new business increased from €1.8bn in 2009 to €2.2bn. Strong growth was also recorded in Indonesia and Japan. India was a notable exception with Alliance’s joint venture Bajaj Allianz managing to do no better than hold revenue stable at €1.7bn in 2010 in the face of difficult market conditions.
Other Asia-Pacific region countries in which Alliance has operations are China, Hong Kong, Laos, Malaysia, Singapore (including Brunei), Korea, Sri Lanka and Thailand.