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Slide 1: Qu ic k To u r Country Profiles Business, Insurance and Lloyd’s info on Lloyd’s International Office Network summarised on three slides for all territories Clic k HERE fo r Tu to ria l Clic k HERE to la u n c h d a s h b o a rd   > www.lloyds.com/QUICKTOUR > filip.wuebbeler@lloyds.com Recent Updates: July 2010  Update of all Lloyd’s figures  New Business Environment sections FOR BROKERS & MANAGING AGENTS Disclaimer
Slide 2: No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific Offic e s Clic k Bo x to n a v ig a te North America E urope C hina J apan L atin America India, Middle E as t and Africa As ia P acific 2 QUICK TOUR (Country Profiles) © Lloyd’s
Slide 3: No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific QUCKTOU is designed to be used as a dashboard I R (in PowerPoint Show Mode). Ab o ut This enables quick navigation to areas of interest using the various dashboard tools summarised below. Click Top Boxes to navigate to REGIONS No r t h A e r ic a m L t in A e r ic a a m Eu r o p e IM EA A ia Pa c if ic s U S No r t h A e r ic a m L t in A e r ic a a m Eu r o p e IM EA A ia Pa c if ic s Na v ig a tio n Of f ic e s Cl ic k Bo x t o n a v ig a t e Cl ic k B x t o n a v ig a t e o No r t h Amer ic a Eu r o pe Ch in a Ja pa n Pr o f il e Bu s in e s s E v ir o n m e n t n  Key strengths and challenges of the economy  Size and growth of the economy  Basic economic indicators In s u r a n c e E v ir o n m e n t n  Key insurers  Insurance industry events  Basic insurance indicators La t in Amer ic a In d ia , Mid d l e Ea s t a n d Af r ic a As ia Pa c if ic L o y d ’s B s in e s s l u  Lloyd’s office details and contacts  Trading position and size of Lloyd’s business  Available market intelligence products 2 QUICK TOUR (Country Profiles) © Lloyd’s 5 QUICK TOUR (Country Profiles) © Lloyd’s Any Box to navigate to area of interest 3 QUICK TOUR (Country Profiles) Clic k Any Top Box to navigate to any other section © Lloyd’s Clic k
Slide 4: No rth Am e ric a No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific Offic e s I o is llin K n tu c k y e Ne w Yo rk M n tre a l o To ro n to U Virg in I la n d s S s Re p re s e n ta tio n We s t Co a s t 4 QUICK TOUR (Country Profiles) © Lloyd’s
Slide 5: U S No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific Pro file Clic k Bo x to n a v ig a te Bu s in e s s En v iro n m e n t  Key strengths and challenges of the economy  Size and growth of the economy  Basic economic indicators I s u ra n c e En v iro n m e n t n  Key insurers  Insurance industry events  Basic insurance indicators Llo yd ’s Bus in e s s  Lloyd’s office details and contacts  Trading position and size of Lloyd’s business  Available market intelligence products 5 QUICK TOUR (Country Profiles) © Lloyd’s
Slide 6: U S No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Bu s in e s s En v iro n m e n t > K I EY SSU To Wa tc h ES US Expansion Increasingly Self-Sustaining: A series of upbeat data releases has been capped off by a near-blowout employment report for April showing 290,000 jobs added. Even the bad news in the report—a higher unemployment rate—reflected a strengthening labour market, because it showed job seekers returning to the market. The second-quarter GDP picture looks very strong, enhanced by a weather bounce after the first quarter. Nevertheless, this remains a subdued recovery by historical standards, due to credit and balance-sheet constraints. Rising Employment Will Support Consumption and Housing: The strong employment report was crucial because it will underpin consumer spending. The 3.6% consumption increase in the first quarter was achieved entirely through a lower saving rate, but rising employment and hours worked will start to kick incomes higher again in the second quarter. Rising employment is also a key to a revival in housing activity. Tax incentives may have filled in a hole by pulling some activity forward, but they are not the basis for a sustained housing revival. SOURCE: IHS Global Insight, (June 2010). For daily updates visit: www.ihsglobalinsight.com Democrats Face Tough Challenges at 2010 Mid-Term Elections: In January 2010 the Democrats lost their prized outright control of the Senate with a shock defeat in Massachusetts. No longer able to go it alone in Congress, this has set back their legislative plans and is very ominous for the November mid-term elections. To date, the Republicans have shown little appetite for bipartisanship. Administration Victorious on Healthcare Reform, But at a Price: The Massachusetts defeat seemed to doom the administration’s signature healthcare reforms, but some nimble footwork in Congress pulled them back from the brink in March 2010. The House of Representatives approved the Senate’s earlier version, avoiding another vote in the latter chamber. The reconciliation process was then used to amend the Senate version in tune with House demands. While the reforms rate as a landmark in the history of social policy in the United States, the battle has taken its toll on the administration, eroding the popularity of President Obama and distracting the administration from other priorities. The administration has now switched its focus to bold financial regulation reform, an immigration policy overhaul, and new energy/environment legislation. Terrorist Incidents Revive Concerns: Terrorism has been a key political theme and security preoccupation in the United States since the attacks of 11 September 2001, but the lack of further attacks on US soil had pushed the issue down the agenda somewhat. This changed in 2009/10 with a shooting on a military base in Texas, the attempted bombing of a flight as it approached Detroit, and an attempted car bomb attack on Times Square in New York. The three assailants seem to have held radical Islamist beliefs and had links either to al-Qaida or the Taliban. The incidents revived public fears and also revealed ongoing shortcomings in the intelligence system. The administration announced tougher security precautions for flights and an overhaul of intelligence procedures. Bu s in e s s En v iro n m e n t > Ba s ic I d ic a to rs n Gro s s Do m e s tic Pro d uc t (GDP) 20,000 3.5% 2.7% 2.9% 2.1% 3.1% 2.7% 2.8% (nominal GDP levels in billion USD; Real GDP change) 4% 3% 2% 1% 0.4% To p -1 0 Se c to rs (By Va lue Ad d e d ) 01 02 03 04 05 06 07 08 09 10 Real Estate Business Services Public Admin. & Defence Health & Social Services Retail Trade Wholesale Trade Banking & Related Financial Education Construction Hotels & Restaurants Ra n k in g s 1,669 1,492 1,140 1,017 885 818 731 699 581 396 -3.2% -3.0% +1.8% +2.8% -6.9% -5.2% -8.1% +2.4% -15.2% -5.3% (a 2008 Level in billion USD & 2009 Change in %) Ease of Doing Business US ranks 3rd out of 181 countries 03 01 15,000 Global Competitiveness US ranks 1st out of 134 countries 10,000 0% -1% -2.4% 5,000 Quic k Lin k s Doing Business > www.doingbusiness.org Competitiveness > www.weforum.org Global Opportunities for business indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s -2% -3% 0 2006 2007 2008 2009 2010 2011 2012 2013 2014 6 QUICK TOUR (Country Profiles) B us ines s E nvironment Ins urance E nvironment
Slide 7: U S  AIG  Allstate No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard I s u ra n c e En v iro n m e n t > K y Sta k e h o ld e rs a n d Ev e n ts n e M jo r I s ure rs a n  State Farm K y I d us try & Llo yd ’s Ev e n ts en > www.statefarm.com > www.aig.com > www.allstate.com > www.travelers.com > www.libertymutual.com > www.nationwide.com > www.farmers.com > www.berkshirehathaway.com > www.progressive.com > www.zurich.com  Travelers  Liberty Mutual  Nationwide  Farmers  Berskshire Hathaway  Progressive  Zurich As s o c ia tio n Insurance Information Institute > www.iii.org Re g u la to r National Association of Insurance Commissioners > www.naic.org > www.lloyds.com/News_Centre/Events I s u ra n c e En v iro n m e n t > K y Sta tis tic s n e Gro s s Writte n Pre m iu m s (GWP) U S 8 00,00 0 6 00,00 0 4 00,00 0 2 00,00 0 0 2007 2008 7 QUICK TOUR (Country Based on: > www.swissre.com > “World Insurance in 2008” 1 1 5 ,7 2 5 1 0 7 ,3 9 3 6 5 8 ,6 7 4 6 6 2 ,4 3 2 (direct non-life GWP at constant prices; million USD) U K De n s ity (direct non-life GWP per capita; USD) U S 2 ,5 00 2 ,0 00 1 ,5 00 1 ,0 00 50 0 0 2 0 0 8 De n s ity Profiles) > www.swissre.com > “World Insurance in 2008” Based on: 1 ,2 7 6 2 ,1 7 7 U K Bro k e r Pe n e tra tio n Estimated broker penetration: 75% – 100% Based on soft intelligence and Axco, Statistics: > www.axcoinfo.com/ Quic k Lin k s Insurance Information Institute > www.iii.org/international/profiles/ Worldwide Assecuranz Directory > http://assecuranz.kompass.com/ © Lloyd’s L loyd’s B us ines s B us ines s E nvironment Ins urance E nvironment
Slide 8: U S No rth Am e ric a La tin Am e ric a Offic e s / Re p re s e n ta tio n Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Llo yd ’s Bu s in e s s > Offic e De ta ils Llo yd ’s Pre s id e n t, No rth Am e ric a Mr Henry Watkins The Museum Office Building 25 West 53rd Street 14th Floor New York NY 10019  NEW YORK OFFICE TELEPHONE +1 212 382 4090  FAX +1 212 382 4070  EMAIL > hank.watkins@lloyds.com  WEBSITE > www.lloyds.com/america Central Region Mr Pat Talley pat.talley@lloyds.com  ILLINOIS OFFICE TELEPHONE +1 312 407 6201  KENTUCKY OFFICE TELEPHONE +1 502 875 5940 US Virgin Islands Mr Henry L Feuerzeig hfeuerzeig@DTFLaw.com  USVI OFFICE TELEPHONE +1 340 715 4443 Western Region Mr Anthony Joseph anthony.joseph@lloyds.com  LOS ANGELES OFFICE TELEPHONE + 1 310 706 4100 Llo yd ’s Bu s in e s s > K y Sta tis tic s , Tra d in g Po s itio n a n d M rk e t I te llig e n c e e a n 2 0 0 9 Llo yd ’s Gro s s Writte n Pre m ium s Tra d in g Po s itio n > www.lloyds.com/crystal M rk e t I te llig e n c e a n Brokers have access to information via: www.lloyds.com/MARKETPRESENTATIONS Lloyd's Total: Direct: (including Surplus Lines) Reinsurance: *at constant prices; million USD See: Data limitations for detail 8 USD 12.8bn* USD 6.3bn* USD 5.5bn* Direct – Licensed: No, except, Illinois, Kentucky and US Virgin Islands Direct – Surplus Lines: Yes, except Kentucky and the US Virgin Islands Reinsurance: Most syndicates accredited reinsurers in all 50 states Ins urance E nvironment Managing Agents have access to information via: www.lloyds.com/REGIONALWATCH > Managing Agent Version > North America > US QUICK TOUR (Country Profiles) © Lloyd’s L loyd’s B us ines s B us ines s E nvironment
Slide 9: Ca n a d a No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific Pro file Clic k Bo x to n a v ig a te Bu s in e s s En v iro n m e n t  Key strengths and challenges of the economy  Size and growth of the economy  Basic economic indicators I s u ra n c e En v iro n m e n t n  Key insurers  Insurance industry events  Basic insurance indicators Llo yd ’s Bus in e s s  Lloyd’s office details and contacts  Trading position and size of Lloyd’s business  Available market intelligence products 9 QUICK TOUR (Country Profiles) © Lloyd’s
Slide 10: Ca n a d a No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Bu s in e s s En v iro n m e n t > K I EY SSU To Wa tc h ES Early Election in Prospect: Canada faces yet another early general election after the Liberals withdrew their parliamentary support for the minority Conservative government in September 2009. The left-wing New Democrats decided in the end to support the Conservatives in key votes, but a fresh election is expected in 2010. Political Upheavals Unlikely to End: The next election is unlikely to change the unstable status quo greatly, however, with neither of the major parties likely to secure an outright majority. If this is the case, the two most obvious outcomes are either another minority Conservative government or a Liberal-New Democratic Party coalition. The latter could boast a majority, but the parties have considerable ideological differences and the alliance would probably prove unstable. Such a government would also be significantly more left-wing than its predecessor. SOURCE: IHS Global Insight, (June 2010). For daily updates visit: www.ihsglobalinsight.com Economy on Course Escaped Recession in Q3 2009: Buffeted by the global economic crisis, Canada dropped into a sharp recession in the final months of 2008. GDP contracted by -6.2% in the first quarter of 2009 and by -3.1% in the second quarter, before finally creeping into positive territory (0.4%) in the third quarter. Weakness has been pronounced in most areas of the economy, both domestic and international. The economy is now past the worst, but is not recovering as quickly as the United States. As the crisis unfolded the Bank of Canada increased liquidity and the overnight rate was cut to an historic low of 0.25%. Fiscal Surpluses Abandoned in Favour of Stimulus: The 2009 budget was brought forward by Prime Minister Stephen Harper and announced in late January. It foresaw Canada's first fiscal deficit after 11 consecutive surpluses and featured stimulatory tax cuts and spending initiatives. The C$40-billion package is big by Canadian standards, although it is dwarfed by the package unveiled in the United States. The stimulus measures have been broadly welcomed, but arguably they should have come sooner to benefit the economy during the worst of the downturn. The government was soon forced to revise its deficit estimates up sharply, causing it considerable political discomfort. Foreign Investors Face Growing Barriers: Canada has traditionally had a very open economy, but the spectacle of a succession of major Canadian firms being taken over by foreign companies has sparked a growing backlash. In April 2008 the government blocked the takeover of MacDonald, Dettwiler and Associates Ltd (MDA)'s space business by the United States' Alliant Techsystems, on the grounds that the deal was not in Canada's interests. The decision is ominous for future large-scale foreign takeovers in any sector, although the current economic turmoil has inevitably slowed such activity. Bu s in e s s En v iro n m e n t > Ba s ic I d ic a to rs n Gro s s Do m e s tic Pro d uc t (GDP) 2,000 1,800 1,600 1,400 1,200 1,000 800 600 400 200 0 3.4% 2.9% 2.5% 3.5% (nominal GDP levels in billion USD; Real GDP change) 4% 3.5% 3.2% 2.9% To p -1 0 Se c to rs (By Va lue Ad d e d ) 01 02 03 04 05 06 07 08 09 10 Real Estate Oil & Gas Mining Health & Social Services Construction Retail Trade Public Administration & Defence Banking & Related Financial Wholesale Trade Education Business Services Ra n k in g s 146 110 92 91 85 78 78 73 69 58 +2.1% -3.9% +2.9 -2.2% -2.3% +2.5% -1.1% -8.8% +2.5% -1.8% (a 2008 Level in billion USD & 2009 Change in %) Ease of Doing Business Canada ranks 8th out of 181 countries 08 10 3% 2% 1% Global Competitiveness Canada ranks 10th out of 134 countries 0.4% 0% -1% -2% -2.6% Quic k Lin k s Doing Business > www.doingbusiness.org Competitiveness > www.weforum.org Global Opportunities for business indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s 2006 2007 2008 2009 2010 2011 2012 2013 2014 10 QUICK TOUR (Country Profiles) -3% B us ines s E nvironment Ins urance E nvironment
Slide 11: Ca n a d a M jo r I s ure rs a n  Intact  Aviva  Coperators  TD  Economical  State Farm  RSA  Lloyd’s  Wawanesa  Desjardins General No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard I s u ra n c e En v iro n m e n t > K y Sta k e h o ld e rs a n d Ev e n ts n e K y I d us try & Llo yd ’s Ev e n ts en > www.intactinsurance.com > www.avivacanada.com > www.cooperators.ca > www.tdcanadatrust.com > www.economicalinsurance.com > www.statefarm.ca > www.rsa.ca > www.lloyds.com > www.wawanesa.com > www.desjardins.com As s o c ia tio n Insurance Bureau of Canada > www.ibc.ca Re g u la to r OSFI > www.osfi-bsif.gc.ca > www.lloyds.com/News_Centre/Events I s u ra n c e En v iro n m e n t > K y Sta tis tic s n e Gro s s Writte n Pre m iu m s (GWP) Ca n a d a 2 00,00 0 1 50,00 0 1 00,00 0 5 5 ,4 1 5 50 ,000 0 2007 2008 11 QUICK TOUR (Country Based on: > www.swissre.com > “World Insurance in 2008” 5 7 ,3 1 9 1 1 5 ,7 2 5 (direct non-life GWP at constant prices; million USD) U K De n s ity (direct non-life GWP per capita; USD) Ca n a d a 2 ,5 00 2 ,0 00 2 ,1 3 3 1 ,2 7 6 U K Bro k e r Pe n e tra tio n Estimated broker penetration: 75% – 100% Based on soft intelligence and Axco, Statistics: > www.axcoinfo.com/ Quic k Lin k s Insurance Information Institute > www.iii.org/international/profiles/ Worldwide Assecuranz Directory > http://assecuranz.kompass.com/ © Lloyd’s L loyd’s B us ines s 1 0 7 ,3 9 3 1 ,5 00 1 ,0 00 50 0 0 2 0 0 8 De n s ity Profiles) > www.swissre.com > “World Insurance in 2008” Based on: B us ines s E nvironment Ins urance E nvironment
Slide 12: Ca n a d a Llo yd ’s Pre s id e n t fo r Ca n a d a No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Llo yd ’s Bu s in e s s > Offic e De ta ils Ms Deborah Moor 1155 Rue Metcalfe Suite 2220 Montreal Quebec H3B 2V6  TELEPHONE +1 514 864 5484  FAX +1 514 861 0470  EMAIL > deborah.moor@lloyds.com  WEBSITE > www.lloyds.com/canada Llo yd ’s Bu s in e s s > K y Sta tis tic s , Tra d in g Po s itio n a n d M rk e t I te llig e n c e e a n 2 0 0 9 Llo yd ’s Ne t Sig n e d Pre m iu m s Tra d in g Po s itio n > www.lloyds.com/crystal M rk e t I te llig e n c e a n Brokers have access to information via: www.lloyds.com/MARKETPRESENTATIONS Lloyd's Total: Direct: Reinsurance: *at constant prices; million USD See: Data limitations for detail 12 USD 1.5bn* USD 1.3bn* USD 204m* Direct: Lloyd's is licensed for all classes of insurance except life, title, mortgage, credit protection, home warranty (in the province of British Columbia only) and hail in respect of crop (in the province of Quebec only). Reinsurance: Lloyd's is licensed for all classes of reinsurance except life, title, mortgage, credit protection, home warranty (in the province of British Columbia only) and hail in respect of crop (in the province of Quebec only). Managing Agents have access to information via: www.lloyds.com/REGIONALWATCH > Managing Agent Version > North America > Canada QUICK TOUR (Country Profiles) Ins urance E nvironment © Lloyd’s L loyd’s B us ines s B us ines s E nvironment
Slide 13: Eu ro p e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific TYPE 1 Au s tria De n m a rk No rw a y Po rtu g a l TYPE 2 Gre e c e I ra e l s M lta a Ne th e rla n d s / Be lg iu m / Cyp ru s TYPE 3 Fra n c e Ge rm a n y I la n d re I ly ta Po la n d Sp a in 13 QUICK TOUR (Country Profiles) Sw e d e n © Lloyd’s
Slide 14: Au s tria – TYPE 1 Offic e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific Pro file Clic k Bo x to n a v ig a te Bu s in e s s En v iro n m e n t  Key strengths and challenges of the economy  Size and growth of the economy  Basic economic indicators I s u ra n c e En v iro n m e n t n  Key insurers  Insurance industry events  Basic insurance indicators Llo yd ’s Bus in e s s  Lloyd’s office details and contacts  Trading position and size of Lloyd’s business  Available market intelligence products 14 QUICK TOUR (Country Profiles) © Lloyd’s
Slide 15: Au s tria – TYPE 1 Offic e Bu s in e s s En v iro n m e n t > K I EY SSU To Wa tc h ES No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Risk of Economic Relapse Remains: The burden of non-performing loans (NPLs) on financial sector balance sheets keeps lending conditions tight, which may well lead to a setback to GDP growth momentum during the latter half of 2010. The helpful Austrian export rebound is not assured, given fiscal consolidation needs in most parts of the world and a bumpy recovery in most Eastern European economies, which are of particular importance to Austria. Subdued Inflation Ensures Persistence of Loose Monetary Policy: Following a brief dip in inflation below zero in mid-2009, the recent rebound will not extend far beyond 1%, thus enabling the European Central Bank (ECB) to keep its key interest rate at the current record low of 1.00% until late 2010 or even 2011. SOURCE: IHS Global Insight, (June 2010). For daily updates visit: www.ihsglobalinsight.com Government Plans to Reduce Deficit: Announcements made in March 2010 underlined the government's intention to reduce the public sector deficit over the coming years from a peak of 4.7% of GDP in 2010 to less than 3% by 2013. Extra tax revenues of around 1.1 billion euro and spending cuts of 1.7 billion euro are being targeted, but the precise measures (beyond a special tax on banks) will be decided only after two key regional elections due in late 2010. Pressure Eases on Austria over Tax Co-Operation: The majority of European Union (EU) finance ministers are easing the pressure on "tax havens" Austria and Luxembourg. The ministers' initial attempts to force Austrian and Luxembourgish officials into complying with requests for co-operation in the exchange of tax information have now been replaced by a softer approach. Organisation for Economic Co-operation and Development (OECD) regulations do not force countries to co-operate with such requests and Austria wants fellow EU member states to respect this. Labour Market Restrictions Set to Remain in Place Until 2011: The European Commission has accepted the arguments of the Austrian government for upholding labour market restrictions on citizens from Central and Eastern European member states of the EU in certain sectors. The government has primarily pointed to the sharp economic downturn to justify its decision. However, the Commission has urged Austrian officials to ensure that the labour market is prepared for liberalisation in 2011. The expected public outcry in Austria over this liberalisation has thus merely been postponed. Bu s in e s s En v iro n m e n t > Ba s ic I d ic a to rs n Gro s s Do m e s tic Pro d uc t (GDP) 600 3.4% 3.4% (nominal GDP levels in billion USD; Real GDP change) 4% 3% 1.8% 1.6% 1.8% 1.9% 1.8% 1.8% To p -1 0 Se c to rs (By Va lue Ad d e d ) 01 02 03 04 05 06 07 08 09 10 Real Estate Construction Wholesale Trade Business Services Health & Social Services Public Administration & Defence Retail Trade Education Hotels & Restaurants Banking & Related Financial Ra n k in g s 36.4 25.9 23.8 23.3 21.9 20.9 20.9 19.8 17.2 13.6 -4.2% -3.4% -3.8% -3.2% +1.6% +3.1% -2.2% +1.5% -3.8% -5.5% (a 2008 Level in billion USD & 2009 Change in %) Ease of Doing Business Austria ranks 27th out of 181 countries 27 14 500 400 300 200 100 -3.4% 2% 1% 0% -1% -2% -3% -4% Global Competitiveness Austria ranks 14th out of 134 countries Quic k Lin k s Doing Business > www.doingbusiness.org Competitiveness > www.weforum.org Global Opportunities for business indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s 0 2006 2007 2008 2009 2010 2011 2012 2013 2014 15 QUICK TOUR (Country Profiles) B us ines s E nvironment Ins urance E nvironment
Slide 16: Au s tria – TYPE 1 Offic e M jo r I s ure rs a n  Generali  Wiener Staedtische  UNIQA  Allianz  Donau  Zurich  Grazer Wechselseitige  Oberosterrichische  Niederoesterreichische  Wuestenrot > www.generali.at > www.wienerstaedtische.at > www.uniqua.at > www.allianz.at > www.donauversicherung.at > www.zurich.at > www.grawe.at > www.keinesorgen.at > www.noev.at > www.wuestenrot.at No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard I s u ra n c e En v iro n m e n t > K y Sta k e h o ld e rs a n d Ev e n ts n e K y I d us try & Llo yd ’s Ev e n ts en As s o c ia tio n Verband der Versicherungsunternehmen > www.vvo.at Re g u la to r Bundesministerium fuer Finanzen > www.fma.gv.at > www.lloyds.com/News_Centre/Events I s u ra n c e En v iro n m e n t > K y Sta tis tic s n e Gro s s Writte n Pre m iu m s (GWP) Aus tria 1 50,00 0 1 20,00 0 90 ,000 60 ,000 30 ,000 0 2007 2008 16 QUICK TOUR (Country Based on: > www.swissre.com > “World Insurance in 2008” 1 1 ,8 7 6 1 3 ,0 9 5 1 1 5 ,7 2 5 1 0 7 ,3 9 3 (direct non-life GWP at constant prices; million USD) U K De n s ity (direct non-life GWP per capita; USD) Aus tria 2 ,0 00 1 ,5 6 9 1 ,5 00 1 ,0 00 50 0 0 1 ,2 7 6 U K Bro k e r Pe n e tra tio n Estimated broker penetration: 25% – 50% Based on soft intelligence and Axco, Statistics: > www.axcoinfo.com/ Quic k Lin k s Insurance Information Institute > www.iii.org/international/profiles/ Worldwide Assecuranz Directory > http://assecuranz.kompass.com/ Profiles) > www.swissre.com > “World Insurance in 2008” Based on: Ins urance E nvironment 2 0 0 8 De n s ity Global Opportunities for insurance indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s B us ines s E nvironment
Slide 17: Au s tria – TYPE 1 Offic e Llo yd ’s Bu s in e s s > Offic e De ta ils Llo yd ’s Ge n e ra l re p re s e n ta tiv e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard M rk e t Re la tio n s M n a g e r a a Dr Harald Svoboda Kubac, Svoboda & Kirchweger Rechtsanwälte (GbR) Kantgasse 3 1010 Wien Austria  TELEPHONE +43 (0)1 713 07 13  FAX + (43-1) 713 24 21  EMAIL > Harald.svoboda@lloyds.com  WEBSITE > www.lloyds.com/austria Mr Volker Eutebach  TELEPHONE +49 (0)69 5970253  FAX +49 (0)69 550926  EMAIL > volker.eutebach@lloyds.com Llo yd ’s Bu s in e s s > K y Sta tis tic s , Tra d in g Po s itio n a n d M rk e t I te llig e n c e e a n 2 0 0 9 Llo yd ’s Gro s s Sig n e d Pre m ium s Tra d in g Po s itio n > www.lloyds.com/crystal M rk e t I te llig e n c e a n Total: Direct: Reinsurance: USD 41m* USD 16m* USD 24m* Services: Yes Establishment: Yes Reinsurance: Yes Managing Agents have access to information via: www.lloyds.com/REGIONALWATCH > Managing Agent Version > Europe > Eastern Markets * See: Data limitations for detail; figures are rounded and may not add up to total 17 QUICK TOUR (Country Profiles) Ins urance E nvironment © Lloyd’s L loyd’s B us ines s B us ines s E nvironment
Slide 18: Be lg iu m – TYPE 2 Offic e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific Pro file Clic k Bo x to n a v ig a te Bu s in e s s En v iro n m e n t  Key strengths and challenges of the economy  Size and growth of the economy  Basic economic indicators I s u ra n c e En v iro n m e n t n  Key insurers  Insurance industry events  Basic insurance indicators Llo yd ’s Bus in e s s  Lloyd’s office details and contacts  Trading position and size of Lloyd’s business  Available market intelligence products 18 QUICK TOUR (Country Profiles) © Lloyd’s
Slide 19: Be lg iu m – TYPE 2 Offic e Bu s in e s s En v iro n m e n t > Stre n g th s & Ch a lle n g e s No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Recurring Political Stalemate: In April 2010, Prime Minister Yves Leterme offered his resignation for the third time since the 2007 parliamentary election following the resignation of a key coalition ally. Administrative reforms, particularly regarding greater regional fiscal autonomy, have poisoned relations between the ruling parties. The ongoing disputes do not threaten the country's overall stability, but progress on administrative and economic reforms will remain sluggish at best. Higher Oil Prices Main Risk to Near-Term Economic Growth: Rising global oil prices and a recently weaker euro could push consumer price inflation higher in the near term. This would restrict purchasing power and limit private consumption, thus hampering the fragile economic recovery. SOURCE: IHS Global Insight, (June 2010). For daily updates visit: www.ihsglobalinsight.com Fiscal Position Deteriorating: No improvement in the fiscal position is expected in the near term as the government is continuing to pursue an expansionary fiscal policy to help the fragile economy. As a result, the country's public debt will continue its upward trend in the near term and remain very high by Eurozone standards. Tax Disputes Still Possible Despite Removal from OECD "Grey List": Belgium was quickly removed from the Organisation for Economic Co-operation and Development's (OECD) "grey list" after the government managed to sign the requisite 12 revised double-taxation agreements between April and July 2009. The new treaties increase the scope for co-operation between Belgian tax authorities and foreign public investigators in cases of suspected tax evasion. However, disputes may still occur since the new treaties—based on the OECD Model Tax Convention—offer considerable room for refusal to co-operate. Fate of Fortis Bank Haunts Government: The government is constantly being reminded of its shortcomings during negotiations over the fate of financial services group Fortis. It is determined to break up the entity, yet minority shareholders are pushing for an improved offer. Talks are being held under the aegis of a court-appointed panel of experts. The general line is that shareholders will be consulted further but that the break-up will ultimately go ahead. Bu s in e s s En v iro n m e n t > Ba s ic I d ic a to rs n Gro s s Do m e s tic Pro d uc t (GDP) 600 500 400 0.8% (at constant prices; billion USD) 2.8% 2.8% To p -1 0 Se c to rs (By Va lue Ad d e d ) 4% 3% 1.9% 1.9% Ra n k in g s 51.1 42.5 33.1 32.2 31.9 29.9 26.4 23.3 15.2 14.4 -2.3% -5.6% +2.8% -0.2% -4.6% +0.7% -4.6% -4.6% -4.4% -4.6% (a 2008 Level in billion USD & 2009 Change in %) 01 02 03 04 05 06 07 08 09 10 Business Services Real Estate Public Admin. & Defence Health & Social Services Wholesale Trade Education Retail Trade Construction Banking & Related Financial Supporting Transport Services Ease of Doing Business Belgium ranks 19th out of 181 countries 19 19 1.3% 1.4% 1.5% 2% 1% 0% -1% -2% Global Competitiveness Belgium ranks 19th out of 134 countries 300 200 100 0 -3.0% Quic k Lin k s Doing Business > www.doingbusiness.org Competitiveness > www.weforum.org Global Opportunities for business indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s -3% -4% 2006 2007 2008 2009 2010 2011 2012 2013 2014 19 QUICK TOUR (Country Profiles) B us ines s E nvironment Ins urance E nvironment
Slide 20: Be lg iu m – TYPE 2 Offic e M jo r I s ure rs a n  AXA  BNP Paribas Fortis  Ethias  KBC  Winterthur (AXA)  Dexia  Allianz  DKV  Vivium  Mercator > www.axa.be > www.fortis.be > www.ethias.be > www.kbc.be > www.winterthur.com > www.dexia.be > www.allianz.be > www.dkv.be > www.vivium.be > www.mercator.be No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard I s u ra n c e En v iro n m e n t > K y Sta k e h o ld e rs a n d Ev e n ts n e K y I d us try & Llo yd ’s Ev e n ts en As s o c ia tio n Insurance Companies' Association > www.assuralia.be Re g u la to r Banking, Finance and Insurance Commission > www.cbfa.be > www.lloyds.com/News_Centre/Events I s u ra n c e En v iro n m e n t > K y Sta tis tic s n e Gro s s Writte n Pre m iu m s (GWP) Be lg ium 1 50,00 0 1 20,00 0 90 ,000 60 ,000 30 ,000 0 2007 2008 20 QUICK TOUR (Country Based on: > www.swissre.com > “World Insurance in 2008” 1 4 ,5 2 7 1 6 ,3 5 8 1 1 5 ,7 2 5 1 0 7 ,3 9 3 (direct non-life GWP at constant prices; million USD) U K De n s ity (direct non-life GWP per capita; USD) Be lg ium 1 ,4 00 1 ,2 00 1 ,0 00 80 0 60 0 40 0 20 0 0 1 ,2 7 7 U K 1 ,2 7 6 Bro k e r Pe n e tra tio n Estimated broker penetration: 50% – 75% Based on soft intelligence and Axco, Statistics: > www.axcoinfo.com/ Quic k Lin k s Insurance Information Institute > www.iii.org/international/profiles/ Worldwide Assecuranz Directory > http://assecuranz.kompass.com/ Profiles) > www.swissre.com > “World Insurance in 2008” Based on: Ins urance E nvironment 2 0 0 8 De n s ity Global Opportunities for insurance indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s B us ines s E nvironment
Slide 21: Be lg iu m – TYPE 2 Offic e Llo yd ’s Bu s in e s s > Offic e De ta ils Llo yd ’s Ge n e ra l re p re s e n ta tiv e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Mr Alexis Fontein Underwriters' in Belgium c/o D’Hoine & Mackay Schalienstraat 30 2000 Antwerp Belgium  TELEPHONE +32 3470 2309  FAX +32 3470 2317  EMAIL > alexis.fontein@lloyds.com  WEBSITE > www.lloyds.com/belgium Llo yd ’s Bu s in e s s > K y Sta tis tic s , Tra d in g Po s itio n a n d M rk e t I te llig e n c e e a n 2 0 0 9 Llo yd ’s Gro s s Sig n e d Pre m ium s Tra d in g Po s itio n > www.lloyds.com/crystal M rk e t I te llig e n c e a n Total: Direct: Reinsurance: USD 111m* USD 77m* USD 35m* Services: Yes Establishment: Yes Reinsurance: Yes Managing Agents have access to information via: www.lloyds.com/REGIONALWATCH > Managing Agent Version > Europe > Small Markets * See: Data limitations for detail; figures are rounded and may not add up to total 21 QUICK TOUR (Country Profiles) Ins urance E nvironment © Lloyd’s L loyd’s B us ines s B us ines s E nvironment
Slide 22: Cyp ru s – TYPE 2 Offic e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific Pro file Clic k Bo x to n a v ig a te Bu s in e s s En v iro n m e n t  Key strengths and challenges of the economy  Size and growth of the economy  Basic economic indicators I s u ra n c e En v iro n m e n t n  Key insurers  Insurance industry events  Basic insurance indicators Llo yd ’s Bus in e s s  Lloyd’s office details and contacts  Trading position and size of Lloyd’s business  Available market intelligence products 22 QUICK TOUR (Country Profiles) © Lloyd’s
Slide 23: Cyp ru s – TYPE 2 Offic e Bu s in e s s En v iro n m e n t > K I EY SSU To Wa tc h ES No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Potential Costs of Reunification Top 9 billion Euro: Most recent estimates have put the potential cost of reunification at 9 billion euro, with the international community likely to be asked to make up a substantial shortfall in public finances. However, the potential economic benefits of reunification far outstrip this, with the island's principal sectors—tourism and construction—expected to receive a major boost, as well as improving the general business environment. Slack Economic Activity, Burst Property Bubble Exacerbating Fiscal Gap: Cyprus had undertaken aggressive steps to bring its public-sector deficit and public debt within the Maastricht criteria in order to join the Eurozone. However, in the lacklustre European economic environment, and with the downward correction in asset values, tax receipts are affected, whereas the social safety net has required additional expenditure. The pension system will also experience problems, as it was already in need of reform, given an ageing population. SOURCE: IHS Global Insight, (June 2010). For daily updates visit: www.ihsglobalinsight.com Shaky Consumer Confidence in Western Europe Likely to Affect Critical Tourism Sector: The tourism sector is important to the economy, accounting for a larger share of value added than industry, and helping to balance the chronic deficit on merchandise trade. Record low consumer confidence and tighter household budgets in Western Europe resulted in cancelled holidays in 2009 and, given stubborn unemployment and concern over the impact of fiscal reform across the region, we are unlikely to see much of a recovery in 2010. Net Inflows on Non-Factor Services and Foreign Direct Investment Play a Critical Role in Providing Financing for External Trade Gap: Cyprus' imports continue to massively outweigh the island's goods exports. Typically, it has substantially offset that gap with large surpluses on non-factor services. However, lacklustre consumer demand in key economies is eroding tourism receipts, as well as receipts from financial services in this popular offshore banking centre. Although import demand has also slackened, a large merchandise trade deficit will still be registered. Immigration Policy Facing Overhaul: There is a pressing need for a general overhaul of Cyprus' immigration policy, not only to bring it into line with European Union guidelines, but also with reality, and the economy's needs. However, any attempts at reform are likely to be met with suspicion because of the high seasonal influx of illegal immigrants arriving on the island every year. This reluctance has been exacerbated by the economic downturn and subsequent public reluctance to tolerate high spending on policies designed to integrate immigrants. Bu s in e s s En v iro n m e n t > Ba s ic I d ic a to rs n Gro s s Do m e s tic Pro d uc t (GDP) 40 4.4% 4.0% 3.6% 3.5% 3.9% 3.5% 3.2% Ra n k in g s 5% 4% 3% 2% (nominal GDP levels in billion USD; Real GDP change) Ease of Doing Business Cyprus ranks N/A out of 181 countries N/A 40 30 Global Competitiveness Cyprus ranks 40th out of 134 countries 20 0.9% 1% 0% 10 -1.7% -1% -2% Quic k Lin k s Doing Business > www.doingbusiness.org Competitiveness > www.weforum.org Global Opportunities for business indicators © Lloyd’s > www.lloyds.com/marketintelligence Ins urance E nvironment L loyd’s B us ines s 0 2006 2007 2008 2009 2010 2011 2012 2013 2014 23 QUICK TOUR (Country Profiles) -3% B us ines s E nvironment
Slide 24: Cyp ru s – TYPE 2 Offic e M jo r I s ure rs a n  Laiki > www.laiki.com  General Insurance of Cyprus > www.gic.com.cy  Pancyprian Insurance > www.hellenicbank.com  Cosmos  Atlantic  Universal Life  American Home  Minerva  Commercial General  Alpha Insurance > www.cosmosinsurance.com.cy > www.atlantic.com.cy > www.universallife.com.cy > www.aigcyprus.com > www.minerva.com.cy > www.cgi.com.cy > www.alphabank.com.cy No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard I s u ra n c e En v iro n m e n t > K y Sta k e h o ld e rs a n d Ev e n ts n e K y I d us try & Llo yd ’s Ev e n ts en As s o c ia tio n Insurance Association of Cyprus > www.iac.org.cy Re g u la to r Insurance Companies Control Service > www.mof.gov.cy > www.lloyds.com/News_Centre/Events I s u ra n c e En v iro n m e n t > K y Sta tis tic s n e Gro s s Writte n Pre m iu m s (GWP) Cyp ru s 1 50,00 0 1 20,00 0 90 ,000 60 ,000 30 ,000 0 45 5 528 1 1 5 ,7 2 5 1 0 7 ,3 9 3 (direct non-life GWP at constant prices; million USD) U K De n s ity (direct non-life GWP per capita; USD) Cyp ru s 1 ,4 00 1 ,2 00 1 ,0 00 80 0 60 0 40 0 20 0 0 61 1 U K 1 ,2 7 6 Bro k e r Pe n e tra tio n Estimated broker penetration: 00% – 25% Based on soft intelligence and Axco, Statistics: > www.axcoinfo.com/ Quic k Lin k s Insurance Information Institute > www.iii.org/international/profiles/ Worldwide Assecuranz Directory > http://assecuranz.kompass.com/ 2007 2008 24 QUICK TOUR (Country Based on: > www.swissre.com > “World Insurance in 2008” Profiles) > www.swissre.com > “World Insurance in 2008” Based on: Ins urance E nvironment 2 0 0 8 De n s ity Global Opportunities for insurance indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s B us ines s E nvironment
Slide 25: Cyp ru s – TYPE 2 Offic e Llo yd ’s Bu s in e s s > Offic e De ta ils Llo yd ’s Ge n e ra l re p re s e n ta tiv e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Ms Marianna Papadakis Lloyd's Cyprus Limited 195 Arch Makarios lll Avenue Neocleous House Limassol 3030 Cyprus  TELEPHONE +44 0207 327 6802  FAX +44 0207 327 5255  EMAIL > marianna.papadakis@lloyds.com  WEBSITE > www.lloyds.com/cyprus Llo yd ’s Bu s in e s s > K y Sta tis tic s , Tra d in g Po s itio n a n d M rk e t I te llig e n c e e a n 2 0 0 9 Llo yd ’s Gro s s Sig n e d Pre m ium s Tra d in g Po s itio n > www.lloyds.com/crystal M rk e t I te llig e n c e a n Total: Direct: Reinsurance: USD 45m* USD 32m* USD 13m* Services: Yes Establishment: Yes Reinsurance: Yes Managing Agents have access to information via: www.lloyds.com/REGIONALWATCH > Managing Agent Version > Europe > Small Markets * See: Data limitations for detail; figures are rounded and may not add up to total 25 QUICK TOUR (Country Profiles) Ins urance E nvironment © Lloyd’s L loyd’s B us ines s B us ines s E nvironment
Slide 26: De n m a rk – Typ e 1 Offic e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific Pro file Clic k Bo x to n a v ig a te Bu s in e s s En v iro n m e n t  Key strengths and challenges of the economy  Size and growth of the economy  Basic economic indicators I s u ra n c e En v iro n m e n t n  Key insurers  Insurance industry events  Basic insurance indicators Llo yd ’s Bus in e s s  Lloyd’s office details and contacts  Trading position and size of Lloyd’s business  Available market intelligence products 26 QUICK TOUR (Country Profiles) © Lloyd’s
Slide 27: De n m a rk – TYPE 1 Offic e Bu s in e s s En v iro n m e n t > K I EY SSU To Wa tc h ES No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Worsening Competitive Position is a Risk to Exports: High and rising labour costs coupled with a strong currency are hurting Denmark's currently strong competitive position. The trade balance turned to deficit in 2008 although it moved back to a small surplus in 2009. The situation could worsen, however, in the near term as rising labour and input costs, in conjunction with a stronger krone, will make Danish exports increasingly expensive. A Prolonged Housing-Market Slump is Main Near-Term Risk to Domestic Demand: Indeed, house prices declined markedly in 2008-2009, SOURCE: following double-digit annual increases for several years up until late 2007. If the housing market slump was to continue in 2010, consumer IHS Global Insight, (June 2010). For daily updates visit: confidence and spending will not recover as we expect. In turn this would limit overall growth and the activity in the construction sector, in www.ihsglobalinsight.com particular. New Government, Old Remedies: Against the high odds, the Danish Prime Minister Anders Fogh Rasmussen managed to push through his candidacy for NATO General Secretary. His successor is the previous Finance Minister Lars Løkke Rasmussen, with whom Fogh Rasmussen shares the same outlook on how to resolve the economic downturn. Løkke Rasmussen has announced strikingly similar policies to see the government through to the parliamentary election in 2011. Yet he may have to deviate strongly as time progresses to keep government-friendly deputies in check and thus punch above the true weight of the ruling parties in parliament. Danish Government Backtracks on Holding EU Integration Referenda Soon: The financial and economic crises have reduced the willingness of the Danish government to hold referenda on greater integration into the European Union anytime soon. Back in August 2008, the Danish government was supposed to set the agenda for holding referenda on current Danish opt-outs, notably the euro. Yet the Irish no-vote on the EU Reform Treaty and the crises have upset the plan. At this stage, the government is not expected to announce any dates before late 2010/early 2011, when the economy is expected to have recovered slightly. Danish Banking Sector Receives Significant Makeover: The government is coming to the rescue of troubled Danish banks in order to stabilise the economy. Yet, the 100billion-kroner rescue package comes with far-reaching conditions. Banks taking up the funds should lend preferably to small- and medium-sized enterprises, managers should not earn more than 20% of their salaries in bonuses, and the Financial Supervisory Authority will have a greater say in the running of the banks. Loans are available between June 2009 and 2012 at a loan interest of 9-12%. Bu s in e s s En v iro n m e n t > Ba s ic I d ic a to rs n Gro s s Do m e s tic Pro d uc t (GDP) 600 500 400 300 200 100 0 -4.8% -0.7% 3.4% 2.1% 1.4% 1.9% 2.0% 2.2% (nominal GDP levels in billion USD; Real GDP change) 4% 3% 1.7% To p -1 0 Se c to rs (By Va lue Ad d e d ) 01 02 03 04 05 06 07 08 09 10 Health & Social Services Real Estate Wholesale Trade Business Services Public Admin. And Defence Construction Education Retail Trade Oil and Gas Mining Banking & Related Financial Ra n k in g s 32.5 29.9 18.9 18.3 17.9 17.0 16.2 15.0 12.1 10.2 +1.8% -1.1% -3.6% -2.8% +2.5% -5.8% +0.7% -4.7% -3.8% -2.5% (a 2008 Level in billion USD & 2009 Change in %) Ease of Doing Business Denmark ranks 5th out of 181 countries 5 3 2% 1% 0% -1% -2% -3% -4% -5% -6% Global Competitiveness Denmark ranks 3rd out of 134 countries Quic k Lin k s Doing Business > www.doingbusiness.org Competitiveness > www.weforum.org Global Opportunities for business indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s 2006 2007 2008 2009 2010 2011 2012 2013 2014 27 QUICK TOUR (Country Profiles) B us ines s E nvironment Ins urance E nvironment
Slide 28: De n m a rk – Typ e 1 Offic e I s u ra n c e En v iro n m e n t > K y Sta k e h o ld e rs a n d Ev e n ts n e M jo r I s ure rs a n  Tryg Skade  Topdanmark  Codan (RSA)  Alm. Brand  Danmark  IHI Denmark (Bupa)  Alka  Nykredit  GF-Forsikring  Danske Forsikring > www.tryg.dk > www.topdanmark.dk > www.codan.dk > www.almbrand.dk > www.sygeforsikring.dk > www.ihi.com > www.alka.dk > www.nykredit.dk > www.gf-forsikring.dk > www.danskeforsikring.dk No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard K y I d us try & Llo yd ’s Ev e n ts en As s o c ia tio n Forsikring & Pension > www.forsikringenshus.dk Re g u la to r Insurance Supervisory Authority > www.ftnet.dk > www.lloyds.com/News_Centre/Events I s u ra n c e En v iro n m e n t > K y Sta tis tic s n e Gro s s Writte n Pre m iu m s (GWP) De n m a rk 1 50,00 0 1 20,00 0 90 ,000 60 ,000 30 ,000 0 2007 2008 28 QUICK TOUR (Country Based on: > www.swissre.com > “World Insurance in 2008” 1 0 ,2 4 4 1 1 ,3 6 7 1 1 5 ,7 2 5 1 0 7 ,3 9 3 (direct non-life GWP at constant prices; million USD) U K De n s ity (direct non-life GWP per capita; USD) De n m a rk 2 ,0 00 1 ,5 00 1 ,0 00 50 0 0 1 ,7 5 0 1 ,2 7 6 U K Bro k e r Pe n e tra tio n Estimated broker penetration: 25% – 50% Based on soft intelligence and Axco, Statistics: > www.axcoinfo.com/ Quic k Lin k s Insurance Information Institute > www.iii.org/international/profiles/ Worldwide Assecuranz Directory > http://assecuranz.kompass.com/ Profiles) > www.swissre.com > “World Insurance in 2008” Based on: Ins urance E nvironment 2 0 0 8 De n s ity Global Opportunities for insurance indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s B us ines s E nvironment
Slide 29: De n m a rk – Typ e 1 Offic e Llo yd ’s Bu s in e s s > Offic e De ta ils Llo yd ’s Ge n e ra l re p re s e n ta tiv e No rd ic Are a M n a g e r a No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Mr Jes Anker Mikkelsen Lloyd’s c/o Bech-Bruun Langelinie Allé 35 DK-2100 Copenhagen Denmark  TELEPHONE +45 (0)7227 3586  FAX +45 (0)7227 0027  EMAIL > jam@bechbruun.com  WEBSITE > www.lloyds.com/denmark Mr Erik Borjesson Stureplan 4c 4th Floor Stockholm 114 35 Sweden  TELEPHONE +00 46 705 399 982  EMAIL > erik.borjesson@lloyds.com Llo yd ’s Bu s in e s s > K y Sta tis tic s , Tra d in g Po s itio n a n d M rk e t I te llig e n c e e a n 2 0 0 9 Llo yd ’s Gro s s Sig n e d Pre m ium s Tra d in g Po s itio n > www.lloyds.com/crystal M rk e t I te llig e n c e a n Brokers have access to information via: www.lloyds.com/MARKETPRESENTATIONS Total: Direct: Reinsurance: USD 180m* USD 114m* USD 66m* Services: Yes, other than aircraft liability Establishment: Yes, other than life insurance, suretyship, credit or tourist assistance Reinsurance: Yes * See: Data limitations for detail; figures are rounded and may not add up to total 29 QUICK TOUR (Country Profiles) Ins urance E nvironment Managing Agents have access to information via: www.lloyds.com/REGIONALWATCH > Managing Agent Version > Europe > Nordic Markets © Lloyd’s L loyd’s B us ines s B us ines s E nvironment
Slide 30: Fra n c e – Typ e 3 Offic e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific Pro file Clic k Bo x to n a v ig a te Bu s in e s s En v iro n m e n t  Key strengths and challenges of the economy  Size and growth of the economy  Basic economic indicators I s u ra n c e En v iro n m e n t n  Key insurers  Insurance industry events  Basic insurance indicators Llo yd ’s Bus in e s s  Lloyd’s office details and contacts  Trading position and size of Lloyd’s business  Available market intelligence products 30 QUICK TOUR (Country Profiles) © Lloyd’s
Slide 31: Fra n c e – Typ e 3 Offic e Bu s in e s s En v iro n m e n t > K I EY SSU To Wa tc h ES No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Government Reform Zeal Worries Local Authorities: The government introduced a number of proposed reforms to the regional administrative system in October 2009, leading to much consternation among the local authorities. Although plans to transfer greater powers to the local level have been welcomed, many of the proposed reforms have come in for heavy criticism. The main bone of contention is the decision to scrap the business tax, which has been a lifeline for many local governments but a huge burden on many businesses. The government's success in decentralising administration will hinge to a large extent on how well the business tax's replacement, the "territorial economic contribution" (CET), is applied. Government Looks to Address Work-Related Stress: A wave of suicides at France Télécom, the country's leading operator in the fixed-line and mobile sectors, has led to criticism of French labour regulations. Between January 2008 and October 2009, 25 France Télécom staff members took their own lives, something trade unions have blamed on the company's management style. A government inquiry into work-related stress is set to be completed in February 2010, culminating in an action plan to improve employees' wellbeing without jeopardising companies' profits. SOURCE: IHS Global Insight, (June 2010). For daily updates visit: www.ihsglobalinsight.com Economic Recovery Likely to Be Laboured: Increasing unemployment, still tight credit conditions, the need to reduce the large fiscal deficit, and the phasing out of the successful car scrappage scheme will limit economic growth going forward. IHS Global Insight's April 2010 forecast sees GDP rising by 1.3% in 2010 and by 1.5% in 2011, following contraction of 2.2% in 2009. Draft 2010 Budget Foresees Record Deficit and Debt Levels: The 2010 budget keeps in place most of the stimulus measures implemented in 2009. The fiscal shortfall is expected to stand at 8.5% in 2010, up from an anticipated 8.2% in 2009 and well above the European Union's (EU) 3%-of-GDP limit. Higher deficits are projected to take the total stock of government debt to a staggering 84% of GDP in 2010 and to 91% by 2013. Labour Market Unlikely to Improve Before H2 2010: GDP growth in recent quarters has been insufficient to create jobs. Indeed, firms are still reluctant to add to their workforces as a result of weak demand and excess capacity levels. Encouragingly, business confidence has improved in recent months, albeit from a very low base. All in all, we expect the unemployment rate to average 10.1% in 2010 and 9.8% in 2011, up from an estimated 9.3% in 2009. Bu s in e s s En v iro n m e n t > Ba s ic I d ic a to rs n Gro s s Do m e s tic Pro d uc t (GDP) 3,500 3,000 2,500 2,000 1,500 1,000 500 0 -2.5% 0.1% 2.4% 2.3% 1.9% 1.3% 1.5% (nominal GDP levels in billion USD; Real GDP change) 3% 2% 1% 0% -1% -2% 2.6% 2.2% To p -1 0 Se c to rs (By Va lue Ad d e d ) 01 02 03 04 05 06 07 08 09 10 Real Estate Business Services Health & Social Services Public Admin. & Defence Construction Retail Trade Education Wholesale Trade Banking & Related Financial Computing & Related Services Ra n k in g s 376.9 246 217.8 188.9 179.2 140 135.2 109.5 74.1 64.3 +0.4% -1.6% +2.1% +0.7% -6.7% -2.7% +1.1% -3.1% -0.8% -0.5% (a 2008 Level in billion USD & 2009 Change in %) Ease of Doing Business France ranks 31st out of 181 countries 31 16 Global Competitiveness France ranks 16th out of 134 countries Quic k Lin k s Doing Business > www.doingbusiness.org Competitiveness > www.weforum.org Global Opportunities for business indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s 2006 2007 2008 2009 2010 2011 2012 2013 2014 31 QUICK TOUR (Country Profiles) -3% B us ines s E nvironment Ins urance E nvironment
Slide 32: Fra n c e – Typ e 3 Offic e M jo r I s ure rs a n  Covea  Axa  Groupama  AGF Allianz  Generali  Macif  MAIF  ACM  Credit Agricole / Lyonnais  Swiss Life > www.covea.fr > www.axa.fr > www.groupama.fr > www.allianz.fr > www.generali.fr > www.macif.fr > www.maif.fr > www.acm.fr > www.credit-agricole.com > www.swisslife.fr No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard I s u ra n c e En v iro n m e n t > K y Sta k e h o ld e rs a n d Ev e n ts n e K y I d us try & Llo yd ’s Ev e n ts en As s o c ia tio n Federation Française des Societes d'Assurances > www.ffsa.com Re g u la to r Secrétariat du Comité des entreprises d'assurance > www.ceassur.fr > www.lloyds.com/News_Centre/Events I s u ra n c e En v iro n m e n t > K y Sta tis tic s n e Gro s s Writte n Pre m iu m s (GWP) Fra n c e 1 50,00 0 1 20,00 0 90 ,000 60 ,000 30 ,000 0 2007 2008 32 QUICK TOUR (Country Based on: > www.swissre.com > “World Insurance in 2008” 8 3 ,2 2 9 1 1 5 ,7 2 5 9 1 ,8 6 1 1 0 7 ,3 9 3 (direct non-life GWP at constant prices; million USD) U K De n s ity (direct non-life GWP per capita; USD) Fra n c e 1 ,3 60 1 ,3 40 1 ,3 20 1 ,3 00 1 ,2 80 1 ,2 60 1 ,2 40 1 ,2 7 6 1 ,3 3 9 U K Bro k e r Pe n e tra tio n Estimated broker penetration: 00% – 25% Based on soft intelligence and Axco, Statistics: > www.axcoinfo.com/ Quic k Lin k s Insurance Information Institute > www.iii.org/international/profiles/ Worldwide Assecuranz Directory > http://assecuranz.kompass.com/ Global Opportunities for insurance indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s Profiles) > www.swissre.com > “World Insurance in 2008” Based on: Ins urance E nvironment 2 0 0 8 De n s ity B us ines s E nvironment
Slide 33: Fra n c e – Typ e 3 Offic e Llo yd ’s Bu s in e s s > Offic e De ta ils Llo yd ’s Ge n e ra l re p re s e n ta tiv e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Mr Guy-Antoine de La Rochefoucauld Lloyd's France SAS 4 rue des Petits Pères 75002 Paris France  TELEPHONE +33 1 42 60 43 43  FAX +33 1 42 60 14 41  EMAIL > guy-antoine.delarochefoucauld@lloyds.com  WEBSITE > www.lloyds.com/france Llo yd ’s Bu s in e s s > K y Sta tis tic s , Tra d in g Po s itio n a n d M rk e t I te llig e n c e e a n 2 0 0 9 Llo yd ’s Gro s s Sig n e d Pre m ium s Tra d in g Po s itio n > www.lloyds.com/crystal M rk e t I te llig e n c e a n Total: Direct: Reinsurance: USD 691m* USD 368m* USD 322m* Services: Yes Establishment: Yes, except life assistance Reinsurance: Yes * See: Data limitations for detail; figures are rounded and may not add up to total 33 Managing Agents have access to information via: www.lloyds.com/REGIONALWATCH > Managing Agent Version > Europe > France QUICK TOUR (Country Profiles) Ins urance E nvironment © Lloyd’s L loyd’s B us ines s B us ines s E nvironment
Slide 34: Ge rm a n y – TYPE 3 Offic e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific Pro file Clic k Bo x to n a v ig a te Bu s in e s s En v iro n m e n t  Key strengths and challenges of the economy  Size and growth of the economy  Basic economic indicators I s u ra n c e En v iro n m e n t n  Key insurers  Insurance industry events  Basic insurance indicators Llo yd ’s Bus in e s s  Lloyd’s office details and contacts  Trading position and size of Lloyd’s business  Available market intelligence products 34 QUICK TOUR (Country Profiles) © Lloyd’s
Slide 35: Ge rm a n y – TYPE 3 Offic e Bu s in e s s En v iro n m e n t > K I EY SSU To Wa tc h ES No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Regional Election in North Rhine-Westphalia Casts Shadow: Tensions between the centre-right government coalition partners are set to grow again after the dismal performance of the senior ruling Christian Democratic Union (CDU) at the key May 2010 regional election in Germany's most populous state, North Rhine-Westphalia. The CDU and Free Democratic Party (FDP) had put a lid on simmering tensions ahead of the poll, but disagreements on tax and health-care reforms and possibly Afghanistan are now likely to come to the fore. Financial Sector Problems Remain Burden Despite Economic Recovery: Weakening financial sector balance sheets will depress domestic demand for a lengthy period because of persistently tight lending conditions, but exports are being fuelled with growing momentum by solid global growth. Leading indicators such as the Ifo index need to be monitored closely for any signs that improving external demand is faltering again during 2010. SOURCE: IHS Global Insight, (June 2010). For daily updates visit: www.ihsglobalinsight.com ECB Will Keep Foot on Accelerator for Extended Period: As inflation temporarily turned negative during the third quarter of 2009 and currently remains subdued, the European Central Bank (ECB) will keep its key interest rate at the current record low of 1.00% during 2010. Any "non-standard" measures aimed at supporting liquidity and bank lending will be phased out only very gradually and with great care in order to prevent a renewed banking sector crisis. Consumption Set to Remain Weak for Most of 2010: Consumer spending was supported throughout the worst months of the 2008–09 recession by lagged effects of previous employment and wage growth, sharply declining inflation, the increase in the savings rate over the last decade (creating pent-up demand), fairly strong pension increases in July 2009, and various fiscal stimulus measures. These factors are absent or will disappear in 2010, and unemployment should show a lagged increase, placing a burden on private consumption. Labour Market Restrictions on East European EU Citizens Remain in Place: Germany managed to convince the European Commission in June 2009 of the need to keep these restrictions in place until 2011 in light of the sharp economic downturn, despite protests from the governments of the affected Central and Eastern European countries. By delaying the relaxation of these restrictions, the government may have merely postponed a domestic outcry on the issue; such a reaction seems inevitable, especially if unemployment continues to increase amid sluggish economic growth. Bu s in e s s En v iro n m e n t > Ba s ic I d ic a to rs n Gro s s Do m e s tic Pro d uc t (GDP) 4,000 3,500 3,000 2,500 2,000 1,500 1,000 500 0 -4.9% 3.4% 2.6% 1.8% 1.0% 1.8% 1.9% 1.8% 1.9% (nominal GDP levels in billion USD; Real GDP change) 4% 3% 2% 1% 0% -1% -2% -3% -4% -5% -6% To p -1 0 Se c to rs (By Va lue Ad d e d ) 01 02 03 04 05 06 07 08 09 10 Real Estate Business Services Health & Social Services Public Admin. & Defence Retail Trade Wholesale Trade Education Construction Sanitation, Trade Organisations Banking & Related Financial Ra n k in g s 400.2 303.5 238.3 188.7 172.8 149.1 143.9 131.2 93.2 91.4 -1.6% -2.1% +2.2% +2.2% -0.8% -4.9% +2.1% -5.4% +1.0% -6.3% (a 2008 Level in billion USD & 2009 Change in %) Ease of Doing Business Germany ranks 25th out of 181 countries 25 7 Global Competitiveness Germany ranks 7th out of 134 countries Quic k Lin k s Doing Business > www.doingbusiness.org Competitiveness > www.weforum.org Global Opportunities for business indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s 2006 2007 2008 2009 2010 2011 2012 2013 2014 35 QUICK TOUR (Country Profiles) B us ines s E nvironment Ins urance E nvironment
Slide 36: Ge rm a n y – TYPE 3 Offic e I s u ra n c e En v iro n m e n t > K y Sta k e h o ld e rs a n d Ev e n ts n e M jo r I s ure rs a n  Allianz  HDI-Gerling  AXA  R + V Allgemeine  Zurich  Victoria  Wuerttembergische  Gothaer  Huk Coburg > www.allianz.com > www.hdi-gerling.com > www.axa.com > www.ruv.de > www.zurich.com > www.victoria.de > www.wuerttembergische.de > www.gothaer.de > www.huk.de No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard K y I d us try & Llo yd ’s Ev e n ts en As s o c ia tio n GDV > www.gdv.de Re g u la to r Bafin > www.bafin.de > www.lloyds.com/News_Centre/Events I s u ra n c e En v iro n m e n t > K y Sta tis tic s n e Gro s s Writte n Pre m iu m s (GWP) Ge rm a n y 15 0,00 0 12 0,00 0 9 0,000 6 0,000 3 0,000 0 2007 2008 36 QUICK TOUR (Country Based on: > www.swissre.com > “World Insurance in 2008” 1 2 1 ,4 4 6 1 3 1 ,8 0 7 1 1 5 ,7 2 5 (direct non-life GWP at constant prices; million USD) U K De n s ity 2,0 00 (direct non-life GWP per capita; USD) Ge rm a n y 1 ,5 7 3 1,5 00 1,0 00 50 0 0 1 ,2 7 6 U K Bro k e r Pe n e tra tio n Estimated broker penetration: 50% – 75% Based on soft intelligence and Axco, Statistics: > www.axcoinfo.com/ Quic k Lin k s Insurance Information Institute > www.iii.org/international/profiles/ Worldwide Assecuranz Directory > http://assecuranz.kompass.com/ 1 0 7 ,3 9 3 Profiles) > www.swissre.com > “World Insurance in 2008” Based on: Ins urance E nvironment 2 0 0 8 De n s ity Global Opportunities for insurance indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s B us ines s E nvironment
Slide 37: Ge rm a n y – TYPE 3 Offic e Llo yd ’s Bu s in e s s > Offic e De ta ils Llo yd ’s Ge n e ra l re p re s e n ta tiv e M rk e t Re la tio n s M n a g e r a a No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Mr Burkard von Siegfried Niederlassung für Deutschland Gärtnerweg 3 60322 Frankfurt Deutschland  TELEPHONE + 49 (0)69 5970253  FAX + 49 (0)69 550926  EMAIL > burkard.vonsiegfried@lloyds.com  WEBSITE > www.lloyds.com/germany Mr Volker Eutebach  TELEPHONE +49 (0)69 5970253  FAX +49 (0)69 550926  EMAIL > volker.eutebach@lloyds.com Llo yd ’s Bu s in e s s > K y Sta tis tic s , Tra d in g Po s itio n a n d M rk e t I te llig e n c e e a n 2 0 0 9 Llo yd ’s Gro s s Sig n e d Pre m ium s Tra d in g Po s itio n > www.lloyds.com/crystal M rk e t I te llig e n c e a n Brokers have access to information via: www.lloyds.com/MARKETPRESENTATIONS Total: Direct: Reinsurance: USD 511m* USD 271m* USD 240m* Services: Yes Establishment: Yes Reinsurance: Yes * See: Data limitations for detail; figures are rounded and may not add up to total 37 QUICK TOUR (Country Profiles) Ins urance E nvironment Managing Agents have access to information via: www.lloyds.com/REGIONALWATCH > Managing Agent Version > Europe > Germany © Lloyd’s L loyd’s B us ines s B us ines s E nvironment
Slide 38: Gre e c e – Typ e 2 Offic e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific Pro file Clic k Bo x to n a v ig a te Bu s in e s s En v iro n m e n t  Key strengths and challenges of the economy  Size and growth of the economy  Basic economic indicators I s u ra n c e En v iro n m e n t n  Key insurers  Insurance industry events  Basic insurance indicators Llo yd ’s Bus in e s s  Lloyd’s office details and contacts  Trading position and size of Lloyd’s business  Available market intelligence products 38 QUICK TOUR (Country Profiles) © Lloyd’s
Slide 39: Gre e c e – Typ e 2 Offic e Bu s in e s s En v iro n m e n t > K I EY SSU To Wa tc h ES No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Market Pressure Shows No Sign of Abating: Rating agency Standard and Poor's (S&P) downgraded Greece's sovereign rating to "junk" status in April 2010, the first time this has happened to a Eurozone member, triggering a sharp increase in bond spreads and credit default swaps. The government must not only achieve the planned reduction in the fiscal shortfall in 2010—from 13.6% to 8.1% of GDP—but it must also announce how the deficit will be brought down in 2011 and 2012 and implement reforms to improve the long-term sustainability of the public finances if it is to have any chance of succeeding. Economy Will Contract Sharply in 2010: A "flash" estimate released in May 2010 suggested Greek GDP plunged during the first quarter of the year. IHS Global Insight expects the dip in activity to intensify during the coming quarters. Private consumption will come under intense pressure as a result of higher unemployment, weaker wage growth, and significantly tighter fiscal policy, including a higher value-added tax (VAT) rate. Moreover, a reduced availability of credit and concerns about the economic outlook will not only deter households from consuming, but will also weigh down on investment expenditure, which will also be hit by large spare capacity levels and plunging demand. Improving external demand and the recent depreciation of the euro should help exports, but gains will be limited by the weak external competitiveness of Greece's export sector. SOURCE: IHS Global Insight, (June 2010). For daily updates visit: www.ihsglobalinsight.com Government's Austerity Measures Spark Wave of Demonstrations: Since returning to power in October 2009, the ruling Panhellenic Socialist Movement (PASOK) has announced a number of austerity packages aimed at resuscitating the economy and regaining the trust of international markets. The tightening measures, however, have not been welcomed by the trade unions and throughout the first quarter of 2010 Greece experienced a series of nationwide protests, paralysing most of the country's public services. Social tensions are likely to continue in the near future. New Tax Reforms to Curb Evasion and Shift Burden to Wealthy: In a bid to increase state revenues, the PASOK government has proposed a new tax reform that will shift the tax burden onto high earners (mainly by changing income tax brackets and through the introduction of a 45% income tax rate) and attempt to crack down on widespread tax evasion. The corporate tax rate is still set to decrease from the current 25% to 20% by 2014. Unemployment Will Continue to Increase, Putting Private Consumption Under Pressure: Falling demand levels, tight credit conditions, squeezed margins, and uncertainly over the economic outlook are weighing down on firms' hiring decisions. IHS Global Insight believes that higher unemployment, combined with significantly tighter fiscal conditions, will keep private consumption—which represents around 70% of Greek GDP—in the doldrums throughout 2010. Bu s in e s s En v iro n m e n t > Ba s ic I d ic a to rs n Gro s s Do m e s tic Pro d uc t (GDP) 400 350 300 250 200 150 100 50 0 -2.0% -1.2% 3.0% 2.5% 2.0% 0.9% 4.5% 4.5% (nominal GDP levels in billion USD; Real GDP change) 5% 4% 3% 2% 1% 0% -1% -2% -3% -3.8% To p -1 0 Se c to rs (By Va lue Ad d e d ) 01 02 03 04 05 06 07 08 09 10 Real Estate Public Admin. & Defence Hotels & Restaurants Construction Wholesale Trade Retail Trade Education Health & Social Services Water Transport Agriculture Ra n k in g s 34.2 27.9 24.3 23.2 21.7 21.4 19.1 15.3 12.6 12.3 -0.8% +2.3% -1.4% +1.2% -3.3% -2.1% +1.1% +2.4% -2.3% +3.9% (a 2008 Level in billion USD & 2009 Change in %) Ease of Doing Business Greece ranks 96th out of 181 countries 96 67 Global Competitiveness Greece ranks 67th out of 134 countries Quic k Lin k s Doing Business > www.doingbusiness.org Competitiveness > www.weforum.org Global Opportunities for business indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s -4% -5% 2006 2007 2008 2009 2010 2011 2012 2013 2014 39 QUICK TOUR (Country Profiles) B us ines s E nvironment Ins urance E nvironment
Slide 40: Gre e c e – Typ e 2 Offic e M jo r I s ure rs a n  Ethniki  Interamerican  Agrotiki  Intersalonika  Aspis  Ydrogios  Commercial Value  Groupama  International Union  General Union > www.ethniki-asfalistiki.gr > www.interamerican.gr > www.agroins.com > www.intersalonika.gr > www.aspis.gr > www.ydrogios.gr > www.commercialvalue.gr > www.groupama.gr No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard I s u ra n c e En v iro n m e n t > K y Sta k e h o ld e rs a n d Ev e n ts n e K y I d us try & Llo yd ’s Ev e n ts en As s o c ia tio n Association of Insurance Companies > www.eaee.gr Re g u la to r Private Insurance Supervisory Committee > www.pisc.gr > www.lloyds.com/News_Centre/Events I s u ra n c e En v iro n m e n t > K y Sta tis tic s n e Gro s s Writte n Pre m iu m s (GWP) Gre e c e 1 50,00 0 1 20,00 0 90 ,000 60 ,000 30 ,000 0 2007 2008 40 QUICK TOUR (Country Based on: > www.swissre.com > “World Insurance in 2008” 2 ,9 1 2 3 ,2 2 4 1 1 5 ,7 2 5 1 0 7 ,3 9 3 (direct non-life GWP at constant prices; million USD) U K De n s ity (direct non-life GWP per capita; USD) Gre e c e 1 ,4 00 1 ,2 00 1 ,0 00 80 0 60 0 40 0 20 0 0 287 U K 1 ,2 7 6 Bro k e r Pe n e tra tio n Estimated broker penetration: 00% – 25% Based on soft intelligence and Axco, Statistics: > www.axcoinfo.com/ Quic k Lin k s Insurance Information Institute > www.iii.org/international/profiles/ Worldwide Assecuranz Directory > http://assecuranz.kompass.com/ Profiles) > www.swissre.com > “World Insurance in 2008” Based on: Ins urance E nvironment 2 0 0 8 De n s ity Global Opportunities for insurance indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s B us ines s E nvironment
Slide 41: Gre e c e – Typ e 2 Offic e Llo yd ’s Bu s in e s s > Offic e De ta ils Llo yd ’s Ge n e ra l re p re s e n ta tiv e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Ms Marianna Papadakis Office in Greece 25A Boukourestiou Street 106 71 Athens Greece  TELEPHONE +44 0207 327 6802 +30 210 363 9156  FAX +44 0207 327 5255  EMAIL > marianna.papadakis@lloyds.com  WEBSITE > www.lloyds.com/greece Llo yd ’s Bu s in e s s > K y Sta tis tic s , Tra d in g Po s itio n a n d M rk e t I te llig e n c e e a n 2 0 0 9 Llo yd ’s Gro s s Sig n e d Pre m ium s Tra d in g Po s itio n > www.lloyds.com/crystal M rk e t I te llig e n c e a n Total: Direct: Reinsurance: USD 221m* USD 166m* USD 55m* Services: Yes Establishment: Yes Reinsurance: Yes Managing Agents have access to information via: www.lloyds.com/REGIONALWATCH > Managing Agent Version > Europe > Small Markets * See: Data limitations for detail; figures are rounded and may not add up to total 41 QUICK TOUR (Country Profiles) Ins urance E nvironment © Lloyd’s L loyd’s B us ines s B us ines s E nvironment
Slide 42: I la n d – Typ e 3 Offic e re No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific Pro file Clic k Bo x to n a v ig a te Bu s in e s s En v iro n m e n t  Key strengths and challenges of the economy  Size and growth of the economy  Basic economic indicators I s u ra n c e En v iro n m e n t n  Key insurers  Insurance industry events  Basic insurance indicators Llo yd ’s Bus in e s s  Lloyd’s office details and contacts  Trading position and size of Lloyd’s business  Available market intelligence products 42 QUICK TOUR (Country Profiles) © Lloyd’s
Slide 43: I la n d – Typ e 3 Offic e re Bu s in e s s En v iro n m e n t > K I EY SSU To Wa tc h ES No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Irish "Bad Bank" Scheme Starts to Operate: In March 2010, the long-awaited "bank bad" scheme was finally launched in Ireland to take ownership of banks' loans arising from the property market. The National Asset Management Agency (NAMA) will now buy loans from the country's largest banks and building societies. The government hopes that the scheme will allow Irish banks to recover from their bad loan problems. However, critics are sceptical about the scheme's long-term effectiveness. Economy Still Under Intense Pressure, But Worst Now Over: IHS Global Insight's February forecast foresees GDP contracting only modestly in 2010, following a sharp fall in 2009. Although several short-term indicators suggest there was a noticeable improvement in economic conditions during the first quarter of 2010, the recovery will be extremely laboured. The government has tightened its fiscal policy significantly in order to deal with the huge deficit, while unemployment is expected to continue to increase despite the country's exit from recession. Additionally, tight credit conditions, still plummeting house prices, and large excess capacity will limit the recovery during the coming quarters. SOURCE: IHS Global Insight, (June 2010). For daily updates visit: www.ihsglobalinsight.com Prices Expected to Continue to Fall Until Mid-2010: Consumer prices started to contract on an annual basis in January 2009 and are likely to continue to fall over the coming months. Although base effects stemming from the record oil prices recorded in 2009 will be increasingly negative—driving the headline inflation figure up—still very weak demand, large excess capacity levels, and increasing competition will continue to dent firms' pricing power, keeping inflation at bay. Demand for Irish Government Bonds Will Remain Strong: Ireland's government has already raised more than 50% of its total bond issuance for 2010. The latest bond auction, carried out in mid-March, paid the lowest spreads vis-à-vis comparable German bonds in more than a year, showing that investors' appetite for Irish debt is still robust. Ireland has differentiated itself from other highly indebted Eurozone countries by implementing one of the toughest budgets in its history, and the country is expected to meet its funding requirements for 2010 comfortably. Business Ties with Northern Ireland Have Improved Markedly: Irish business organisations and government agencies have recently pushed for better relations with the economically booming Northern Ireland. Taoiseach (Prime Minister) Brian Cowen and Northern Irish first minister Peter Robinson plan to boost investment opportunities both in Northern Ireland and the Republic of Ireland by, among other things, facilitating worker mobility and acknowledging entitlement to social security benefits. The Northern Irish authorities will have to overcome the shortcomings in the political arena as relations between nationalist and unionist leaders are still strained. Bu s in e s s En v iro n m e n t > Ba s ic I d ic a to rs n Gro s s Do m e s tic Pro d uc t (GDP) 300 250 200 150 100 50 0 -7.1% -3.0% -0.4% 6.0% 3.8% (nominal GDP levels in billion USD; Real GDP change) 8% 6% 2.5% 3.0% 3.4% 5.4% To p -1 0 Se c to rs (By Va lue Ad d e d ) 01 02 03 04 05 06 07 08 09 10 Construction Health & Social Services Banking & Related Financial Business Services Wholesale Trade Real Estate Retail Trade Education Public Admin. & Defence Computing & Related Services Ra n k in g s 20.6 18.7 17.4 15.7 13.3 13.3 12.0 11.6 10.9 10.1 -20.2% -4.1% -9.6% -12.2% -9.2% -16.1% -11.6% -2.7% -0.7% -11.2% (a 2008 Level in billion USD & 2009 Change in %) Ease of Doing Business Ireland ranks 7th out of 181 countries 7 22 4% 2% 0% -2% -4% -6% Global Competitiveness Ireland ranks 22nd out of 134 countries Quic k Lin k s Doing Business > www.doingbusiness.org Competitiveness > www.weforum.org Global Opportunities for business indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s 2006 2007 2008 2009 2010 2011 2012 2013 2014 43 QUICK TOUR (Country Profiles) -8% B us ines s E nvironment Ins urance E nvironment
Slide 44: I la n d – Typ e 3 Offic e re M jo r I s ure rs a n  Hibernian (Aviva)  Quinn  Allianz  FBD  AXA  RSA  Zurich  Irish Public Bodies  AIG  Combined > www.hibernian.ie > www.quinn-direct.com > www.allianz.ie > www.fbd.ie > www.axa.ie > www.rsa.ie > www.zurich.ie > www.ipb.ie > www.aig.ie > www.combinedinsurance.ie No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard I s u ra n c e En v iro n m e n t > K y Sta k e h o ld e rs a n d Ev e n ts n e K y I d us try & Llo yd ’s Ev e n ts en As s o c ia tio n Irish Insurance Federation > www.iif.ie Re g u la to r The Financial Regulator > www.ifsra.ie > www.lloyds.com/News_Centre/Events I s u ra n c e En v iro n m e n t > K y Sta tis tic s n e Gro s s Writte n Pre m iu m s (GWP) I la n d re 1 50,00 0 1 20,00 0 90 ,000 60 ,000 30 ,000 0 2007 2008 44 QUICK TOUR (Country Based on: > www.swissre.com > “World Insurance in 2008” 1 0 ,2 1 2 1 0 ,8 6 3 1 1 5 ,7 2 5 1 0 7 ,3 9 3 (direct non-life GWP at constant prices; million USD) U K De n s ity (direct non-life GWP per capita; USD) I la n d re 1 ,4 00 1 ,3 50 1 ,3 00 1 ,2 50 1 ,2 00 1 ,3 1 5 1 ,2 7 6 U K Bro k e r Pe n e tra tio n Estimated broker penetration: 75% – 100% Based on soft intelligence and Axco, Statistics: > www.axcoinfo.com/ Quic k Lin k s Insurance Information Institute > www.iii.org/international/profiles/ Worldwide Assecuranz Directory > http://assecuranz.kompass.com/ Profiles) > www.swissre.com > “World Insurance in 2008” Based on: Ins urance E nvironment 2 0 0 8 De n s ity Global Opportunities for insurance indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s B us ines s E nvironment
Slide 45: I la n d – Typ e 3 Offic e re Llo yd ’s Bu s in e s s > Offic e De ta ils Llo yd ’s Ge n e ra l re p re s e n ta tiv e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Mr Eamonn P Egan Lloyd’s Ireland Representative Limited 7-8 Wilton Terrace Dublin 2 Ireland  TELEPHONE +35 31631 3600  EMAIL > eamonn.egan@lloyds.com  WEBSITE > www.lloyds.com/ireland Llo yd ’s Bu s in e s s > K y Sta tis tic s , Tra d in g Po s itio n a n d M rk e t I te llig e n c e e a n 2 0 0 9 Llo yd ’s Gro s s Sig n e d Pre m ium s Tra d in g Po s itio n > www.lloyds.com/crystal M rk e t I te llig e n c e a n Brokers have access to information via: www.lloyds.com/MARKETPRESENTATIONS Total: Direct: Reinsurance: USD 248m* USD 169m* USD 79m* Services: Yes, except permanent health insurance Establishment: Yes, except permanent health insurance Reinsurance: Yes * See: Data limitations for detail; figures are rounded and may not add up to total 45 QUICK TOUR (Country Profiles) Ins urance E nvironment Managing Agents have access to information via: www.lloyds.com/REGIONALWATCH > Managing Agent Version > Europe > Ireland © Lloyd’s L loyd’s B us ines s B us ines s E nvironment
Slide 46: I ra e l – Typ e 2 Offic e s No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific Pro file Clic k Bo x to n a v ig a te Bu s in e s s En v iro n m e n t  Key strengths and challenges of the economy  Size and growth of the economy  Basic economic indicators I s u ra n c e En v iro n m e n t n  Key insurers  Insurance industry events  Basic insurance indicators Llo yd ’s Bus in e s s  Lloyd’s office details and contacts  Trading position and size of Lloyd’s business  Available market intelligence products 46 QUICK TOUR (Country Profiles) © Lloyd’s
Slide 47: I ra e l – Typ e 2 Offic e s Bu s in e s s En v iro n m e n t > K I EY SSU To Wa tc h ES No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Right-Wing Parties Score Overall Parliamentary Majority: The hard-line leader of Israel’s Likud party was selected to form the next government after right-wing parties scored an impressive victory in last February’s general elections. Israel’s political system, which forces the formation of multi-party coalitions, is such that at most times it remains inherently unstable. The next government will clearly be no exception. Prospects for the resumption of comprehensive peace talks with the Palestinians appear increasingly bleak. The Israeli Economy Emerges from Recession: With the major economies of the world stabilising and returning to growth in the second quarter of 2009, we expect the Israeli economy to contract 0.5% this year. Consumer spending, exports, and investment, though weak the first quarter, have begun to recover and should continue growing into 2010. Strong monetary stimulus has lifted the economy out of its downturn, though growth going forward will be slower than had been before the global financial crisis. SOURCE: IHS Global Insight, (June 2010). For daily updates visit: www.ihsglobalinsight.com Inflation Concerns Re-Emerge: Disinflation caused by the global economic crisis has ended, and with the rise in commodity prices, especially crude oil, inflation concerns have reemerged. After falling the first two months of the year, consumer prices have risen more than expected through the second quarter and into the third quarter. Though wholesale inflation should remain contained, consumer inflation is expected to exceed the Bank of Israel's 1—3% target for the year. Budget Deficit Continues Growing: The recent approval of the 2009-10 state budget included an across the board cut at all ministries, as well as measures to generate additional revenue. Nevertheless, the budget deficit has continued to increase as tax revenues have declined, while social services, especially unemployment compensation continue to grow. The budget deficit is forecast to exceed 7% of GDP in 2009 and 2010 before declining. Hopes Fade for Israeli-Palestinian Peace: Israeli-Palestinian peace talks have made little tangible progress since the Annapolis peace talks which were launched in December 2007. The pace of Jewish settlement expansion, deemed a major obstacle to peace, has also quickened over the past two years. Any remaining optimism was again shattered with triumph of Israel’s far-right parties at the 2009 elections. Much to the dismay of the international community, Likud leader Binyamin Netanyahu has thus refused to throw his weight behind a two-state solution which would require Israel to cede almost all Palestinian territory currently under Israeli control, arguing that the risk that the new state’s institutions could be usurped by Hamas remains too high. Bu s in e s s En v iro n m e n t > Ba s ic I d ic a to rs n Gro s s Do m e s tic Pro d uc t (GDP) 300 250 200 150 100 50 0 0.7% 5.3% (nominal GDP levels in billion USD; Real GDP change) 6% 5% 4% 3.3% 5.2% 4.8% 4.0% 5.2% 5.1% 4.9% To p -1 0 Se c to rs (By Va lue Ad d e d ) 01 02 03 04 05 06 07 08 09 10 Real Estate Public Admin. & Defence Education Business Services Health & Social Services Banking & Related Financial Retail Trade Construction Wholesale Trade Telecommunications Ra n k in g s 17.6 15.3 14.1 13.7 10.2 10.0 9.3 8.9 6.9 5.7 +1.6% +2.9% +4.5% -1.0% +3.8% +1.6% +1.7% -2.0% -2.4% +1.7% (a 2008 Level in billion USD & 2009 Change in %) Ease of Doing Business Israel ranks 30th out of 181 countries 30 23 Global Competitiveness Israel ranks 23rd out of 134 countries 3% 2% 1% 0% Quic k Lin k s Doing Business > www.doingbusiness.org Competitiveness > www.weforum.org Global Opportunities for business indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s 2006 2007 2008 2009 2010 2011 2012 2013 2014 47 QUICK TOUR (Country Profiles) B us ines s E nvironment Ins urance E nvironment
Slide 48: I ra e l – Typ e 2 Offic e s M jo r I s ure rs a n  Harel  Clal  Menorah  Phoenix  Migdal  Ayalon  Eliahu  IDI  ILD  AIG > www.harel-group.com > www.clalbit.co.il > www.menoramivt.co.il > www.fnx.co.il > www.migdal.co.il > www.ayalon-ins.co.il > www.eliahu.co.il > www.555.co.il > www.ildinsur.co.il > www.aig.co.il No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard I s u ra n c e En v iro n m e n t > K y Sta k e h o ld e rs a n d Ev e n ts n e K y I d us try & Llo yd ’s Ev e n ts en As s o c ia tio n Israel Insurance Association > www.igudbit.org.il Re g u la to r Ministry of Finance > www.mof.gov.il > www.lloyds.com/News_Centre/Events I s u ra n c e En v iro n m e n t > K y Sta tis tic s n e Gro s s Writte n Pre m iu m s (GWP) I ra e l s 15 0,00 0 12 0,00 0 9 0,000 6 0,000 3 0,000 0 2007 2008 48 QUICK TOUR (Country Based on: > www.swissre.com > “World Insurance in 2008” 4 ,5 5 0 5 ,3 8 1 1 1 5 ,7 2 5 1 0 7 ,3 9 3 (direct non-life GWP at constant prices; million USD) U K De n s ity 1,4 00 1,2 00 1,0 00 80 0 60 0 40 0 20 0 0 (direct non-life GWP per capita; USD) I ra e l s U K 1 ,2 7 6 Bro k e r Pe n e tra tio n Estimated broker penetration: 00% – 25% Based on soft intelligence and Axco, Statistics: > www.axcoinfo.com/ Quic k Lin k s Insurance Information Institute > www.iii.org/international/profiles/ Worldwide Assecuranz Directory > http://assecuranz.kompass.com/ 764 Profiles) > www.swissre.com > “World Insurance in 2008” Based on: Ins urance E nvironment 2 0 0 8 De n s ity Global Opportunities for insurance indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s B us ines s E nvironment
Slide 49: I ra e l – Typ e 2 Offic e s Llo yd ’s Bu s in e s s > Offic e De ta ils Llo yd ’s Ge n e ra l re p re s e n ta tiv e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Mr Jonathan Gross Gibor Sport Bldg. 7 Menachem Begin Rd. Ramat Gan 52521 Israel  TELEPHONE +972 (0)3 612 2233  FAX +972 (0)3 612 2233  EMAIL > jonathan.gross@lloyds.com  WEBSITE > www.lloyds.com/israel Llo yd ’s Bu s in e s s > K y Sta tis tic s , Tra d in g Po s itio n a n d M rk e t I te llig e n c e e a n 2 0 0 9 Llo yd ’s Gro s s Sig n e d Pre m ium s Tra d in g Po s itio n > www.lloyds.com/crystal M rk e t I te llig e n c e a n Total: Direct: Reinsurance: USD 127m* USD 62m* USD 65m* Direct: Yes Reinsurance: Yes * See: Data limitations for detail; figures are rounded and may not add up to total 49 QUICK TOUR (Country Profiles) Ins urance E nvironment Managing Agents have access to information via: www.lloyds.com/REGIONALWATCH > Managing Agent Version > Europe > Small Markets © Lloyd’s L loyd’s B us ines s B us ines s E nvironment
Slide 50: I ly – TYPE 3 Offic e ta No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific Pro file Clic k Bo x to n a v ig a te Bu s in e s s En v iro n m e n t  Key strengths and challenges of the economy  Size and growth of the economy  Basic economic indicators I s u ra n c e En v iro n m e n t n  Key insurers  Insurance industry events  Basic insurance indicators Llo yd ’s Bus in e s s  Lloyd’s office details and contacts  Trading position and size of Lloyd’s business  Available market intelligence products 50 QUICK TOUR (Country Profiles) © Lloyd’s
Slide 51: I ly – TYPE 3 Offic e ta Bu s in e s s En v iro n m e n t > K I EY SSU To Wa tc h ES No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Economic Recovery Has Resumed: Real GDP shrank unexpectedly in the final quarter of 2009. However, IHS Global Insight believes that the recovery resumed in early 2010, although the pace will be gradual as the economy contends with faltering Eurozone growth, the winding down of fiscal stimulus measures across the European Union (EU), and the ending of car scrappage schemes in both Italy and key export markets. In addition, the government needs to implement an aggressive debt consolidation programme. Consequently, we expect real GDP to grow by 0.5% in 2010, 1.0% in 2011, and 1.3% in 2012, according to our April interim forecast. SOURCE: Business Confidence Recovering, But Still Low: Businesses remain under significant, albeit diminishing pressure from shrinking profit margins, muted sales, and at best modest assessments of both the domestic and Eurozone economies. Consequently, business investment is expected to remain subdued in 2010 despite firms needing to renew their machinery and equipment after a prolonged period of depressed spending. IHS Global Insight, (June 2010). For daily updates visit: www.ihsglobalinsight.com Labour Market Will Deteriorate: Demand for labour is projected to cool further in 2010 as the pace of economic recovery is likely to be uneven during the period. Falling employment will result in a higher unemployment rate, which is expected to rise to 9.1% in late 2010. It had fallen to 6.1% in early 2007, the lowest level since 1975. Constitutional Changes to Resurface: Prime Minister Silvio Berlusconi's attempts to provide himself with immunity from prosecution are likely to put the issue of constitutional change at the top of the political agenda. His efforts to establish permanent immunity through legislative changes have so far been thwarted by the Constitutional Court, but given that the premier is still facing three corruption trials he is likely to step up his attempts to secure immunity in the coming months. Natural Disasters Increase Pressure on Government: A spate of natural disasters in 2009, including a severe earthquake in central Italy and a mudslide in Sicily, has increased pressure on the government both from a fiscal and operational perspective. The natural disasters have put pressure on the government to pledge multi-billion-euro aid packages that it can ill afford. The reconstruction programmes have also raised pressure on the administration to clamp down on corruption in order to prevent the funds from falling into the hands of organised criminal groups. Bu s in e s s En v iro n m e n t > Ba s ic I d ic a to rs n Gro s s Do m e s tic Pro d uc t (GDP) 2,500 2,000 1,500 -1.3% 2.1% 1.4% 0.8% 1.2% 1.3% 1.5% 1.4% (nominal GDP levels in billion USD; Real GDP change) 3% 2% 1% 0% -1% -2% -3% -4% -5.1% To p -1 0 Se c to rs (By Va lue Ad d e d ) 01 02 03 04 05 06 07 08 09 10 Real Estate Business Services Public Admin. & Defence Construction Health & Social Services Retail Trade Education Wholesale Trade Hotels & Restaurants Land Transport Ra n k in g s 286.2 141.2 135.6 128.7 121.7 115.8 106.0 105.1 78.4 77.9 -2.3% -0.2% +6.8% -6.1% +1.9% -4.3% +2.0% -6.2% -2.7% -3.0% (a 2008 Level in billion USD & 2009 Change in %) Ease of Doing Business Italy ranks 65th out of 181 countries 65 49 Global Competitiveness Italy ranks 49th out of 134 countries 1,000 500 0 Quic k Lin k s Doing Business > www.doingbusiness.org Competitiveness > www.weforum.org Global Opportunities for business indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s -5% -6% 2006 2007 2008 2009 2010 2011 2012 2013 2014 51 QUICK TOUR (Country Profiles) B us ines s E nvironment Ins urance E nvironment
Slide 52: I ly – TYPE 3 Offic e ta M jo r I s ure rs a n  Allianz  Fondiaria-SAI  Generali  Compagnia Di Ass Di Milano  Aurora  INA  Unipol  Toro  AXA  Zurich > www.allianz.it > www.fondiaria-sai.it > www.generali.it > www.milass.it > www.auroraassicurazioni.it > www.auroraassicurazioni.it > www.unipol.it > www.toroassicurazioni.it > www.axa-italia.it > www.zurich.it No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard I s u ra n c e En v iro n m e n t > K y Sta k e h o ld e rs a n d Ev e n ts n e K y I d us try & Llo yd ’s Ev e n ts en As s o c ia tio n ANIA > www.ania.it Re g u la to r Insurance Supervisory Institute > www.isvap.it > www.lloyds.com/News_Centre/Events I s u ra n c e En v iro n m e n t > K y Sta tis tic s n e Gro s s Writte n Pre m iu m s (GWP) I ly ta 15 0,00 0 12 0,00 0 9 0,000 6 0,000 3 0,000 0 2007 2008 52 QUICK TOUR (Country Based on: > www.swissre.com > “World Insurance in 2008” 5 4 ,1 3 7 5 8 ,0 6 6 1 1 5 ,7 2 5 1 0 7 ,3 9 3 (direct non-life GWP at constant prices; million USD) U K De n s ity 1,4 00 1,2 00 1,0 00 80 0 60 0 40 0 20 0 0 (direct non-life GWP per capita; USD) I ly ta U K 1 ,2 7 6 921 Bro k e r Pe n e tra tio n Estimated broker penetration: 25% – 50% Based on soft intelligence and Axco, Statistics: > www.axcoinfo.com/ Quic k Lin k s Insurance Information Institute > www.iii.org/international/profiles/ Worldwide Assecuranz Directory > http://assecuranz.kompass.com/ Profiles) > www.swissre.com > “World Insurance in 2008” Based on: Ins urance E nvironment 2 0 0 8 De n s ity Global Opportunities for insurance indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s B us ines s E nvironment
Slide 53: I ly – TYPE 3 Offic e ta Llo yd ’s Bu s in e s s > Offic e De ta ils Llo yd ’s Ge n e ra l re p re s e n ta tiv e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Mr Enrico Bertagna Corso Garibaldi 86 20121 Milano Italy  TELEPHONE + 39 02 637 8881  FAX + 39 02 637 8881  EMAIL > enrico.bertagna@lloyds.com  WEBSITE > www.lloyds.com/italy Llo yd ’s Bu s in e s s > K y Sta tis tic s , Tra d in g Po s itio n a n d M rk e t I te llig e n c e e a n 2 0 0 9 Llo yd ’s Gro s s Sig n e d Pre m ium s Tra d in g Po s itio n > www.lloyds.com/crystal M rk e t I te llig e n c e a n Total: Direct: Reinsurance: USD 621m* USD 388m* USD 233m* Services: Yes Establishment: Yes, except motor liability, surety and life insurance Reinsurance: Yes * See: Data limitations for detail; figures are rounded and may not add up to total 53 QUICK TOUR (Country Profiles) Ins urance E nvironment Managing Agents have access to information via: www.lloyds.com/REGIONALWATCH > Managing Agent Version > Europe > Large Markets © Lloyd’s L loyd’s B us ines s B us ines s E nvironment
Slide 54: M lta – Typ e 2 Offic e a No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific Pro file Clic k Bo x to n a v ig a te Bu s in e s s En v iro n m e n t  Key strengths and challenges of the economy  Size and growth of the economy  Basic economic indicators I s u ra n c e En v iro n m e n t n  Key insurers  Insurance industry events  Basic insurance indicators Llo yd ’s Bus in e s s  Lloyd’s office details and contacts  Trading position and size of Lloyd’s business  Available market intelligence products 54 QUICK TOUR (Country Profiles) © Lloyd’s
Slide 55: M lta – Typ e 2 Offic e a Bu s in e s s En v iro n m e n t > K I EY SSU To Wa tc h ES No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Re-Domiciliation of Off-Shore Companies to Become Easier: In early 2010, the Malta Financial Services Authority published new guidelines explaining the requirements for the re-domiciliation of off-shore companies to Malta, based on the 2002 Companies Act, Continuation of Companies Regulations. Recently, the demand for re-domiciliation has increased as companies such as insurance and security firms have been reportedly using Malta's re-domiciliation legislation frequently. The guidelines, which clarify the processes, are therefore welcomed by various businesses. IHS Global Insight, (June 2010). Taxation and Co-Operation Agreements to Boost Malta's Economic Potential: In the first months of 2010, Maltese state officials signed a For daily updates visit: number of double-taxation and economic co-operation agreements with various countries, including Jersey (United Kingdom), Kuwait, and www.ihsglobalinsight.com Bahrain. The agreements are aimed at improving mutual economic co-operation and strengthening mutual business and even political relations. The Maltese government is trying to attract more foreign investment to the Mediterranean island, as well as encourage further investment by Maltese entrepreneurs. More such agreements are therefore likely to be signed in the future. Malta's GDP Deteriorating as a Share of EU Average: Malta has experienced weaker GDP growth than most of the other countries that joined the EU in 2004. In purchasing power terms, Maltese GDP per capita reached just 76% of the EU-27 average by 2008, down from a high of 84% in 2000. IHS Global Insight estimates that Malta experienced a modest increase as a share of the EU average in 2009, as the decline in Maltese GDP was less steep than in most other European countries. SOURCE: Efforts Needed to Improve Economic Diversification: The Maltese economy is highly dependent on electrical machinery and equipment (mainly semiconductors) and travel and tourism. That reliance makes the country highly vulnerable to external shocks. To help alleviate that problem, the Maltese authorities have called for increased attention to education and training, particularly in the information technology sector. Malta Must Take Steps to Raise International Competitiveness: The economy's foreign market share has been declining due to exporters' weak productivity growth and their inability to compete with low-labour-cost producers in other emerging European countries and Asia. Customs trade data indicate that 2009 exports in nominal euro terms were down 35% over the 2000 level. Given Malta's entry to the Eurozone in January 2008, the only way to regain global competitiveness may be through a painful process of cost-cutting, wage depression, and deflation. Bu s in e s s En v iro n m e n t > Ba s ic I d ic a to rs n Gro s s Do m e s tic Pro d uc t (GDP) 15 3.7% 3.3% 2.8% 2.1% 3.2% Ra n k in g s 4% 3% 2% 1% 0% 3.5% (nominal GDP levels in billion USD; Real GDP change) Ease of Doing Business Malta ranks N/A out of 181 countries N/A 52 10 0.9% 1.9% Global Competitiveness Malta ranks 52nd out of 134 countries 5 -1.9% -1% -2% Quic k Lin k s Doing Business > www.doingbusiness.org Competitiveness > www.weforum.org Global Opportunities for business indicators © Lloyd’s > www.lloyds.com/marketintelligence Ins urance E nvironment L loyd’s B us ines s 0 2006 2007 2008 2009 2010 2011 2012 2013 2014 55 QUICK TOUR (Country Profiles) -3% B us ines s E nvironment
Slide 56: M lta – Typ e 2 Offic e a M jo r I s ure rs a n  Middlesea  Gasan Mamo  Atlas  Elmo  Citadel > www.middlesea.com > www.gasanmamo.com > www.atlas.com.mt > www.elmogroup.com > www.citadelplc.com No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard I s u ra n c e En v iro n m e n t > K y Sta k e h o ld e rs a n d Ev e n ts n e K y I d us try & Llo yd ’s Ev e n ts en As s o c ia tio n Malta Insurance Association > www.maltainsurance.org Re g u la to r Malta Financial Services Authority > www.mfsa.com.mt > www.lloyds.com/News_Centre/Events I s u ra n c e En v iro n m e n t > K y Sta tis tic s n e Gro s s Writte n Pre m iu m s (GWP) M lta a 15 0,00 0 12 0,00 0 9 0,000 6 0,000 3 0,000 0 697 789 1 1 5 ,7 2 5 1 0 7 ,3 9 3 (direct non-life GWP at constant prices; million USD) U K De n s ity 1,4 00 1,2 00 1,0 00 80 0 60 0 40 0 20 0 0 (direct non-life GWP per capita; USD) M lta a U K 1 ,2 7 6 Bro k e r Pe n e tra tio n Estimated broker penetration: 25% – 50% Based on soft intelligence and Axco, Statistics: > www.axcoinfo.com/ Quic k Lin k s Insurance Information Institute > www.iii.org/international/profiles/ 3 42 Worldwide Assecuranz Directory > http://assecuranz.kompass.com/ 2 0 0 8 De n s ity 2007 2008 56 QUICK TOUR (Country Based on: > www.swissre.com > “World Insurance in 2008” Profiles) > www.swissre.com > “World Insurance in 2008” Based on: Ins urance E nvironment Global Opportunities for insurance indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s B us ines s E nvironment
Slide 57: M lta – Typ e 2 Offic e a Llo yd ’s Bu s in e s s > Offic e De ta ils Llo yd ’s Ge n e ra l re p re s e n ta tiv e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Mr Mark Gollcher Lloyd's Malta Ltd 19 Zachary Street PO Box 268 Valletta VLT1133 Malta  TELEPHONE +356 2569 1500  FAX +356 2123 4195  EMAIL > mark.gollcher@lloyds.com  WEBSITE > www.lloyds.com/malta Llo yd ’s Bu s in e s s > K y Sta tis tic s , Tra d in g Po s itio n a n d M rk e t I te llig e n c e e a n 2 0 0 9 Llo yd ’s Gro s s Sig n e d Pre m ium s Tra d in g Po s itio n > www.lloyds.com/crystal M rk e t I te llig e n c e a n Total: Direct: Reinsurance: USD 26m* USD 17m* USD 9m* Services: Yes Establishment: Yes, except life Reinsurance: Yes Managing Agents have access to information via: www.lloyds.com/GLOBALOPPORTUNITIES > Managing Agent Version > Spreadsheet * See: Data limitations for detail; figures are rounded and may not add up to total 57 QUICK TOUR (Country Profiles) Ins urance E nvironment © Lloyd’s L loyd’s B us ines s B us ines s E nvironment
Slide 58: Ne th e rla n d s – TYPE 2 Offic e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific Pro file Clic k Bo x to n a v ig a te Bu s in e s s En v iro n m e n t  Key strengths and challenges of the economy  Size and growth of the economy  Basic economic indicators I s u ra n c e En v iro n m e n t n  Key insurers  Insurance industry events  Basic insurance indicators Llo yd ’s Bus in e s s  Lloyd’s office details and contacts  Trading position and size of Lloyd’s business  Available market intelligence products 58 QUICK TOUR (Country Profiles) © Lloyd’s
Slide 59: Ne th e rla n d s – TYPE 2 Offic e Bu s in e s s En v iro n m e n t > K I EY SSU To Wa tc h ES No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Dutch Parties Brace for General Election: Following the collapse of the coalition government in February 2010, the Netherlands is due to hold a snap general election on 9 June. Nineteen parties will compete to attract voters, including the Christian Democratic Appeal (CDA) of Prime Minister Jan Peter Balkenende; the Labour Party (PvdA), whose departure from the coalition caused the government collapse; and the far-right Freedom Party (PVV) led by the controversial Geert Wilders. Support for the PVV has increased recently; its presence in parliament would make post-election coalition-building a lengthy and difficult process. Questions Remain over Afghan Mission Participation: The deployment of Dutch troops in Afghanistan is a very sensitive topic. Disagreements on the issue were behind the government collapse in February when the coalition parties failed to reach a unanimous decision on whether the mission should continue. Dutch troops are now due to withdraw from Afghan territory in August 2010; legislators voted to send a police mission to the war-torn country to train Afghan officers instead. This is intended to signal that the Netherlands is not abandoning Afghanistan completely, but the move could lead to further political rifts and public discontent. SOURCE: IHS Global Insight, (June 2010). For daily updates visit: www.ihsglobalinsight.com Labour Market Conditions Set to Deteriorate Further in 2010: The upturn in the Dutch labour market came to an end in 2009 as unemployment rose to a three-year high. IHS Global Insight expects unemployment to increase further during the course of 2010, while real wage growth is predicted to moderate. Government Finances Likely to Worsen in Near Term: The government budget is expected to have fallen deeply into deficit in 2009 for the first time in four years, and further shortfalls are expected in the near term. Government finances have been hit badly by the recent recession as falling employment and lower corporate profitability have reduced revenues. At the same time, expenditure has increased as the government tries to stimulate the economy. Terror Alert Level Lowered, But Risk Remains: Early in 2010 the Netherlands reduced its terror alert level to "limited"—the second tier of the four-level scale—for the first time in two years. The move was based on the belief that the country's attractiveness as a target for terrorism is currently reduced compared with previous years. Nevertheless, given the rising popularity of far-right groups such as the PVV, the possibility of a terrorist attack cannot be ruled out. The risk is likely to increase around election time and the Dutch counter-terrorist forces have announced that they will boost security in the run-up to the poll. Bu s in e s s En v iro n m e n t > Ba s ic I d ic a to rs n Gro s s Do m e s tic Pro d uc t (GDP) 1,000 800 600 400 200 -4.0% 3.4% 3.6% (nominal GDP levels in billion USD; Real GDP change) 4% 3% 2.0% 1.1% 1.5% 1.7% 1.9% 1.8% To p -1 0 Se c to rs (By Va lue Ad d e d ) 01 02 03 04 05 06 07 08 09 10 Business Services Health & Social Services Real Estate Wholesale Trade Public Admin. & Defence Construction Retail Trade Education Oil & Gas Mining Banking & Related Financial Ra n k in g s 79.9 68.7 64.6 62.9 53.3 45.3 36.2 36.1 28.1 21.3 -2.5% -1.6% -4.9% -6.9% +2.5% -4.1% -4.8/% -0.7% -3.4% -5.8% (a 2008 Level in billion USD & 2009 Change in %) Ease of Doing Business Netherlands ranks 26th out of 181 countries 26 08 2% 1% 0% -1% -2% -3% -4% -5% Global Competitiveness Netherlands ranks 8th out of 134 countries Quic k Lin k s Doing Business > www.doingbusiness.org Competitiveness > www.weforum.org Global Opportunities for business indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s 0 2006 2007 2008 2009 2010 2011 2012 2013 2014 59 QUICK TOUR (Country Profiles) B us ines s E nvironment Ins urance E nvironment
Slide 60: Ne th e rla n d s – TYPE 2 Offic e I s u ra n c e En v iro n m e n t > K y Sta k e h o ld e rs a n d Ev e n ts n e M jo r I s ure rs a n  Achmea Zorg  Achmea  Interpols  Nationale  Fortis  VGZ  Atradius  Menzis  Delta Lloyd  AEGON > www.achmeazorg.nl > www.achmea.nl > www.interpolis.nl > www.nn.nl > www.holding.fortis.com > www.vgz.nl > www.atradius.nl > www.menzis.nl > www.deltalloydgroep.com > www.aegon.nl No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard K y I d us try & Llo yd ’s Ev e n ts en As s o c ia tio n Insurance Companies' Association > www.verzekeraars.nl Re g u la to r Authority for Financial Markets > www.afm.nl > www.lloyds.com/News_Centre/Events I s u ra n c e En v iro n m e n t > K y Sta tis tic s n e Gro s s Writte n Pre m iu m s (GWP) Ne th e rla n d s 15 0,00 0 12 0,00 0 9 0,000 6 0,000 3 0,000 0 2007 2008 60 QUICK TOUR (Country Based on: > www.swissre.com > “World Insurance in 2008” 6 6 ,4 8 1 7 3 ,7 1 2 1 1 5 ,7 2 5 1 0 7 ,3 9 3 (direct non-life GWP at constant prices; million USD) U K De n s ity 5,0 00 4,0 00 3,0 00 2,0 00 1,0 00 0 (direct non-life GWP per capita; USD) Ne th e rla n d s 4 ,4 8 4 U K Bro k e r Pe n e tra tio n Estimated broker penetration: 25% – 50% Based on soft intelligence and Axco, Statistics: > www.axcoinfo.com/ Quic k Lin k s Insurance Information Institute > www.iii.org/international/profiles/ 1 ,2 7 6 Worldwide Assecuranz Directory > http://assecuranz.kompass.com/ Global Opportunities for insurance indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s Profiles) > www.swissre.com > “World Insurance in 2008” Based on: Ins urance E nvironment 2 0 0 8 De n s ity B us ines s E nvironment
Slide 61: Ne th e rla n d s – TYPE 2 Offic e Llo yd ’s Bu s in e s s > Offic e De ta ils Llo yd ’s Ge n e ra l re p re s e n ta tiv e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Mr Alexis Fontein Underwriters in the Netherlands Hudig Veder & Co Debussystraat 2 3161 WD Rhoon Netherlands  TELEPHONE +31 1050 66600  FAX +31 1050 19593  EMAIL > alexis.fontein@lloyds.com  WEBSITE > www.lloyds.com/netherlands Lloyd's Total: Direct: Reinsurance: USD 412.7m USD 325.5m USD 87.2m Llo yd ’s Bu s in e s s > K y Sta tis tic s , Tra d in g Po s itio n a n d M rk e t I te llig e n c e e a n 2 0 0 9 Llo yd ’s Gro s s Sig n e d Pre m ium s Tra d in g Po s itio n > www.lloyds.com/crystal M rk e t I te llig e n c e a n Total: Direct: Reinsurance: USD 391m* USD 291m* USD 101m* Services: Yes Establishment: Yes Reinsurance: Yes Managing Agents have access to information via: www.lloyds.com/REGIONALWATCH > Managing Agent Version > Europe > Large Markets * See: Data limitations for detail; figures are rounded and may not add up to total 61 QUICK TOUR (Country Profiles) Ins urance E nvironment © Lloyd’s L loyd’s B us ines s B us ines s E nvironment
Slide 62: No rw a y – TYPE 1 Offic e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific Pro file Clic k Bo x to n a v ig a te Bu s in e s s En v iro n m e n t  Key strengths and challenges of the economy  Size and growth of the economy  Basic economic indicators I s u ra n c e En v iro n m e n t n  Key insurers  Insurance industry events  Basic insurance indicators Llo yd ’s Bus in e s s  Lloyd’s office details and contacts  Trading position and size of Lloyd’s business  Available market intelligence products 62 QUICK TOUR (Country Profiles) © Lloyd’s
Slide 63: No rw a y – TYPE 1 Offic e Bu s in e s s En v iro n m e n t > K I EY SSU To Wa tc h ES No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Tension Grows over Controversy Surrounding Religious Caricatures: The republication of a series of caricatures depicting Prophet Muhammad by a Norwegian newspaper led to unrest among Islamic communities earlier this year. Thousands of demonstrators gathered in Oslo to protest against what was perceived as unnecessary provocation of the Muslim community. This is a source of future tensions as the government navigates a fine line between freedom of speech and sensitivity to religious beliefs. The Mild Recession is Over: The Norwegian mainland economy emerged from recession in mid-2009, and the recovery is projected to evolve steadily during 2010 and 2011. The main development will be a stronger consumer spending profile, helped by record-low interest rates, falling inflation, and a relatively resilient labour market. According to the April interim forecast, the overall economy is projected to grow 1.5% in 2010 and 2.2% in 2011, after a contraction of 1.4% in 2009. SOURCE: IHS Global Insight, (June 2010). For daily updates visit: www.ihsglobalinsight.com Inflationary Pressures Remain Higher Than Expected: This is partly due to high electricity prices and the recent upturn in crude oil and commodity prices. In addition, global economic downturn has led to a marked fall output in Norway, but the impact on inflation has been less severe. Nevertheless, we note less pressure on resource utilisation, measured either by capacity utilisation in industry, or labour shortages. Interest-Rate Cycle Has Turned: The Norges Bank raised its main policy rate by 25 basis points on two separate occasions in late 2009; it now stands at 1.75%, ending the sequence of seven cuts in the repo rate since early October 2008. In addition, it was the first European central bank to raise its key policy interest rate in the wake of the global financial and economic crisis. IHS Global Insight expects the main policy rate to rise gradually during 2010, and reach 3.25% by end-2010, according to the April interim forecast. This assumes that the central bank believes current interest rates are too low, given the stronger-than-expected resilience of the Norwegian mainland economy, and it will be wary about the risk of an unexpected surge in inflationary tendencies from early 2011. Norwegians Remain Opposed to the EU Membership: According to the recent public survey conducted by Norstat Institute, the current economic woes troubling the European Union (EU) have stiffened opposition to Norway joining the bloc. If the referendum on Norway’s EU accession had been held in March, the majority of the country’s population would have voted against it, and only some 30% would have said “yes” to the EU. The sensitive issue of EU membership is off the government’s policy agenda and is likely to remain so for the foreseeable future. Bu s in e s s En v iro n m e n t > Ba s ic I d ic a to rs n Gro s s Do m e s tic Pro d uc t (GDP) 600 500 1.7% 1.7% 1.4% 2.7% 2.2% 2.3% (nominal GDP levels in billion USD; Real GDP change) 3% 3% 2% 2% 1% 1% 0% -1% -1% -1.4% 2.5% 2.6% To p -1 0 Se c to rs (By Va lue Ad d e d ) 01 02 03 04 05 06 07 08 09 10 Oil & Gas Mining Health & Social Services Real Estate Business Services Construction Public Admin. & Defence Education Wholesale Trade Retail Trade Banking & Related Financial Ra n k in g s 107.4 36.5 27.8 21.5 20.0 18.2 17.2 17.2 15.8 10.6 -4.1% -0.2% -0.8% +0.3% -1.3% +3.2% -0.5/% -2.9% -2.1% -0.1% (a 2008 Level in billion USD & 2009 Change in %) Ease of Doing Business Norway ranks 10th out of 181 countries 10 15 400 300 200 100 0 Global Competitiveness Norway ranks 15th out of 134 countries Quic k Lin k s Doing Business > www.doingbusiness.org Competitiveness > www.weforum.org Global Opportunities for business indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s -2% -2% 2006 2007 2008 2009 2010 2011 2012 2013 2014 63 QUICK TOUR (Country Profiles) B us ines s E nvironment Ins urance E nvironment
Slide 64: No rw a y – TYPE 1 Offic e M jo r I s ure rs a n  Gjensidige  IF Skade  Tryg Vesta  Spare Bank 1  Terra  AIG  KLP  Jernbarne  Trygg-Hansa (RSA)  Bluewater > www.gjensidige.no > www.if.no > www.trygvesta.no > www.sparebank1.no > www.terra.no > www.aigeurope.no > www.klp.no > www.jfg.no > www.codanforsikring.no > www.unisonforsikring.no No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard I s u ra n c e En v iro n m e n t > K y Sta k e h o ld e rs a n d Ev e n ts n e K y I d us try & Llo yd ’s Ev e n ts en As s o c ia tio n Insurance Association > www.fnh.no Re g u la to r Insurance Supervisory Authority > www.kredittilsynet.no > www.lloyds.com/News_Centre/Events I s u ra n c e En v iro n m e n t > K y Sta tis tic s n e Gro s s Writte n Pre m iu m s (GWP) No rw a y 15 0,00 0 12 0,00 0 9 0,000 6 0,000 3 0,000 0 2007 2008 64 QUICK TOUR (Country Based on: > www.swissre.com > “World Insurance in 2008” 8 ,0 0 3 8 ,7 7 1 1 1 5 ,7 2 5 1 0 7 ,3 9 3 (direct non-life GWP at constant prices; million USD) U K De n s ity 1,5 00 1,4 50 1,4 00 1,3 50 1,3 00 1,2 50 1,2 00 1,1 50 (direct non-life GWP per capita; USD) No rw a y 1 ,4 5 6 U K Bro k e r Pe n e tra tio n Estimated broker penetration: 00% – 25% Based on soft intelligence and Axco, Statistics: > www.axcoinfo.com/ Quic k Lin k s Insurance Information Institute > www.iii.org/international/profiles/ Worldwide Assecuranz Directory > http://assecuranz.kompass.com/ 1 ,2 7 6 Profiles) > www.swissre.com > “World Insurance in 2008” Based on: Ins urance E nvironment 2 0 0 8 De n s ity Global Opportunities for insurance indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s B us ines s E nvironment
Slide 65: No rw a y – TYPE 1 Offic e Llo yd ’s Bu s in e s s > Offic e De ta ils Llo yd ’s Ge n e ra l re p re s e n ta tiv e No rd ic Are a M n a g e r a No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Mr Espen Komnaes Komnaes Braaten Skard DA Ruseløkkveien 6 Pb.1661 Vika N-0120 Oslo Norway  TELEPHONE +47 23 11 45 60  FAX +47 23 11 45 75  EMAIL > espen.komnaes@lloyds.com  WEBSITE > www.lloyds.com/austria Mr Erik Borjesson Stureplan 4c 4th Floor Stockholm 114 35 Sweden  TELEPHONE +00 46 705 399 982  EMAIL > erik.borjesson@lloyds.com Llo yd ’s Bu s in e s s > K y Sta tis tic s , Tra d in g Po s itio n a n d M rk e t I te llig e n c e e a n 2 0 0 9 Llo yd ’s Gro s s Sig n e d Pre m ium s Tra d in g Po s itio n > www.lloyds.com/crystal M rk e t I te llig e n c e a n Brokers have access to information via: www.lloyds.com/MARKETPRESENTATIONS Total: Direct: Reinsurance: USD 323m* USD 201m* USD 121m* Services: Yes Establishment: Yes, except credit, suretyship and term life. Reinsurance: Yes * See: Data limitations for detail; figures are rounded and may not add up to total 65 Managing Agents have access to information via: www.lloyds.com/REGIONALWATCH > Managing Agent Version > Europe > Nordic Markets QUICK TOUR (Country Profiles) Ins urance E nvironment © Lloyd’s L loyd’s B us ines s B us ines s E nvironment
Slide 66: Po la n d – TYPE 3 Offic e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific Pro file Clic k Bo x to n a v ig a te Bu s in e s s En v iro n m e n t  Key strengths and challenges of the economy  Size and growth of the economy  Basic economic indicators I s u ra n c e En v iro n m e n t n  Key insurers  Insurance industry events  Basic insurance indicators Llo yd ’s Bus in e s s  Lloyd’s office details and contacts  Trading position and size of Lloyd’s business  Available market intelligence products 66 QUICK TOUR (Country Profiles) © Lloyd’s
Slide 67: Po la n d – TYPE 3 Offic e Bu s in e s s En v iro n m e n t > K I EY SSU To Wa tc h ES No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Snap Presidential Election Looming in Poland: Poland is preparing for a snap presidential election following the April air crash in western Russia, which claimed the lives of many state officials, including late president Lech Kaczynski. Acting president Bronislaw Komorowski of the governing Civic Platform party is currently the favourite to win the polls, but much will depend on how he handles the interim presidency. Apart from Komorowski, 15 other candidates will fight for the presidential seat, including the late president's twin brother Jaroslaw Kaczynski for the Law and Justice party, Grzegorz Napieralski for the Social Democrats, and Andrzej Lepper for the Eurosceptic Self Defence party. New Chapter in Russia-Poland Diplomatic Ties: The April plane crash, which has shaken Poland's politics, military, and general life, could open the way for the future improvement of strained Poland-Russia relations. Both countries have already been praised for taking a step towards improving their mutual ties when Russian prime minister attended the Katyn massacre commemoration earlier in April; the incident is highly sensitive in both countries. Although tragic, the plane crash could therefore open a new chapter in Poland-Russia relations. SOURCE: IHS Global Insight, (June 2010). For daily updates visit: www.ihsglobalinsight.com Zloty Under Pressure During Euro Crisis: The zloty's appreciation until early April and solid economic fundamentals could not prevent the Polish currency coming under pressure again in early May as the euro crisis unfolded. It mainly suffered from markets' enhanced risk aversion, rather than any thing else. Contagion risks are still remote, but do exist, because if European banks face liquidity constraints, then Poland's largely foreign-owned banking sector will feel the chill as well. So far, the large-scale rescue package for the entire Eurozone seems to have soothed markets' concerns, although the zloty remains quite volatile. Government Announces Plan to Rein in Deficit, Control Debt: The budget deficit has risen to around 7% of GDP in 2009; the second constitutional limit (55%) is seriously at risk of being violated in 2011. The government has announced a new plan to curb the deficit ratio to below 3% of GDP by 2012, although the plan has been lacking any major painful measures. There is a serious risk that more severe measures will be necessary at some point, but surely not before the presidential election. Growth Momentum Levelled Off in Q1, Short-Term Outlook Clouded by Export Uncertainties: Solid economic growth for the first quarter of 2010 has affirmed Poland's role as a beacon of stability in Central Europe. Unemployment is still relatively low, and domestic demand robust. However, a weaker Eurozone recovery could inflict pain on Polish exports and throttle momentum from that side. Bu s in e s s En v iro n m e n t > Ba s ic I d ic a to rs n Gro s s Do m e s tic Pro d uc t (GDP) 800 700 600 500 400 300 200 100 0 2006 2007 2008 2009 2010 2011 2012 2013 2014 1.8% 2.7% 6.3% 5.1% 4.6% 3.5% 4.3% 6.8% (nominal GDP levels in billion USD; Real GDP change) 8% 7% 6% 5.0% To p -1 0 Se c to rs (By Va lue Ad d e d ) 01 02 03 04 05 06 07 08 09 10 Retail Trade Wholesale Trade Construction Real Estate Public Admin. & Defence Education Business Services Agriculture Health & Social Services Land Transport Ra n k in g s 48.5 37.0 34.1 30.9 28.6 24.7 22.8 21.7 18.4 16.0 +1.2% +3.5% +1.8% +1.6% +14.6% +5.8% +2.2% +2.2% +3.8% +2.7% (a 2008 Level in billion USD & 2009 Change in %) Ease of Doing Business Poland ranks 76th out of 181 countries 76 53 Global Competitiveness Poland ranks 53rd out of 134 countries 5% 4% 3% 2% 1% Quic k Lin k s Doing Business > www.doingbusiness.org Competitiveness > www.weforum.org Global Opportunities for business indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s 67 QUICK TOUR (Country Profiles) 0% B us ines s E nvironment Ins urance E nvironment
Slide 68: Po la n d – TYPE 3 Offic e M jo r I s ure rs a n  PZU  Warta  Ergo Hestia  Allianz  HDI  Interrisk (VIG)  Compensa (VIG)  Generali  UNIQA  PTU > www.pzu.pl > www.warta.pl > www.hestia.pl > www.allianz.pl > www.hdi-asekuracja.pl > www.interrisk.pl > www.compensa.pl > www.generali.pl > www.uniqa.pl > www.ptu.pl No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard I s u ra n c e En v iro n m e n t > K y Sta k e h o ld e rs a n d Ev e n ts n e K y I d us try & Llo yd ’s Ev e n ts en As s o c ia tio n Insurance Association > www.piu.org.pl Re g u la to r Financial Supervision Authority > www.knf.gov.pl > www.lloyds.com/News_Centre/Events I s u ra n c e En v iro n m e n t > K y Sta tis tic s n e Gro s s Writte n Pre m iu m s (GWP) Po la n d 15 0,00 0 12 0,00 0 9 0,000 6 0,000 3 0,000 0 2007 2008 68 QUICK TOUR (Country Based on: > www.swissre.com > “World Insurance in 2008” 7 ,6 7 4 9 ,9 3 3 1 1 5 ,7 2 5 1 0 7 ,3 9 3 (direct non-life GWP at constant prices; million USD) U K De n s ity 1 ,4 00 1 ,2 00 1 ,0 00 8 00 6 00 4 00 2 00 0 (direct non-life GWP per capita; USD) Po la n d U K 1 ,2 7 6 Bro k e r Pe n e tra tio n Estimated broker penetration: 00% – 25% Based on soft intelligence and Axco, Statistics: > www.axcoinfo.com/ Quic k Lin k s Insurance Information Institute > www.iii.org/international/profiles/ 262 Worldwide Assecuranz Directory > http://assecuranz.kompass.com/ 2 0 0 8 De n s ity Profiles) > www.swissre.com > “World Insurance in 2008” Based on: Ins urance E nvironment Global Opportunities for insurance indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s B us ines s E nvironment
Slide 69: Po la n d – TYPE 3 Offic e Llo yd ’s Bu s in e s s > Offic e De ta ils Llo yd ’s Ge n e ra l re p re s e n ta tiv e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Mr Witold Janusz Warsaw Financial Center 53, Emilii Platter Str. 00-113 Warsaw  TELEPHONE + 48 602 247 091  EMAIL > witold.janusz@lloyds.com  WEBSITE > www.lloyds.com/poland Llo yd ’s Bu s in e s s > K y Sta tis tic s , Tra d in g Po s itio n a n d M rk e t I te llig e n c e e a n 2 0 0 9 Llo yd ’s Gro s s Sig n e d Pre m ium s Tra d in g Po s itio n > www.lloyds.com/crystal M rk e t I te llig e n c e a n Brokers have access to information via: www.lloyds.com/MARKETPRESENTATIONS Total: Direct: Reinsurance: USD 21m* USD 3m* USD 18m* Services: Yes, except motor TPL Establishment: Yes, except motor TPL and life Reinsurance: Yes * See: Data limitations for detail; figures are rounded and may not add up to total 69 Managing Agents have access to information via: www.lloyds.com/REGIONALWATCH > Managing Agent Version > Europe > Poland QUICK TOUR (Country Profiles) Ins urance E nvironment © Lloyd’s L loyd’s B us ines s B us ines s E nvironment
Slide 70: Po rtu g a l – TYPE 1 Offic e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific Pro file Clic k Bo x to n a v ig a te Bu s in e s s En v iro n m e n t  Key strengths and challenges of the economy  Size and growth of the economy  Basic economic indicators I s u ra n c e En v iro n m e n t n  Key insurers  Insurance industry events  Basic insurance indicators Llo yd ’s Bus in e s s  Lloyd’s office details and contacts  Trading position and size of Lloyd’s business  Available market intelligence products 70 QUICK TOUR (Country Profiles) © Lloyd’s
Slide 71: Po rtu g a l – TYPE 1 Offic e Bu s in e s s En v iro n m e n t > K I EY SSU To Wa tc h ES No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Risk of Contagion from Greece Has Increased Sharply: Portuguese bond spreads reached historical highs in April 2010 amid worries that the government will be unable to bring the public finances back onto a sustainable path. Although the stock of public debt compares favourably with that of other countries within the Eurozone, the economy's competitiveness problems, combined with the large fiscal deficit and the high debt levels in the private sector, make it susceptible to becoming the next victim of short sellers, which would make fiscal consolidation even more difficult. Economic Recovery Likely to Be Modest in 2010: Higher unemployment, a reduced availability of credit, and a tighter fiscal policy will keep IHS Global Insight, (June 2010). For daily updates visit: private consumption under intense pressure. Still large levels of spare capacity, tight credit conditions, squeezed profit margins, and concerns www.ihsglobalinsight.com about the economic outlook mean that investment expenditure is unlikely to recover significantly from its sharp fall in 2009. Global demand is expected to improve modestly in 2010, which should help exports. However, the recovery in exports is likely to be limited by the sector's huge lack of competitiveness, the still strong euro, and the fragile recovery expected in Portugal's main trade partner, Spain. Labour Market Will Deteriorate Significantly: Following a sharp increase during the fourth quarter of 2009, the unemployment rate is likely to continue its upward trend. Weak domestic demand, tight credit conditions, excess capacity levels, and shrinking profit margins will continue to weigh down on firms' hiring decisions despite the country's exit from recession. Strikes Expected in Protest at Government Austerity Plans: In a bid to reassure the markets and rein in a swelling budget deficit, the minority Socialist Party (PS) government adopted an extensive austerity package envisaging wage freezes and the shedding of civil service jobs in March 2010. Following five years of austerity, the unions are likely to run out of patience with these new measures and they are expected to once again take to the streets in protest. Government Seeking to Circumvent Regional Financing Law: As a result of its minority status in parliament, the government was unable to prevent the adoption of a controversial regional financing law increasing the amount of government funds distributed to the Madeira and Azores islands each year until 2013. The PS is now attempting to introduce another law to facilitate a reduction in regional spending if it exceeds limits set out in the 2010 budget. However, it will struggle to get this legislation approved given its lack of a majority. SOURCE: Bu s in e s s En v iro n m e n t > Ba s ic I d ic a to rs n Gro s s Do m e s tic Pro d uc t (GDP) 300 250 1.4% 2.3% 1.9% 1.0% 1.2% 1.3% (nominal GDP levels in billion USD; Real GDP change) 3% 2% 1% 0% -1% -2% -2.7% To p -1 0 Se c to rs (By Va lue Ad d e d ) 01 02 03 04 05 06 07 08 09 10 Public Admin. & Defence Real Estate Retail Trade Education Health & Social Services Construction Banking & Related Financial Wholesale Trade Business Services Hotels & Restaurants Ra n k in g s 19.3 15.6 15.4 15.3 14.5 12.5 11.7 11.2 10.6 9.5 +1.7% -3.9% -5.4% +2.6% +1.1% -9.7% -3.2% -4.9% -2.1% -3.8% (a 2008 Level in billion USD & 2009 Change in %) Ease of Doing Business Portugal ranks 48th out of 181 countries 48 43 200 150 100 50 0 0.0% Global Competitiveness Portugal ranks 43rd out of 134 countries 0.9% Quic k Lin k s Doing Business > www.doingbusiness.org Competitiveness > www.weforum.org Global Opportunities for business indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s 2006 2007 2008 2009 2010 2011 2012 2013 2014 71 QUICK TOUR (Country Profiles) -3% B us ines s E nvironment Ins urance E nvironment
Slide 72: Po rtu g a l – TYPE 1 Offic e I s u ra n c e En v iro n m e n t > K y Sta k e h o ld e rs a n d Ev e n ts n e M jo r I s ure rs a n  Fidelidade Mundial  Imperio Bonanca  AXA  Tranquilidade  Zurich  Allianz  Ocidental  Acoreana  Lusitania  Global > www.fidelidademundial.pt > www.imperiobonanca.pt > www.imperiobonanca.pt > www.tranquilidade.pt > www.zurichportugal.com > www.allianz.pt > www.ocidentalseguros.pt > www.acornet.pt > www.lusitania.pt > www.global-seguros.pt No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard K y I d us try & Llo yd ’s Ev e n ts en As s o c ia tio n Associacao Portuguesa de Seguradores > www.apseguradores.pt Re g u la to r Portuguese Insurance Institute > www.isp.pt > www.lloyds.com/News_Centre/Events I s u ra n c e En v iro n m e n t > K y Sta tis tic s n e Gro s s Writte n Pre m iu m s (GWP) Po rtug a l 15 0,00 0 12 0,00 0 9 0,000 6 0,000 3 0,000 0 2007 2008 72 QUICK TOUR (Country Based on: > www.swissre.com > “World Insurance in 2008” 6 ,0 4 7 6 ,4 2 3 1 1 5 ,7 2 5 1 0 7 ,3 9 3 (direct non-life GWP at constant prices; million USD) U K De n s ity 1,4 00 1,2 00 1,0 00 80 0 60 0 40 0 20 0 0 (direct non-life GWP per capita; USD) Po rtug a l U K 1 ,2 7 6 Bro k e r Pe n e tra tio n Estimated broker penetration: 00% – 25% Based on soft intelligence and Axco, Statistics: > www.axcoinfo.com/ Quic k Lin k s Insurance Information Institute > www.iii.org/international/profiles/ Worldwide Assecuranz Directory > http://assecuranz.kompass.com/ 598 Profiles) > www.swissre.com > “World Insurance in 2008” Based on: Ins urance E nvironment 2 0 0 8 De n s ity Global Opportunities for insurance indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s B us ines s E nvironment
Slide 73: Po rtu g a l – TYPE 1 Offic e Llo yd ’s Bu s in e s s > Offic e De ta ils Llo yd ’s Ge n e ra l re p re s e n ta tiv e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Mr Juan Arsuaga c/o Simmons & Simmons Lloyd’s Sucursal em Portugal Rua D. Francisco Manuel de Melo, 21 1070-085 Lisbon Portugal  TELEPHONE +351 21 388 34 79  FAX +351 21 313 20 01  EMAIL > juan.arsuaga@lloyds.com  WEBSITE > www.lloyds.com/portugal Llo yd ’s Bu s in e s s > K y Sta tis tic s , Tra d in g Po s itio n a n d M rk e t I te llig e n c e e a n 2 0 0 9 Llo yd ’s Gro s s Sig n e d Pre m ium s Tra d in g Po s itio n > www.lloyds.com/crystal M rk e t I te llig e n c e a n Total: Direct: Reinsurance: USD 31m* USD 19m* USD 13m* Services: Yes Establishment: Yes Reinsurance: Yes Managing Agents have access to information via: www.lloyds.com/REGIONALWATCH > Managing Agent Version > Europe > Small Markets * See: Data limitations for detail; figures are rounded and may not add up to total 73 QUICK TOUR (Country Profiles) Ins urance E nvironment © Lloyd’s L loyd’s B us ines s B us ines s E nvironment
Slide 74: Sp a in – TYPE 3 Offic e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific Pro file Clic k Bo x to n a v ig a te Bu s in e s s En v iro n m e n t  Key strengths and challenges of the economy  Size and growth of the economy  Basic economic indicators I s u ra n c e En v iro n m e n t n  Key insurers  Insurance industry events  Basic insurance indicators Llo yd ’s Bus in e s s  Lloyd’s office details and contacts  Trading position and size of Lloyd’s business  Available market intelligence products 74 QUICK TOUR (Country Profiles) © Lloyd’s
Slide 75: Sp a in – TYPE 3 Offic e Bu s in e s s En v iro n m e n t > K I EY SSU To Wa tc h ES No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Economy Remains in Recession: The economy is struggling to cope with excessive levels of private debt, a creaking property market, and an over-extended construction sector, coupled with recovering but still muted demand from key export markets in the Eurozone, United Kingdom, and United States. In addition, the government is under increasing pressure to tighten fiscal policy despite the recession, which is expected to last until early 2010. IHS Global Insight expects real GDP to contract by 0.6% in 2010 before recovering to modest growth of 0.6% in 2011, compared with a 3.6% drop in 2009, according to its April 2010 interim forecast. Consumers Still on the Ropes: Consumers remain insecure about the economy and the labour market, with deep-rooted concerns over the stuttering housing market and high personal indebtedness. Uncertain job prospects and falling house prices have forced consumers to limit their spending in order to consolidate their rapid accumulation of debt, which now stands at around 130% of disposable income. Fragile consumer confidence will continue to weigh down on spending in 2010 and 2011. SOURCE: IHS Global Insight, (June 2010). For daily updates visit: www.ihsglobalinsight.com Construction Sector Being Squeezed: A large stock of unsold properties suggests that the construction sector will endure a prolonged recession. Building permits for residential homes declined by 46.5% between 2008 and 2009, heralding an acute slump in construction activity. Worryingly, construction activity has been an important engine of growth in the past decade. It has contributed around 1.0 percentage point per year to overall real GDP growth and peaked at 15.7% of GDP in the third quarter of 2006 before falling back to 13.1% by end-2009. In addition, the sector has been a major source of new jobs, while many others are employed in services surrounding it. Government Under Pressure to Reform Redundancy Rules: The Spanish Confederation of Employers' Organisations (CEOE) has put pressure on the government to increase flexibility in the labour market by making it cheaper and easier to make workers redundant, a move obviously opposed by the labour unions. The CEOE is requesting that companies be allowed to cut their workforces during the recession without having to gain approval from the authorities, a process that is cumbersome and costly. Increased Regional Devolution in the Pipeline: Fears that its lack of a parliamentary majority would force the government to provide concessions to regional parties on devolution issues in return for their support in passing legislation are proving to be well founded. A law devolving fiscal powers to regional assemblies has already cleared the first parliamentary hurdle despite opposition to the move at the national level. Meanwhile, tensions could be exacerbated if the Constitutional Court rules against Catalonia's "statute of autonomy". Bu s in e s s En v iro n m e n t > Ba s ic I d ic a to rs n Gro s s Do m e s tic Pro d uc t (GDP) 1,800 1,600 1,400 1,200 1,000 800 600 400 200 0 -3.6% 0.9% -0.5% 0.8% 1.2% 1.6% 2.0% 4.0% 3.6% (nominal GDP levels in billion USD; Real GDP change) 5% 4% 3% 2% 1% 0% -1% -2% -3% 2006 2007 2008 2009 2010 2011 2012 2013 2014 -4% To p -1 0 Se c to rs (By Va lue Ad d e d ) 01 02 03 04 05 06 07 08 09 10 Construction Real Estate Hotels & Restaurants Public Admin. & Defence Health & Social Services Retail Trade Business Services Education Banking & Related Financial Wholesale Trade Ra n k in g s 169.5 132.5 101.3 92.9 85.1 83.2 83.0 71.8 60.3 56.2 -7.0% -2.2% -5.1% +7.2% +3.9% -8.0% +0.2% +3.3% -4.6% -8.3% (a 2008 Level in billion USD & 2009 Change in %) Ease of Doing Business Spain ranks 49th out of 181 countries 49 29 Global Competitiveness Spain ranks 29th out of 134 countries Quic k Lin k s Doing Business > www.doingbusiness.org Competitiveness > www.weforum.org Global Opportunities for business indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s 75 QUICK TOUR (Country Profiles) B us ines s E nvironment Ins urance E nvironment
Slide 76: Sp a in – TYPE 3 Offic e M jo r I s ure rs a n  Mapfre  AXA  Allianz  Zurich  Caser  Mutua Madrilena  Adeslas  Sanitas > www.mapfre.es > www.axa.es > www.allianz.es > www.zurich.es > www.caser.es > www.mutua-mad.es > www.adeslas.es > www.sanitas.es No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard I s u ra n c e En v iro n m e n t > K y Sta k e h o ld e rs a n d Ev e n ts n e K y I d us try & Llo yd ’s Ev e n ts en AGERS Conference  Location: Madrid  Time: 12 November 2009 Semana Mundial del Seguro  Location: Barcelona  Time 12 November 2009 As s o c ia tio n Insurance Company Association (UNESPA) > www.unespa.es Re g u la to r General Directorate of Insurance > www.dgsfp.mineco.es > www.lloyds.com/News_Centre/Events I s u ra n c e En v iro n m e n t > K y Sta tis tic s n e Gro s s Writte n Pre m iu m s (GWP) Sp a in 15 0,00 0 12 0,00 0 9 0,000 6 0,000 3 0,000 0 2007 2008 76 QUICK TOUR (Country Based on: > www.swissre.com > “World Insurance in 2008” 4 3 ,0 4 2 4 7 ,9 0 6 1 1 5 ,7 2 5 1 0 7 ,3 9 3 (direct non-life GWP at constant prices; million USD) U K De n s ity 1,4 00 1,2 00 1,0 00 80 0 60 0 40 0 20 0 0 (direct non-life GWP per capita; USD) Sp a in 1 ,0 5 1 U K 1 ,2 7 6 Bro k e r Pe n e tra tio n Estimated broker penetration: 25% – 50% Based on soft intelligence and Axco, Statistics: > www.axcoinfo.com/ Quic k Lin k s Insurance Information Institute > www.iii.org/international/profiles/ Worldwide Assecuranz Directory > http://assecuranz.kompass.com/ Profiles) > www.swissre.com > “World Insurance in 2008” Based on: Ins urance E nvironment 2 0 0 8 De n s ity Global Opportunities for insurance indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s B us ines s E nvironment
Slide 77: Sp a in – TYPE 3 Offic e Llo yd ’s Bu s in e s s > Offic e De ta ils Llo yd ’s Ge n e ra l re p re s e n ta tiv e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Mr Juan Arsuaga Calle José Ortega y Gasset 7 Edificio Serrano 49 1a Planta 28006 Madrid Spain  TELEPHONE +34 91 426 2312  FAX +34 91 426 2394  EMAIL > juan.arsuaga@lloyds.com  WEBSITE > www.lloyds.com/spain Llo yd ’s Bu s in e s s > K y Sta tis tic s , Tra d in g Po s itio n a n d M rk e t I te llig e n c e e a n 2 0 0 9 Llo yd ’s Gro s s Sig n e d Pre m ium s Tra d in g Po s itio n > www.lloyds.com/crystal M rk e t I te llig e n c e a n Brokers have access to information via: www.lloyds.com/MARKETPRESENTATIONS Total: Direct: Reinsurance: USD 264m* USD 164m* USD 100m* Services: Yes Establishment: Yes, except assistance, life and death insurance Reinsurance: Yes * See: Data limitations for detail; figures are rounded and may not add up to total 77 QUICK TOUR (Country Profiles) Ins urance E nvironment Managing Agents have access to information via: www.lloyds.com/REGIONALWATCH > Managing Agent Version > Europe > Large Markets © Lloyd’s L loyd’s B us ines s B us ines s E nvironment
Slide 78: Sw e d e n – TYPE 3 Offic e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific Pro file Clic k Bo x to n a v ig a te Bu s in e s s En v iro n m e n t  Key strengths and challenges of the economy  Size and growth of the economy  Basic economic indicators I s u ra n c e En v iro n m e n t n  Key insurers  Insurance industry events  Basic insurance indicators Llo yd ’s Bus in e s s  Lloyd’s office details and contacts  Trading position and size of Lloyd’s business  Available market intelligence products 78 QUICK TOUR (Country Profiles) © Lloyd’s
Slide 79: Sw e d e n – TYPE 3 Offic e Bu s in e s s En v iro n m e n t > K I EY SSU To Wa tc h ES No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Tight Lending Conditions Render Economic Recovery Prone to Relapses: Weak financial sector balance sheets are hampering the financing of real-sector activity and thus ensuring that the current upswing remains fragile. Swiss exports will not rebound quickly to pre-crisis levels, meaning that expansionary fiscal and monetary policy will have to be sustained for much of 2010. Persistently Low Inflation Enables Very Soft Monetary Stance: As a consequence of the major financial and economic crisis of 2008/09, inflation fell as low as -1.2% in mid-2009 and will not rebound much beyond 1% during 2010. The Swiss National Bank (SNB) will therefore maintain its key policy rate at 0.25% until at least late 2010 and possibly again resort to foreign-exchange intervention to soften the Swiss franc. SOURCE: IHS Global Insight, (June 2010). For daily updates visit: www.ihsglobalinsight.com Swiss Franc Developments Need to Be Monitored Closely: Although the U.S. dollar recovery since December 2009 also applied versus the Swiss franc, the dollar strengthened to a much greater extent against the euro, implying renewed strengthening of the franc against the euro. As the latter carries greater weight in Switzerland's trade relations, SNB intervention to return to a level of 1.50 francs:1 euro (from around 1.47 francs:1 euro in January/February 2010) may well occur in order to safeguard Swiss external price competitiveness. Double Tax Agreements to Be Put to Referenda: The Swiss government is set to hold referenda on all 11 double tax agreements (DTAs) it signed in 2009 to secure its removal from the Organisation for Economic Co-operation and Development's (OECD) tax haven "grey list". The government agreed to hold the referenda in order to obtain the cantons' backing for the controversial DTAs, which facilitate co-operation between Swiss and foreign tax officials. The DTAs are likely to be approved, with moderate voters all too aware of the need for Switzerland to co-operate more on tax affairs in order to retain the OECD's support for the country's comparatively lax tax regulations. Minaret Ban Harms Swiss Image in Muslim Countries: In November 2009, a majority of voters surprisingly supported a ban on the construction of minarets in Switzerland, causing a major headache for the government. The public outcry has subsided somewhat since the vote, offering the government a chance to hold intensive talks with concerned business and government figures from predominantly Muslim countries in a bid to assuage their fears. The Swiss government is keen to shake off the country's reputation for hostility towards immigrants and is determined to overturn the minaret ban via the courts, but this could take years to achieve. Bu s in e s s En v iro n m e n t > Ba s ic I d ic a to rs n Gro s s Do m e s tic Pro d uc t (GDP) 600 3.6% 3.6% (nominal GDP levels in billion USD; Real GDP change) 4% 3% 1.8% 1.9% 1.8% 1.8% 1.7% To p -1 0 Se c to rs (By Va lue Ad d e d ) 01 02 03 04 05 06 07 08 09 10 Public Admin. & Defence Banking & Related Financial Retail Trade Wholesale Trade Health & Social Services Construction Business Services Sanitation, Trade Organisations Insurance & Pensions Recreational, Cultural, Sporting Ra n k in g s 60.6 35.8 31.4 29.1 28.1 25.3 24.9 22.3 15.6 10.9 +3.7% -2.8% -0.8% -4.2% +1.9% -4.5% -0.7% -0.8% -3.2% -1.5% (a 2008 Level in billion USD & 2009 Change in %) Ease of Doing Business Sweden ranks 17th out of 181 countries 17 04 500 400 300 200 100 -1.5% 2% 1% 0% -1% Global Competitiveness Sweden ranks 4th out of 134 countries 1.6% Quic k Lin k s Doing Business > www.doingbusiness.org Competitiveness > www.weforum.org Global Opportunities for business indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s 0 2006 2007 2008 2009 2010 2011 2012 2013 2014 79 QUICK TOUR (Country Profiles) -2% B us ines s E nvironment Ins urance E nvironment
Slide 80: Sw e d e n – TYPE 3 Offic e M jo r I s ure rs a n  Lansforsakringar  IF Skade  Trygg-Hansa  Folksam  Zurich  Moderna (TryggVesta)  Solid > www.lansforsakringar.se > www.ifs.se > www.trygghansa.se > www.folksam.se > www.zurich.se > www.modernaforsakringar.se > www.solidab.se No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard I s u ra n c e En v iro n m e n t > K y Sta k e h o ld e rs a n d Ev e n ts n e K y I d us try & Llo yd ’s Ev e n ts en As s o c ia tio n Swedish Insurance Federation > www.forsakringsforbundet.com Re g u la to r Financial Supervisory Authority > www.fi.se > www.lloyds.com/News_Centre/Events I s u ra n c e En v iro n m e n t > K y Sta tis tic s n e Gro s s Writte n Pre m iu m s (GWP) Sw e d e n 15 0,00 0 12 0,00 0 9 0,000 6 0,000 3 0,000 0 2007 2008 80 QUICK TOUR (Country Based on: > www.swissre.com > “World Insurance in 2008” 2 ,9 4 1 3 ,9 9 6 1 1 5 ,7 2 5 1 0 7 ,3 9 3 (direct non-life GWP at constant prices; million USD) U K De n s ity 1,3 00 1,2 50 1,2 00 1,1 50 1,1 00 1,0 50 (direct non-life GWP per capita; USD) Sw e d e n U K 1 ,2 7 6 Bro k e r Pe n e tra tio n Estimated broker penetration: 00% – 25% Based on soft intelligence and Axco, Statistics: > www.axcoinfo.com/ Quic k Lin k s Insurance Information Institute > www.iii.org/international/profiles/ Worldwide Assecuranz Directory > http://assecuranz.kompass.com/ 1 ,1 5 5 Profiles) > www.swissre.com > “World Insurance in 2008” Based on: Ins urance E nvironment 2 0 0 8 De n s ity Global Opportunities for insurance indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s B us ines s E nvironment
Slide 81: Sw e d e n – TYPE 3 Offic e Llo yd ’s Bu s in e s s > Offic e De ta ils Llo yd ’s Ge n e ra l re p re s e n ta tiv e No rd ic Are a M n a g e r a No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Ms Eva Lindberg Sveavägen 20, 6 tr SE-111 57 STOCKHOLM SWEDEN Mr Erik Borjesson Sveavägen 20, 6 tr SE-111 57 STOCKHOLM SWEDEN  TELEPHONE +46 8 545 255 40  TELEPHONE +46 8 545 255 40  EMAIL > eva.lindberg@lloyds.com  WEBSITE > www.lloyds.com/sweden  EMAIL > erik.borjesson@lloyds.com Llo yd ’s Bu s in e s s > K y Sta tis tic s , Tra d in g Po s itio n a n d M rk e t I te llig e n c e e a n 2 0 0 9 Llo yd ’s Gro s s Sig n e d Pre m ium s Tra d in g Po s itio n > www.lloyds.com/crystal M rk e t I te llig e n c e a n Brokers have access to information via: www.lloyds.com/MARKETPRESENTATIONS Total: Direct: Reinsurance: USD 128m* USD 74m* USD 540m* Services: Yes Establishment: Yes, except assistance, life and death insurance Reinsurance: Yes * See: Data limitations for detail; figures are rounded and may not add up to total 81 QUICK TOUR (Country Profiles) Ins urance E nvironment Managing Agents have access to information via: www.lloyds.com/REGIONALWATCH > Managing Agent Version > Europe > Nordic Markets © Lloyd’s L loyd’s B us ines s B us ines s E nvironment
Slide 82: Sw itze rla n d – Typ e 3 Offic e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific Pro file Clic k Bo x to n a v ig a te Bu s in e s s En v iro n m e n t  Key strengths and challenges of the economy  Size and growth of the economy  Basic economic indicators I s u ra n c e En v iro n m e n t n  Key insurers  Insurance industry events  Basic insurance indicators Llo yd ’s Bus in e s s  Lloyd’s office details and contacts  Trading position and size of Lloyd’s business  Available market intelligence products 82 QUICK TOUR (Country Profiles) © Lloyd’s
Slide 83: Sw itze rla n d – Typ e 3 Offic e Bu s in e s s En v iro n m e n t > K I EY SSU To Wa tc h ES No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Tight Lending Conditions Render Economic Recovery Prone to Relapses: Weak financial sector balance sheets are hampering the financing of real-sector activity and thus ensuring that the current upswing remains fragile. Swiss exports will not rebound quickly to pre-crisis levels, meaning that expansionary fiscal and monetary policy will have to be sustained for much of 2010. Persistently Low Inflation Enables Very Soft Monetary Stance: As a consequence of the major financial and economic crisis of 2008/09, inflation fell as low as -1.2% in mid-2009 and will not rebound much beyond 1% during 2010. The Swiss National Bank (SNB) will therefore maintain its key policy rate at 0.25% until at least late 2010 and possibly again resort to foreign-exchange intervention to soften the Swiss franc. SOURCE: IHS Global Insight, (June 2010). For daily updates visit: www.ihsglobalinsight.com Swiss Franc Developments Need to Be Monitored Closely: Although the U.S. dollar recovery since December 2009 also applied versus the Swiss franc, the dollar strengthened to a much greater extent against the euro, implying renewed strengthening of the franc against the euro. As the latter carries greater weight in Switzerland's trade relations, SNB intervention to return to a level of 1.50 francs:1 euro (from around 1.47 francs:1 euro in January/February 2010) may well occur in order to safeguard Swiss external price competitiveness. Double Tax Agreements to Be Put to Referenda: The Swiss government is set to hold referenda on all 11 double tax agreements (DTAs) it signed in 2009 to secure its removal from the Organisation for Economic Co-operation and Development's (OECD) tax haven "grey list". The government agreed to hold the referenda in order to obtain the cantons' backing for the controversial DTAs, which facilitate co-operation between Swiss and foreign tax officials. The DTAs are likely to be approved, with moderate voters all too aware of the need for Switzerland to co-operate more on tax affairs in order to retain the OECD's support for the country's comparatively lax tax regulations. Minaret Ban Harms Swiss Image in Muslim Countries: In November 2009, a majority of voters surprisingly supported a ban on the construction of minarets in Switzerland, causing a major headache for the government. The public outcry has subsided somewhat since the vote, offering the government a chance to hold intensive talks with concerned business and government figures from predominantly Muslim countries in a bid to assuage their fears. The Swiss government is keen to shake off the country's reputation for hostility towards immigrants and is determined to overturn the minaret ban via the courts, but this could take years to achieve. Bu s in e s s En v iro n m e n t > Ba s ic I d ic a to rs n Gro s s Do m e s tic Pro d uc t (GDP) 600 500 400 300 200 100 -5.1% -0.6% 4.6% 3.5% 2.7% 1.6% 2.5% 2.4% 2.6% (nominal GDP levels in billion USD; Real GDP change) 6% 4% 2% 0% -2% -4% To p -1 0 Se c to rs (By Va lue Ad d e d ) 01 02 03 04 05 06 07 08 09 10 Health & Social Services Real Estate Business Services Education Wholesale Trade Retail Trade Construction Public Admin. & Defence Computing & Related Services Land Transport Ra n k in g s 47.3 45.1 25.6 24.4 24.2 22.5 21.5 21.1 14.3 11.6 +2.2% -2.8% +0.7% +1.8% -7.7% -6.2% -2.9% +3.4% +0.6% -7.9% (a 2008 Level in billion USD & 2009 Change in %) Ease of Doing Business Switzerland ranks 21st out of 181 countries 21 02 Global Competitiveness Switzerland ranks 2nd out of 134 countries Quic k Lin k s Doing Business > www.doingbusiness.org Competitiveness > www.weforum.org Global Opportunities for business indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s 0 2006 2007 2008 2009 2010 2011 2012 2013 2014 83 QUICK TOUR (Country Profiles) -6% B us ines s E nvironment Ins urance E nvironment
Slide 84: Sw itze rla n d – Typ e 3 Offic e I s u ra n c e En v iro n m e n t > K y Sta k e h o ld e rs a n d Ev e n ts n e M jo r I s ure rs a n  AXA (incl. Winterthur)  Zurich  Schweizerische Mobiliar  Allianz  Helsana  Basler  CSS  Visana  Generali  Vaudoise > www.axa.ch > www.zurich.ch > www.mobi.ch > www.allianz.ch > www.helsana.ch > www.basler.ch > www.css.ch > www.visana.ch > www.generali.ch > www.vaudoise.ch No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard K y I d us try & Llo yd ’s Ev e n ts en As s o c ia tio n Schweizerischer Versicherungsverband > www.svv.ch Re g u la to r FINMA > www.finma.ch > www.lloyds.com/News_Centre/Events I s u ra n c e En v iro n m e n t > K y Sta tis tic s n e Gro s s Writte n Pre m iu m s (GWP) Sw itze rla n d 15 0,00 0 12 0,00 0 9 0,000 6 0,000 3 0,000 0 2007 2008 84 QUICK TOUR (Country Based on: > www.swissre.com > “World Insurance in 2008” 1 9 ,3 9 0 2 1 ,5 9 6 1 1 5 ,7 2 5 1 0 7 ,3 9 3 (direct non-life GWP at constant prices; million USD) U K De n s ity 3,0 00 2,5 00 2,0 00 1,5 00 1,0 00 50 0 0 (direct non-life GWP per capita; USD) Sw itze rla n d 2 ,8 2 8 U K Bro k e r Pe n e tra tio n Estimated broker penetration: 50% – 75% Based on soft intelligence and Axco, Statistics: > www.axcoinfo.com/ Quic k Lin k s Insurance Information Institute > www.iii.org/international/profiles/ Worldwide Assecuranz Directory > http://assecuranz.kompass.com/ 1 ,2 7 6 Profiles) > www.swissre.com > “World Insurance in 2008” Based on: Ins urance E nvironment 2 0 0 8 De n s ity Global Opportunities for insurance indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s B us ines s E nvironment
Slide 85: Sw itze rla n d – Typ e 3 Offic e Llo yd ’s Bu s in e s s > Offic e De ta ils Llo yd ’s Ge n e ra l re p re s e n ta tiv e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Mr Graham West Lloyd's Versicherer Zweigniederlassung Zurich Seefeldstrasse 7 8008 Zurich Switzerland  TELEPHONE +41 (0) 7966 90099  FAX + 41 44 266 6079  EMAIL > graham.west@lloyds.com  WEBSITE > www.lloyds.com/switzerland Llo yd ’s Bu s in e s s > K y Sta tis tic s , Tra d in g Po s itio n a n d M rk e t I te llig e n c e e a n 2 0 0 9 Llo yd ’s Gro s s Sig n e d Pre m ium s Tra d in g Po s itio n > www.lloyds.com/crystal M rk e t I te llig e n c e a n Total: Direct: Reinsurance: USD 367m* USD 171m* USD 196m* Direct: Yes, except life and legal expenses Reinsurance: Yes Managing Agents have access to information via: www.lloyds.com/REGIONALWATCH > Managing Agent Version > Europe > Large Markets * See: Data limitations for detail; figures are rounded and may not add up to total 85 QUICK TOUR (Country Profiles) Ins urance E nvironment © Lloyd’s L loyd’s B us ines s B us ines s E nvironment
Slide 86: As ia Pa c ific No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific TYPE 2 Ne w Z a la n d e TYPE 3 Au s tra lia Ho n g K n g o TYPE 4 Ch in a Ja p a n SI NGAPORE 86 QUICK TOUR (Country Profiles) © Lloyd’s
Slide 87: Au s tra lia – Typ e 3 Offic e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific Pro file Clic k Bo x to n a v ig a te Bu s in e s s En v iro n m e n t  Key strengths and challenges of the economy  Size and growth of the economy  Basic economic indicators I s u ra n c e En v iro n m e n t n  Key insurers  Insurance industry events  Basic insurance indicators Llo yd ’s Bus in e s s  Lloyd’s office details and contacts  Trading position and size of Lloyd’s business  Available market intelligence products 87 QUICK TOUR (Country Profiles) © Lloyd’s
Slide 88: Au s tra lia – Typ e 3 Offic e Bu s in e s s En v iro n m e n t > K I EY SSU To Wa tc h ES No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Australia's Growth Outlook is Favourable: The economy continued to grow during the December quarter fuelled by a surge in both private and public gross fixed capital formation. The rebuilding of inventories as seen during the last two quarters of 2009 following savage inventory cuts and improving aggregate demand will continue to support growth through early 2010. In 2010 private consumption and investment will grow, supported by positive sentiment, helping to drive a worsening of the net export position. The economy is currently anticipated to grow by 3.3% in 2010. Fiscal and Monetary Stimulus Measures to Be Unwound Incrementally: The central bank continues to raise interest rates in an attempt to achieve a neutral policy rate. The policy rate will be raised in fits and starts, and will reach 4.75% by the end of 2010. As planned in the fiscal year (FY) 2010 budget, government spending will be slowly wound back from January-June 2010. An expenditure cap is likely to be implemented with the FY 2011 budget along with some changes to tax policy but those won't be announced until before the budget's release in May 2010. SOURCE: IHS Global Insight, (June 2010). For daily updates visit: www.ihsglobalinsight.com Prime Minister's Popularity Falters: Prime Minister Kevin Rudd's popularity rating has fallen to a record low in recent months. This downfall is a result of both the main opposition party Liberals' newfound strength under new leader Tony Abbott as well as the Rudd government's slow progress made in pushing through some key reforms, including a healthcare and a climate change bill. While Rudd remains the preferred prime minister, his dropping support level raises speculation about a close race ahead of the next federal election, expected to be called in late 2010. Australia and China Continue FTA Talks: Australia and China resumed talks on a bilateral Free Trade Agreement (FTA) in late February 2010 following a 14-month impasse. The resumption of negotiations came despite the recent tensions prompted by the arrest of Rio Tinto executives in July 2009, indicating that the economic relations prevail over political strains. China's unending demand for Australia's resources, namely iron and coal, has made it Australia’s largest trading partner and increased the countries' economic interdependence. Progress in the current talks is however likely to be slow, with agriculture remaining a key sticking point and foreign investment another significant issue. Climate Change Policy Remains Key Issue in Australian Politics: The Rudd administration has placed heightened emphasis on climate change policies and last year introduced a carbon trading scheme. The Carbon Pollution Reduction Scheme, which is a cap-and-trade scheme, was set to be operational in July 2011, but has now been shelved at least until the end of 2012 when the current Kyoto protocol expires. The debate on carbon emissions will however remain a focus in Australian politics. Under the scheme, the government will set a limit on the amount of carbon the Australian economy can produce, allowing businesses to trade their allocated permits amongst themselves. Green activists and economists have criticised the plans as lacking in ambition, with Australia one of the world's biggest polluters per capita in the world. Bu s in e s s En v iro n m e n t > Ba s ic I d ic a to rs n Gro s s Do m e s tic Pro d uc t (GDP) 1,600 1,400 1,200 1,000 800 600 400 200 0 2006 2007 2008 2009 2010 2011 2012 2013 2014 1.3% 2.6% 2.4% 3.4% 3.1% 3.4% 3.5% 3.3% 4.7% (nominal GDP levels in billion USD; Real GDP change) 5% 5% 4% 4% 3% 3% 2% 2% 1% 1% To p -1 0 Se c to rs (By Va lue Ad d e d ) 01 02 03 04 05 06 07 08 09 10 Real Estate Construction Business Services Health & Social Services Retail Trade Banking & Related Financial Wholesale Trade Education Mining of Metals & Stone Public Admin. & Defence Ra n k in g s 81.1 74.7 71.6 61.9 57.6 49.4 48.2 43.7 42.4 38.9 +0.2% +1.6% +0.4% +0.4% -3.0% -1.1% -1.6% +0.7% -0.6% +2.6% (a 2008 Level in billion USD & 2009 Change in %) Ease of Doing Business Australia ranks 9th out of 181 countries 09 18 Global Competitiveness Australia ranks 18th out of 134 countries Quic k Lin k s Doing Business > www.doingbusiness.org Competitiveness > www.weforum.org Global Opportunities for business indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s 88 QUICK TOUR (Country Profiles) 0% B us ines s E nvironment Ins urance E nvironment
Slide 89: Au s tra lia – Typ e 3 Offic e M jo r I s ure rs a n  Vero  IAG  QBE  Allianz  AAMI  CGU  GIO  Suncorp Metway  Zurich > www.vero.com.au > www.iag.com.au > www.qbe.com.au > www.allianz.com.au > www.aami.com.au > www.cgu.com.au > www.gio.com.au > www.suncorp.com.au > www.zurich.com.au No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard I s u ra n c e En v iro n m e n t > K y Sta k e h o ld e rs a n d Ev e n ts n e K y I d us try & Llo yd ’s Ev e n ts en As s o c ia tio n Insurance Council of Australia > www.insurancecouncil.com.au Re g u la to r APRA > www.apra.gov.au > www.lloyds.com/News_Centre/Events I s u ra n c e En v iro n m e n t > K y Sta tis tic s n e Gro s s Writte n Pre m iu m s (GWP) Aus tra lia 15 0,00 0 12 0,00 0 9 0,000 6 0,000 3 0,000 0 2007 20 89 QUICK 0 8 TOUR (Country Based on: > www.swissre.com > “World Insurance in 2008” 2 7 ,5 1 4 2 8 ,2 5 4 1 1 5 ,7 2 5 1 0 7 ,3 9 3 (direct non-life GWP at constant prices; million USD) U K De n s ity (direct non-life GWP per capita; USD) Aus tra lia 1,3 60 1,3 40 1,3 20 1,3 00 1,2 80 1,2 60 1,2 40 1,2 20 2 0 0 8 De n s ity Profiles) > www.swissre.com > “World Insurance in 2008” Based on: 1 ,2 7 6 1 ,3 4 9 U K Bro k e r Pe n e tra tio n Estimated broker penetration: 50% – 75% Based on soft intelligence and Axco, Statistics: > www.axcoinfo.com/ Quic k Lin k s Insurance Information Institute > www.iii.org/international/profiles/ Worldwide Assecuranz Directory > http://assecuranz.kompass.com/ Global Opportunities for insurance indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s B us ines s E nvironment Ins urance E nvironment
Slide 90: Au s tra lia – Typ e 3 Offic e Llo yd ’s Bu s in e s s > Offic e De ta ils Llo yd ’s Ge n e ra l re p re s e n ta tiv e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Mr Keith Stern Lloyd's Australia Limited Level 21 Angel Place 123 Pitt Street Sydney NSW 2000 Australia  TELEPHONE +61 2 9223 1433  FAX +61 2 9223 1466  EMAIL > keith.stern@lloyds.com  WEBSITE > www.lloyds.com/australia Llo yd ’s Bu s in e s s > K y Sta tis tic s , Tra d in g Po s itio n a n d M rk e t I te llig e n c e e a n 2 0 0 9 Llo yd ’s Gro s s Sig n e d Pre m ium s Tra d in g Po s itio n > www.lloyds.com/crystal M rk e t I te llig e n c e a n Brokers have access to information via: www.lloyds.com/MARKETPRESENTATIONS Lloyd's Total: Direct: Reinsurance: *at constant prices; million USD See: Data limitations for detail 90 USD 1.1bn* USD 846m* USD 264m* Direct: Yes, except certain compulsory classes, life, certain health insurances and stand-alone funeral expenses Reinsurance: Yes, except life and certain health insurances Managing Agents have access to information via: www.lloyds.com/REGIONALWATCH > Managing Agent Version > Asia Pacific > Australasia QUICK TOUR (Country Profiles) Ins urance E nvironment © Lloyd’s L loyd’s B us ines s B us ines s E nvironment
Slide 91: Ch in a – Typ e 4 Offic e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific Pro file Clic k Bo x to n a v ig a te Bu s in e s s En v iro n m e n t  Key strengths and challenges of the economy  Size and growth of the economy  Basic economic indicators I s u ra n c e En v iro n m e n t n  Key insurers  Insurance industry events  Basic insurance indicators Llo yd ’s Bus in e s s  Lloyd’s office details and contacts  Trading position and size of Lloyd’s business  Available market intelligence products 91 QUICK TOUR (Country Profiles) © Lloyd’s
Slide 92: Ch in a – Typ e 4 Offic e Bu s in e s s En v iro n m e n t > K I EY SSU To Wa tc h ES No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Government Begins to Rein In Stimulus Policy, But Aggressive Pullback is Unlikely: The ultra-aggressive stimulus plan the Chinese government introduced in late-2008 is a short-term emergency measure that cannot be sustained without generating distortions including an asset-market bubble. Concerns about asset-price inflation, aided by the recent uptick in goods prices and the turnaround of the exports sector, have prompted the government to begin pulling back this monetary stimulus. The Chinese government is also likely to adjust its renminbi policy by allowing the currency to resume appreciation against the U.S. dollar, although in a limited way at the start, after holding the exchange rate steady since the end of 2008 as part of the stimulus policy package. Nevertheless, aggressive policy tightening at this point is still unlikely. Given organic recovery—non-stimulus-related growth—is still in the nascent stages, the government will move gradually in shifting the growth-inflation policy balance. W-Shaped Recovery in Terms of Growth Still Probable: Given the strong momentum of investment growth and the rebound in exports, the strength of China's growth through 2010 should be secure. Beyond 2010, however, as the developed economies are unlikely to grow strongly, in addition to the Chinese government's expected further pullback on stimulus, China's growth is likely to moderately decelerate. As a result, IHS Global Insight expects China's growth to accelerate to the low 10% range year-on-year (y/y) in 2010, before pulling back to the mid-8% range in 2011. SOURCE: IHS Global Insight, (June 2010). For daily updates visit: www.ihsglobalinsight.com Government Remains Uneasy over Social Unrest Despite Economic Upturn: China's government remains uneasy about the national economic outlook and resulting implications for social stability in spite of a rebound in GDP growth during 2009. Although unemployment problems have eased, the Beijing leadership will continue to maintain a stimulative approach to the economy, albeit with the reintroduction of several taxes scrapped last year. On the politico-security front, the Hu-Wen administration will maintain a hard-line strategy, particularly towards the highly contentious issues of separatism in Tibet and Xinjiang. More generally, distributing the fruits of China's rapid economic success is central to ensuring socio-economic stability as laid out in government policies of "Building a Harmonious Society". In the long term, socio-economic stability will depend on such issues being addressed through the development of infrastructure and the easing of rural-urban immigration barriers to allow for a more flexible job market. Environmental Degradation Widespread: Serious environmental degradation remains a key concern, constituting the downside to three decades of unbridled economic growth. The current administration has adopted the "Scientific Development" perspective, with greater emphasis given to sustainable growth and efficiency improvement. Bu s in e s s En v iro n m e n t > Ba s ic I d ic a to rs n Gro s s Do m e s tic Pro d uc t (GDP) 11,000 10,000 9,000 8,000 7,000 6,000 5,000 4,000 3,000 2,000 1,000 0 13.0% 11.6% 9.6% 8.7% 8.6% 8.2% 8.6% 8.8% (nominal GDP levels in billion USD; Real GDP change) 14% 12% 11.0% To p -1 0 Se c to rs (By Va lue Ad d e d ) 01 02 03 04 05 06 07 08 09 10 Agriculture Wholesale Trade Construction Real Estate Textiles & Apparel Electricity, Gas & Steam Banking & Related Financial Computing & Related Services Iron & Steel Public Admin. & Defence Ra n k in g s 489.2 244.0 236.6 187.1 159.7 152.3 148.9 142.4 140.2 110.6 +3.8% +10.5% +6.6% +4.4% -2.6% +4.2% +12.5% +9.6% +2.1% +14.5% (a 2008 Level in billion USD & 2009 Change in %) Ease of Doing Business China ranks 83rd out of 181 countries 83 30 10% 8% 6% 4% 2% Global Competitiveness China ranks 30th out of 134 countries Quic k Lin k s Doing Business > www.doingbusiness.org Competitiveness > www.weforum.org Global Opportunities for business indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s 2006 2007 2008 2009 2010 2011 2012 2013 2014 92 QUICK TOUR (Country Profiles) 0% B us ines s E nvironment Ins urance E nvironment
Slide 93: Ch in a – Typ e 4 Offic e M jo r I s ure rs a n  PICC  China Pacific  Ping An  China United  China Continent  Tian An  An Bang  Yong An  Sunshine Insurance  Taiping > www.picc.cn > www.cpic.com.cn > www.pingan.com.cn > www.cicsh.com > www.ccic-net.com.cn > www.tianan-insurance.com > www.ab95569.com > www.yaic.com.cn > www.sinosig.com > www.ctih.cntaiping.com No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard I s u ra n c e En v iro n m e n t > K y Sta k e h o ld e rs a n d Ev e n ts n e K y I d us try & Llo yd ’s Ev e n ts en As s o c ia tio n Insurance Association of China > www.iachina.cn Re g u la to r CIRC > www.circ.gov.cn > www.lloyds.com/News_Centre/Events I s u ra n c e En v iro n m e n t > K y Sta tis tic s n e Gro s s Writte n Pre m iu m s (GWP) Ch in a 15 0,00 0 12 0,00 0 90 ,000 60 ,000 30 ,000 0 2 0 0 7 93 008 QUICK 2TOUR (Country Based on: > www.swissre.com > “World Insurance in 2008” 3 3 ,8 1 0 4 4 ,9 8 7 1 1 5 ,7 2 5 1 0 7 ,3 9 3 (direct non-life GWP at constant prices; million USD) U K De n s ity (direct non-life GWP per capita; USD) Ch in a 1 ,4 00 1 ,2 00 1 ,0 00 80 0 60 0 40 0 20 0 0 2008 n s ity Profiles) > www.swissre.com De“World Insurance in 2008” Based on: > 34 U K 1 ,2 7 6 Bro k e r Pe n e tra tio n Estimated broker penetration: 00% – 25% Based on soft intelligence and Axco, Statistics: > www.axcoinfo.com/ Quic k Lin k s Insurance Information Institute > www.iii.org/international/profiles/ Worldwide Assecuranz Directory > http://assecuranz.kompass.com/ Global Opportunities for insurance indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s B us ines s E nvironment Ins urance E nvironment
Slide 94: Ch in a – Typ e 4 Offic e Llo yd ’s Bu s in e s s > Offic e De ta ils Llo yd ’s Ge n e ra l re p re s e n ta tiv e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard M rk e t De v e lo p m e n t M n a g e r a a Pa rtic ip a n ts o n th e Pla tfo rm Mr Eric Gao Lloyd’s Reinsurance Company (China) Ltd 33rd floor, Azia Center 1233 Lujiazui Ring Road Pudong Shanghai 200120  TELEPHONE +86 21 6162 8206  FAX +86 21 6162 8258  EMAIL > eric.gao@lloyds.com  WEBSITE > www.lloyds.com/china Mr Tom Birbeck  TELEPHONE +86 21 6162 8207  EMAIL > tom.birbeck@lloyds.com M rk e tin g M n a g e r a a  TELEPHONE +86 21 6162 7815  EMAIL > christina.xu@lloyds.com Shanghai: (5) London: (12) Brit, Chaucer, ACE, Catlin, Navigators, Starr, Travelers Amlin, Arch, Atrium, Beazley, Hardy, Hiscox, Kiln, Markel,S.A. Ms Christian Xu Meacock, Sportscover (Argenta). Llo yd ’s Bu s in e s s > K y Sta tis tic s , Tra d in g Po s itio n a n d M rk e t I te llig e n c e e a n 2 0 0 9 Llo yd ’s Gro s s Sig n e d Pre m ium s Tra d in g Po s itio n > www.lloyds.com/crystal M rk e t I te llig e n c e a n Lloyd's Total: Direct: Reinsurance: LRCCL: at constant prices; million USD USD 123m* USD 13m* USD 110m* USD 5.7m* Direct: No Reinsurance: Yes, onshore reinsurance business can be written via Lloyd’s Reinsurance Company (China) Ltd. (LRCCL) and offshore reinsurance permitted Managing Agents have access to information via: www.lloyds.com/REGIONALWATCH > Managing Agent Version > Asia Pacific > China See: Data limitations for detail 94 QUICK TOUR (Country Profiles) Ins urance E nvironment © Lloyd’s L loyd’s B us ines s B us ines s E nvironment
Slide 95: Ho n g K n g – Typ e 3 Offic e o No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific Pro file Clic k Bo x to n a v ig a te Bu s in e s s En v iro n m e n t  Key strengths and challenges of the economy  Size and growth of the economy  Basic economic indicators I s u ra n c e En v iro n m e n t n  Key insurers  Insurance industry events  Basic insurance indicators Llo yd ’s Bus in e s s  Lloyd’s office details and contacts  Trading position and size of Lloyd’s business  Available market intelligence products 95 QUICK TOUR (Country Profiles) © Lloyd’s
Slide 96: Ho n g K n g – Typ e 3 Offic e o Bu s in e s s En v iro n m e n t > K I EY SSU To Wa tc h ES No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Democratic Reform Delayed Until 2017: The prospect of swift reform in the political sphere has been circumscribed by China's 2007 decision to effectively delay the direct election for the post of chief executive until 2017, with direct Legislative Council elections to follow in 2020. The issue of democratic reform took a backseat last year while the government focused on economic policy, but tensions are set to build over the coming months as the government attempts to pass a timid political reform package for the 2012 elections through the legislature, sparking strong opposition from the pan-democratic camp. Legislative Election Results Signal Policy Continuity: There has been no major change since Legislative Council elections were held in September 2008, when pro-Beijing parties managed to maintain their grip over the legislature as pro-democracy parties lost three more seats. Support for Chief Executive Donald Tsang, who was re-elected in March 2007, is waning although he is widely expected to see out his five-year term until 2012. SOURCE: IHS Global Insight, (June 2010). For daily updates visit: www.ihsglobalinsight.com Hong Kong's Economy Continues Moderate Recovery: The economy emerged from the worst recession since the Asian financial crisis during the second quarter of 2009, thanks to a revival in China-led regional trade and improving consumer confidence. The close economic ties with the mainland suggests that the territory will continue to benefit from the strong rebound in the Chinese economy caused by its massive stimulus measures. Domestic demand is also boosted by the rally in asset markets, thanks to abundant liquidity that has kept interest rates low and monetary condition loose. However, the economy's further recovery will continue to depend on the sustained revival in the world economy, which remains uncertain. Longer Term Economic Risks Will Be Associated with Hong Kong Dollar's Peg: The currency's peg to the U.S. dollar has made the territory's monetary policy mostly dependent on that of the U.S. Federal Reserve. It, in turn, has raised economic risks when mismatches arise between Hong Kong business cycles and U.S. monetary policies. Should a strong recovery in the United States lead to an aggressive rate rise ahead of the territory's rebound, higher interest rates will disrupt the economy's revival as a result. Deepening Integration with the Mainland: Economic policy is set to remain focused on taking advantage of its proximity to the economy of mainland China, grounded in the Closer Economic Partnership Arrangement (CEPA). It will, however, be increasingly affected by the policies of the mainland, although there has been minimal interference in the economic realm. Bu s in e s s En v iro n m e n t > Ba s ic I d ic a to rs n Gro s s Do m e s tic Pro d uc t (GDP) 300 7.0% (nominal GDP levels in billion USD; Real GDP change) 8% 6.4% 5.2% 5.1% 5.6% 5.3% 4.8% To p -1 0 Se c to rs (By Va lue Ad d e d ) 01 02 03 04 05 06 07 08 09 10 Retail Trade Wholesale Trade Banking & Related Financial Health & Social Services Public Admin. & Defence Education Land Transport Insurance & Pensions Real Estate Business Services Ra n k in g s 26.4 24.8 19.0 18.2 18.0 14.3 9.8 9.3 9.2 7.2 -4.2% -4.3% -4.3% -2.3% -1.5% -1.8% -3.4% -4.7% -4.4% -4.1% (a 2008 Level in billion USD & 2009 Change in %) Ease of Doing Business Hong Kong ranks 4th out of 181 countries 04 11 250 200 150 100 50 0 6% 4% Global Competitiveness Hong Kong ranks 11th out of 134 countries 2.1% 2% 0% -2.7% -2% -4% Quic k Lin k s Doing Business > www.doingbusiness.org Competitiveness > www.weforum.org Global Opportunities for business indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s 2006 2007 2008 2009 2010 2011 2012 2013 2014 96 QUICK TOUR (Country Profiles) B us ines s E nvironment Ins urance E nvironment
Slide 97: Ho n g K n g – Typ e 3 Offic e o I s u ra n c e En v iro n m e n t > K y Sta k e h o ld e rs a n d Ev e n ts n e M jo r I s ure rs a n  HSBC  American Home  BOC  Ming An  QBE  AXA  Wing Lung  Zurich  Asia Insurance  AIA > www.hsbc.hk > www.aiu.com.hk > www.bochk.com > www.mingan.com > www.qbe.hk > www.axa-insurance.com.hk > www.winglungbank.com.hk > www.zurich.hk > www.asiainsurance.hk > www.aia.hk No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard K y I d us try & Llo yd ’s Ev e n ts en As s o c ia tio n Hong Kong Federation of Insurers > www.hkfi.org.hk Re g u la to r Office of the Commissioner of Insurance > www.oci.gov.hk > www.lloyds.com/News_Centre/Events I s u ra n c e En v iro n m e n t > K y Sta tis tic s n e Gro s s Writte n Pre m iu m s (GWP) Ho n g K n g o 1 50,00 0 1 20,00 0 9 0,00 0 6 0,00 0 3 0,00 0 0 2007 008 97 QUICK 2TOUR (Country Based on: > www.swissre.com > “World Insurance in 2008” 2 ,4 8 0 2 ,7 7 2 1 1 5 ,7 2 5 1 0 7 ,3 9 3 (direct non-life GWP at constant prices; million USD) U K De n s ity (direct non-life GWP per capita; USD) Ho n g K n g o 1,4 00 1,2 00 1,0 00 80 0 60 0 40 0 20 0 0 2 0 0 8 De n s ity Profiles) > www.swissre.com > “World Insurance in 2008” Based on: 381 U K 1 ,2 7 6 Bro k e r Pe n e tra tio n Estimated broker penetration: 25% – 50% Based on soft intelligence and Axco, Statistics: > www.axcoinfo.com/ Quic k Lin k s Insurance Information Institute > www.iii.org/international/profiles/ Worldwide Assecuranz Directory > http://assecuranz.kompass.com/ Global Opportunities for insurance indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s B us ines s E nvironment Ins urance E nvironment
Slide 98: Ho n g K n g – Typ e 3 Offic e o Llo yd ’s Bu s in e s s > Offic e De ta ils Llo yd ’s Ge n e ra l re p re s e n ta tiv e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Ms Alex Faris Suite 1220 Two Pacific Place 88 Queensway Hong Kong SAR  TELEPHONE +852 2918 9911  FAX +852 2918 9918  EMAIL > afaris@lloydshk.com.hk  WEBSITE > www.lloyds.com/hongkong Llo yd ’s Bu s in e s s > K y Sta tis tic s , Tra d in g Po s itio n a n d M rk e t I te llig e n c e e a n 2 0 0 9 Llo yd ’s Gro s s Sig n e d Pre m ium s Tra d in g Po s itio n > www.lloyds.com/crystal M rk e t I te llig e n c e a n Total: Direct: Reinsurance: USD 158m* USD 117m* USD 40m* Direct: Yes, except life business Reinsurance: Yes * See: Data limitations for detail; figures are rounded and may not add up to total 98 QUICK TOUR (Country Profiles) Ins urance E nvironment Managing Agents have access to information via: www.lloyds.com/REGIONALWATCH > Managing Agent Version > Asia Pacific > Established Markets © Lloyd’s L loyd’s B us ines s B us ines s E nvironment
Slide 99: Ja p a n – Typ e 4 Offic e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific Pro file Clic k Bo x to n a v ig a te Bu s in e s s En v iro n m e n t  Key strengths and challenges of the economy  Size and growth of the economy  Basic economic indicators I s u ra n c e En v iro n m e n t n  Key insurers  Insurance industry events  Basic insurance indicators Llo yd ’s Bus in e s s  Lloyd’s office details and contacts  Trading position and size of Lloyd’s business  Available market intelligence products 99 QUICK TOUR (Country Profiles) © Lloyd’s
Slide 100: Ja p a n – Typ e 4 Offic e Bu s in e s s En v iro n m e n t > K I EY SSU To Wa tc h ES No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Continued Growth in Q1: Japan posted a strong 4.9% growth rate in the first quarter of 2010, on top of robust growth in the fourth quarter of last year. Exports continued to do well, showing that slow growth in the rest of the world has—as yet—not been a deterrent to purchases of Japanese goods. Once again, private consumption also grew, mostly due to fiscal stimulus and lagged response to the drop in unemployment last year. In addition, capital expenditures continued to grow, and inventories are finally starting to rise after declining for a year, indicating that business confidence is improving. A near-term deceleration is likely, but overall growth should continue. U.S.-Japanese Security Alliance in Question: Under the LDP, the U.S.-Japan security alliance was bolstered by the U.S. security umbrella. In contrast, the DPJ has extolled the merits of Japan's pacifist constitution and criticised the LDP for kowtowing to the United States. The Hatoyama administration had adopted a more ambivalent foreign policy approach towards U.S. President Barack Obama's administration, evidenced by the dispute over the re-location of the Futenma airbase in Okinawa. Hatoyama's resignation now creates uncertainty over the future trajectory of the U.S.-Japan alliance, raising questions over the recent agreement made with the Washington government to stick to the 2006 agreement. SOURCE: IHS Global Insight, (June 2010). For daily updates visit: www.ihsglobalinsight.com Support Dips for New Democrat Government: The Japanese electorate delivered an overwhelming defeat to the country's ruling Liberal Democratic Party (LDP) during an election to the Lower House of parliament in August 2009. The result highlighted the high level of public disillusionment with years of weak LDP governance, while representing a strong endorsement of the then-opposition Democratic Party of Japan (DPJ). But despite the ruling party's landslide victory last summer, voter support for the government has plummeted in recent months, mainly due to a dispute with the United States over the relocation of an important military base, and a slew of political funding scandals. Fiscal Stimulus is Working—So Far: The fiscal-expansion programme implemented months ago has apparently succeeded in stimulating consumer demand. Private consumption, both nominal and real, trended down through the first quarter of last year, but rebounded as various "green" incentives encouraged household spending. Subsequent data for consumption and retail sales indicate that the uptrend has continued, despite the higher unemployment caused by the recession. Assuming the DPJ government does not prematurely cut the stimulus, then Japan should be able to escape the recession along with the United States and other countries. Bu s in e s s En v iro n m e n t > Ba s ic I d ic a to rs n Gro s s Do m e s tic Pro d uc t (GDP) 6,000 5,000 4,000 3,000 2,000 1,000 -5.2% -1.2% 2.0% 2.3% 2.0% 1.3% (nominal GDP levels in billion USD; Real GDP change) 3% 2% 1% 0% -1% -2% -3% -4% -5% -6% 2010 1.6% 1.8% 2.0% To p -1 0 Se c to rs (By Va lue Ad d e d ) 01 02 03 04 05 06 07 08 09 10 Real Estate Sanitation, Trade Organisations Wholesale Trade Recreational, Cultural, Sporting Public Admin. & Defence Construction Health & Social Services Retail Trade Business Services Banking & Related Financial Ra n k in g s 599.6 523.8 453.3 382.2 286.7 273.6 254.8 252.2 248.0 223.0 +0.4% +0.6% -10.3% -2.8% +0.5% -4.5% +3.2% -1.0% -1.8% -5.8% (a 2008 Level in billion USD & 2009 Change in %) Ease of Doing Business Japan ranks 12th out of 181 countries 12 9 Global Competitiveness Japan ranks 9th out of 134 countries Quic k Lin k s Doing Business > www.doingbusiness.org Competitiveness > www.weforum.org Global Opportunities for business indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s 0 2006 2007 100 2008 2009 QUICK TOUR (Country Profiles) 2011 2012 2013 2014 B us ines s E nvironment Ins urance E nvironment
Slide 101: JAPAN – Typ e 4 Offic e M jo r I s ure rs a n  Tokio Marine Nichido  Mitsui Sumitomo  Sompo Japan  Aioi  Nippon Koa  Nissay Dowa  Fuji  AIU  Kyoei  Nisshin > www.tokiomarinehd.com > www.msilm.com > www.sompo-japan.co.jp > www.ioi-sonpo.co.jp > www.nipponkoa.co.jp > www.nissaydowa.co.jp > www.fujikasai.co.jp > www.aiu.co.jp > www.kyoeikasai.co.jp > www.nisshinfire.co.jp No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard I s u ra n c e En v iro n m e n t > K y Sta k e h o ld e rs a n d Ev e n ts n e K y I d us try & Llo yd ’s Ev e n ts en As s o c ia tio n General Insurance Association of Japan > www.sonpo.or.jp Re g u la to r Financial Services Agency > http://www.fsa.go.jp > www.lloyds.com/News_Centre/Events I s u ra n c e En v iro n m e n t > K y Sta tis tic s n e Gro s s Writte n Pre m iu m s (GWP) Ja p a n 1 50,00 0 1 20,00 0 9 0,000 6 0,000 3 0,000 0 2 0 0 7 101 008 QUICK 2TOUR (Country Based on: > www.swissre.com > “World Insurance in 2008” 4 4 ,9 8 7 1 1 5 ,7 2 5 9 6 ,0 8 4 1 0 7 ,3 9 3 (direct non-life GWP at constant prices; million USD) U K De n s ity (direct non-life GWP per capita; USD) Ja p a n 1 ,4 00 1 ,2 00 1 ,0 00 80 0 60 0 40 0 20 0 0 2008 n s ity Profiles) > www.swissre.com De“World Insurance in 2008” Based on: > 829 U K 1 ,2 7 6 Bro k e r Pe n e tra tio n Estimated broker penetration: 00% – 25% Based on soft intelligence and Axco, Statistics: > www.axcoinfo.com/ Quic k Lin k s Insurance Information Institute > www.iii.org/international/profiles/ Worldwide Assecuranz Directory > http://assecuranz.kompass.com/ Global Opportunities for insurance indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s B us ines s E nvironment Ins urance E nvironment
Slide 102: JAPAN – Typ e 4 Offic e Llo yd ’s Bu s in e s s > Offic e De ta ils Llo yd ’s Ge n e ra l re p re s e n ta tiv e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Pa rtic ip a n ts o n th e Pla tfo rm Mr Iain Ferguson Lloyd's Japan Inc. Otemachi Financial Center 17F 1-5-4 Otemachi, Chiyoda-ku, Tokyo, Japan 100-0004  TELEPHONE + 81 3 3215 5297  FAX + 81 3 3215 5292  EMAIL > iain.ferguson@lloyds.com  WEBSITE > www.lloyds.com/japan Tokyo: (7) Amlin, Beazley, Cassidy Davis, Catlin, Hardy, Kiln and Travellers Llo yd ’s Bu s in e s s > K y Sta tis tic s , Tra d in g Po s itio n a n d M rk e t I te llig e n c e e a n 2 0 0 9 Llo yd ’s Gro s s Sig n e d Pre m ium s Tra d in g Po s itio n > www.lloyds.com/crystal M rk e t I te llig e n c e a n Brokers have access to information via: www.lloyds.com/MARKETPRESENTATIONS Lloyd's Total: Direct: Reinsurance: Lloyd’s Japan Inc. at constant prices; million USD USD 680m* USD 25m* USD 655m* USD 112m* Direct: Yes, vial Lloyd’s Japan Inc.; other than certain exempt class Reinsurance: Yes Managing Agents have access to information via: www.lloyds.com/REGIONALWATCH > Managing Agent Version > Asia Pacific > Japan See: Data limitations for detail 102 QUICK TOUR (Country Profiles) Ins urance E nvironment © Lloyd’s L loyd’s B us ines s B us ines s E nvironment
Slide 103: Ne w Z a la n d – Typ e 2 Offic e e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific Pro file Clic k Bo x to n a v ig a te Bu s in e s s En v iro n m e n t  Key strengths and challenges of the economy  Size and growth of the economy  Basic economic indicators I s u ra n c e En v iro n m e n t n  Key insurers  Insurance industry events  Basic insurance indicators Llo yd ’s Bus in e s s  Lloyd’s office details and contacts  Trading position and size of Lloyd’s business  Available market intelligence products 103 QUICK TOUR (Country Profiles) © Lloyd’s
Slide 104: Ne w Z a la n d – Typ e 2 Offic e e Bu s in e s s En v iro n m e n t > K I EY SSU To Wa tc h ES No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Hesitant Consumers Weighing on Recovery: New Zealand's 2008-09 recession was brought on initially by a slowdown in consumer spending and was exacerbated by the global recession. Consumer confidence staged a significant recovery in the third quarter of 2009, and while consumers remain optimistic, confidence is wavering with retail sales and house prices following suit. At the same time measures of business confidence and manufacturing are improving, while top export destination Australia is growing strongly. The economy is expected to stage a modest recovery in 2010 on gradually improving domestic demand. SOURCE: Looming Monetary Policy Changes: The central bank will begin tightening monetary policy by mid-2010 as aggregate demand continues to IHS Global Insight, (June 2010). improve, but it will move cautiously and interest rates will remain relatively low well into 2011 for fear of stalling the recovery. Anticipation of future For daily updates visit: www.ihsglobalinsight.com interest rate hikes has resulted in currency appreciation, raising concerns about future export competitiveness and performance. Tax Policies to Be Tweaked with 2011 Budget: The government plans to reform the tax system in order to make it a fairer and "growth-enhancing" system based on recommendations from a recent Tax Working Group report. The changes will be implemented with the fiscal year (FY) 2011 budget due out in May. The government is considering an increase in the goods and services tax from the current 12.5% to at most 15.0%, as well as across-the-board reductions in personal tax rates. The government is also seeking to close tax loopholes for property investments, but proposals for a land tax, a comprehensive capital gains tax, and a risk-free return methodology for taxing residential investment properties have been ruled out. Voting System Change Referendum Scheduled for 2011: Honouring the National Party's pre-election pledge, New Zealand is set to hold a referendum with the next general election in 2011 whether to change the current mixed-member proportional (MMP) voting system to a new one prior to the national election scheduled for 2014. The reforming of the electoral system has become a political issue in New Zealand in recent years following changes to both Parliament and regional administration electoral systems. While the MMP ensures an evenly-balanced chamber, supporting the formation of coalition governments, the critics say it gives too much power to minority parties and has resulted in a difficult coalition government that struggles to push through legislation. New Zealand to Expand Diplomatic Presence: New Zealand's Ministry of Foreign Affairs has been pushing to increase its budget by NZ$621 million over the next four–five years. The additional funding will be used to add 100 diplomats and support staff in overseas missions—an increase of 50%—and to establish new diplomatic posts. This increase in funding for New Zealand’s foreign ministry will help meet the country’s growing foreign policy activism. Bu s in e s s En v iro n m e n t > Ba s ic I d ic a to rs n Gro s s Do m e s tic Pro d uc t (GDP) 200 3.3% 2.6% 2.3% (nominal GDP levels in billion USD; Real GDP change) 4% 3.1% 2.4% 3.1% 2.9% To p -1 0 Se c to rs (By Va lue Ad d e d ) 01 02 03 04 05 06 07 08 09 10 Real Estate Wholesale Trade Retail Trade Agriculture Health & Social Services Construction Business Services Public Admin. & Defence Banking & Related Financial Food Products Ra n k in g s 15.2 8.2 7.9 7.9 6.9 6.9 6.7 6.1 5.5 5..4 -0.3% -2.6% -3.8% +1.2% +0.8% -0.3% +1.7% +4.0% -0.6% -12.3% (a 2008 Level in billion USD & 2009 Change in %) Ease of Doing Business New Zealand ranks 2nd out of 181 countries 02 24 3% 3% 2% 2% 1% 1% 0% 150 Global Competitiveness New Zealand ranks 24h out of 134 countries 100 50 -0.6% -0.6% Quic k Lin k s Doing Business > www.doingbusiness.org Competitiveness > www.weforum.org Global Opportunities for business indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s -1% -1% 0 2006 2007 2008 2009 2010 2011 2012 2013 2014 104 QUICK TOUR (Country Profiles) B us ines s E nvironment Ins urance E nvironment
Slide 105: Ne w Z a la n d – Typ e 2 Offic e e I s u ra n c e En v iro n m e n t > K y Sta k e h o ld e rs a n d Ev e n ts n e M jo r I s ure rs a n  IAG  Vero  Lumley  AMI  Tower  AIG  Farmers’ Mutual  Allianz  Ace  Medical Insurance Society > www.iag.co.nz > www.vero.co.nz > www.lumley.co.nz > www.ami.co.nz > www.tower.co.nz > www.aig.co.nz > www.fmg.co.nz > www.allianz.co.nz > www.aceinsurance.co.nz > www.medicals.co.nz No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard K y I d us try & Llo yd ’s Ev e n ts en As s o c ia tio n Insurance Council of New Zealand > www.icnz.org.nz Re g u la to r Reserve Bank of New Zealand > www.rbnz.govt.nz > www.lloyds.com/News_Centre/Events I s u ra n c e En v iro n m e n t > K y Sta tis tic s n e Gro s s Writte n Pre m iu m s (GWP) Ne w Z a la n d e 1 50,0 00 1 20,0 00 90 ,000 60 ,000 30 ,000 0 2007 008 105 QUICK2 TOUR (Country Based on: > www.swissre.com > “World Insurance in 2008” 5 ,4 8 9 5 ,5 4 7 1 1 5 ,7 2 5 1 0 7 ,3 9 3 (direct non-life GWP at constant prices; million USD) U K De n s ity (direct non-life GWP per capita; USD) 1,3 20 1,3 10 1,3 00 1,2 90 1,2 80 1,2 70 1,2 60 1,2 50 2 0 0 8 De n s ity Profiles) > www.swissre.com > “World Insurance in 2008” Based on: 1 ,2 7 6 Ne w Z a la n d e 1 ,3 1 6 U K Bro k e r Pe n e tra tio n Estimated broker penetration: 75% – 100% Based on soft intelligence and Axco, Statistics: > www.axcoinfo.com/ Quic k Lin k s Insurance Information Institute > www.iii.org/international/profiles/ Worldwide Assecuranz Directory > http://assecuranz.kompass.com/ Global Opportunities for insurance indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s B us ines s E nvironment Ins urance E nvironment
Slide 106: Ne w Z a la n d – Typ e 2 Offic e e Llo yd ’s Bu s in e s s > Offic e De ta ils Llo yd ’s Ge n e ra l re p re s e n ta tiv e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Mr Scott Galloway c/o Hazelton Law Level 3 101 Molesworth Street Wellington New Zealand  TELEPHONE +64 4 472 7582  FAX + 64 4 472 7571  EMAIL > scott.galloway@hazelton.co.nz  WEBSITE > www.lloyds.com/newzealand Llo yd ’s Bu s in e s s > K y Sta tis tic s , Tra d in g Po s itio n a n d M rk e t I te llig e n c e e a n 2 0 0 9 Llo yd ’s Gro s s Sig n e d Pre m ium s Tra d in g Po s itio n > www.lloyds.com/crystal M rk e t I te llig e n c e a n Total: Direct: Reinsurance: USD 100m* USD 59m* USD 40m* Direct: Yes, except life Reinsurance: Yes, except life * See: Data limitations for detail; figures are rounded and may not add up to total 106 QUICK TOUR (Country Profiles) Ins urance E nvironment Managing Agents have access to information via: www.lloyds.com/REGIONALWATCH > Managing Agent Version > Asia Pacific > Established Markets © Lloyd’s L loyd’s B us ines s B us ines s E nvironment
Slide 107: Sin g a p o re – Typ e 4 Offic e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific Pro file Clic k Bo x to n a v ig a te Bu s in e s s En v iro n m e n t  Key strengths and challenges of the economy  Size and growth of the economy  Basic economic indicators I s u ra n c e En v iro n m e n t n  Key insurers  Insurance industry events  Basic insurance indicators Llo yd ’s Bus in e s s  Lloyd’s office details and contacts  Trading position and size of Lloyd’s business  Available market intelligence products 107 QUICK TOUR (Country Profiles) © Lloyd’s
Slide 108: Sin g a p o re – Typ e 4 Offic e Bu s in e s s En v iro n m e n t > K I EY SSU To Wa tc h ES No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard PAP Continues to Dominate: The People’s Action Party (PAP), which has held power since 1959, will continue to dominate Singaporean politics. As a result, policy continuity will remain strong. Despite a recent relaxation in the country's strict rules on freedom of expression, the PAP reinforces its tight grasp on power through recourse to these regulations. Upside Risks to Growth Finally Materialising: Singapore's growth will recover quickly in the near term, as the economy exits its 2008–09 recession and the concerted revival in global trade boosts the city-state's economy. Singapore's bellwether economy pointed to somewhat more stable times ahead with a fourth-quarter 2009 contraction that was more moderate than originally anticipated in its flash estimates. The economy experienced a prolonged and deep recession, as domestic and external activity collapsed during the recession. The trade-dependent city-state's manufacturing sector is improving in line with the recovering global economic climate. As exports and domestic demand begin to recover, IHS Global Insight expects the economy to expand 5.0% in 2010 and 4.8% in 2011. SOURCE: IHS Global Insight, (June 2010). For daily updates visit: www.ihsglobalinsight.com Inflationary Pressures Still Benign But Rising: Consumer prices have begun to climb again in early 2010. During the recession, deflation had surfaced again in 2009. With improving demand conditions and higher import prices, inflation will remain in positive territory over the near term. The central bank's official forecasts are for inflation to lie within the range of 2.0–3.0% in 2010, although we expect annual inflation will probably be more muted. Monetary Policy Set to Tighten in 2010: Given the still-uneven nature of the rebound, the Monetary Authority of Singapore (MAS) could now defer tightening monetary policy from April to October 2010. In general, price pressures in the economy remain subdued in early 2010, and the case for near-term monetary policy tightening is not compelling. In October 2009, during its last policy-setting meeting, the MAS maintained its current neutral policy stance and zero-appreciation path for the Singapore dollar. The MAS has consistently emphasised the importance of ensuring a healthy economic recovery, and seems willing to countenance some price pressures in upcoming months. If the recovery remains somewhat patchy, IHS Global Insight expects the Singapore dollar's nominal effective exchange rate to return to an appreciating trend beginning in October 2010. However, if healthy incoming data and unexpected inflationary pressures emerge more substantially and quickly in 2010, then the MAS will shift to a tightening mode sooner, at its next policy meeting in April 2010. Piracy Remains a Concern: In September 2009, the regional monitoring centre reported the maritime piracy rate in the South China Sea at a five-year high. The attacks are reportedly concentrated in the Straits of Malacca and Singapore, with tankers and large container ships particularly vulnerable to attacks. Bu s in e s s En v iro n m e n t > Ba s ic I d ic a to rs n Gro s s Do m e s tic Pro d uc t (GDP) 300 250 200 150 100 50 0 -2.0% 2.5% 8.4% 9.0% 7.8% (nominal GDP levels in billion USD; Real GDP change) 10% 8% 6% 5.0% 4.7% 4.7% 4.7% To p -1 0 Se c to rs (By Va lue Ad d e d ) 01 02 03 04 05 06 07 08 09 10 Banking & Related Financial Wholesale Trade Retail Trade Real Estate Public Admin. & Defence Land Transport Construction Business Services Insurance & Pensions Computers & Office Machinery Ra n k in g s 14.4 14.3 13.9 9.2 9.0 8.4 7.9 7.3 6.8 6.5 -4.8% -9.0% -8.8% +0.5% -5.5% -7.2% +21.3% -1.6% -7.3% -24.8% (a 2008 Level in billion USD & 2009 Change in %) Ease of Doing Business Singapore ranks 1st out of 181 countries 01 5 Global Competitiveness Singapore ranks 5th out of 134 countries 4% 2% 0% -2% -4% Quic k Lin k s Doing Business > www.doingbusiness.org Competitiveness > www.weforum.org Global Opportunities for business indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s 2006 2007 2008 2009 2010 2011 2012 2013 2014 108 QUICK TOUR (Country Profiles) B us ines s E nvironment Ins urance E nvironment
Slide 109: Sin g a p o re – Typ e 4 Offic e I s u ra n c e En v iro n m e n t > K y Sta k e h o ld e rs a n d Ev e n ts n e M jo r I s ure rs a n  American Home  NTUC Income  AXA  First Capital  MSIG  AIA  QBE  Mitsui Sumitomo  Tokio Marine & Fire  Ace > www.aiu.com.sg > www.income.com.sg > www.axa.com.sg > www.first-insurance.com.sg > www.msig.com.sg > www.aia.sg > www.qbe.com.sg > www.ms-ins.com.sg > www.tokiomarine.com.sg > www.aceinsurance.com.sg No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard K y I d us try & Llo yd ’s Ev e n ts en As s o c ia tio n General Insurance Association of Singapore > www.gia.org.sg Re g u la to r Insurance and Reinsurance Supervisory Authority > www.mas.gov.sg > www.lloyds.com/News_Centre/Events I s u ra n c e En v iro n m e n t > K y Sta tis tic s n e Gro s s Writte n Pre m iu m s (GWP) Sin g a p o re 15 0,00 0 12 0,00 0 9 0,000 6 0,000 3 0,000 0 2 0 0 7 109 008 QUICK 2TOUR (Country Based on: > www.swissre.com > “World Insurance in 2008” 4 ,2 0 4 5 ,0 8 3 1 1 5 ,7 2 5 1 0 7 ,3 9 3 (direct non-life GWP at constant prices; million USD) U K De n s ity (direct non-life GWP per capita; USD) Sin g a p o re 1 ,4 00 1 ,2 00 1 ,0 00 80 0 60 0 40 0 20 0 0 2 0 0 8 De n s ity Profiles) > www.swissre.com > “World Insurance in 2008” Based on: 630 U K 1 ,2 7 6 Bro k e r Pe n e tra tio n Estimated broker penetration: 50% – 75% Based on soft intelligence and Axco, Statistics: > www.axcoinfo.com/ Quic k Lin k s Insurance Information Institute > www.iii.org/international/profiles/ Worldwide Assecuranz Directory > http://assecuranz.kompass.com/ Global Opportunities for insurance indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s B us ines s E nvironment Ins urance E nvironment
Slide 110: Sin g a p o re – Typ e 4 Offic e Llo yd ’s Bu s in e s s > Offic e De ta ils Llo yd ’s Ge n e ra l re p re s e n ta tiv e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Pa rtic ip a n ts o n th e Pla tfo rm Mr Jon Song Lloyd’s Asia One George Street #15-04/05 Singapore 049145  TELEPHONE +65 6538 7862  FAX +65 6538 7768  EMAIL > jon.song@lloyds.com  WEBSITE > www.lloyds.com/singapore Singapore: (16) Amlin, Argenta, Ascot, Atrium, Beazley, Canopius, Catlin, Capita, Chaucer, Kiln, Markel, Newline, QBE, Talbot, Travelers, Watkins Llo yd ’s Bu s in e s s > K y Sta tis tic s , Tra d in g Po s itio n a n d M rk e t I te llig e n c e e a n 2 0 0 9 Llo yd ’s Gro s s Sig n e d Pre m ium s Tra d in g Po s itio n > www.lloyds.com/crystal M rk e t I te llig e n c e a n Lloyd's Total: Direct: Reinsurance: Lloyd’s Asia USD 221m* USD 119m* USD 102m* USD 223m* Direct: Yes, except life and compulsory classes Reinsurance: Yes, except life Managing Agents have access to information via: www.lloyds.com/REGIONALWATCH > Managing Agent Version > Asia Pacific > Singapore ♦Lloyd’s Asia premium refers to the premium written by Lloyd’s Asia participants only, the domicile of this risk is not restricted to Singapore See: Data limitations for detail 110 QUICK TOUR (Country Profiles) B us ines s E nvironment Ins urance E nvironment © Lloyd’s L loyd’s B us ines s
Slide 111: La tin Am e ric a No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific TYPE 1 ARGENTI NA Be lize Ch ile TYPE 3 BRAZL I 111 QUICK TOUR (Country Profiles) © Lloyd’s
Slide 112: ARGENTI – Typ e 1 Offic e NA No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific Pro file Clic k Bo x to n a v ig a te Bu s in e s s En v iro n m e n t  Key strengths and challenges of the economy  Size and growth of the economy  Basic economic indicators I s u ra n c e En v iro n m e n t n  Key insurers  Insurance industry events  Basic insurance indicators Llo yd ’s Bus in e s s  Lloyd’s office details and contacts  Trading position and size of Lloyd’s business  Available market intelligence products 112 QUICK TOUR (Country Profiles) © Lloyd’s
Slide 113: ARGENTI – Typ e 1 Offic e NA Bu s in e s s En v iro n m e n t > K I EY SSU To Wa tc h ES No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Presidential Popularity Dwindles: The popularity levels of Argentine president Cristina Fernández de Kirchner have tumbled to around 20%. Public disenchantment has been growing as members of her inner circle have been accused of illegal enrichment and other suspected dishonest financial dealings. Four private secretaries of the president are under investigation for illegal enrichment and former president Néstor Kirchner caused a stir in the press when it emerged in February that he had purchased US$2 million just before the outbreak of the financial crisis in 2008. Oil Drilling Plan Revives Tension with U.K.: Plans of the British Desire Petroleum to launch exploratory oil drilling operations in the North Falkland Basin have triggered an escalating political row between the United Kingdom and Argentina, which has long claimed sovereignty over the British-controlled South Atlantic archipelago. Political tensions are on the rise as Argentina has issued a decree under which ships travelling to the islands from Argentine ports or crossing Argentine waters on their way to the islands must seek prior government approval. SOURCE: IHS Global Insight, (June 2010). For daily updates visit: www.ihsglobalinsight.com Recession and Mild Recovery: Lower commodity prices and weaker demand for Argentina’s main exports have reduced export and fiscal revenues, affecting growth prospects and the government’s capacity to stimulate the economy. At the same time, domestic-consumption expansion, the latest engine for growth in Argentina, has been decelerating as consumer confidence shrinks in response to the deteriorating business climate. Worst of all, the financial system has become very cautious in its lending policies, as non-performing loans are increasing, making it more difficult for consumers and firms to find adequate financing sources. The contraction in fixed investments during the first half of 2009 is troublesome, a situation that is expected to improve in the second half and into 2010. Both the recession in 2009 and the recovery in 2010 are expected to be mild. Debt Swap Relief and the Return to Markets: The government secured extra breathing space by sealing two debt-swap deals in 2009. The initiative, which initially included only local guaranteed loans, was extended to debt holders, which further improved debt scheduling in the short-to-medium term. Together with the appropriation of retirement funds in 2008, the government's needs are apparently covered in 2009. The authorities want to return to the financial markets with debt placements in late 2009, after giving positive signals regarding the relationship with the IMF, debt holdouts, and the Paris Club. Bu s in e s s En v iro n m e n t > Ba s ic I d ic a to rs n Gro s s Do m e s tic Pro d uc t (GDP) 450 400 350 300 250 200 150 100 50 0 0.9% 3.9% 4.2% 4.3% 4.2% 4.0% 6.8% 8.5% 8.7% (nominal GDP levels in billion USD; Real GDP change) 10% 9% 8% 7% 6% 5% 4% 3% 2% 1% 0% To p -1 0 Se c to rs (By Va lue Ad d e d ) 01 02 03 04 05 06 07 08 09 10 Agriculture Public Admin. & Defence Retail Trade Oil & Gas Mining Education Wholesale Trade Real Estate Construction Business Services Banking & Related Financial Ra n k in g s 27.7 18.6 18.0 16.3 13.8 13.6 12.8 11.5 10.5 10.4 -5.2% +2.8% -0.8% -0.6% -3.7% -3.8% +3.4% -2.9% -3.8% +1.6% (a 2008 Level in billion USD & 2009 Change in %) Ease of Doing Business Argentina ranks 88th out of 181 countries 88 64 Global Competitiveness Argentina ranks 64th out of 134 countries Quic k Lin k s Doing Business > www.doingbusiness.org Competitiveness > www.weforum.org Global Opportunities for business indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s 2006 2007 2008 2009 2010 2011 2012 2013 2014 113 QUICK TOUR (Country Profiles) B us ines s E nvironment Ins urance E nvironment
Slide 114: ARGENTI – Typ e 1 Offic e NA I s u ra n c e En v iro n m e n t > K y Sta k e h o ld e rs a n d Ev e n ts n e M jo r I s ure rs a n  Fedaracion Patronal  Caja Seguros  Mapfre Argentina  HSBC Buesnos Aires  Sancor  Meridional  San Cristobal  Prevencion Art  Provincia  Segunda CSL > www.fedpat.com.ar > www.lacaja.com.ar > www.mapfre.com.ar > www.hsbc.com.ar/ar/seguros > www.sancor.com.ar > www.lameridional.com > www.sancristobal.com.ar > www.seguros-art.com.ar > www.provinciaseguros.com.ar > www.lasegunda.com.ar No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard K y I d us try & Llo yd ’s Ev e n ts en As s o c ia tio n Asociacion Argentina de Companias de Seguros > www.aacrsa.org.ar Superintendencia de Seguros de la Nacion > > www.lloyds.com/News_Centre/Events Re g u la to r www.ssn.gov.ar I s u ra n c e En v iro n m e n t > K y Sta tis tic s n e Gro s s Writte n Pre m iu m s (GWP) Arg e n tin a 15 0,00 0 12 0,00 0 9 0,00 0 6 0,00 0 3 0,00 0 0 2 0 0 7 114 008 QUICK2 TOUR (Country Based on: > www.swissre.com > “World Insurance in 2008” 4 ,9 4 7 6 ,4 7 6 1 1 5 ,7 2 5 1 0 7 ,3 9 3 (direct non-life GWP at constant prices; million USD) U K De n s ity (direct non-life GWP per capita; USD) Arg e n tin a 1 ,4 00 1 ,2 00 1 ,0 00 80 0 60 0 40 0 20 0 0 2 0 0 8 De n s ity Profiles) > www.swissre.com > “World Insurance in 2008” Based on: 1 62 U K 1 ,2 7 6 Bro k e r Pe n e tra tio n Estimated broker penetration: 25% – 50% Based on soft intelligence and Axco, Statistics: > www.axcoinfo.com/ Quic k Lin k s Insurance Information Institute > www.iii.org/international/profiles/ Worldwide Assecuranz Directory > http://assecuranz.kompass.com/ Global Opportunities for insurance indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s B us ines s E nvironment Ins urance E nvironment
Slide 115: ARGENTI – Typ e 1 Offic e NA Llo yd ’s Bu s in e s s > Offic e De ta ils Llo yd ’s Ge n e ra l re p re s e n ta tiv e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Mr John Wilson Las Heras 1274 Acassuso 1640 Buenos Aires Argentina  TELEPHONE + 54 11 4798 8975  FAX + 54 11 4798 8975  EMAIL > john.wilson@lloyds.com Llo yd ’s Bu s in e s s > K y Sta tis tic s , Tra d in g Po s itio n a n d M rk e t I te llig e n c e e a n 2 0 0 9 Llo yd ’s Gro s s Sig n e d Pre m ium s Tra d in g Po s itio n > www.lloyds.com/crystal M rk e t I te llig e n c e a n Total: Direct: Reinsurance: USD 36m* USD 34m* USD 2m* Direct: Yes, through a local registered intermediary except life, industrial life and bond investment Reinsurance: Yes, through a local intermediary Managing Agents have access to information via: www.lloyds.com/REGIONALWATCH > Managing Agent Version > Latin America > Small Markets * See: Data limitations for detail; figures are rounded and may not add up to total 115 QUICK TOUR (Country Profiles) Ins urance E nvironment © Lloyd’s L loyd’s B us ines s B us ines s E nvironment
Slide 116: b ra zil – Typ e 3 Offic e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific Pro file Clic k Bo x to n a v ig a te Bu s in e s s En v iro n m e n t  Key strengths and challenges of the economy  Size and growth of the economy  Basic economic indicators I s u ra n c e En v iro n m e n t n  Key insurers  Insurance industry events  Basic insurance indicators Llo yd ’s Bus in e s s  Lloyd’s office details and contacts  Trading position and size of Lloyd’s business  Available market intelligence products 116 QUICK TOUR (Country Profiles) © Lloyd’s
Slide 117: b ra zil – Typ e 3 Offic e Bu s in e s s En v iro n m e n t > K I EY SSU To Wa tc h ES No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Can Brazilian Authorities Withdraw the Stimuli on Time? So, excess liquidity does not translate into high inflation and public deficits do not compromise fiscal consolidation. While the risks are not marginal, our baseline scenario assumes that both the central bank and the government will act on time. The central bank has a good record and a reputation for fighting inflation. Also, on the balance of risks (low inflation versus rapid economic growth), it has clearly favored price stability, at least over the past five years. Elections due in October 2010 may be a temptation for the government to continue with its economic stimulus, although we do not believe this will be the case. We foresee fiscal prudence returning to Brazil as early as the second quarter of 2010. IHS Global Insight estimates that the Brazilian economy returned to pre-crisis levels during the fourth quarter of 2009. Investment will continue to drive the recovery, while external demand is expected to remain subdued in 2010. Our February forecast calls for GDP to grow 4.7% in 2010, after decreasing 0.4% in 2009. SOURCE: IHS Global Insight, (June 2010). For daily updates visit: www.ihsglobalinsight.com Trade Flows to Recover in 2010: The evolution of prices of key commodities such as soybeans, sugar, coffee, iron, and steel will be important factors to monitor, because they pertain not only to Brazil’s external accounts, but will also have an impact on the exchange rate, fiscal accounts, and employment. IHS Global Insight forecasts export revenues to grow 9.3% in 2010. Good External Liquidity Management Continues: The Brazilian Central Bank was very successful managing international reserves during the boom years and has shown its determination to continue to do so during the crisis; the accumulation of a sizeable amount of foreign-exchange reserves has allowed the bank to defend the currency from speculative attacks. International reserves have been sold under repurchase agreements: future contracts, foreign-exchange swaps, and other instruments have also helped the monetary authority to avoid high volatility in the foreign-exchange market as well as to provide liquidity for exporters and importers. We continue to track closely the level of international reserves since they carry valuable information on external liquidity of the country. High Levels of Taxation and Bureaucracy Undermine Brazil's Competitiveness: Despite increased investor confidence in the economy, security concerns and operational risks—such as high levels of government bureaucracy, an overcomplicated tax system, insufficient investment in infrastructure, and shortcomings in the educational system— continue to hold Brazil back. The government's programme to accelerate economic growth does seek to prioritise investment in infrastructure projects, and some progress has been made on other fronts. Nevertheless, many challenges still remain. Bu s in e s s En v iro n m e n t > Ba s ic I d ic a to rs n Gro s s Do m e s tic Pro d uc t (GDP) 3,000 2,500 2,000 1,500 1,000 500 -0.2% 4.0% 6.1% 5.5% 5.1% 4.9% 5.0% 5.1% 5.4% (nominal GDP levels in billion USD; Real GDP change) 7% 6% 5% 4% 3% 2% 1% 0% -1% To p -1 0 Se c to rs (By Va lue Ad d e d ) 01 02 03 04 05 06 07 08 09 10 Public Admin. & Defence Agriculture Real Estate Refined Petroleum & Coke Prod. Construction Business Services Banking & Related Financial Retail Trade Education Food Products Ra n k in g s 120.4 91.3 78.5 72.9 72.7 56.8 56.6 55.7 49.9 44.8 +3.9% -1.2% +2.0% -2.0% -8.8% +1.1% +6.3% +3.4% +6.7% -1.5% (a 2008 Level in billion USD & 2009 Change in %) Ease of Doing Business Brazil ranks 125th out of 181 countries 125 64 Global Competitiveness Brazil ranks 64th out of 134 countries Quic k Lin k s Doing Business > www.doingbusiness.org Competitiveness > www.weforum.org Global Opportunities for business indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s 0 2006 2007 2008 2009 2010 2011 2012 2013 2014 117 QUICK TOUR (Country Profiles) B us ines s E nvironment Ins urance E nvironment
Slide 118: b ra zil – Typ e 3 Offic e M jo r I s ure rs a n  Porto Seguro CIA  Unibanco AIG Seguros  Seguradi Liderdo  Mapfre Ver Cruz  Sul America  Itau  Atlantida  Allianz  Bradesco  Brasilveiculos > www.portoseguro.com.br > www.unibancoaig.com.br > www.dpvatseguro.com.br > www.mapfre.com.br > www.sulamerica.com.br > www.itauseguros.com.br > www.atlantidaseguros.com.br > www.allianz.com.br > www.bradescoautore.com.br > www.bbseguroauto.com.br No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard I s u ra n c e En v iro n m e n t > K y Sta k e h o ld e rs a n d Ev e n ts n e K y I d us try & Llo yd ’s Ev e n ts en As s o c ia tio n Federacao Nacional das Empresas deSeguros > www.fenaseg.org.br Re g u la to r www.susep.gov.br Superintendencia de Seguros Privados –SUSEP > > www.lloyds.com/News_Centre/Events I s u ra n c e En v iro n m e n t > K y Sta tis tic s n e Gro s s Writte n Pre m iu m s (GWP) Bra zil 1 50,0 00 1 20,0 00 90 ,000 60 ,000 30 ,000 0 2 0 0 7 118 008 QUICK2 TOUR (Country Based on: > www.swissre.com > “World Insurance in 2008” 2 0 ,5 0 8 2 5 ,0 7 4 1 1 5 ,7 2 5 1 0 7 ,3 9 3 (direct non-life GWP at constant prices; million USD) U K De n s ity (direct non-life GWP per capita; USD) Bra zil 1 ,4 00 1 ,2 00 1 ,0 00 80 0 60 0 40 0 20 0 0 2 0 0 8 De n s ity Profiles) > www.swissre.com > “World Insurance in 2008” Based on: 1 29 U K 1 ,2 7 6 Bro k e r Pe n e tra tio n Estimated broker penetration: 75% – 100% Based on soft intelligence and Axco, Statistics: > www.axcoinfo.com/ Quic k Lin k s Insurance Information Institute > www.iii.org/international/profiles/ Worldwide Assecuranz Directory > http://assecuranz.kompass.com/ Global Opportunities for insurance indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s B us ines s E nvironment Ins urance E nvironment
Slide 119: b ra zil – Typ e 3 Offic e Llo yd ’s Bu s in e s s > Offic e De ta ils Llo yd ’s Ge n e ra l re p re s e n ta tiv e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard M ANAGI NG AGENT REPRESENTATI VES Mr Marco Castro Lloyd’s Brazil, Avenida Almirante Barroso No.52 Sala 2401 (Parte) Centro Rio de Janeiro , CEP 20031-918/RJ Brazil  TELEPHONE + 55 (21) 2220 8446  EMAIL > marco.castro@lloyds.com  WEBSITE > www.lloyds.com/brazil Rio de Janeiro: (7) Ace, Argo, Catlin, Kiln, Liberty, Marlborough, Max Llo yd ’s Bu s in e s s > K y Sta tis tic s , Tra d in g Po s itio n a n d M rk e t I te llig e n c e e a n 2 0 0 9 Llo yd ’s Gro s s Sig n e d Pre m ium s Tra d in g Po s itio n > www.lloyds.com/crystal M rk e t I te llig e n c e a n Brokers have access to information via: www.lloyds.com/MARKETPRESENTATIONS Total: Direct: Reinsurance: USD 191m* USD 185m* USD 6m* Direct: No, permission / explicit approval required, except marine cargo Reinsurance: Yes, Lloyd’s is registered as an 'Admitted' reinsurer in Brazil * See: Data limitations for detail; figures are rounded and may not add up to total 119 Managing Agents have access to information via: www.lloyds.com/REGIONALWATCH > Managing Agent Version > Latin America > Brazil QUICK TOUR (Country Profiles) Ins urance E nvironment © Lloyd’s L loyd’s B us ines s B us ines s E nvironment
Slide 120: Be lize – Typ e 1 Offic e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific Pro file Clic k Bo x to n a v ig a te Bu s in e s s En v iro n m e n t  Key strengths and challenges of the economy  Size and growth of the economy  Basic economic indicators I s u ra n c e En v iro n m e n t n  Key insurers  Insurance industry events  Basic insurance indicators Llo yd ’s Bus in e s s  Lloyd’s office details and contacts  Trading position and size of Lloyd’s business  Available market intelligence products 120 QUICK TOUR (Country Profiles) © Lloyd’s
Slide 121: Be lize – Typ e 1 Offic e Bu s in e s s En v iro n m e n t > K I EY SSU To Wa tc h ES No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Government Nationalises Telecoms Company: The Belizean legislature in August approved a bill under which the state takes 94% of shares in Belize Telemedia Ltd (BTL). The move comes against the background of extended legal battles between the government and the country’s leading telecom provider. While the government has issued a statement assuring that the nationalisation drive would not be extended to other sectors of the economy, the blitz nationalisation, which made it through Congress in just three days, is set to raise wider concerns over state interference in the economy. Former Prime Minister Faces Appeal in US$10-mil. Theft Case: The Belizean Supreme Court in June acquitted former prime minister Said Musa of theft charges. Alongside former home affairs and housing minister Ralph Fonseca, Musa had been accused of having stolen half of a US$20-million grant awarded to the country by Venezuela. While Musa, who lost last year’s general elections, maintains the proceedings were politically motivated, the director of public prosecutions Cheryl Lynn Branker-Tait has vowed to appeal against the decision. SOURCE: IHS Global Insight, (June 2010). For daily updates visit: www.ihsglobalinsight.com Income and Business Tax Amendment Set to Raise Business Costs: In December 2008, the House of Representative approved a number of amendments to Belize’s Income and Business Amendment Bill, which were later ratified by the Senate and written into law becoming effective on 1 January 2009. The amendments that concentrate on the taxation of the real estate, banking, casino, and telecommunications sectors are set to raise corporations’ tax rates. No Stimulus in Sight: Despite the deceleration in economic activity, authorities in Belize continue to show strict adherence to the country’s fiscal programme, focusing on restoring long-term fiscal sustainability after the 2007 crisis. While public balances are back in positive territory, the government has limited manoeuvring space to implement expansionary policies. At the same time, monetary policy remains steady. A major negative effect might come from domestic sources, as the situation in the sugar cane industry continues to deteriorate. Public and External Accounts are Expected to Deteriorate: Important economic sectors are going to suffer from the global slowdown—particularly tourism and oil— affecting tax collection and foreign-exchange earnings generation. At the same time, family remittances from Belizeans living abroad and foreign direct investment (FDI) flows are expected to suffer a substantial reduction. On the positive side, the government has secured enough contingent financing to shield the economy in the short term, precisely when large external imbalances need external financing. Bu s in e s s En v iro n m e n t > Ba s ic I d ic a to rs n Gro s s Do m e s tic Pro d uc t (GDP) 2 5.4% Ra n k in g s 6% 5% 4% 3.4% 3.4% 3.3% (nominal GDP levels in billion USD; Real GDP change) Ease of Doing Business Belize ranks 78th out of 181 countries 78 N/A 3.5% 2.1% 3% 2% 1% 0% -1% Global Competitiveness Belize ranks N/A out of 134 countries 1 1.9% 1.2% Quic k Lin k s Doing Business > www.doingbusiness.org Competitiveness > www.weforum.org Global Opportunities for business indicators © Lloyd’s > www.lloyds.com/marketintelligence Ins urance E nvironment L loyd’s B us ines s -1.8% -2% -3% QUICK TOUR (Country Profiles) 0 2006 2007 2008 2009 2010 2011 2012 2013 2014 121 B us ines s E nvironment
Slide 122: Be lize – Typ e 1 Offic e M jo r I s ure rs a n  Atlantic  Guardian  Home Protector Insurance  ICB  RF & G > www.atlanticinsurancebz.com > www.ggil.biz > www.homeprotector.bz > www.icbinsurance.com > www.rfginsurancebelize.com No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard I s u ra n c e En v iro n m e n t > K y Sta k e h o ld e rs a n d Ev e n ts n e K y I d us try & Llo yd ’s Ev e n ts en As s o c ia tio n The Organization of Insurance Companies of Belize Re g u la to r www.governmentofbelize.gov.bz Office of the Supervisor of Insurance > > www.lloyds.com/News_Centre/Events I s u ra n c e En v iro n m e n t > K y Sta tis tic s n e Gro s s Writte n Pre m iu m s (GWP) (direct non-life GWP at constant prices; million USD) De n s ity (direct non-life GWP per capita; USD) Bro k e r Pe n e tra tio n Estimated broker penetration: N/A Based on soft intelligence and Axco, Statistics: > www.axcoinfo.com/ Quic k Lin k s Insurance Information Institute > www.iii.org/international/profiles/ Worldwide Assecuranz Directory > http://assecuranz.kompass.com/ N/A N/A 122 QUICK TOUR (Country Profiles) > www.swissre.com > “World Insurance in 2008” Based on: > www.swissre.com > “World Insurance in 2008” Based on: B us ines s E nvironment Ins urance E nvironment Global Opportunities for insurance indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s
Slide 123: Be lize – Typ e 1 Offic e Llo yd ’s Bu s in e s s > Offic e De ta ils Llo yd ’s Ge n e ra l re p re s e n ta tiv e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Mr Derek Courtenay W H Courtenay & Co 187 Hutson Street P O Box 214 Belize City Belize  TELEPHONE +501 223 5701  FAX +501 223 9962  EMAIL > whc&co@btl.net Llo yd ’s Bu s in e s s > K y Sta tis tic s , Tra d in g Po s itio n a n d M rk e t I te llig e n c e e a n 2 0 0 9 Llo yd ’s Gro s s Sig n e d Pre m ium s Tra d in g Po s itio n > www.lloyds.com/crystal M rk e t I te llig e n c e a n Total: Direct: Reinsurance: USD 8m* USD 6m* USD 1m* Direct: Yes, through a local registered intermediary except life, industrial life and bond investment Reinsurance: Yes, through a local intermediary Managing Agents have access to information via: www.lloyds.com/GLOBALOPPORTUNITIES > Managing Agent Version > Spreadsheet * See: Data limitations for detail; figures are rounded and may not add up to total 123 QUICK TOUR (Country Profiles) Ins urance E nvironment © Lloyd’s L loyd’s B us ines s B us ines s E nvironment
Slide 124: Ch ile – Typ e 1 Offic e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific Pro file Clic k Bo x to n a v ig a te Bu s in e s s En v iro n m e n t  Key strengths and challenges of the economy  Size and growth of the economy  Basic economic indicators I s u ra n c e En v iro n m e n t n  Key insurers  Insurance industry events  Basic insurance indicators Llo yd ’s Bus in e s s  Lloyd’s office details and contacts  Trading position and size of Lloyd’s business  Available market intelligence products 124 QUICK TOUR (Country Profiles) © Lloyd’s
Slide 125: Ch ile – Typ e 1 Offic e Bu s in e s s En v iro n m e n t > K I EY SSU To Wa tc h ES No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Massive Earthquake Hits Chile: An earthquake measuring 8.8 on the Richter scale struck on 27 February, followed by a destructive tsunami. At the time of writing over 700 are known to have died and two million more have been affected. Despite the extent of the disaster the state of Chile's economy and robust infrastructural development guarantee a relatively rapid recovery; nevertheless, in the short term IHS Global Insight has downgraded its Operational Risk Rating from 2.25 to 2.50. Piñera Becomes First Conservative President in Decades: Conservative Sebastián Piñera of the Coalition for Change took office as president SOURCE: on 11 March. The conservative leader secured the presidency after his victory in a January run-off vote against Eduardo Frei of the ruling centreIHS Global Insight, (June 2010). For daily updates visit: left Concertación. Official results after 99% of the votes were counted gave Piñera 51.61% and Frei 48.38%. After 52 years, the right has returned www.ihsglobalinsight.com to power via the ballot box, highlighting the consolidation and strength of Chile's democracy. Chile Joins OECD: Chile has signed an accession agreement to the Organisation for Economic Co-Operation and Development (OECD), becoming the organisation's 31st member and the first to join from South America. Chile's entry is an acknowledgment of two decades of democratic stability and sound economic policy, and is expected to boost its dynamic economy, though the February earthquake is expected to have a considerable impact. Imacec Records Yearly Expansion; Chilean Central Bank Maintains Monetary Stimulus: Economic activity index Imacec, a proxy for Chilean GDP, recorded a 3.9% yearly expansion in December 2009, driven by retail sales, utilities, and some industrial activities. Surprisingly, those sectors named by the central bank as December's growth drivers were not so strong, perhaps indicating that other sectors such as financial services, transport and communications, and construction are also warming up in the nascent recovery. Meanwhile on 11 February the Central Bank maintained the reference policy rate—which was reduced by a total of 775 basis points during 2009— at 0.5%, and reiterated the intention to keep it there until the end of the second quarter of 2010. In the aftermath of the earthquake, the monetary stimulus is very likely to be prolonged even further. Chilean GDP Falls 1.6% Y/Y During July–September 2009: On the demand side, there were sharp contractions in fixed investments and exports, partially offset by a positive performance in total consumption. On the aggregate supply side, declines in industrial output, construction, commerce, and transport led the overall economic contraction. Before the earthquake, our forecast was for Chilean GDP to expand 4.5% in 2010, following an estimated 1.7% decline in 2009. A few days after the natural disaster, there is still not enough information to quantify its impact, although the negative implications in terms of Chilean economic activity will be felt for at least the next two quarters. Bu s in e s s En v iro n m e n t > Ba s ic I d ic a to rs n Gro s s Do m e s tic Pro d uc t (GDP) 250 200 150 100 50 -1.4% 4.8% 4.7% 4.3% 3.5% 4.8% 4.4% 4.8% 4.9% (nominal GDP levels in billion USD; Real GDP change) 6% 5% 4% 3% 2% 1% 0% -1% -2% To p -1 0 Se c to rs (By Va lue Ad d e d ) 01 02 03 04 05 06 07 08 09 10 Oil & Gas Mining Construction Coal Mining Real Estate Agriculture Food Products Public Admin. & Defence Business Services Education Retail Trade Ra n k in g s 25.2 12.5 12.2 9.2 7.2 7.1 7.1 6.9 6.7 6.3 -1.9% -1.1% -0.6% +2.1% +6.8% +0.4% +4.7% +0.8% +0.7% -0.5% (a 2008 Level in billion USD & 2009 Change in %) Ease of Doing Business Chile ranks 40th out of 181 countries 40 28 Global Competitiveness Chile ranks 28th out of 134 countries Quic k Lin k s Doing Business > www.doingbusiness.org Competitiveness > www.weforum.org Global Opportunities for business indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s 0 2006 2007 2008 2009 2010 2011 2012 2013 2014 125 QUICK TOUR (Country Profiles) B us ines s E nvironment Ins urance E nvironment
Slide 126: Ch ile – Typ e 1 Offic e M jo r I s ure rs a n  RSA  Chilena (Zurich)  Penta  Interamericana  Mapfre  Cardif (BNP Paribas)  Liberrty  Magallanes  BCI  ACE > www.rsagroup.cl > www.chilena.cl > www.pentasecurity.cl > www.interamericana.cl > www.mapfreseguros.cl > www.cardif.cl > www.liberty.cl > www.magallanes.cl > www.bci.cl > www.acelimited.com No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard I s u ra n c e En v iro n m e n t > K y Sta k e h o ld e rs a n d Ev e n ts n e K y I d us try & Llo yd ’s Ev e n ts en As s o c ia tio n www.aach.cl Re g u la to r www.svs.cl Chilean Insurance Association > Insurance Superintendency > > www.lloyds.com/News_Centre/Events I s u ra n c e En v iro n m e n t > K y Sta tis tic s n e Gro s s Writte n Pre m iu m s (GWP) Ch ile 15 0,00 0 12 0,00 0 9 0,000 6 0,000 3 0,000 0 2 0 0 7 126 008 QUICK 2TOUR (Country Based on: > www.swissre.com > “World Insurance in 2008” 2 ,3 7 7 2 ,3 2 5 1 1 5 ,7 2 5 1 0 7 ,3 9 3 (direct non-life GWP at constant prices; million USD) U K De n s ity (direct non-life GWP per capita; USD) Ch ile 1 ,4 00 1 ,2 00 1 ,0 00 80 0 60 0 40 0 20 0 0 2 0 0 8 De n s ity Profiles) > www.swissre.com > “World Insurance in 2008” Based on: 1 38 U K 1 ,2 7 6 Bro k e r Pe n e tra tio n Estimated broker penetration: 75% – 100% Based on soft intelligence and Axco, Statistics: > www.axcoinfo.com/ Quic k Lin k s Insurance Information Institute > www.iii.org/international/profiles/ Worldwide Assecuranz Directory > http://assecuranz.kompass.com/ Global Opportunities for insurance indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s B us ines s E nvironment Ins urance E nvironment
Slide 127: Ch ile – Typ e 1 Offic e Llo yd ’s Bu s in e s s > Offic e De ta ils Llo yd ’s Ge n e ra l re p re s e n ta tiv e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Mr Emilio Sahurie Estudio Carvallo Coyancura 2283, Pisco 9 Santiago Chile  TELEPHONE +56 2 676 9358  FAX +56 2 234 4167  EMAIL > emilio.sahurie@lloyds.com Llo yd ’s Bu s in e s s > K y Sta tis tic s , Tra d in g Po s itio n a n d M rk e t I te llig e n c e e a n 2 0 0 9 Llo yd ’s Gro s s Sig n e d Pre m ium s Tra d in g Po s itio n > www.lloyds.com/crystal M rk e t I te llig e n c e a n Total: Direct: Reinsurance: USD 100m* USD 5m* USD 95m* Direct: Lloyd's is approved to transact marine, aviation, and transport of international goods business. Although, Lloyd's underwriters cannot offer any other classes of insurance within Chile, a Chilean citizen or entity is free to buy insurance abroad and to approach a foreign insurer, with the exception for compulsory classes. * See: Data limitations for detail; figures are rounded and may not add up to total 127 Managing Agents have access to information via: www.lloyds.com/REGIONALWATCH > Managing Agent Version > Latin America > Small Markets Reinsurance: Yes. QUICK TOUR (Country Profiles) Ins urance E nvironment © Lloyd’s L loyd’s B us ines s B us ines s E nvironment
Slide 128: I d ia , M d le Ea s t a n d Afric a (I EA) n id M TYPE 1 Na m ib ia Z babwe im No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific TYPE 3 SOU AFRI TH CA 128 QUICK TOUR (Country Profiles) © Lloyd’s
Slide 129: Na m ib ia – Typ e 1 Offic e No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific Pro file Clic k Bo x to n a v ig a te Bu s in e s s En v iro n m e n t  Key strengths and challenges of the economy  Size and growth of the economy  Basic economic indicators I s u ra n c e En v iro n m e n t n  Key insurers  Insurance industry events  Basic insurance indicators Llo yd ’s Bus in e s s  Lloyd’s office details and contacts  Trading position and size of Lloyd’s business  Available market intelligence products 129 QUICK TOUR (Country Profiles) © Lloyd’s
Slide 130: Na m ib ia – Typ e 1 Offic e Bu s in e s s En v iro n m e n t > K I EY SSU To Wa tc h ES No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Continuity Lends to Political Stability: Since its independence from South Africa in 1990, Namibia has enjoyed two decades of political stability under the former liberation movement turned ruling power, the South West Africa People's Organisation (SWAPO). First under independent father Sam Nujoma and then under his hand-picked successor, Hifikepunye Pohamba, since 2004, the previously Marxist-oriented SWAPO has championed democracy, good governance, a mixed economy and national reconciliation, allowing the economy to flourish. Tourism Offers Brighter Future: While the mining and fishing industries are currently the mainstays of the Namibian economy, tourism is set to play an increasingly important role in the medium and long-term future, with the government declaring it as a "priority sector for the economic development of the country". Already the fastest-growing economic sector, tourism is expected to become the largest contributor to GDP over the next decade. SOURCE: IHS Global Insight, (June 2010). For daily updates visit: www.ihsglobalinsight.com Lower-Middle Income Status Masks Social Problem: Although enjoying a middle-income status with a relatively high GDP per capita by regional standards, Namibia also suffers from many of the social problems that afflicts its neighbours, such as unemployment, poverty and widening inequality, due to the uneven distribution of income. More than half Namibia's population is believed to be living on US$2 or less per day. The current unemployment rate is officially put at around 35%, but unofficial estimates put the rate as high as 40%, creating high levels of food insecurity and income poverty at household level. Global Environment Stains Namibia's Short-Term Economic Prospects: Namibia’s GDP growth rate is expected to moderate to around -3% in 2009 from an estimated 2.8% in 2008, with the risk towards the downside. A slowdown in the mining industry, especially for luxury commodities such as diamonds, as well as consumer-related sectors will be primarily responsible for the dismal economic performance. The hosting of the African Cup of Nations and World Cup football tournaments in 2010 is expected to support output during the year. Monetary Policy to Support Expansionary Government Budget Spending: The Bank of Namibia is expected to follow the South Africa Reserve Bank’s lead and cut interest rates aggressively during 2009. This more accommodating monetary stance is expected to be accompanied by a complementary fiscal stimulus package. Already the Namibian government has announced a massive rise of 24% in public-sector wages for the coming fiscal year. The 2009 government salary adjustments are the highest on record and are estimated to add around N$1 billion (US$100 million) to the government's current wage bill of N$7.7 billion. Bu s in e s s En v iro n m e n t > Ba s ic I d ic a to rs n Gro s s Do m e s tic Pro d uc t (GDP) 15 7.1% Ra n k in g s 8% 7% 6% (nominal GDP levels in billion USD; Real GDP change) Ease of Doing Business Namibia ranks 51st out of 181 countries 51 80 5.5% 10 2.9% 4.2% 4.5% 4.5% 3.7% 3.5% 5% 4% 3% 2% 1% 0% Global Competitiveness Namibia ranks 80th out of 134 countries 5 -0.8% Quic k Lin k s Doing Business > www.doingbusiness.org Competitiveness > www.weforum.org Global Opportunities for business indicators © Lloyd’s > www.lloyds.com/marketintelligence Ins urance E nvironment L loyd’s B us ines s -1% -2% QUICK TOUR (Country Profiles) 0 2006 2007 2008 2009 2010 2011 2012 2013 2014 130 B us ines s E nvironment
Slide 131: Na m ib ia – Typ e 1 Offic e M jo r I s ure rs a n  Mutual & Federal  Santam  Hollard  Legal Shield  Swabou  NASRIA > www.mf.co.na > www.santam.co.na > www.hollard.co.na > www.legalshield.na > www.outsurance.com.na > www.nasria.com.na No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard I s u ra n c e En v iro n m e n t > K y Sta k e h o ld e rs a n d Ev e n ts n e K y I d us try & Llo yd ’s Ev e n ts en As s o c ia tio n Namibia Insurance Association Re g u la to r Namibia Financial Supervisory Authority > www.lloyds.com/News_Centre/Events I s u ra n c e En v iro n m e n t > K y Sta tis tic s n e Gro s s Writte n Pre m iu m s (GWP) (direct non-life GWP at constant prices; million USD) De n s ity (direct non-life GWP per capita; USD) Bro k e r Pe n e tra tio n Estimated broker penetration: 50% – 75% Based on soft intelligence and Axco, Statistics: > www.axcoinfo.com/ Quic k Lin k s Insurance Information Institute > www.iii.org/international/profiles/ Worldwide Assecuranz Directory > http://assecuranz.kompass.com/ N/A N/A 131 QUICK TOUR (Country Profiles) > www.swissre.com > “World Insurance in 2008” Based on: > www.swissre.com > “World Insurance in 2008” Based on: B us ines s E nvironment Ins urance E nvironment Global Opportunities for insurance indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s
Slide 132: Na m ib ia – Typ e 1 Offic e Llo yd ’s Bu s in e s s > Offic e De ta ils Llo yd ’s Ge n e ra l re p re s e n ta tiv e Mr Peter Gruttemeyer Ohlthaver & List Trust Company (Pty) Ltd Carl List Haus No. 27 Fidel Castro Street PO Box 16 Windhoek Namibia  TELEPHONE +264 61 207 5236  EMAIL > petergruttemeyer@olfitra.com.na No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Llo yd ’s Bu s in e s s > K y Sta tis tic s , Tra d in g Po s itio n a n d M rk e t I te llig e n c e e a n 2 0 0 9 Llo yd ’s Gro s s Sig n e d Pre m ium s Tra d in g Po s itio n > www.lloyds.com/crystal Direct: Yes, through a local intermediary Reinsurance: Yes, through a local intermediary Managing Agents have access to information via: www.lloyds.com/GLOBALOPPORTUNITIES > Managing Agent Version > Spreadsheet M rk e t I te llig e n c e a n Total: Direct: Reinsurance: USD 5m* USD 1m* USD 4m* * See: Data limitations for detail; figures are rounded and may not add up to total 132 QUICK TOUR (Country Profiles) Ins urance E nvironment © Lloyd’s L loyd’s B us ines s B us ines s E nvironment
Slide 133: SOU AFRI – Typ e 3 Offic e TH CA No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific Pro file Clic k Bo x to n a v ig a te Bu s in e s s En v iro n m e n t  Key strengths and challenges of the economy  Size and growth of the economy  Basic economic indicators I s u ra n c e En v iro n m e n t n  Key insurers  Insurance industry events  Basic insurance indicators Llo yd ’s Bus in e s s  Lloyd’s office details and contacts  Trading position and size of Lloyd’s business  Available market intelligence products 133 QUICK TOUR (Country Profiles) © Lloyd’s
Slide 134: SOU AFRI – Typ e 3 Offic e TH CA Bu s in e s s En v iro n m e n t > K I EY SSU To Wa tc h ES No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard New ANC Administration Faces Challenge of Delivery: Following its latest landslide electoral victory during the April 2009 general election, the ruling African National Congress (ANC) party, now under the leadership of Jacob Zuma, faces a new challenge to improve the delivery of vital service to its constituents. To achieve this, Zuma has named a newly expanded cabinet team, which contains individuals from the left, centre, black business, and even right-wing Afrikaners. At the heart of the new administration is Trevor Manuel, the country's much-respected former finance minister, who has been placed in charge of the new "super" government department, the National Planning Commission (NPC), which will be responsible for formulating government policies as well as co-ordinating efforts across all government departments to improve the delivery of services. SOURCE: IHS Global Insight, (June 2010). For daily updates visit: www.ihsglobalinsight.com Unemployment Stays Stubbornly High: A drop in employment in the last quarter of 2009 after an uptick in the third quarter of 2009 explains consumer demand’s struggle to regain its footing following the recession. Around 926,000 jobs have been lost since September 2008, which has led to an increase in the unemployment rate to 25.2% from 24.3% in the fourth quarter of 2009. Although work creation should start improving towards year-end into 2011, the level of unemployment highlights the structural nature of this problem in the South African economy. Economy Subject to Range of Diverse Forces: Factors curbing demand conditions include the consumer’s weakened financial position following the recession and limited leeway to take on new debt, while an improved inflation outlook and accommodating monetary policy are setting the scene for more spending later in the year. Heightened anticipation surrounding the FIFA World Cup tournament is boosting confidence levels, which is bound to be scaled down as the euphoria associated with the tournament dies down. Private sector investment will take its cue from the demand recovery, while exports are bound to benefit from a more sustained global recovery.. Calls for Currency Intervention Increase: Several labour federations and some manufacturers in South Africa are bemoaning currency strength and have called on the Reserve Bank of South Africa to weaken and peg the currency to the U.S. dollar in order to boost international competitiveness. However, the central bank and government has maintained that intervening in the currency market was not part of the macro policy and would also be too costly. IHS Global Insight supports this view and maintains that productivity and internal structural constraints to economic growth should be addressed to boost the country’s competitiveness. Bu s in e s s En v iro n m e n t > Ba s ic I d ic a to rs n Gro s s Do m e s tic Pro d uc t (GDP) 450 400 350 300 250 200 150 100 50 0 -1.8% 5.6% 5.5% 4.2% 3.7% 2.8% 3.6% 4.1% 4.3% (nominal GDP levels in billion USD; Real GDP change) 6% 5% 4% 3% 2% 1% 0% -1% -2% -3% To p -1 0 Se c to rs (By Va lue Ad d e d ) 01 02 03 04 05 06 07 08 09 10 Public Admin. & Defence Real Estate Retail Trade Wholesale Trade Business Services Mining of Metals & Stone Agriculture Banking & Related Financial Telecommunications Health & Social Services Ra n k in g s 33.3 16.7 15.5 15.0 13.1 12.6 10.3 9.8 9.2 8.0 +3.2% -2.2% -6.0% -6.4% -1.4% -6.5% +0.8% -1.4% +1.7% -1.8% (a 2008 Level in billion USD & 2009 Change in %) Ease of Doing Business Hong Kong ranks 32nd out of 181 countries 32 45 Global Competitiveness Hong Kong ranks 45th out of 134 countries Quic k Lin k s Doing Business > www.doingbusiness.org Competitiveness > www.weforum.org Global Opportunities for business indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s 2006 2007 2008 2009 2010 2011 2012 2013 2014 134 QUICK TOUR (Country Profiles) B us ines s E nvironment Ins urance E nvironment
Slide 135: SOU AFRI – Typ e 3 Offic e TH CA I s u ra n c e En v iro n m e n t > K y Sta k e h o ld e rs a n d Ev e n ts n e M jo r I s ure rs a n  Santam  Mutual & Federal  Hollard  Zurich Insurance  Outsurance  Guardrisk  Absa  Regent  Auto & General  Standard > www.santam.co.za > www.mf.co.za > www.hollard.co.za > www.zurich.co.za > www.outsurance.co.za > www.guardrisk.co.za > www.absa.co.za > www.regent.co.za > www.autogen.co.za > www.standardbank.co.za No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard K y I d us try & Llo yd ’s Ev e n ts en As s o c ia tio n South African Insurance Association > www.saia.co.za Re g u la to r Financial Services Board > www.fsb.co.za > www.lloyds.com/News_Centre/Events I s u ra n c e En v iro n m e n t > K y Sta tis tic s n e Gro s s Writte n Pre m iu m s (GWP) So u th Afric a 1 50,00 0 1 20,00 0 90 ,000 60 ,000 30 ,000 0 2 0 0 7 135 008 QUICK2 TOUR (Country Based on: > www.swissre.com > “World Insurance in 2008” 8 ,3 4 5 7 ,9 9 0 1 1 5 ,7 2 5 1 0 7 ,3 9 3 (direct non-life GWP at constant prices; million USD) U K De n s ity (direct non-life GWP per capita; USD) So u th Afric a 1 ,4 00 1 ,2 00 1 ,0 00 80 0 60 0 40 0 20 0 0 2008 n s ity Profiles) > www.swissre.com De“World Insurance in 2008” Based on: > 1 64 U K 1 ,2 7 6 Bro k e r Pe n e tra tio n Estimated broker penetration: 75% – 100% Based on soft intelligence and Axco, Statistics: > www.axcoinfo.com/ Quic k Lin k s Insurance Information Institute > www.iii.org/international/profiles/ Worldwide Assecuranz Directory > http://assecuranz.kompass.com/ Global Opportunities for insurance indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s B us ines s E nvironment Ins urance E nvironment
Slide 136: SOU AFRI – Typ e 3 Offic e TH CA Llo yd ’s Bu s in e s s > Offic e De ta ils Llo yd ’s Ge n e ra l re p re s e n ta tiv e Ge n e ra l Re p re s e n ta tiv e & No n -Exe c u tiv e Ch a irm a n No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Mr Amit Khilosia General Manager Lloyd's South Africa (Pty) Ltd 7th Floor , The Forum 2 Maude Street, Sandton 2196 South Africa  TELEPHONE +27 11 884 0486  FAX +27 11 884 0384  EMAIL > amit.khilosia@lloyds.com  WEBSITE > www.lloyds.com/southafrica Mr John Sibanda  TELEPHONE +27 11 884 0486  EMAIL > john.sibanda@lloyds.com Llo yd ’s Bu s in e s s > K y Sta tis tic s , Tra d in g Po s itio n a n d M rk e t I te llig e n c e e a n 2 0 0 9 Llo yd ’s Gro s s Sig n e d Pre m ium s Tra d in g Po s itio n > www.lloyds.com/crystal M rk e t I te llig e n c e a n Total: Direct: Reinsurance: USD 286m* USD 193m* USD 93m* Direct: Yes, except compulsory classes, funeral expenses and life Reinsurance: Yes Managing Agents have access to information via: www.lloyds.com/REGIONALWATCH > Managing Agent Version > IMEA * See: Data limitations for detail; figures are rounded and may not add up to total 136 QUICK TOUR (Country Profiles) Ins urance E nvironment © Lloyd’s L loyd’s B us ines s B us ines s E nvironment
Slide 137: Z b a b w e – Typ e 1 Offic e im No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific Pro file Clic k Bo x to n a v ig a te Bu s in e s s En v iro n m e n t  Key strengths and challenges of the economy  Size and growth of the economy  Basic economic indicators I s u ra n c e En v iro n m e n t n  Key insurers  Insurance industry events  Basic insurance indicators Llo yd ’s Bus in e s s  Lloyd’s office details and contacts  Trading position and size of Lloyd’s business  Available market intelligence products 137 QUICK TOUR (Country Profiles) © Lloyd’s
Slide 138: Z b a b w e – Typ e 1 Offic e im Bu s in e s s En v iro n m e n t > K I EY SSU To Wa tc h ES No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Preliminary Macroeconomic Reforms Focus on Economic Revival: Estimates by the newly inaugurated government show that the country will require funding of around US$10 billion for its economic revival programme. From February 2009 onwards, civil-servant workers will be paid a US$100 monthly tax-free allowance, equating to a monthly government salary commitment of around US$15 million alone. The 2009 national budget has been revised and revenue flow is now expected to total US$1 billion in 2009 from the previous expectations of US$1.7 billion. Budget restraints include the suspension of money-printing operations by the central bank and a move towards a "cash-basis" fiscal spending system. Targeted Sanctions Still in Place: Zimbabwe's neighbours, particularly South Africa, have welcomed the power-sharing government with promises of political and financial assistance. A more cautious approach has been adopted outside the region, however. The United States and European Union, for example, will maintain financial/travel restrictions against prominent Zimbabwean individuals and companies until satisfied with the degree of reform. SOURCE: IHS Global Insight, (June 2010). For daily updates visit: www.ihsglobalinsight.com Dollarisation Normalises Food Supply at Retail Level: In mid-April, the new finance minister, Tendai Biti, moved to full dollarisation of the Zimbabwean economy by suspending the Zimbabwean dollar as a legal tender for payment. The adoption of the new exchange-rate system improved food supply on the retail level while rising competition brought food inflation in U.S. dollar terms under control. Nevertheless, the dollarisation policy will do little to address the current imbalance between demand and supply, the restoration of lost infrastructure, and massively depressed confidence levels in the economy, factors that could partly mitigate the slowing inflation path expected in the coming months. Former Opposition's Tentative Re-engagement in Power-Sharing: In response to bitter differences over implementation of the power-sharing agreement, Prime Minister Morgan Tsvangirai and the MDC took the extraordinary step of boycotting its power-sharing partners in ZANU-PF while remaining in government on 19 October 2009. The impasse was brought to an end for a "trial period" in early November 2009 as a result of SADC mediation. In order to continue with power-sharing, the MDC is insisting on a redistribution of official appointments, particularly the attorney-general and central bank governor. Security Environment Remains Tense: Reports of politicised violence have not diminished in since the inclusive government took shape. In fact, reports of tit-for-tat violence between MDC and ZANU-PF supporters, and invasions of white-owned commercial farmland have actually increased. Prime Minister Morgan Tsvangirai has pledged to tackle the farm invasions, which have been particularly damaging to Zimbabwe's reputation, but may be hampered in doing so due to limited MDC control over the security agencies. Bu s in e s s En v iro n m e n t > Ba s ic I d ic a to rs n Gro s s Do m e s tic Pro d uc t (GDP) 8 5.1% 2.2% 2.2% 0.3% 2.5% 2.7% (nominal GDP levels in billion USD; Real GDP change) 6% 4% 2% 0% -2% 4 -5.4% -6.1% To p -1 0 Se c to rs (By Va lue Ad d e d ) 01 02 03 04 05 06 07 08 09 10 Agriculture Mining of Metals & Stone Beverages Coal mining Food Products Retails Trade Banking & Related Financial Wholesale Trade Wire, Cables & Batteries Tobacco Products Ra n k in g s 21.7 20.9 10.4 8.5 8.4 7.9 7.6 6.9 4.9 4.3 -2.6% -1.8% -3.6% -6.8% -4.2% -5.5% -3.6% -3.3% -4.1% -3.8% (a 2008 Level in billion USD & 2009 Change in %) Ease of Doing Business Zimbabwe ranks 158th out of 181 countries 158 133 6 Global Competitiveness Zimbabwe ranks 133rd out of 134 countries -4% -6% -8% -10% -12.6% 2 Quic k Lin k s Doing Business > www.doingbusiness.org Competitiveness > www.weforum.org Global Opportunities for business indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s -12% 0 2006 2007 2008 2009 2010 2011 2012 2013 2014 138 QUICK TOUR (Country Profiles) -14% B us ines s E nvironment Ins urance E nvironment
Slide 139: Z b a b w e – Typ e 1 Offic e im I s u ra n c e En v iro n m e n t > K y Sta k e h o ld e rs a n d Ev e n ts n e M jo r I s ure rs a n • Nicoz Diamond  RM Insurance  Cell Insurance Zimbabwe  Altfin  Tristar  Heritage > www.nicozdiamond.co.zw > www.rminsurance.co.zw > www.cellinsurance.co.zw > www.altfininsurance.co.zw > www.tristarinsurance.co.zw > www.heritage.co.zw No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard K y I d us try & Llo yd ’s Ev e n ts en As s o c ia tio n Insurance Association of Zimbabwe > www.zimtreasury.org Re g u la to r Insurance Council of Zimbabwe > www.lloyds.com/News_Centre/Events I s u ra n c e En v iro n m e n t > K y Sta tis tic s n e Gro s s Writte n Pre m iu m s (GWP) (direct non-life GWP at constant prices; million USD) De n s ity (direct non-life GWP per capita; USD) Bro k e r Pe n e tra tio n Estimated broker penetration: 50% – 75% Based on soft intelligence and Axco, Statistics: > www.axcoinfo.com/ Quic k Lin k s Insurance Information Institute > www.iii.org/international/profiles/ Worldwide Assecuranz Directory > http://assecuranz.kompass.com/ N/A N/A 139 QUICK TOUR (Country Profiles) > www.swissre.com > “World Insurance in 2008” Based on: > www.swissre.com > “World Insurance in 2008” Based on: B us ines s E nvironment Ins urance E nvironment Global Opportunities for insurance indicators © Lloyd’s > www.lloyds.com/marketintelligence L loyd’s B us ines s
Slide 140: Z b a b w e – Typ e 1 Offic e im Llo yd ’s Bu s in e s s > Offic e De ta ils Llo yd ’s Ge n e ra l re p re s e n ta tiv e Ms Emilia Chisango c/o KPMG Mutual Gardens 100 The Chase (West) Emerald Hill Harare Zimbabwe  TELEPHONE +263 430 2600  EMAIL > emiliachisango@kpmg.co.zw No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific > Back to Country Dashboard Llo yd ’s Bu s in e s s > K y Sta tis tic s , Tra d in g Po s itio n a n d M rk e t I te llig e n c e e a n 2 0 0 9 Llo yd ’s Gro s s Sig n e d Pre m ium s Tra d in g Po s itio n > www.lloyds.com/crystal Direct: Yes, through a local intermediary Reinsurance: Yes, through a local intermediary Managing Agents have access to information via: www.lloyds.com/GLOBALOPPORTUNITIES > Managing Agent Version > Spreadsheet M rk e t I te llig e n c e a n Total: Direct: Reinsurance: USD 2m* USD 1m* USD 1m* * See: Data limitations for detail; figures are rounded and may not add up to total 140 QUICK TOUR (Country Profiles) Ins urance E nvironment © Lloyd’s L loyd’s B us ines s B us ines s E nvironment
Slide 141: No rth Am e ric a La tin Am e ric a Euro p e I EA M As ia Pa c ific The detailed country-level Lloyd’s data used in this document is based on calendar year signed gross premiums sourced from Xchanging. This differs from the Lloyd’s data published in the Annual Report. The accounting-level Lloyd’s data published in the Annual Report is based on calendar year written gross premiums sourced directly from Syndicates. Differences are therefore explained by (1) the timing differences between written and signed gross premiums and (2) inconsistent use of rates of exchange between Syndicates and Xchanging. Please note the information contained in this document is based upon data collected from Xchanging and may be incomplete for some classes of business; for instance a substantial figure, which is missing from the REG 258 data set is comprised of UK Motor, which is not processed by Xchanging. Lloyd’s figures are based on gross signed premiums based on figures processed by Xchanging by processing year and country of origin. Gross Premiums: Country of Origin: Processing Year: Original and additional inward premiums, plus any amount in respect of administration fees or policy expenses remitted with a premium but before the deduction of outward reinsurance premiums. Denotes the country from where demand for the insurance / reinsurance emanates; i.e. the coverholder or policyholder, irrespective of the country to which the risk is classified for regulatory reporting purposes. Relates to the calendar year in which the premium, additional or return premium is processed by Xchanging, irrespective of the actual underwriting year of account of the risks (which is determined by the inception date of each risk). A policy holder in the UK insuring a holiday home in France would be classified as a UK risk by “Country Of Origin”, but “French” for regulatory reporting purposes. Similarly a risk incepting on 1st December 2007 would be classified at 2007 “Underwriting Year of Account” but may not be processed by Xchanging until 2008 and so be allocated to the 2008 “processing year”. Example: Disclaimer “This document is intended for general information purposes only. Whilst all care has been taken to ensure the accuracy of the information Lloyd's does not accept any responsibility for any errors or omissions. Lloyd's does not accept any responsibility or liability for any loss to any person acting or refraining from action as a result of, but not limited to, any statement, fact, figure, expression of opinion or belief contained in this document". 141 QUICK TOUR (Country Profiles) © Lloyd’s
Slide 142: 142 QUICK TOUR (Country Profiles) © Lloyd’s