If P&C Insurance

Year 2010 kicked off with an intense winter in many of the countries where If does business. The year continued with a scorching summer riddled with storms and heavy downpours, and finished off with a few grim months of premature but abundant snowfall.

For If, the dramatic weather meant a flood of insurance claims and the extensive workload that comes with them. The severe cold caused, among other things, water damage to both private residences and businesses, and the extensive snowfall led to traffic accidents both minor and major. The result was a rush of phone calls and emails – and an opportunity for If to show its customers that they had indeed chosen the right insurance company. Surveys conducted among those affected returned very good results – nine out of ten responded that If's handling of their insurance claims was good or very good. To coin the phrase of the marketing campaign If launched in 2010: claims handling the way it should be.

Despite the extra burden of weather-related damages, 2010 was another solid year for If financially. Combined ratio was 92.8 per cent, exceeding the long-term goal and equaling the result in 2009. The technical result was EUR 449 million (EUR 488 million in 2009) and profit before taxes came to EUR 707 million  (EUR 644 million).

In addition to the dramatic weather, 2010 was characterised by a number of important deals. In many ways, 2010 was a breakthrough year for If in the health sector, with new initiatives and a series of new accounts. In Denmark, If came to an agreement that resulted in over 100,000 ihi Bupa health insurance customers in the Nordic countries receiving recommendations to transfer their business to If. In the car insurance sector, which is an important part of If's business, the joint venture with Volvo Cars that offers Volvia brand insurance in the Nordic countries was extended by another five-years. Volvia premiums are worth approximately EUR 200 million. Ford and Mazda also extended their five year branded insurance arrangements in the Nordic region. A key business focus in 2010 was the successful implementation of the 2009 partnership agreements with universities in Finland, the Volkswagen Group in Sweden, and Unionen, a Swedish union for white collar workers. It should also be noted that If established a social media presence through Facebook and Twitter accounts over the course of the year. If was the first insurance company in the Nordic countries to release its own application for mobile devices.

Internally, If continued efforts to streamline its operations while continuing to offer customers improved service. If's increasing range of Internet-based services, which have been well received by customers, are an example of this process. In 2010, 25 per cent of insurance claims in the private market were filed over the Internet. The figure was 40 per cent for the corporate market. Another innovation introduced over the course of the year was a new technology that fully automates the processing of various simple claims. For customers, the service literally takes a mere second. For If, it frees up resources for processing more complex claims. In the corporate sector, an entirely new insurance system has been deployed in Norway and other areas. The system is expected to yield significant benefits both by appealing directly to customers and by giving If a competitive edge.

If is continuing its successful efforts towards creating a cleaner environment. If has now joined the UN's Clean Development Mechanism (CDM) program in 2010, and will become climate neutral over the course of 2011. An ambitious environmental awareness program was implemented internally in 2010, covering 100 areas in need of improvement. One of the focus points of the program is unnecessary travel, which has now dropped almost 33 per cent over the past three years. This has been accomplished through a conscious move towards video and web meetings, among other solutions. In fact, video meetings have more than doubled during this period. 

Download If P&C's Annual Report 2010

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