Published: 2018-04-11 07:41:16 CEST

Tryg A/S - Q1 report 2018


Tryg’s Supervisory Board has today approved the interim report for Q1 2018.

Premium growth of 2.2% in local currencies, technical result of DKK 563m and investment income of DKK 9m. Pre-tax result of DKK 553m. Quarterly dividend of DKK 1.65 per share supporting TryghedsGruppen’s 8% member bonus. Solvency ratio of 283 or 197 adjusted for the capital raised for the acquisition of Alka. As previously communicated, Tryg expects a solvency ratio of approximately 170 when the Alka acquisition is finalised.

Financial highlights Q1 2018

  • Premiums growth of 2.2% in local currencies
  • Technical result of DKK 563m (DKK 568m)
  • Underlying claims ratio improved in both Private and for the Group
  • Combined ratio of 87.1 (87.3)
  • Expense ratio of 14.0 (14.4)
  • Investment return of DKK 9m (DKK 223m)
  • Q1 dividend of DKK 1.65 (1.60) per share

Customer highlights Q1 2018

  • TNPS of 62 (57)
  • Products per customer 3.6 (3.4)

Statement by Group CEO Morten Hübbe:

We are pleased to present a technical result on level with Q1 2017 despite a higher level of weather claims of DKK 44m. The level of frozen pipe claims in Denmark were four times higher compared to Q1 2017 and in the western part of Norway, we saw the lowest temperatures for the last 30 years. The overall pre-tax result is impacted by a much lower investment income primarily due to a drop in the MSCI equity index of approximately 2% in Q1 2018 (approximately 5% in Q1 2017). We continue to see a positive premium growth for the Group primarily driven by the Danish Private business, which also welcomed FDM’s 20,000 customers from 1 January. Also, we are pleased to see an improvement in the retention rates for Private and Commercial in all countries.

Furthermore, we continue to focus on new innovative insurance solutions, which will help to improve our customers’ ‘peace-of-mind’, strengthen our core business and create new sources of income. The agreement with GoMore, the largest car shared economy service in the Nordics, is the 25th platform for which Tryg has tailored an insurance solution. Tryg is now the biggest supplier of insurance solutions for shared economy solutions in the Nordics. We have launched a number of digital initiatives, which will improve the customer experience. Amongst other things, customers can now track claims online and we have automated several claims processes.

Finally, I am pleased that for the third year running, TryghedsGruppen has announced to pay out DKK 750m in bonus to our approximately 850,000 Danish customers on 12 June.

Conference call

Tryg hosts a conference call today at 10:00 CET. CEO Morten Hübbe and CFO Christian Baltzer will present the results in brief followed by Q&As.

The conference call will be held in English. An on-demand version will be available shortly after the conference call has ended.

Conference call details:

Danish participants:      +45 35 44 55 83

UK participants:            +44 (0) 203 194 0544

US participants:            +1 855 269 2604

The Q1 material can be downloaded on shortly after the time of release.




08_2018 Tryg interim report Q1 2018.pdf