Revenue March 2020
The Group’s consolidated revenue in the first quarter of 2020 reached 7.3 billion euros, with a decrease of 4.5 percent, mainly due to the fall in written premiums and lower financial income.
Premiums March 2020
Premiums from direct insurance and accepted reinsurance reached 6.1 billion euros, with a decrease of 4.7 percent, due in part to the effects on new business of the confinement of the population from COVID-19, and to the strong depreciation of the main currencies in LATAM countries and in Turkey. At constant exchange rates, premiums would have only fallen 1.5 percent.
Non-Life insurance premiums went down 2 percent, although at constant exchange rates they would have grown 0.6 percent.
Life premiums fell 14.3 percent (-9.1 percent at constant exchange rates), with a slight decline in Life Protection, primarily from the currency effect in Brazil in the first quarter, and a sharper fall in Life Savings, primarily from lower issuing in Spain and Malta, in a complicated economic environment for the sale of these products.
By Non-Life business type, Auto is the most important line, with over 1.5 billion euros in premiums. General P&C holds second place, also with over 1.5 billion euros. Health and Accident is in third place with 872 million euros in premiums.
Combined ratio March 2020
The Group’s combined ratio stood at 100 percent at the close of March, due to the impact of the earthquake that occurred in Puerto Rico and to the heavy storms in Spain at the beginning of the year. The combined ratio of the insurance units stood at 97.2 percent.
Net result March 2020
The attributable result to March 2020 reached 127 million euros, a fall of 32.6 percent, as it was negatively affected by the earthquake in Puerto Rico and adverse weather in Spain at the beginning of the year, with a total attributable impact of 67.5 million euros. At constant exchange rates, this result would have stood at 133 million euros.
MAPFRE is among the 20 companies that are showing the greatest levels of commitment and social responsibility in light of the situation the country is experiencing as a consequence of the pandemic deriving from the coronavirus and leads the insurance sector ranking, according to the extraordinary ranking prepared by Merco.
To July 31, 2020, MAPFRE will automatically duplicate the clovers that its members obtain during this promotion. These clovers can be used by clients to get greater discounts in the renewal of their insurance products.
MAPFRE strengthens its offer of Life-Savings insurance products with the launch of SIALP Select 30, a new single premium unit linked, tied to the Eurostoxx Select Dividend 30. This product is an interesting alternative for individuals looking for returns and security, as 94.5% of capital is guaranteed.
MAPFRE strengthens its offer of Life-Savings insurance products with the launch of Garantía Cupón Activo, a new single premium unit linked, tied to the Eurostoxx Select Dividend 30 and with a 90% capital guarantee at maturity.
The MAPFRE Compromiso Sanitario fund has generated great interest, attracting 2,150 participants. The success of the fund will allow the Madrid health authority to receive the 50 million euros to use in battling the pandemic.
The Fitch agency has decided to maintain MAPFRE’s financial strength credit rating at A+, with a stable outlook, following its assessment of the potential impact of the coronavirus pandemic on the company.
MAPFRE continues to mobilize resources to protect the health of its employees, collaborators and clients in all countries where it operates; to assist economic recovery and job retention, especially for the self-employed, SMEs and its providers; and to provide resources, especially healthcare equipment, to the wider society to help overcome the effects of this pandemic.
MAPFRE has allocated 5.7 million euros to the industry fund set up by insurance companies to protect health care personnel in the fight against COVID-19 in Spain.
MAPFRE teCuidamos temporarily expands its tele-pharmacy service, contacts older clients to check on their situation and offer them advice in health matters and in repairing technological devices, and delivers more than 100,000 movie passes, 20,000 digital photo packs and 10,000 special offers for members and their families.
The MAPFRE Annual General Meeting approved the company’s financial accounts for 2019, a year in which the Group produced net earnings of 609 million euros, 15.2 percent higher than the previous year. Dividends charged to the 2019 results were also approved, totaling 0.145 euros per share (gross). As a result, MAPFRE will pay its shareholders 447 million euros in cash against the 2019 results.
In February, MAPFRE held two meetings with its shareholders in Madrid, in order to discuss the Group’s business.
After receiving all the necessary authorizations, the joint venture between MAPFRE and Banco Santander for the marketing of automobile, commercial multirisk, SME multirisk and third-party liability insurance is taking its first steps under the name Santander MAPFRE Seguros y Reaseguros.
SEAT and MAPFRE have signed a collaboration agreement in Spain for the development of new mobility under safety and accident prevention parameters. With this partnership, both companies will implement initiatives to minimize accident rates and promote ways of collaborating on safety, the use of new forms of mobility and the creation of new solutions linked to the ‘connected car’.
MAPFRE has reached an agreement with the León BHD Financial Center with the Spanish company acquiring 51 percent of the health insurance company, ARS Palic. With this partnership, MAPFRE has consolidated its position as one of the top insurers in the Dominican Republic, with more than 350 million euros in annual premiums.
MAPFRE strengthens its Life-Savings insurance product offer with the launch of Valor Activo III, a new single premium unit linked tied to the performance of the Eurostoxx Select Dividend 30 Index (S3DE Index) and linked to a socially responsible bond from BBVA, the funds of which will go to social projects.
MAPFRE held meetings with institutional investors at the Spain Investors Day event. In these meetings, which included the participation of Fernando Mata, the Group CFO and Member of the Board, Eduardo Pérez de Lema, the CEO of MAPFRE RE, and Natalia Núñez, the company’s Head of Investor Relations and Capital Markets, investors were able to learn first-hand about MAPFRE’s key figures.