Aviva’s refocused portfolio delivers strong Q1 results
Amanda Blanc, Group CEO, stated that eight non-core businesses have been sold at a total cost of £7.5bn (once clear).
Key takeaways from the report include:
- General insurance GWP grew 4% to £2bn
- COR fell from 118.7% to 90.6%
- SME sales grew 10%
- Workplace division sales increased by 26%
- Advisor platform business rose 29%
“We are now focused on improving the growth and profitability of our businesses in the UK, Ireland, Canada, and Aviva Investors,” said Blanc. “We are pleased with the growing momentum in key areas as we capitalise on our leading market positions.
“We have continued to support our customers dealing with COVID, including extending cover and deferring monthly payments for those experiencing financial difficulty.
“Our positive trading performance in the first quarter of 2021 reinforces our confidence in the targets we announced earlier in the year. Nevertheless, we remain sharply focused on further improving performance, recognising we still have much more to do, to deliver stronger returns for our shareholders."
Aviva supports the fight against climate change
In late May 2021, Greenpeace and WWF published a report that was critical of the UK finance for failing to adequately mitigate climate change. Although insurance was explicitly not factored into the findings, the report’s methodology implied that doing so would only have made the conclusion more damning.
However, although the sector at large is arguably not doing enough with regard to sustainability, Aviva itself is making notable progress with its US$350m climate transition global credit fund.
Reportedly developed in-line with the UN’s own sustainable development goals, the fund aims to invest in companies, goods, and services that promote sustainability and fight climate change.
Colin Purdie, Aviva Investors’ Chief Investment Officer for Credit, said, “Companies that don't adjust their business models will be less attractive to investors and will present a less compelling investment case over time. Climate laggards may find that their financing becomes more expensive than that available to climate leaders.
Tribe and APOLLO announce national insurance campaign
Tribe Property Technologies in partnership with APOLLO insurance has announced a national insurance campaign to digitise insurance for condominium owners, renters, landlords, and developers across Canada. The aim of the campaign is to make insurance access easier and faster for owners while improving the coverage and protection of condominiums and rental buildings.
According to several surveys, nearly half of 4.5mn rented houses in Canada do not have tenant insurance protection, meaning those individuals and their families are put at risk of fire and water damage.
What does the national insurance campaign include?
According to Tribe, the company is working with APOLLO to ensure that this type of insurance is easier to access. It aims to achieve this by introducing a direct connection to APOLLO's insurance technology from both Tribe's strata and condo management platform and rental software to allow for increased education and awareness for owners into insurance risks and options.
It also includes the future ability for notifications for mid-term cancellations, and plans to offer protection from potential strata/condo corporation deductibles, Tribe said.
"We are excited to partner with APOLLO to bring accessibility, visibility, and education around insurance options to our communities and reflect the current lifestyle expectations of condo owners and residents while protecting the value of their biggest assets", said Joseph Nakhla, Chief Executive Officer of Tribe.
Nakhla added: “This agreement with APOLLO is just the first step under our Digital Services & Partnerships revenue pillar. We will continue to layer on services to drive revenue for Tribe, and bring convenience and savings for our users, with the goal of being able to offer a one-stop-shop to our development partners and the over 100,000 residents in Tribe-managed communities”.
APOLLO uses technology as a channel between insurance brokers, carriers, and their mutual clients, offering insurance options from multiple companies on one integrated online platform.
"We like that Tribe is taking a fresh approach to condo living and building smart homes through tech-enabled service, and an integration with their Community Platform supports our goals of making insurance more accessible and supporting the needs of communities”, said Jeff McCann, Chief Executive Officer of Apollo.