Insurance company «Universalna»

In 1H2009 «Universalna» had UAH 121,5 mln in GWP

2009-08-20

During 2Q09 main financial indicators of OJSC «Insurance Company «Universalna» have been demonstrating the positive growth. Gross written premiums accounted for UAH 64 686,50 thous. (by 14% up comparing to the 1Q09). In total, in 1H09 «Universalna» had UAH 121 479,20 thous. in GWP.

According to Oleksiy Muzychko, the Chairman of the Management Board, «One of the main reasons of the premiums shrinkage wasn’t only the market breakdown, but the deliberate introduction of the risks segmentation principle by each insurance type: since October 2008 the MOD tariffs have been defined by the manufacturer’s brand, not by its value as before. Therefore, we’ve significantly raised the tariffs by the most loss-making segments. Consequently, we’ve lost this segment in our portfolio, which led us to the GWP shrinkage in general, but from the other side, considerably improved the quality of our portfolio and decreased the loss-making level of MOD. Today, MOD is the second profit-making product in «Universalna» after the property insurance. The company is going to hold such segmentation policy in future and by other insurance types as well».

The total amount of the claims paid in 2Q09 accounted for UAH 30 194,30 thous. — 6% up as compared to 1Q09. In total, in 1H09 «Universalna» paid out UAH 58 619,00 thous.

During 1H09 the company’s financial flows were mostly approached at claims payments, having resulted the client base retention. «Today, the customers» cases are in the process of payment in Treasury dept for not more than 3—4 days, which is the normal working schedule for the insurance company», — noticed the Chairman of «Universalna».

Currently, «Universalna» has witnessed the positive trends in sales growth. «During the 2Q09 «Universalna» has increased GWP from the banking and corporate distribution channels approximately by 60%. In future, we plan to zero in on corporate and retail segments» development, as well as the cooperation with the insurance agents», — said Ruslana Palayda, the Deputy Chairman of MB at Insurance Company «Universalna».

The Company has been working in several directions to attract new clients:

• development of the innovation sales channels, corporate business and agents network
• comport and accessibility of POS (policies sale via mobile POS (cars), gasoline stations, terminals of self-service etc);
• products modification regarding the market needs, development of new and inexpensive express-programs;
• constant quality monitoring of the service, provided during the policies sale and claims handling;
• fulfilling the obligations towards the clients in regards of the claims payments.

According to Oleksiy Muzychko, today the Company has managed to achieve the balanced cash flow. «Today all our efforts are directed towards not only saving such results, but gradually achieving the high level of profitability», — emphasized him.