Liberty Seguros publishes its 2022 results
- The company recorded €1.235 million in premiums
- Non-life combined ratio was 90.76%
- Liberty Seguros is a diversified European player with more than 4 million policies across Spain, Portugal, Ireland and Northern Ireland, through its digital, brokers and partners business.
Liberty Seguros, operating in Spain, Portugal, Ireland, and Northern Ireland and is part of one of the world's largest P&C insurers, Liberty Mutual, has declared record profits of €381.4 million, (€60.1m in 2021), of which €126m comes from the simplification of Solvency II sub-group in Europe.
Both life and non-life businesses contributed positively to the result obtained, with life reaching a technical result of €134m and non-life technical result going from €98m in 2021 to €134m in 2022.
Non-life combined ratio was 90.76% in 2022, almost 4% lower than in 2021 (94.48%). The improvement is a result of rate actions taken to protect profitability from an inflationary market as well as Liberty’s investment in pricing sophistication and the design of modular products that adapt to customers’ needs.
Life results were positively impacted by the effect of updated interest rates in the calculation of mathematical provisions and by favorable claims performance.
The company achieved a total premium income of €1.235 million in a year where different market conditions were overcome by laser focus execution of the company’s long-term strategy. The strategy focuses on building best in class direct capabilities, closing strategic partnerships to diversify sources of business, and strengthening ties with brokers, helping them to succeed in the future.
In 2022, the company signed long-term bancassurance agreements with two of the most successful and leading banks in Spain: Bankinter and Kutxabank.
The alliance with Bankinter will allow Liberty to exclusively market its home and car insurance policies through the bank’s branches in Spain and Portugal while the 10-year extended agreement with Kutxabank will grow the successful alliance for car and commercial insurance products.
Another important part of Liberty's multi-channel model is its broker business. Over 3,600 brokers across Europe work with and trust the company on an ongoing basis. These brokers manage 54% of Liberty’s total business, with the remaining coming from bancassurance partners (17%) and its direct business operations (29%).
Liberty is trusted by more than 3.5 million customers in Europe. It manages over 4 million policies and in 2022 handled 656,028 claims for its customers. Out of the total premiums, 66% are motor policies, the company's primary line of business, 14% are home insurance policies, 9% are life insurance policies, and 5% are multi-risk policies. Liberty also insures other products like Workers Compensation in Portugal, Personal Accidents, and other small commercial lines of business.
Liberty’s commitment to digitization with brokers, partners, and customers, as well as the creation of transparent modular products that allow consumers to ‘only pay for what they need’, have been key in achieving extraordinary customer and broker satisfaction results.
"2022 has been a very important year for Liberty Seguros’ business. We have strengthened our presence in the markets where we operate, and we have continued to build our digital ecosystem. This has allowed us to be more agile and develop products that adapt to the customer, improving our service and the satisfaction of our customers, brokers, and partners" commented Juan Miguel Estallo. “In 2022, we chose to focus on our business' profitability in a highly competitive market that targeted volume under significant inflationary trends. The results obtained in 2022 proved that we made the correct decision and built the groundwork for profitability, allowing us to take a more aggressive focus on growth in 2023".
"All of this has been possible thanks to the commitment of Liberty's employees, who made it possible for us to be the #BestPlacetoBe. Last year we were awarded the Great Place to Work™ recognition in the four countries we operate in, ranking as the best insurer in all of them. Our people continue to make Liberty a profitable, growing, diverse, equitable, and inclusive company where people have and always will come first", added the CEO.
2022 Liberty Seguros results
