Felicitas Gadient Conductor, Gossau (SG) – Conducting music is still a man’s job. Even Felicitas Gadient confirms that: “Many of the woman conductors think that they have to act like men to get respect.” She has chosen another path – and thus caught the eye (and ear) of Alexander Pereira, Director of the Opera House in Zurich: When he attended by chance a performance of the unknown he enthusiastically collected the same evening donations of CHF 20000 for her further training. The fascination to have not only one instrument but also a whole orchestra at her fingertips has nothing lost of its appeal.
The premium volume experienced a pleasing development during the year under review and is proof of the trust our customers are placing into Helvetia Patria.
Swiss group insurance business since this sector continues to return unsatisfactory profitability. Although the legislative body has reduced the minimum interest rate, some of the parameters in the business with the occupational benefits plans do not match reality. We have taken steps in 2004 to increase the profitability of this segment. Thanks to reorganization measures taken the non-life business saw its portfolio quality strengthened and its combined ratio (sum of claims ratio and expense ratio) further decreased. It was also possible to get risk-adequate premium rates accepted. Furthermore, Europe was mostly spared large natural disasters unlike last year so that the underwriting result in the non-life business experienced significant improvement.
CHF 25.5 billion with a reported shift from shares to fixed-interest-rate securities. The disadvantage of low yields is more than compensated for by a predictable and consistent funds inflow from the interest income.
German insurance industry managed to stabilize despite the difficult economic environment while the Italian insurance market rose by about 12 per cent according to estimates.
A conversation with Erich Walser, Chairman of the Board and CEO
The Shareholders’Meeting approved last year additional share capital. What are its intended purposes?
Although I am very pleased about Hans-Rudolf Merz’s election into the Federal Council, the fast transfer of the chairmanship came somewhat as a surprise. The
Board elected Erich Walser as its new Chairman who was currently holding the positions of Delegate of the
MoB: Member of the Board a Place of residence, Nationality b Education, Title c Professional background, Executive responsibilities d Significant business relations, Mandates, Official functions, Political functions 1 Before 1996: Date of joining the Board of former companies Helvetia or Patria
MoB: Member of the Board a Place of residence, Nationality b Education, Title c Function; d Professional background: Date of employment and former functions at Helvetia Patria; e Additional significant activities and other interconnected interests such as Mandates, Official functions,
Members’ specific knowledge and extensive business experience by including it in the decision-making process or the Members’ reports for the purpose of assisting the Board’s control responsibility. The duties and authorities of the Committees are clearly stated in the Organisation Regulations. Between 1996 and 2003 three Committees were in place, the Chairman’s
Heads of the Finance and Investment Divisions take part in the meetings in an advisory capacity. Specialists are invited to attend a meeting if specific topics are being worked on.
In the meetings, each Board Member has the right to ask the other Members and the Executive Management for information on any matter related to the company.
The employer has also paid contributions into pension funds of CHF 463882.
No loans were granted to non-executive members of the Board or to persons close to the Members of the
These fees cover especially taxation-, managementand legal consulting of various kinds.
Furthermore, a Risk Committee will be established on the Group level and is responsible for bringing all risk-related Group functions together to make those issues a regular subject of discussions and for comprehensively coordinating the planned hedging measures and risk decisions (capital management). The Risk
Noëlle von Wyl Textile Designer, Zurich – It’s being long that Swiss design is an export item setting high international standards. After Noëlle von Wyl won the newly created Swiss Textile Design Award of the year 2003, her prize-winning work “lichten“ will probably soon enrich the objects and interiors of world-renowned designers and architects. The process to make this entrancing material is to weave in a light-fibre thus revealing new aesthetic spheres. “The design of this soft and semi-transparent light-fabric” enchants the world in the dark of the night and in broad daylight alike.
– more than twice the rate as in local currency – under the influence of the significant strengthening of the Euro. The non-life sector was the one benefiting the most and achieved a rise of 7.2 per cent in Swiss
The domestic portion of the premium volume increased by a slight margin.
The business segments: the non-life business Claims ratios dropped overall – the gross and the net one. After the previous year, marked by considerable flood damages, 2003 was spared larger natural disasters. At the same time, the continuous reorganization efforts showed successes in all country markets.
risk capacity. We did forego the hedging of fixed-interest -rate securities since their valuation by the amortized -cost method shielded them on the balance sheet from market fluctuations. Furthermore, the long-term liabilities from the life insurance business have to be protected by a long-duration bond portfolio in order to guarantee the benefits promised in the contracts.
We have intensely worked on what course to adopt for the years to come while we were formulating the strategy for 2004–2006. Despite the earnings problems in the second pillar of the occupational benefits segment we intend to hold onto this business though with the caveat of putting measures in place which might be drastic in some cases. The trend in the old age pensions and an alarming increase in the disability cases forced us to reduce already at 1.1.2004 the conversion rate for the part exceeding the legal requirement of the occupational benefits plan to an actuarially justifiable level and to adjust the premiums for disability and cost insurance. The customers have mostly showed understanding for those measures. They are helping to make the group life business become profitable again and thus allowing for dividend distributions to the policyholders in the medium term. Included in those measures is the development of a new portfolio- and benefits system which promises strong efficiency gains in the administration and a rapid response time to changes in the market. This project, called “Pakt/Impakt” is advancing on schedule. While we are striving to further promote the individual life policies with period premium payments – also by introducing interesting new products – we are emphasising growth in the non-life business for the property insurance and for the niche sectors of the technical- and transport insurance in particular. A cautious underwriting policy, however, will remain in the forefront of our decisions.
St.Gallen beginning in 2005. Information events for interested customers over 50 are planned nationwide on such topics as estate planning and security later on in life. Last but not least we are going to launch a new annuity product customized to the needs of this age group.
Central- and eastern European markets playing an increasingly important role for the larger insurers in
From the current point of view the market prospects for 2004 are moderately positive. The insurance- as well as the financial markets seem to have left the trough of the past years behind them. In this environment the business year 2004 will be marked for Der ANKER
self-employed professionals, small businesses in provincial towns in northern Italy – combined with an even more prudent risk selection. The rigorous and cautious underwriting- and rate policies were retained in the motor vehicle insurance – despite a certain pressure from the distribution network. A changed underwriting policy allowed at Helvetia Vita a shift in the new business towards traditional products. The difficult situation at the stock markets was here helpful.
A significant improvement of the business year can be reported on the previous year. This outcome is the result of good underwriting work of both subsidiaries with continuing reduction of the loss burden as a consequence. This good performance is especially reflected in the motor vehicle business where Helvetia
The premium growth took also a satisfactory course last year. In comparison with other segments, where
USD 4.1 billion. Our Assumed Reinsurance’s main focus was the flood damages in Germany and eastern
The further increase of the operating result on the previous year as well as the improvement of the net combined ratio (sum of claims ratio and expense ratio)
Stock Exchange (SWX), which calculated a free float for our share of 44.5 per cent. The average trading volume amounts to 2436 shares per day.
Aware of its social responsibility Helvetia Patria supports numerous charitable projects and organizations.
“We support sport and culture by well targeted sponsoring” is included in the Helvetia Patria Group’s
Besides giving support to numerous high quality cultural events Helvetia Patria also participates in various sport activities within its sponsoring program by assisting professional but also amateur clubs.
Holdings in the subsidiaries, Previsión Española and Helvetia CVN, were slightly increased in the year under review.
The Anglo-Saxon capital consolidation method is applied. Assets and liabilities, income and expenditure for all these companies are fully consolidated. Minority interests in shareholders’ equity and profit are disclosed separately in the balance sheet and the profit and loss account.
The net interest income assigned to life business corresponds to the income earned on investments, less interest on the risk capital invested calculated at local rates, which remains in the non-underwriting account.
Consolidated movements in shareholders’ equity in CHF million Change in Profit Currency
Reserves for unit-linked life insurance policies 510.2 5.0 0.0 18.4 95.9 592.7
Net expenditure on claims/benefits Total of all claims/benefits paid in the course of the year and changes to reserves for claims outstanding in non-life business, plus reserves for claims outstanding in life business, less the portion of such claims assumed by reinsurers.
Periodic premium Premium paid on an insurance policy at regular intervals.
Reserves Amounts set aside on the balance sheet to meet likely future commitments.
Guido Styger Product Designer, Winterthur – A garden fence made of a biodegradable material that dissolves while the hedge is growing out of it sounds more about garden-trash collection than design. But it was exactly the “fence-hedge” which won Guido Styger (ECAL Lausanne) one of the desired Junior Designer Awards 2003. But why? “We are not buying a car because it brings us from A to B but because it looks nice,” says Styger. “A trophy object. I turned the process around in my masters’ thesis. The product withdraws.” To put principles upside down: This is the hinge helping one person to unhinge the world.
Helvetia Patria Versicherungen regional offices in Switzerland 3001 Bern Länggassstrasse 7 031 309 03 11 Daniel-Henri Günther 5033 Buchs (AG) Mitteldorfstrasse 37 062 836 03 11 Bruno Wälle 2800 Delémont Rue de l’Avenir 2 032 421 93 11 Franco Della Corte 1211 Genève Bd Georges-Favon 18 022 809 13 11 Claude Kuhne 1762 Givisiez Rte du Mont Carmel 2 026 460 42 42 Roland Macherel 1001 Lausanne Avenue de la Gare 1 021 341 47 11 Roland Duvoisin 6901 Lugano Via d’Alberti 1 091 911 61 11 Giordano Zeli 2000 Neuchâtel Rue du Concert 6 032 722 75 11 Patrick Riquen 9445 Rebstein ri.nova, Postfach 071 775 86 11 Jürg Schwarber 1950 Sion Rue de la Dent-Blanche 20 027 324 77 22 Jean-Maurice Favre 9001 St.Gallen Poststrasse 15 071 226 51 11 Ulrich Bänziger 3601 Thun Hinter der Burg 2 033 227 86 11 Kurt Nyffenegger 6300 Zug Baarerstrasse 133 (from June 04) 041 726 64 11 Heinz Schumacher 8048 Zürich 1 Hohlstrasse 560 043 843 87 11 René Vuille-dit Bille