The Group’s gross written premiums totalled € 70,513 million (-3.9%), following the decline in the life segment (-6.3%), while P&C (+2.1%) reflected the recovery observed in 2016.
Life premiums came to € 49,730 million (-6.3%), reflecting the increasingly disciplined approach to the offer, aiming to optimize the return on invested capital, and the current performance of the financial markets. With reference to the lines of business, there was a contraction of 10.9% in unit-linked products, of 5.7% in savings products and of 2.8% in protection. Net cash inflows is confirmed at excellent levels, exceeding € 12 billion (-18.5%), above the average of the last 5 years.
New business in terms of annual premium equivalents (APE) stood at € 4,847 million, down 6.6% with respect to the previous year. This performance is mainly attributable to the decline in single premium policies (-13.4%).
Recurring premiums are basically stable (-0.5%).
With reference to the lines of business, there was an improvement in pure risk business with a good level of growth (+12.4%), while unit-linked business declined (-11.3%). The savings business also decreased (-9.7%) due to the unfavourable financial situation and the Group’s actions planned to reduce guaranteed business. In line with strategic policies, the new business value (NBV) improved significantly (+14.6%), standing at € 1,256 million (€ 1,097 million at 31 December 2015).
New business margin (margin on APEs) rose significantly by 4.9 pps to 25.9% (21.0% 31 December 2015), primarily due to the refocusing of sales towards the pure risk business and the effective recalibration of guarantees, although the economic environment is worse than last year.
As noted above, P&C premiums amounted to € 20,783 million. On a like-for-like basis, the 2.1% increase can be attributed to the motor segment (+4.3%), driven by Spain, CEE Countries, Germany and Argentina, which more than offset the continuing decline in motor premium income in Italy (-5.2%). Confirming the recovery observed during the year, non-motor premium income is also up slightly (+0.5%) in general across the countries in which the Group carries on business, with the exception of Italy (-3.6%).