Allianz boss: “Reserve release holiday coming to an end”

Allianz results

Despite the weather-related claims, Allianz achieved a top line growth of 9%, with the retail division performing well. Its broker motor division also performed well, with a 14% growth recorded. The gross written premium for the division exceeded original estimates of £600m for 2007, recording around £624.2m at the end of last year. Overall profit declined from £239m to £197m.

Refusing to comment on a figure for Allianz’s reserves releases, Torrance warned that the "reserve release holiday is coming to an end". He continued: “Across the industry reserve releases are substantial and they won’t go on indefinitely – the market sees that they are running out." Torrance said ambiguously that Allianz's reserves were: "In the order of £100m in terms of favourable prior year releases."

According to Torrance, Allianz’s brokers Home & Legacy and Premierline had not matched up to the ambitious targets set by Allianz at the beginning of 2007. Torrance admitted that lessons had been learned, adding: "The experience has made us realise we need to have a more realistic plan for year 1 targets."

While Torrance would not comment on the rumoured interest of Allianz in Erinaceous’ insurance arm, he said: "I can’t rule out the possibility of buying a broker…but there is a clear distinction between what we as Allianz are trying to do and what Axa is trying to do."

Torrance also revealed that plans to open an office in Newcastle had fallen behind schedule and would not be completed by the end of Q1 as first anticipated.

Bell moves upstairs at Open GI

Another happy executive this week is Phillip Bell, chief executive at Towergate owned software house Open GI, who is moving upstairs to become a non-executive director after nine years at the firm. Chris Guillaume, formerly research and development director at Open GI, becomes managing director. Bell, who owned a stake in the firm when it was sold for £275m and retains a stake in Open GI, told PB: “It is time for me to do something different. It is our first non-executive role and I will provide advice and guidance, working approximately two days a week.”

Editor’s comment: Bell made a small fortune post sale to Towergate and assuming it was his choice to move, he had two options – try and become one of Towergate’s leading entrepreneurs or refresh, relax and begin to prepare for the next phase of his life; he chose the latter.

And the football?

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