Operating result up notably by over 26% in Helvetia’s group life business

Media release
Basel, 22 May 2025

 

The group life business of Helvetia Insurance continues to rest on solid foundations. Total comprehensive income from occupational pensions amounted to CHF 61.9 million as at 31 December 2024, representing a rise of 26.5% over the previous year. Compared to the difficult investment year of 2023, there was a marked increase in capital income in 2024. Business Development continues to be shaped by the ongoing shift in the number of insured persons towards semi-autonomous solutions. Overall, the number of actively insured persons increased by 3.6% during the reporting year, while the number of fully insured persons fell by 7.9%.

For the 2024 financial year, Helvetia reported an occupational pension result of CHF 61.9 million, equating to an increase of 26.5% over the previous year (2023: CHF 48.9 million). Due to an increased allocation to policyholders, the profit fund in the business subject to the minimum quota decreased slightly. This currently amounts to CHF 167.5 million (previous year: CHF 175.9 million).  

Hedwig Ulmer, Head of Pension Provision and Member of the Executive Board in Switzerland, looks back on a positive financial year for 2024: "The available figures serve as proof that Helvetia can provide tailor-made solutions to meet all needs in the area of pensions. Furthermore, the broad range of products allows us to offset certain market developments in a targeted manner." 

Ongoing shift towards semi-autonomous solutions
The ongoing shift in the number of insured persons towards semi-autonomous solutions is also reflected in the fact that the number of people actively insured with Helvetia increased by 3.6% to 224,574 in 2024 (2023: 216,700), while the number of persons with full insurance fell by 7.9% to 67,000 (2023: 72,741). Overall, operating expenses per active person covered remained virtually stable at CHF 426.00 (CHF 420.00).

The collective foundation Helvetia LOB Invest likewise benefited from the ongoing trend towards semi-autonomous solutions; it reported assets under management of more than CHF 1 billion for the first time in 2023. At the end of 2024, the foundation had 15,515 active insured persons, an increase of 18.9% compared to the same period the previous year.

Helvetia is now unquestionably the number two in the national group life business
In its occupational benefits business, Helvetia recorded a premium volume of CHF 1,828.0 million, 2.9% higher than the previous year (2023: CHF 1,776.3 million). Despite the shift from full insurance to semi-autonomous (i.e. no savings premiums being booked), the regular premiums fell by only 0.61% overall. Risk and cost premiums managed to increase by 5.5%. According to the Swiss Insurance Association (SIA), Helvetia was ranked second in Switzerland for both regular premiums and single premiums for the first time as part of a group life market comparison.

A significant increase in investment income
In 2024, the financial markets largely recovered from the challenges of the previous year. They benefited from a robust economy and the imminent end of the cycle of interest rate hikes. Due to this much more positive economic environment, the net yield increased to 1.9%. The net performance based on market values was 4.6% (2023: 5.9%).

However, the risk result fell in 2024. Anja Göing-Jaeschke, Head of Actuarial Services Life Switzerland at Helvetia, states:  "Helvetia, too, has been unable to escape Switzerland’s nationwide increase in the awarding of pensions due, for example, to mental illness. We will continue to monitor this development very closely.

Participation in profits in transactions subject to the minimum quota
In 2024, Helvetia used CHF 478.1 million for the benefit of policyholders in the business subject to the minimum quota. This corresponds to a pay-out ratio of 90.6%, which is only a marginal change from the previous year’s figure (2023: 90.5%).

Participation in profits for 2024 is significantly higher than the previous year. In the business subject to the minimum quota, an interest rate of 1.25% was credited to compulsory savings, while a rate of 1.5% was applied to savings in excess of the statutory requirement minimum. In accordance with the provisions on the minimum quota regarding the distribution of surpluses, a risk surplus was paid out in addition to the interest surplus for 2024.

About the Helvetia Group
Helvetia Insurance Group, with its headquarters in St. Gallen, has grown since 1858 to become a successful international insurance group with strong Swiss roots, over 14,000 employees (FTE) and more than 6.7 million customers. It has always been there for its customers when it matters. In the Swiss, Spain and GIAM (German, Italian and Austrian Markets) segments, Helvetia positions itself as a Local Customer Champion and supports its customers throughout their lives as their preferred provider. It also focuses on the rapidly growing segment of customers over 50. In all of its segments, and in the Specialty Markets segment in particular, Helvetia strives to generate growth as a global specialist in the international specialty lines business and in reinsurance. Thanks to its lean and flexible structures, Helvetia is able to focus on profitability in a cyclical business. At the same time, Helvetia uses its expertise in its European retail markets to offer specialty solutions to SME customers. With a business volume of CHF 11.6 billion, Helvetia generated underlying earnings of CHF 528.5 million and an IFRS period result of CHF 502.4 million in the 2024 financial year. The shares of Helvetia Holding AG are traded on SIX Swiss Exchange.

Cautionary note
This document was prepared by Helvetia Group and may not be copied, altered, offered, sold or otherwise distributed to any other person by any recipient without the consent of Helvetia Group. The German version of this document is decisive and binding. Versions of the document in other languages are made available purely for information purposes. Although all reasonable effort has been made to ensure that the facts stated herein are correct and the opinions contained herein are fair and reasonable, where any information and statistics are quoted from any external source such information or statistics should not be interpreted as having been adopted or endorsed as accurate by Helvetia Group. Neither Helvetia Group nor any of its directors, officers, employees and advisors nor any other person shall have any liability whatsoever for loss howsoever arising, directly or indirectly, from any use of this information. The facts and information contained in this document are as up to date as is reasonably possible but may be subject to revision in the future. Neither Helvetia Group nor any of its directors, officers, employees or advisors nor any other person makes any representation or warranty, express or implied, as to the accuracy or completeness of the information contained in this document.
This document may contain projections or other forward-looking statements related to Helvetia Group which by their very nature involve inherent risks and uncertainties, both general and specific, and there is a risk that predictions, forecasts, projections and other outcomes described or implied in forward-looking statements will not be achieved. We caution you that a number of important factors could cause results to differ materially from the plans, objectives, expectations, estimates and intentions expressed in such forward-looking statements. These factors include: (1) changes in general economic conditions, in particular in the markets in which we operate; (2) the performance of financial markets; (3) changes in interest rates; (4) changes in currency exchange rates; (5) changes in laws and regulations, including accounting policies or practices; (6) risks associated with implementing our business strategies; (7) the frequency, magnitude and general development of insured events; (8) mortality and morbidity rates; (9) policy renewal and lapse rates as well as (10), the realisation of economies of scale as well as synergies. We caution you that the foregoing list of important factors is not exhaustive; when evaluating forward-looking statements, you should carefully consider the foregoing factors and other uncertainties. All forward-looking statements are based on information available to Helvetia Group on the date of its publication and Helvetia Group assumes no obligation to update such statements unless otherwise required by applicable law.