Aviva 2005 Annual Report Download - page 10

Aviva plc 2005 Overview
Business segment: Long-term savings and fund management
£24.6bn
Present value of new
business premiums (PVNBP)*
+10%
Growth in PVNBP*
Generating growth
in Ireland
We have created a new bancassurance joint venture
in Ireland between Hibernian and Allied Irish Banks.
This partnership will bring further opportunities for
growth in the Irish life and pensions market, where
we have an ambition to be the leading player by 2010.
The agreement creates a new channel for business
that is complementary to Hibernian’s highly successful
intermediary distribution network. It will provide
exclusive access to Ireland’s largest retail bank, with
more than 280 retail outlets and 1.6 million customers.
Supporting sport in Asia
and Australia
The Aviva brand is being promoted to a wider
audience through sport. Tennis fans around the
world saw the Aviva logo on the uniforms of more
than 300 ballkids at the Australian Open tournament
in Melbourne, and we have extended this highly
successful sponsorship deal for another four years.
We shall also be reaching millions of homes across
Asia as we have agreed to sponsor three major
badminton events – the China, Singapore and
Hong Kong Opens – through to 2007.
Operating profit
Our worldwide long-term savings and fund management business reported an operating
profit of £1,865 million (2004: £1,631 million), an increase of 13%, reflecting strong sales
growth, particularly in our continental European business and bancassurance channel.
A balanced portfolio in mature markets
Our businesses in the mature markets of the UK, France and the Netherlands benefit from
balanced product offerings and distribution channels. This benefit has been demonstrated
by our robust performance in 2005.
Increasing our presence in high-growth markets
We now have 18 bancassurance partnerships in India and have extended our agreement
with American Express for 10 years and have partnerships with ABN AMRO, Canara Bank
and Centurion Bank of Punjab. In China, Aviva-COFCO is now licensed in four cities and
has sales offices in five further cities.
Expanding into new
regions and markets
We continue to explore new opportunities to expand
our business in less developed markets.
With businesses already established in several Eastern
European states, we have opened a representative
office in Moscow to evaluate the potential that might
exist for us in the Russian long-term savings market.
In India, since launching in 2002, we have expanded
rapidly to become the leader in the bancassurance
market, ranking seventh amongst private insurers.
We have won approval to sell life insurance products
in a total of 9 Chinese cities. Aviva-COFCO is the
first international insurer to open an office in some
of these cities. China is an important long-term market
for Aviva, and we are pleased to be able to continue
our expansion.
Long-term savings
and fund management
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