NN paid its insurance clients and private pension funds participants total benefits of 444 million lei in the first half of 2023, up by 24% compared to the same period of last year. NN has thus continued to provide real financial support to clients in unforeseen situations they faced, as well as additional income at retirement, and closed the first half of the year with a strong financial position and positive evolutions across all business lines.
In the life and health insurance segment, NN Asigurari de Viata paid total benefits of 282 million lei to clients for unforeseen situations covered by insurance and policies that reached the end of the contract in the first half of 2023, up by 8.6% compared to the same period of the previous year. The amounts covered unplanned expenses for clients who needed hospitalization and surgery, ensured financial support to families in case of death and covered the lack of revenues for clients who became unable to work.
“An insurance is a real solution through which people can financially navigate unforeseen situations in life in an easier way. With a cost starting from only 5 lei per day, NN customers know that they can rely on significant amounts of money for the expenses that arise in situations covered by their insurance, allowing them to focus on what truly matters to them. And through our investments in personalized solutions and in digitalizing the interactions with insurance and private pension solutions, they benefit from excellent experiences at every point of their journey”, said Kuldeep Kaushik, CEO NN.
Gross premiums written by NN Asigurari de Viata exceeded 500 million lei in the first half of 2023, up by 4% compared to the same period of the previous year, and the financial assets under management amounted to 4.6 billion lei, up by 8% over the first half of 2022, according to unaudited financial results. The company closed the first half of the year with a gross profit of 63 million lei, as per unaudited financial results, a 6.7% increase, and paid total contributions of approximately 37 million lei to the state budget, 22% higher than the first half of the previous year.
In the voluntary private pensions segment managed by NN Asigurari de Viata, the company paid a total of 32 million lei to participants in the NN Activ and NN Optim funds who met the requirements to benefit from their Pillar III pension, marking a 13,2% increase compared to the first half of 2022. Net assets managed by NN Asigurari de Viata increased by 26% up to 2.3 billion lei at the end of June 2023, cumulatively for the NN Activ and NN Optim funds, representing a market share of 55.8% according to the Financial Supervisory Authority’s data. The two funds cumulatively exceeded 312,000 participants at the end of June 2023, equivalent to 46.9% of the total number of Pillar III participants, and NN Asigurari de Viata generated investment returns in their benefit of 7.76% for the NN Activ fund and 7.07% for the NN Optim fund in the first half of the year, according to calculations based on FSA data.
At the same time, in the mandatory private pensions segment managed by NN Pensii, the company paid 130 million lei to participants who met the requirements to benefit from the money in their Pillar II accounts in the first half of 2023, an 83.6% increase over the same period of the previous year. NN Pensii managed net assets of 37.5 billion lei at the end of June 2023, almost 25% higher than the same period in 2022, representing a market share of 34.1% according to the Financial Supervisory Authority’s data. The fund managed by NN Pensii closed the first half with 2.1 million participants, equivalent to 26% of the total number of participants in Pillar II, and the company generated an investment return in their benefit of 7.76% in the first half of 2023, according to calculations based on FSA data.
