June 2009 - MMA demonstrates sound growth momentum for its ten-year anniversary

MMA is celebrating its ten-year anniversary by showing growth over the long term. Over this period, MMA doubled its customer base (3.2 million) and portfolio contract (7.1 million). In Euros, earned premiums rose by 61%.

An active innovation policy and dynamic sales network allowed MMA to record further growth in its key markets while upholding its technical fundamentals.

In 2008, MMA’s earned property and casualty premiums in France rose by a further 3.4%.

Statement by Thierry Derez, Chairman of MMA

“Since the brand was created ten years ago, MMA has gained a reputation for being innovative, dynamic, and close to policyholders. Transmitted by its general agents, this image allows it to stand out in all of its key markets, both consumer and commercial. The brand’s huge potential points to a bright growth outlook: with its focus on technical balance, MMA can look ahead serenely to the long term.”

Highlights

Thanks to a proactive selling policy (Livret MMA, Revenue Insurance, New Health Contract), MMA made progress in all key markets in 2008: consumers (+2.6%), professionals (+3.8%) and commercial (+1.5%).

In net terms, the group added 106,000 new contracts, thanks in part to good showings in Home insurance and Legal insurance.

Net profit reached €93 million (excluding extraordinary capital gains).

Breakdown by market (France)

Consumers: +2.6%

In 2008, earned premium income at the Motor business rose by 0.7% (€731 million) in a saturated market. MMA insures 2.1 million vehicles.

As for Home insurance, earned premiums reached €400 million (+3.5%) with close to 1.8 million contracts. A total of 25,000 contracts were added to the portfolio in 2008.

The Health business recorded a further increase of 2.2% in earned premiums. The group now insures 800,000 members. Double Effet health contracts accounted for close to 15% of business for this segment within the agent network. Eighty percent of Double Effet subscribers received payments from their reserve funds, with an average reimbursement of €150.

Also worthy of note were advances in earned premium income at the Provident business, which reached €88 million, and in Legal Insurance, where premium income rose 18.9% to €89 million.

In 2008, more than 2.5 million Internet users visited the MMA website (+46%); the number of online estimates rose sharply (+57%) while online sales doubled, thanks in particular to the Home and Health insurance offerings. The Double Effet health contracts have been an online success, accounting for 40% of Health policy sales made via www.mma.fr.

The launch in 2009 of the new mma.fr site will bolster MMA’s “multi-channel” policy, making the Internet an additional and all-important tool for general agents.

Professionals: +3.8%

Earned premium income for Professional lines rose 3.8%.

MMA consolidated its leadership in the Auto Professionals segment.

In all, the MMA group manages 264,000 professional contracts generating premium income of €285 million.

Commercial: +1.5%

Earned premium income from Commercial lines reached €1,891 million, driven chiefly by premium income growth at Covéa Fleet (+5.4%).

The launch of the “Transport Fleet” and “Logistics” services has helped strengthen Covéa Fleet’s leadership in the Fleets and Transport markets, lifting it market share to above 25% for 835,000 vehicles insured.

Savings: 385,000 insured members who trust MMA with their savings

MMA’s financial management policy allowed it to offer its savings customers a rate of return of 4.20% on its main contracts. Here again, MMA delivered a higher rate than the market average (around 4%).

Inflow reached €1.38 billion (down 9.6%), which was better than the market trend (down 10.6%). Mathematical reserves were close to €16.5 billion.

Earnings

The full-year earnings confirmed the MMA Group’s dynamism.

Earned premium income reached €5,759 million and net profit €93 million.

Group equity has been growing steadily since 1999 and reached €2,681 million in 2008, for a year-on-year increase of 3.4%.

MMA’s solvency margin was strengthened further during the year, reaching 2.7 times the regulatory margin at group level including unrealised capital gains and 2 times the margin excluding unrealised capital gains.

As of today, the MMA group employs 7,581 people in France (excluding agents and partners), and they manage more than 7.1 million contracts. The network includes 1,428 agents for 1,921 points of sale, making it the third largest agent network in France.

The accounts will be submitted for approval by the General Meeting of 19 June 2009.

Media contacts:

Françoise Ickowicz +33 (0)1 53 10 65 06 
Marie-Pierre Michel +33 (0)1 53 10 63 57