Unipol Grupo Spa

Good morning. This is the Coral School Conference operator. Welcome and thank you for joining the Unipol Group first half 2024 results conference call. As a reminder, all participants are in listen-only mode. After the presentation, there will be an opportunity to ask questions. Should anyone need assistance during the conference call, they may signal an operator by pressing star and zero on their telephone. At this time, I would like to turn the conference over to Mr. Matteo Laterza, General Manager of Unipol. Please go ahead, sir.

Good morning to everyone, and thank you for participating to this call. As usual, let me make some remarks on the presentation and on the result, and then we will open the floor to the question. As you have seen, for the first half result of 24, we did not represent any more Unipol SAI numbers as a consequence of the fact that it is delisted. We represented only Unipol Gruppo with a separate representation of the insurance business and the earnings coming from the consolidated banks. As you know, concerning the consolidated banks, we represent only the first quarter in the reported number, even if we, on a pro forma basis, represent also the contribution of the whole first half result of the two banks, Banca Popolare Isondrio and Bipper Bank. Starting from the insurance business, first of all, in PNC, we reported a very robust top-line growth in P&C, almost driven by the health business, but also the other line of business grew at a decent pace. Concerning the technical profitability, I have to remark that in the first half result combined ratio, was impacted by our decision to add some reserves, more than we expected at the end of 2023, as a result of the update made by the Court of Milan on the table regarding big injuries and mortal accidents As a result of this, we added in the liability incurred claim and discounted almost 100 million euros. And in the current year, best estimate, combining the motor TPL and general liabilities, we added something less than 50 million euros. And the total impact of this The combined effect of the two items hit by 3 percentage points on the combined ratio of the group. Very good result in terms of technical profitability in non-motor. as a consequence of the action that we implemented above all in the property line of business concerning both repricing and de-risking. It is an action that has begun quite recently at the beginning of this year, and it will last for at least 2024 and 2025. And so we expect to see from this line of business more positive implication going forward. In life, good result in terms of net inflows, above all driven by bank assurance, in particular BIPERBANCA. The technical result of life is more than what we achieved in the first half of 2023, even if we provisioned almost 18 million euros for for the guarantee fund for life insurance company that was prescripted by the financial law of last year. It is the provision that we made for the part that we expect in charge of Unipol Gruppo. Finally, insolvency. We closed a very robust number, 221 insolvencies. percent, notwithstanding negative performance of financial market in the second quarter of 2024, and also considering that the 100 percent result of the tender offer of Unipol Gruppo on Unipol-sized shares is impacted on the solvency ratio for 6 percentage points. Notwithstanding of these two components, the capital generation produced in the first half of the year by the group supported the increase of the solvency ratio at 221%. These are the most important remarks that I can do, for the first half of the year. I am with Enrico San Pietro, as usual, at your disposal for the question of the floor. Thank you very much.

Thank you. This is the Coruscant conference operator who will now begin the question and answer session. Anyone who wishes to ask a question may press star and one on their touchtone telephone. To remove yourself from the question 2, please press star and 2. Please pick up the receiver when asking questions. Anyone who has a question may press star and 1 at this time. The first question is from Elena Perini of Intesa San Paolo. Please go ahead.