Planned key development directions

The PZU Strategy for 2012-2014 was updated in December 2013. In the conditions of upholding the main strategic objectives selected in Strategy 2.0, the instruments for implementing the strategy were adjusted in order to provide a new growth stimulus.

This applied, in particular, to the objectives that have not yet reached a sufficient rate, such as the development of health insurance. Long-term objectives regarding the improvement of the PZU Group’s operating model were also defined in the revised Strategy.

Additionally, business pillars were adjusted in an effort to present the direction of PZU Group’s operations more clearly. This included the creation of the Health pillar.

PZU’s plans for 2014 take into account the expected moderate acceleration of growth in the Polish economy, the possible continuation of turbulence on the global financial markets, as well as the need to comply with the new solvency requirements in the mid-term perspective. Operating in the uncertain and variable environment, the PZU Group is going to pursue its strategy taking advantage of its strengths, such as the enormous customer base (millions of customers), high capital, qualifications of its employees and a strong, refreshed brand.

ObjectivePlanned development directions in 2014
Business pillars
Mass-market customer
Profitable maintenance of the position in non-life insurance 1. Profitable maintenance of the market share in the motor insurance and non-life insurance segment.
2. Development of protection, savings and investment products, including, in particular, long-term savings products.
3. Further development in the area of mass-market sales, among other things, by developing basic distribution channels.
Group customer
Profitable maintenance of the leadership position in life insurance 1. Maintenance of the profitable position of leader in group life insurance.
2. Strengthening direct relations with the insured as a result of the Klub PZU Pomoc w Życiu [PZU Help in Life Club].
The corporate customer
Regaining market position while maintaining profitability 1. Transformation of the PZU Group into a business partner with a strong expert position that is not only an entity selling insurance but also a customer advisor.
2. Rebuilding the market position in motor insurance and increasing the market share in the non-motor business.
Investments
Rapid growth of the customer assets managed by PZU. 1. One of the objectives of the PZU Group is the rapid growth of business measured by the nominal value of the customers’ assets managed.
2. PZU Inwestycje’s operations are consistent with the positioning of the PZU brand “Możesz na nas liczyć” (“You can count on us”).
Health
Development of health insurance 1. Further creation of the health insurance market to increase the scale of business in this area.
2. Active upselling of products related to health and medicine insurance to group customers.
International expansion
Operations in Central and Eastern Europe 1. The objective of the PZU Group is to become the largest and the most profitable insurer in Central and Eastern Europe.
Conditions for implementation
Middle-office: a modern and integrated customer service model 1. Implementation of a new customer service model, which assumes an integrated contact channel structure, which is compliant with customer expectations and, specifically, further construction of a network of modern sales and service branch offices.
2. Further optimization in the area of claims handling and benefits.
Back-office: efficient operations and flexible IT 1. Continuation of activities related to the introduction of a new policy system into the PZU Group to make it possible to increase operating efficiency.
2. Further centralization and optimization of operating processes.
HR: business partner / committed employees / results-oriented culture 1. Further strengthening of PZU’s position as a preferred employer by holding a further edition of the internships and traineeships program.
2. Transformation of the PZU Group into a results-oriented organization.
Effective capital and investment policy 1. Focusing on the rate of shareholders return using such measures as optimization of capital, combined with maintaining the solvency ratios and maintaining resources for strategic development through acquisition.