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Allianz Life Reports Strong Financial Results for 2014Minneapolis-based Allianz Life Insurance Company of North America (Allianz Life®) today reported operating profit of $876 million for its 2014 financial year, an increase of 36% from $646 million in 2013. The strong result was driven by underlying profitable business coupled with increasing demand for core products and disciplined expense management. Operating profit is reported on the International Financial Reporting Standards basis and includes earnings from recurring business operations. Total premium (new sales and recurring premiums) reached $15.7 billion in 2014, up 62% from the prior year of $9.7 billion, reflecting strong consumer demand for retirement income products as well as effective distribution relationships and innovative product development. Fixed annuity and fixed index annuity (FIA) premium more than doubled to $12.8 billion in 2014 compared to $6.1 billion in 2013. Consistent with a planned emphasis on FIA sales, variable annuity premium decreased 28% to $2.2 billion in 2014 compared to $3 billion in 2013. Life insurance sales increased 15% from $73 million in 2013 to $84 million in first-year premium in 2014. In 2014, Allianz Life also provided a total of $2.3 billion in benefit payments that supported policyholders' life insurance protection, retirement income and other financial objectives. At the close of 2014, Allianz Life's assets under management increased 14% to $122 billion, compared with $107 billion at the end of 2013. "Our strong results reflect growing consumer demand for the guaranteed retirement income and growth potential our products provide, along with expanded relationships with our independent distribution partners," said Allianz Life President and CEO Walter White. "In 2014, we saw significant FIA sales growth through the broker/dealer channel, as well as by traditional independent insurance agents. Assets under management grew due to strong sales andcustomer retention." Through 2014, U.S. rating agencies continued to recognize Allianz Life's financial strength, with ratings that have remained unchanged during and after the 2008-2009 financial crisis. Standard & Poor's affirmed Allianz Life's rating as AA (very strong) - the third highest out of 21 possible ratings. A.M. Best also affirmed the company's financial strength rating as A (Excellent) and the issuer credit ratings of "a+". The outlook for all ratings is stable. The A.M. Best rating of A (Excellent) is the third highest of 16 possible ratings. "Our focus on financial and investment discipline has helped us maintain strong ratings and keep the long-term promises embedded in our products," White said. Allianz Life Received Numerous Awards In addition to solid 2014 financial results, Allianz Life earned the following distinctions in 2014:
"I'm very proud of our strong quantitative and qualitative results in 2014, which reflect the great work our employees do on behalf of our customers, distribution partners and the community," White said. About Allianz Life Allianz Life Insurance Company of North America, one of FORTUNE's 100 Best Companies to Work For in 2014, has been keeping its promises since 1896. Today, it carries on that tradition, helping Americans achieve their retirement income and protection goals with a variety of annuities and life insurance products. As a leading provider of fixed index annuities, Allianz Life is part of Allianz SE, a global leader in the financial services industry with 147,000 employees worldwide. More than 85 million private and corporate customers rely on Allianz knowledge, global reach, and capital strength to help them make the most of financial opportunities. Follow Allianz Life Insurance Company of North America on Twitter (News - Alert) @AllianzLifeNews. Allianz Life Insurance Company of North America offers insurance and annuities in all states except New York. In New York, products are issued by Allianz Life Insurance Company of New York. "Guarantees are backed by the financial strength and claims-paying ability of the issuing insurance company." *For a full description of how Standard & Poor's® Insurer Financial Strength Rating categories are assigned and to obtain current ratings refer to www.standardandpoors.com. A Standard & Poor's Insurer Financial Strength Rating is a current opinion of the financial security characteristics of an insurance organization with respect to its ability to pay under its insurance policies and contracts in accordance with their terms. Insurer Financial Strength Ratings are based on information furnished by rated organizations (or obtained by Standard & Poor's from other sources it considers reliable). Insurers rated AA have Very Strong financial security characteristics. |
