Profits before taxes of the According Greek branch of HDI-GERLING for the fiscal year of 2011, reached EUR 6.2 mil, increasing y-o-y by 27% (EUR 4.9 mil in 2010). After tax profits closed at EUR 5 mil from EUR 3.8 mil in 2010. The results are in line with HDI-Gerling Hellas' goal of continuing its successful course against a harsh economic environment, remaining between the most profitable insurance companies in Greece for the last years.

Profitability is reflected by the very positive technical results for all sectors. For the Liability branch results closed at EUR 4.3 mil, property topped EUR 4.2 mil while Major Projects and Technical risk underwriting appeared improved results of EUR 4.3 mil and the Industry and Transport special risk returned to profitability with EUR 150.000.

Turnover (premiums & options) topped EUR 18 million, down by 4.5% due to a general decline in the turnover of clientele. The total portfolio decreased by 17% in premiums (EUR 17.6 mil) and increased by 8% to premiums earned (before reinsurance) with EUR 20.3 mil.

More specifically, Property insurances increased by 13% and transport insurance maintained 2010 production levels. Technical insurance was mainly affected by the current recession, which shrank by 45% reflecting the reduced construction activity. Liability sector also showed reduced production by 19%.

Noteworthy are the technical indicators of the branch:

Gross functional index (total costs and losses to premiums earned) stood at 34.8% as a result of rational trade policy. Damage Index (paid and outstanding losses to premiums earned) closed at 19.9% while good management of operating costs expressed by further reducing cost index (acquisition and operating costs to premiums earned) to 14.9%.

The local branch's capital adequacy was further compared with 2010: for the technical provisions EUR 43.8 mil committed investment and freely available amounted to EUR 84 mil, the liquidity ration exceeding 2.

Commenting on the progress of the company, the CEO of HDI-Gerling Hellas, Mr Notis Vagiakakos, said: "We are extremely pleased by the positive economic performance and enhanced profitability. The temporal prudent risk selection strategy of the company functioned as a shield also in 2011 in an extremely difficult economic climate.

Adapting to the ever changing environment we are turning our interest in the wider region of the Mediterranean for the expansion of our portfolio as the branch has geographical jurisdiction of the Balkan countries ( Romania, Bulgaria, Serbia, Albania and the FYROM) including the SEE region of the Mediterranean ( Turkey, Malta, Israel, Egypt, Lebanon and Cyprus)".

You should also not that HDI-Gerling Hellas, as a subsidiary of HDI-Gerling Industrie Versicherung AG is directly scaled with A+/ stable by Standard & Poor's and A/stable by AM BEST.