Relatório Anual 2010
Bem vindo
Favorable perspectives
Strategy The insurance and pension industry should benefit from the positive
economic moment of the country
The favorable economic moment that the The industrial risk area is fomented by
country has been going through, allied government investments announced and
to a strong movement for management incorporated to the Federal budget, such
optimization in insurance companies, as the growth acceleration programs
is the leading driver of this industry. PAC and PAC2. Major international
And since expectations for the country’s events, such as the FIFA World Cup and
future are positive, everything indicates the Olympics to be held in Brazil along
a continued benefit to the insurance and next years, reinforce the opportunity for
pension industry arising from this growth. growth of this industry.
This virtuous cycle is evidenced by some
facts and events we mention below. The greater availability of real estate
finance and the high housing deficit
The economic stability provides favorable in Brazil create the conditions for
conditions for the formalization of the development of the housing and
companies and the creation of jobs. condominium segment.
This has a positive effect on the
commercialization of products aimed at The vehicle fleet in the country has
benefits. The SME segment also appears also been significantly growing with a
as a great consumer of insurance and direct impact on the commercialization
pension products. of auto insurance and its collective
product–the fleet insurance. If we
In the segment of benefit-oriented products, consider the continued availability of
one should also note the great opportunity credit instruments, the great growth
posed by dental products. These have been potential of the Brazilian fleet (since the
having increased acceptance by companies, per capita penetration is still low, as the
but still have low market penetration if we car/citizen ratio is 6.9, while Argentina
consider the quantity of health insurance and Mexico have a better performance)
beneficiaries as a reference. and ultimately the fact that the insured
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Relatório Anual 2010
strategy
fleet stands for only 30% of the fleet in investments in specialization aimed at auto insurance policyholders with an
circulation, we find here a sustainable quality and distinctiveness. The economic outstanding service experience.
framework for growth in the future. balance in the relation between service
providers and insurance companies is also Since we are the largest independent
The expansion of the C class, or the new a critical factor for success. Last, but not insurance company in the country, we
middle class, creates an entirely new least, we have a consuming market going have a historic partnership with brokers,
market for the most diversified types of through political, economic, social and our main distribution channel. Today
products, especially the ones associated to technological changes that will demand we count on more than 30 thousand
low premiums and/or insured values. new working strategies from insurance active brokers. Our strategy involves
companies and other fronts mentioned. deepening this relationship with brokers
Since the aforementioned economic even further. Another strategic point
stability has been around since 1994, we SulAmérica is optimistic about the involving independence is that it allows
have today in the country a generation future of the industry, and along the us to establish at the same time several
which is already a part of the job market, past few years has been intensely partnerships with financial and retail
thus being potential consumers, who preparing to capture more and more institutions. We have national and
are not familiar with the disturbances of opportunities provided by this market. regional business partnerships such as:
economic instability. For this generation We have a clear profitable growth-based HSBC, Citibank, Banrisul, Banco de Brasília,
the future is open to planning, and this strategy that has been successfully Banco do Nordeste, among others. These
creates a positive perspective for the practiced by the company. partnerships extend the offer of our
pension and investment segment. products to additional 16 thousand points
We have a strong brand aimed at the of sale. We are also increasingly improving
The facts above make a highly attractive development of insurance in the country, our structure to seize opportunities
market, which subsequently creates a having “confidence” as its strongest arising from the concept of affinity. This
highly competitive scenario for whoever is attribute. A recent positioning approach means exploring the possibility of selling
working on it. Acquisitions, mergers and by the company brought about the insurance to employees in companies
joint ventures have become common in challenge of expanding our brand (through a worksite), service branches and
this industry, considerably speeding up experience, which now includes the retail chains.
its concentration. Today, the three largest attributes of agility and transparency.
insurance companies concentrate more This is translated into the advertising The company is also seeking effective
than 50% of the market. The insurers campaign “Why should you be annoyed?” ways to streamline the profitability from
working on this market can be divided into as a new commitment undertaken by its current customer base by means of
three groups: bank insurers, also known SulAmérica to deserve the preference of cross-sell and up-sell actions, in addition
as bancassurances; independent insurers, its customers and brokers. to consistent policies aimed at retention of
among which SulAmérica is the leader; economic and/or strategic value customers.
and the insurers specializing in certain We have a product portfolio comprising
market segments or regions. the most diverse and sophisticated From an operational standpoint, several
solutions on insurance, pension and actions have been carried out to secure
But the competitive dynamics has investments. This is all aimed at constant earnings on operational
other relevant forces in addition to effectively providing financial protection efficiency while also securing the final
direct competitors. New entrants are and the feeling of tranquility to our quality. Our focus is about making sure
still expected, for the reasons explained customers. Our product competence that our processes are correctly designed
above. The major brokers, many of them has been acknowledged for over 115 and sized to provide agile, qualified
international players, have also been years now in Brazil. We will further and cost-efficient services. Information
investing in management and added reinforce our search for innovations and technology has also been an important
service capabilities, and they are also solutions which are relevant to and easily vector of our strategy. It contributes to
facing the same consolidation challenges understood by our customers. We will our operational efficiency and helps to
seen among local insurers. This is a continue investing in pricing intelligence support the development of solutions.
market that involves intermediation, and so that we can provide proper solutions at
the alignment of intentions between competitive prices. In order to support its integral strategy,
insurers and brokers will always be a key the company has been greatly evolving
element for its success. Another driving We have operations in the main regions in human management practices. We
force deserving attention is the rendering of the country. We have 14 branch offices are already seen as one of the best
of services, which often provides the all over Brazil, and more than 100 points companies to work in Rio de Janeiro
customer with the materialization of the of presence. In addition, we brought (acknowledgement given by the Great
promise of protection made by insurance to Brazil the concept of Auto Super- Place to Work Institute). Our major
companies. These service providers Service Center, and today we have more goal is counting on the engagement
have also been making considerable than 29 C.A.S.A.s ready to provide our of employees for the execution of our
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strategy
plans, and making this one of our major in the Corporate Sustainability Index (ISE) by possibility of acquisitions when they are
differentiating factors. BOVESPA, which considers only companies aligned to our strategic principles.
with good sustainability practices.
Sustainable operation is also one of our The scenario anticipated for the insurance
key principles. Sustainability is a corporate Finally, we have a solid financial position and pension industry poses several
value in the company, and has been which provides the company with capacity challenges and opportunities, and we
increasingly made a part of our day-to- to invest in strategic projects to support understand that SulAmérica has all
day routine. Our efforts on the matter our organic growth along the next years. conditions necessary to perform a highly
are already acknowledged by the market. In addition, this also provides us with relevant role on this market – a role that
SulAmérica is for the 2nd year running listed the means to selectively consider the perfectly matches its heritage and ambitions.
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