Mondial Assistance

Mondial Assistance confirms its international leadership with turnover of 1.67 Billion Euros and 5.4% growth

Mondial Assistance has published its financial results for the 2009 financial year. With a total turnover of 1.673 billion Euros, the world leader experienced 4.8% growth, that is 5.4% growth at a constant exchange rate. Net returns for the financial year were 56 million Euros. In a context made more difficult by the global economic crisis and an increase in claims, Mondial Assistance was able to pursue its profitable growth thanks to its Innovation strategy.

Mike Webb, CEO for Mondial Assistance in the UK and Ireland comments: “Our UK and Irish business units were particularly challenged in 2009 as a result of the recession. Despite this and with a risk based approach, new business wins were made throughout the year. This has all contributed to our strong operating results. Innovations were at the centre of our success with further deployment of our on-line automotive warranty and travel insurance platforms. M-commerce was high on the agenda resulting in a significant business win with a major mobile telecoms provider. Our UK business unit in particular is recognised for our focus on delivering customer service excellence and is amongst the region’s top three providers of dedicated roadside assistance, travel insurance administration and automotive warranty. Investment did not stop with technology; people are at the heart of our business. HR, Internal Communications and CSR offered strong support throughout the year to boost employee engagement and successfully implement innovative change.“

With the involvement and dedication of its 10,231 staff members, present in 28 countries, the Mondial Assistance group responded to more than 42 million telephone calls and handled more than 15 million files across all continents.

“Mondial Assistance continues to pursue its Innovation strategy and its profitable, responsible growth,” adds Rémi Grenier, President of Mondial Assistance. “Our growth relies on the balanced development of our activities, both geographically and in terms of business lines. We are achieving more and more synergies between our entities to share and capitalise on our innovations, accelerate the development of our new products, and offer our clients throughout the world the best possible level and quality of service.”

Increased importance of health, life & home care services

Travel Insurance & Assistance was able to resist the crisis thanks to the innovations. This activity grew by 3.8% in 2009 and now represents 47% of worldwide turnover (48% in 2008). The group’s automotive activity, for which turnover was stagnant in 2009, illustrates the difficulties encountered by this sector. Automotive represents 37% of the group’s worldwide activity (39% in 2008). Other services (health, life & home care services…) grew by 22.8% in value and now represent 16% of overall activity (13% in 2008).

Sustainable international growth

The three leading countries in terms of turnover are France (380 million €), the United States (212 million €) and Australia (149 million €). The group’s three geographic zones (Europe, the Americas, and Asia-Pacific) are represented by these three leading countries, thereby confirming and reinforcing the balance of Mondial Assistance’s activities worldwide.
With 17.9% growth, the Asia-Pacific zone experienced the strongest growth, bringing together very specific markets. China saw its activity grow exponentially with an increase in turnover of nearly 70%. Today it counts nearly 300 staff members. Mondial Assistance is now leader in India for automobile assistance, and in Japan, the group accelerated its growth despite the difficult economic context. Finally, Australia posted healthy growth of + 12.9% (+19.5% excluding the impact of the exchange rate), thanks to the development of all of its activities, particularly e-commerce. Australia also expanded its scope of intervention with new commercial activities in New Zealand, thereby confirming Mondial Assistance’s desire to develop and grow in the Pacific zone.

For its part, the American continent reported growth of 16.1%. The boom in B2B and B2C e-commerce, particularly in the United States and Canada, is an important driver for development thanks to Mondial Assistance’s innovation strategy in this domain. Brazil is also pursuing growth at 11.2% and succeeded in diversifying its activity into travel.
Europe, the most historic of the assistance markets, represents 67.3% of the group’s activity. With 17 subsidiaries across the European continent, the group experienced contrasting situations in terms of growth, but overall reported nearly 2% growth in Europe. France (+9.2%), Spain (+11.7%), Greece (+21.4%) and Switzerland (+12.4%) contributed in large part to the group’s healthy dynamics across the zone.

Finally in 2009, Mondial Assistance realised a major project with the creation of a European insurance company that covers seven, and soon to be eleven, countries. This new unique structure is designed to respond to new market expectations with a growing number of clients and pan-European contracts in an open market. This structure will also optimise the group’s resources (consolidation of needs regarding shareholders’ equity and Solvency II regulation requirements).
In line with Mondial Assistance’s expansion strategy, the group explored new markets and opened a sales office in the Middle East, where it signed 3 contracts with local airline companies to offer travel insurance products and solutions to these new markets.

Innovation and responsibility

More than ever in 2009, Mondial Assistance pursued and supported its innovation policy and the sharing of experiences to maintain dynamic growth in a time of economic downturn. Among these innovations, we can mention Smartphone applications developed and launched in Brazil and France, the real-time electronic communication of intervention requirements for network providers in France (more than half a million text messages were sent out automatically), the next generation Travel Insurance 2.0 e-commerce platform and the launch of the product “Banking for life”, a tailored-made assistance concept to support our banking clients in their strategies for increasing their customers’ loyalty.

Last but not least, the Group strengthened its commitment to pursuing socially responsible corporate initiatives and actions in line with its vision of sustainable development, both on a local level and on an international scale, in partnership with MASSIVEGOOD, an innovative travel-related healthcare fundraising initiative for Non-Governmental Organisations (NGOs).

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