Helvetia: efficiency measures, expansion and innovations

At its Investor Day on 12 December 2024, Helvetia presented its new strategy, which is to be implemented over the next ten years. The insurer is focusing on local retail customer business, international specialty lines business and operational efficiency. The strategy will be implemented in three-year cycles.

The insurance company, which will soon be 170 years old and has strong Swiss roots, aims to expand its strong base in retail and global specialty business by 2035. In doing so, strengthening customer focus is central to the company. At the Future.Talk 3/2024 of the University of St. Gallen on 5 November 2024, entitled: ‘Is the customer really at the centre?’ Jan Kundert, CCO at Helvetia Insurance Switzerland and a member of the Executive Board, explained that strong identification features such as social confirmation and emotional interaction contribute to customer loyalty.

The group aims to save over CHF 200 million annually by the end of 2027 to improve operational efficiency in the local retail business and in the global specialty lines business. It hopes that some of this efficiency improvement will offset expected inflation. The planned integration of Caser and Helvetia Seguros should also increase operational efficiency.

Positions affected by the implementation of efficiency measures

Across the Group, around 500 positions will be affected by the measures to improve operational efficiency. Of these, 200 to 250 positions will be in the Swiss market unit. Some of the affected positions will be relocated abroad. This primarily concerns tasks without direct customer contact. The implementation will take place over three years, which is why the pure reduction of jobs can be largely limited by natural fluctuation, internal (including international) mobility with corresponding re- and upskilling measures, as Jonas Grossniklaus, Head of Corporate Communications at Helvetia Insurance Group, told thebrokernews.

Expansion in Spain

Helvetia’s subsidiary Smile is successful and will continue to demonstrate the potential of the internationalisation of the Smile approach. Progress in Austria shows that this works. In Spain, however, Helvetia wants to focus on developing synergies between companies in the next few years and is therefore not going to develop another brand. Instead, Helvetia and Caser will offer corresponding direct insurance products.

However, Helvetia will continue to use the skills and experience already gained in Spain thanks to Smile under its brand. The affected teams and customer relationships in Spain will be integrated into Helvetia. According to the insurer, this decision has no influence on the strategy and brand presence of Smile in Switzerland and Austria and also has no financial impact.

What innovations can Helvetia customers look forward to?

Innovations must serve the strategic goals of the insurer, which means primarily its positioning as a local customer champion and global specialist. In addition, innovations can also contribute to increasing the insurer’s objectives in terms of operational efficiency and technical profitability. Customers can look forward to Helvetia continuing to work intensively on designing the points of contact with them.

Helvetia has already taken significant steps in recent years with its new advisory tools, digital signature options and Clara the chatbot. It will continue to pursue this path. The next step will be to further develop the customer interfaces in the SME and individual life business. In addition, their customers can look forward to the further development of their comprehensive offers in the areas of non-life insurance, pensions and real estate products and services, according to the insurer. In recent years, Helvetia has built up a clear competitive advantage in this area, which will be further expanded.

Binci Heeb

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