MAPFRE has revealed that it is targeting average revenue growth of 6% over the next three years, with an aim of exceeding €32 billion in premiums by the end of the three-year period.
At the same time, the company is also seeking an 11% return on equity for 2026, as well as looking to achieve a combined ratio between 95% and 96%.
During the MAPFRE annual general meeting, the company’s chair and chief executive officer (CEO) Antonio Huertas unveiled the insurer’s strategic direction for 2024 to 2026. The plan sets out to position the organisation for success in a rapidly evolving market landscape and enable it to leverage upcoming business opportunities.
In addition, MAPFRE is also looking to expand the number of countries with a carbon-neutral footprint to 15, as well as ensuring that at least 95% of the total investment portfolio aligns with ESG (environmental, social, and governance) criteria.
The company is also planning to attain a minimum of 34% female managerial representation by 2024, with subsequent annual increases of one percentage point.
Moreover, Huertas acknowledged the importance of pursuing growth and better results during this new phase.
The company plans to explore new distribution channels across key markets such as Spain, Brazil, the US, Mexico, and Germany.
As well as this, MAPFRE is also planning to diversify its life insurance offerings to enhance portfolio balance, with bancassurance expansion being a key area of focus.
Huertas stated that the company needs to make a “very intense” effort in order to achieve an average combined ratio of between 95% and 96% over the next three years.
He also reassured that the firm’s sustainability strategy remains unchanged, focusing on the seamless integration of sustainable practices into business operations.
Moving forward, Huertas outlined the strategic priorities that would drive MAPFRE’s growth.
This includes: boosting competitiveness in motor insurance, expanding life protection and retirement product offerings, and enhancing the commercial lines segment.
Other points that were highlighted include, strengthening the reinsurance unit, refining the company’s risk appetite, and boosting talent development and cultural identity under the “We are MAPFRE and we act” banner.
“Our company’s situation is very strong, the debt level is low, and solvency is very high. We’re growing, and we’ll continue to grow profitably. We are ambitious, because we want to leverage all growth opportunities, but we’re also holding firm on prudent and rigorous business management with the objective of protecting the interests of our shareholders and also ensuring the long-term sustainability of our company,” stated the MAPFRE chairman and CEO during his speech.
Further, he also stressed the preservation of core values such as financial stability, customer service excellence, trust-based relationships, commitment to ethical and social responsibilities, and thorough consideration of all stakeholders.
Lastly, Huertas also pointed out that MAPFRE is making positive progress with a geographically diversified, functional, and product-based business model, which enables the company to grow profitably even in the most complex conditions.
