Insurance coverage big Allianz has already stopped accepting new enterprise in Russia amid the Russia-Ukraine battle. Now, chief monetary officer (CFO) Giulio Terzariol has stated the insurer is very likely to lower all ties with the nation.
After the discharge of Allianz’s monetary outcomes for the primary quarter of 2022 (Q1 2022), Terzariol stated the insurer is very likely to rule out new insurance coverage and investments in Russia after it invaded Ukraine.
“I’d outline the probability as very excessive,” Terzariol stated when requested by reporters in regards to the possibilities of closing the insurer’s operations in Russia, as reported by Reuters.
In an analyst presentation, Allianz stated its backside line might take a success of between €400 million and €500 million from discontinuation of its Russian insurance coverage subsidiaries.
Allianz isn’t the one insurance coverage firm that wishes to lower ties with Russia. Marsh McLennan, for instance, stated in March that it’s going to exit its companies in Russia following the “unprovoked assault by the Russian authorities towards the individuals of Ukraine.”
Throughout the identical month, Willis Towers Watson (WTW) introduced its intention to shift the possession of its Russian companies to native administration whose operations will probably be impartial from that of the group. In the meantime, Aon Plc (Aon) suspended its operations in Russia because it continues to observe the continued battle.
In April, Arthur J. Gallagher & Co. (Gallagher) confirmed in its announcement of its Q1 2022 monetary outcomes that it didn’t have workplaces or direct operations in Russia and Ukraine. It had a small variety of shoppers based mostly in or working in Russia, however it severed ties with these shoppers. It additionally carried out sturdy procedures to adjust to all relevant sanction legal guidelines.