Sampo Group

Annual Report 2011
Sensitivity Analysis of the Capital Position
Capitalization by Rating Agency Criteria

Capitalization by Regulatory Criteria

Sampo Group reports its Group solvency quarterly to the Finnish supervisory authorities monitoring Sampo Group. Subsidiaries’ solvency is reported to the local supervisory authorities.

The regulatory capital requirements and the regulatory solvency capital of If P&C and Mandatum Life are presented in figures 'Regulatory capital measures, If P&C and Mandatum Life, 31 December 2011 and 31 December 2010'. In If P&C regulatory solvency capital was 3.25 times regulatory capital requirement and the respective figure for Mandatum Life was 4.61 at the end of year 2011. Regulatory solvency capital, which is used to assess the solvency of an insurance company, is not calculated for the parent company Sampo plc.

Regulatory solvency capital of If P&C decreased to EUR 2,698 million (EUR 2,956 million in 2010) while the regulatory capital requirement was EUR 841 million (EUR 735 million in 2010). Regulatory solvency capital of Mandatum Life Group decreased to EUR 1,041 million (EUR 1,324 million in 2010) while the regulatory capital requirement was EUR 226 million (EUR 231 million in 2010). Also Sampo Group’s consolidated capital position was strong. The Group solvency ratio was 139 per cent (167 per cent in 2010).

 

The calculation of Group solvency according to the Act on the Supervision of Financial and Insurance Conglomerates (1193/2004) is broken down in table 'Group solvency, 31 December 2011 and 31 December 2010'.
Group solvency,
31 December 2011 and 31 December 2010
EURm

31 Dec 2011

31 Dec 2010

Group capital

8,920

8,886

Sectoral items

1,091

1,711

Valuation differences and deferred taxes

380 

508

Topdanmark

-141 

 

Subordinated loans

200 

289

Share of Nordea's capital not included in Group capital

653 

915

Intangibles and other deductables

-3,217

-3,033

Intangibles (insurance companies)

-745 

-742

Intangibles (Nordea)

-1,314 

-1,218

Equalisation provision (Finland)

-317 

-361

Contingency reserve (Finland)

0

Other

-169  -67

Planned dividends for the current period

-672 

-645

Solvency capital, total

6,794 

7,564

Minimum requirements for solvency capital, total

4,902 

4,526

     
Group solvency

1,892

3,038

Group solvency ratio

(solvency capital % of minimum requirement)

139%

167%

 

Sensitivity Analysis of the Capital Position
Capitalization by Rating Agency Criteria