OPEX Ratio Alignment & Portfolio Valuation Overview slide image

OPEX Ratio Alignment & Portfolio Valuation Overview

Private large portfolio companies EXTERNALLY VALUED ins P&C INSURANCE BUSINESS OVERVIEW INVESTMENT RATIONALE Significantly underpenetrated insurance market in Georgia (0.8% penetration in property and casualty insurance market). • Market leader with a powerful distribution network of point of sale and sales agents. MARKET SHARE 1Q22 (GROSS PREMIUMS WRITTEN) VIG³ GEORGIA CAPITAL MARKET & ALDAGI GROSS PREMIUMS WRITTEN¹ (GEL MILLION) 442 370 380 308 21% 24% 20% 13% VALUE CREATION POTENTIAL • Compulsory border MTPL effective from 1 March 2018. 4% 5% 5% %8 • Local MTPL expected to kick in and provide access to untapped retail CASCO insurance market with only 5% existing penetration. . Increasing footprint in untapped MSME sector, where Aldagi's gross revenues have grown by 37% y-o-y in 2Q22 (from GEL 0.61 million to GEL 0.83 million) and by 45% y-o-y in 1H22 (from GEL 1.1 million to GEL 1.5 million). Digitalisation. Undisputed leader in providing insurance solutions to corporate clients. Other New Vision PSP Irao Unison GPIH TBC Aldagi Insurance Source: Insurance State Supervision Service of Georgia INSURANCE PENETRATION & DENSITY Source: Insurance State Supervision Service of Georgia MARKET PL & COMBINED RATIO | 1Q22 Georgia P&C Penetration 0.8% Density $38 Total Market Profit* * GEL 6.4 m 228 202 195 29% 28% 29% 29% 99 36% 38% 39% 112 127 110 26% 90 105 20% 70 77 88 26 23 2015 2016 2017 2018 2019 Market 2020 Aldagi 2021 1Q21 1Q22 OWNERSHIP P&C Insurance is 100% owned through Aldagi. Georgia Capital PLC | 1. Calculated in line with the market approach. UK France Switzerland Insurance Density USD Belgium Germany Note: Penetration and density are stated including healthcare insurance (as of latest available data). Source: Swiss Re Institute 11.1% 9.5% 6,610 7.1% 5,273 6.5% 5.8% 4,140 5.0% 4.0 3,313 3,032 2.5% 2.4% 1,047 451 280 Slovenia Poland Bulgaria Turkey Russia Insurance Penetration Georgia 119% 102% 97% 100% 96% 106% 82% 70% 1.3% 1.3% 1.3% 2.6 124 160 64 0.5 0.3 0.2 0.7 Market CR 99% (1.1) (0.9) Aldagi TBC GPIH Imedi_L Unisoni Kamara PSP Other * Market data is based on net profits reported to regulatory body and does not represent IFRS amounts, except for Aldagi and TBC 60
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