Gjensidige Forsikring ASA Q2 2025 Earnings Call Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Hans Rettedal Christiansen - Danske Markets Equities - Analyst : So, I guess my question is just around private Norway and the claims development this quarter, where kind of nominally speaking, you're down 10% year over year and you say some of that is driven by weather and it also looks like quite a lot of it is driven by the fires that occurred in Q2 '24. So, I guess my question is a little bit around what should we or what is your expectation going into the second half of this year for the sort of nominal development in claims And then the second part of that question is also I guess, as you're saying your kind of very confident about your pricing measures so far. So, the only uncertainty kind of lies within the large losses as I see it and how kind of certain can you be on the NOK2 billion guidance that you reiterate, when you're at NOK1.2 billion so far this year.

Question: David Barma - Bofa Merrill Lynch Asset Holdings Inc - Analyst : Firstly, on Property particularly, it seems that in Q1 you expected a faster price increase and a sharper improvement of profitability in 2026. I'm just reading your slides you have at the beginning with the price increases and the frequency and severity, has this changed a bit between Q1 and Q2? It seems like your expectations there have reduced a bit, so that's my first question. And then secondly, on the investment portfolio, so real estate started contributing nicely to the free portfolio investment results. Are you at the target allocation to the asset class now, and you also mentioned the non-recurring item and the real estate result, how much was that, please?

Question: Ulrik Znrcher - Nordea - Analyst : Just one question, can you -- is it possible to quantify the impact that lower claims frequency had on the -- for Property in private Norway had on the combined ratio year over year. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. JULY 11, 2025 / 6:45AM, GJFG.OL - Q2 2025 Gjensidige Forsikring ASA Earnings Call

Question: Ulrik Znrcher - Nordea - Analyst : A bit differently, are you happy with the -- like the overall level of the combined Group, combined ratio this quarter? Yes, you were lucky, but it's also roughly where you need to be in the summer quarter to reach your target for '26, is that correct?

Question: Ulrik Znrcher - Nordea - Analyst : Because I just see it as like Denmark, you still want to improve Denmark, of course, on the retail side, and you're still repricing above claims inflation in in Norway, so I'm just trying to think about sort of the run rate when all these price increases come through versus tailwinds you had on the frequency. Yeah, okay, but I understand you don't want to give that to those numbers.

Question: Michele Ballatore - KBW, A Stifel Company - Analyst : So, I'm just wondering, I mean the improvement was very strong, and of course, we can see the claim frequency, especially in poverty, the improvement was also particularly strong. My question, I guess is trying to understand the contribution from the pricing improvements that you're doing, to what extent this improvement of the pricing, I mean, how far are you in the process, if we look at 2025, do you still need to need to increase prices. I mean, yeah, I guess my question is how far you are in the process in terms of, let's say improving your, the overall pricing of your portfolio. Thank you.

Question: Michele Ballatore - KBW, A Stifel Company - Analyst : Okay, thank you, and I don't know if I can briefly follow up on a second question regarding the investigation in Denmark on the index session, I just wanted to know your point of view on this also (inaudible).

Question: Michele Ballatore - KBW, A Stifel Company - Analyst : Okay, so I suggested change in behavior if this investigation will lead to that, you will see as a positive development.

Question: Vinit Malhotra - Mediobanca - Analyst : So, just the one question I would choose from my side is really, so we've seen the Q2 was very good from lower fires, from slightly tapering frequency, and I'm just curious, the what's driving the outlook improvement for the inflation, I think it's about 1point improvement in both Motor and in Private lines in Norway. And I'm just curious why we think that is happening because we just had a good quarter or is it something else you have seen or expecting and linked to that obviously is that the pricing is tapering off from your side, which is following that outlook. So, I'm just curious about the outlook for inflation which is lower than the drivers. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. JULY 11, 2025 / 6:45AM, GJFG.OL - Q2 2025 Gjensidige Forsikring ASA Earnings Call

Question: Fredrik Ivarsson - ABG Sundal Collier Holding ASA - Analyst : I have a question about if you can make a comment on your current quick ratio and if you can comment on the decline in the pricing measures and spit it into how much of it comes from us rolling one quarter forward and how much of it is from you actively taking down your repricing?

Question: Fredrik Ivarsson - ABG Sundal Collier Holding ASA - Analyst : Yeah, it was about the repricing measures. It's down in probably from 17.5% to 14.5% and then Motor is also down, and I was wondering how much of the decline is from us, and comparing a different quarter, we are one quarter ahead and how much of the decline is from you actively taking down the pricing measures. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. JULY 11, 2025 / 6:45AM, GJFG.OL - Q2 2025 Gjensidige Forsikring ASA Earnings Call

Question: Youdish Chicooree - Autonomous Research - Analyst : So, the first question, if I could go back on the topic of claims inflation and the fact that you moderated the expectations, I think you touched on the impact of tariffs and geopolitical uncertainty earlier on, but could you just elaborate what your assumptions around that and whether the top end of the inflation range essentially is your expectation if some of your fears around tariffs, et cetera, materialized., that's my first question. And if I could ask a second question, please on just on your pricing, I think the gap between pricing and severity is around 9 points, 10 points, this is still very high, and it puts you in a position to potentially outperform your own target in the next couple of years.

Question: Youdish Chicooree - Autonomous Research - Analyst : Sorry, I couldn't quite catch your question.

Question: Youdish Chicooree - Autonomous Research - Analyst : No, I mean, if you maintain that kind of gap between pricing and inflation that already if you normalize your combine ratio you below 80% that means, if you maintain this kind of pricing, you probably your own combined ratio target so.