Baloise in Switzerland: Refocusing strategy goes from strength to strength in the first six months of 2025

Basel, 10 September 2025. The first half of 2025 was very satisfying for Baloise in Switzerland. The refocusing strategy, which had been launched in 2024, is continuing to have a positive impact and underlines the operational strength of the Swiss business. The combined ratio improved significantly to 88.0 per cent despite high claims incurred of CHF 46.5 million gross resulting from the landslide in Blatten in May 2025. This means that the combined ratio is comfortably on course to contribute significantly to the Group’s strategic target of achieving a profit margin of around 90 per cent in the non-life business by 2027. Key milestones were reached in both the insurance and the banking businesses, such as a considerable improvement in profitability in non-life business, progress with action to raise efficiency in insurance and banking, and further development of the insurbanking model. 

In the first half of 2025, the insurance business of Baloise in Switzerland remained on the positive trajectory seen in 2024. The EBIT contribution to the Group figure increased once again, climbing by 58.3 per cent compared with the first half of 2024 to CHF 254.4 million.

There was a very satisfying rise in the volume of premiums in the non-life business, from CHF 1,153.7 million in the first six months of 2024 to CHF 1,173.8 million in the period under review. The sustained growth of the motor vehicle insurance, property insurance, liability insurance and marine insurance businesses was especially encouraging.

The combined ratio improved to 88.0 per cent (H1 2024: 93.7 per cent), reflecting the successful optimisation of the portfolio and implementation of cost-saving measures.

Baloise in Switzerland was there to provide dependable support to its customers when they faced challenging situations. For example, we provided quick and straightforward help to our policyholders affected by the natural disaster in Blatten, thereby clearly demonstrating our commitment to being a reliable partner.

The decrease in the volume of premiums in the life business to CHF 1,267.3 million (H1 2024: CHF 1,588.6 million) reflected the market trend toward semi-autonomous solutions, such as Perspectiva, for pensions in Pillar 2 of the Swiss social security system. The number of companies signed up to Perspectiva advanced to 5,239 (H1 2024: 5,100), with around 22,200 policyholders. Assets under management swelled by 9 per cent compared with the end of June 2024 to CHF 1,928 million.

Banking business* demonstrates improved efficiency

The banking business of Baloise in Switzerland delivered a particularly encouraging performance. Baloise Bank Ltd achieved good financial results that included a jump in income from services rendered and a steady level of net interest income amid difficult market conditions. It also raised its efficiency significantly and has lowered its cost/income ratio to 60.3 per cent (H1 2024: 65.4 per cent). The company is thus comfortably on course to achieve the strategic target of a cost/income ratio of below 55 per cent by the end of 2027.

The bank’s sales volume remained almost on a par with the prior-year period at CHF 464.8 million, with a good balance of lending business assets, client assets and custody account volumes. Furthermore, the bank’s profit for the period went up by around 20 per cent.

Satisfied with strategic progress

“I am proud that our refocusing strategy has got off to such a good start in Switzerland. The significant improvements in both the insurance and the banking businesses show that we are on the right track,” says Clemens Markstein, CEO of Baloise in Switzerland. “I am particularly impressed with the performance of Baloise Bank Ltd, which has already lowered its cost/income ratio significantly. This confirms our confidence in the insurbanking model and the strategic direction that we have chosen.”

Strategic action is bearing fruit

The action initiated under the refocusing strategy in order to boost efficiency continued according to schedule in the reporting period. Of the 250 job cuts planned across the Group, roughly half are envisaged for Switzerland. These will be implemented with the minimum possible social impact and in close consultation with the employee representative bodies.

The changes to the composition of the Executive Committee, particularly the appointment of Thomas Schöb as CEO of Baloise Bank Ltd and Andrea Kleiner as Head of Business Clients, mean that the key personnel structures have been put in place to support the successful implementation of the strategy.

Outlook for 2025 as a whole

Baloise in Switzerland is optimistic that it can maintain its positive performance during the remainder of the year. The Swiss business confirms its medium-term targets for the period up to 2027, notably its intention to achieve a combined ratio of below 90 per cent in the non-life business and a cost/income ratio of below 55 per cent by the end of 2027 in the banking business.

“Thanks to our strength in the first six months, we have laid firm foundations for the year as a whole. We will continue to steadfastly implement our strategy, using our tried-and-tested insurbanking model to differentiate ourselves from the competition. The planned merger of Baloise and Helvetia, which will combine the individual strengths of the two companies, will open up new opportunities for growth that will consolidate our leading position in the Swiss market,” concludes Markstein.

Contact
Baloise, Aeschengraben 21, CH-4002 Basel
Website: www.baloise.com
E-Mail: media.relations@baloise.com / investor.relations@baloise.com
Media Relations: Tel: +41 58 285 82 14
Investor Relations: Tel: +41 58 285 81 81

About Baloise

The focus is firmly on the future at Baloise. We aim to make tomorrow more straightforward, safer and more carefree for our customers, and we are taking responsibility for this today. Baloise is more than just a traditional insurance company. Through our smart finance and insurance solutions, we offer a complete service package. Dependable support, reliable cooperation and trust-based relationships are key aspects of our stakeholder interaction. We take care of financial matters so that our customers can concentrate on the important things in their lives and can find inspiration in the everyday. Baloise, a European company founded more than 160 years ago, currently employs 8,000 people at its headquarters in Basel (Switzerland) and across its subsidiaries in Belgium, Germany and Luxembourg. Our services generated a business volume of around CHF 8.6 billion in 2024. Baloise Holding Ltd shares (BALN) are listed on the SIX Swiss Exchange.