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Strategy of PZU Group for the years 2015-2020 – the PZU 3.0 Strategy

The PZU Strategy for the years 2015-2020 – PZU 3.0 – was approved in January 2015. We are PZU! We ensure peace of mind and a sense of security.


The operations of PZU Group until the year 2020 have the following mission: "We are PZU! We ensure peace of mind and a sense of security". PZU Group entities have a common operating philosophy, which emphasises the following three basic values:

  • we are Fair – We play fair with our clients, employees, and shareholders. Our rules are clear and our offer is transparent and satisfies the real expectations of the clients;
  • we are Effective – We control the costs and make sure the processes are optimal. We offer our clients friendly service and competitive prices;
  • we are Innovative – We keep searching for ways to improve and continually adapt to the changing needs of the clients.
Retail Customers
Corporate Customers
Bancassurance and Strategy Partnerships
Socially responsible organization
Efficient claims handling, effective operations and fexible IT
Effective capital and investment policy and integrated risk management system


Market share:

Non-life market(1)> 35%

Life market(2) > 43%

(1)PZU SA and Link4 jointly

(2)Share of regular premium 


TFI market share(3)> 11.5%

(3) Share of PZU’s third party Customers assets in the TFI market’s assets net of non-public assets


Revenues Revenues > 650 m PLN

In the scope of the retail client, PZU Group intends to focus on the following:

  • mass-market client: The Group will maintain its current target client base (with top potential) and increase the segment’s cross-selling. The introduction of direct/ self service and the insurance products offered under two brands, i.e. PZU and Link4, will play an important role in maintaining the current clients and acquiring new ones. The Group will strengthen relations with its clientsthanks to the upsale of non-life insurance (mainly TPLand household) among clients with group life insurance orindividually continued insurance;
  • Premium client – PZU Group will raise its share in fulfilling the insurance needs and managing the assets of such clients. Except the insurance upsale (life individual protective as well as property), the Group will offer them individual health insurance products and investment products (mainly TFI);
  • SME client – Despite the rising competition, the Group will maintain its high market share in the SME segment.
    PZU Group will strengthen its relations with this segment by offering a complex life and non-life offer, i.e. property, life, and health insurance. With the development of these companies and growth of their insurance awareness, the Group will propose increases of the sums insured in the property insurance product to the clients in this segment, especially to big clients.

PZU Group will retain its position in motor insurance for corporate clients and also retain positive technical profitability. The Group will increase its share in the so-called Mid-Corpo segment of non-motor insurance from approximately 13% to approximately 20%.

The main instruments to realise the assumed objectives include the following:The operating philosophy of PZU Group on this market assumes that it will become a business partner with strong expertise for the clients and provide not just insurance products but also advise the clients at all risk management stages (especially during the determination of insurance needs). Regardless of the entity’s size, PZU Group will have an individual approach to its clients.

  • market introduction of product and process innovations with application of new technologies, including taking advantage of the Everest platform;
  • offering risk management consulting for Clients;
  • implementation of system solutions increasing sales effectiveness and raising the quality of customer and broker service.

PZU Group’s objective in the area of life insurance offered to corporate clients is to maintain the market share and accept the simultaneous controlled profitability decline.

Main operations:

  • implementation of product innovations;
  • development of service processes applying new technologies and gradual introduction of self-service to group and individually continued insurance;
  • improving the quality of the database of clients with group and individually continued insurance for potential to use it in cross-sale for retail clients. Monitoring and management of the flow of clients from the group with group insurance to the group with individually continued insurance.

In the area of cooperation with banks, the Group sets the following objectives:

  • preservation of the market share in scope of non-life products;
  • in the long term, exploiting the opportunities arising from U Recommendation and building its position in the field of life insurance (U Recommendation may temporarily contribute to the decline in gross written premiums);
  • seeking to establish a joint venture with a selected bank partner.

PZU Group will also expand its cooperation with trading partners with large customer bases or supporting mass payments. In particular, the Group aims to acquire new partners in the energy, fuel and telecommunications industries.
The Group will implement innovative insurance and assistance products for its strategic partners.


  • Our role is to provide our Clients with peace of mind and a sense of security. Our Clients can always count on us. We know our Clients very well and that is why we are ready to satisfy their needs and meet their justified expectations. Thanks to a large scale of our business and effectiveness, we provide them with top quality services at reasonable price.
  • As a result of our position on the market, we serve as “market watchdogs”. Our actions are beneficial for entire market and the clients, we actively influence market development and set high-quality standards in customer service.


  • As a leader on the Central and Eastern European market, we continue to deliver extraordinary profits to our shareholders.


  • PZU is a workplace which inspires the people to try their bests and enables them to keep work-life balance at the same time.

Main strategic objectives

The main strategic objective for the period until 2020 is to transform the institution from an insurance company into the Group based on three strong pillars, i.e.:

  • The main strategic goal until the year 2020 is to transform PZU from an Insurer into a Group Based on three strong pillars: insurance, asset management, health care.

    insurance – By raising the market share in selected segments, the Group will completely reverse the trend and acquire a bigger segment of the market. The Group will increase its non-life insurance market shares to a minimumof 35%1. It will retain its life insurance market share of over 43% measured with the share in regular premiums;
  • asset management – It will be the leader of the investment fund market. The objectives of Group include reaching a share of at least 11.5% in TFI assets (after exclusion of PZU Group’s assets in investment funds);
  • health care – PZU Group plans on becoming the leading Polish integrated health care provider and obtain the minimum revenue of PLN 650 million (including the written premium from health insurance) in 2020. 
    Group will also ensure a competitive return on equity. In the conditions of low interest rates with an unfavourable effect on investment activity, the 2020 ROE of PZU Group will reach minimum 20%.

PZU Group’s market share (%)


Share of PZU’s third party Customers assets in the TFI market’s assets (net of non-public assets) [%]

PZU Health’s revenues (PLN million)

Return On Equity (ROE) (%)

The 2020 net result of PZU Group will be achieved in the following conditions of insurance business profitability:

  • the combined ratio for PZU will be 3 p.p. better than the competition;
  • the minimum operating margin in group insurance andindividually continued insurance will be 20% (3.0 p.p. lower than in 2013).

Main instruments of the new strategy

The new client segmentation will play a considerable role among the instruments to realise the PZU Group’s strategy. The areas of potential revenue growth will not be identified through the product mix, as previously, but through the outlook on the position of PZU and PZU Życie in the segments of retail clients, corporate clients, and strategic partners (including Banks).

Retail Clients
Individual ClientPremium ClientSmall and medium-sized enterprises (SME)
Net monthly revenue up to PLN 4,000 Net monthly revenue over PLN 4,000 Annual revenue up to PLN 20 million

Corporate Clients – non-life insurance
Corporate Client (Mid Corporate)Key ClientStrategic Client
Annual revenue between PLN 20 million and PLN 100 million Annual revenue over PLN 100 millionTop 150 Polish companies with the greatest insurance potential

Corporate Clients – non-life insurance
Corporate Client (Mid Corporate)Key ClientStrategic Client
Employment: between 30 and 250 FTE Employment: between 251 and 1,000 FTE Employment: over 1,000 FTE

New, broader proposal of product mix value

Thanks to the market’s biggest product mix and experience in product development, PZU Group is able to adapt its offer to the client expectations not just in scope of product-associated demands but to use all its experience in all contact channels.

PZU Group’s policy will be based on a new, broader value proposal for the clients and will focus on the following:

  • complete proposal management in individual segments (non-life insurance, life insurance, investments, and health);
  • offering clear and transparent products to the clients – products without so-called asterisks;
  • increasing the flexibility and reducing response time to the actions of the competition in the scope of motor insurance prices;
  • revitalising the life insurance product mix for individual clients;
  • competing with service quality;
  • implementing system solutions for Customer Experience Management;
  •  building mutual relations (an ecosystem) to build loyalty and increase client involvement, including continuation of the assistance philosophy (and not just benefit/ compensation pay-outs);
  • introducing product and process innovations thanks to the application of new technologies, including digital technologies, and the Everest system.

Complex and multichannel distribution and customer service

PZU Group has the most complex and widespread distribution and customer service network, which allows the clients to choose the most convenient form of contact and service.

The main assumptions of PZU Group’s policy in relation to the distribution and service channels include:

  • the universal profile of exclusive channels and intensified cooperation among the channels with a narrower and more oriented offer;
  • introduction of a coherent, multichannel customer service model based on clear distribution of the channels’ function, allowing focus on the most effective operations from the perspective of the channel and the client;
  • coherent visual identification and high service quality standards in every customer service point of PZU Group;
  • introduction of an operating CRM – ensuring a 360° view of PZU Group’s client to adapt the products to the client’s needs and improve the service quality;
  • allowing direct purchase for the clients and service through the direct/ self service channels (i.e. one PZU client account).

The use of two brands for competitive purposes

In order to reach the biggest possible number of retail clients, PZU Group will use two brands – PZU and Link4 – with different positions and offers.

The strong direct Link4 brand will allow for the acquisition of new clients.

Main assumptions:

  • strategy of two complementary brands addressed to clients with various profiles and needs;
  • preservation of the organisational independence and flexibility of Link4;
  • coordination of the operations between the entities in the marketing strategy (value proposal);
  • cooperation of the distribution fields of PZU and Link4 aimed towards synergy, including the use of Link4 offer in PZU sales channels;
  • sharing know-how in scope of market information and organisation.

Introduction of a digital operating model

In early 2015 PZU shifted the products offered to individual clients and SME to the Everest platform. Products for corporate customers will be introduced into the system in the second half of 2015.

In 2020, PZU Group will operate through a digital model. It will ensure the following:

  • flexible adaptation of the offer to the needs of the clients (quick pricing changes and product implementation);
  • complete image of the client – a 360° view of the client with all relation, change and contact history;
  • multichannel sales and customer service with full availability of the electronic channels to the client;
  • complete digitalisation of client processes (elimination of “paperwork”);
  • process management with strong support from systems determining the workflow.

Employee professionalism and commitment

By maintaining the position of the preferred employer, PZU Group is building a results-oriented organizational culture.

Main actions (examples):

  • transparent procedures and innovative working tools;
  • improvement of the internal communication system;
  • realisation of the initiatives submitted by employees;
  • offering professional development opportunities;
  • attractive remuneration and additional benefit packages.

Employee involvement ratio in %

Investment policy

The most important objective of PZU Group’s investment policy until 2020 is the optimisation of investment profitability with the assumed risk appetite.

Main assumptions:

  • income volatility reduction (further growth of the share of portfolios with profiles near the absolute rate of return at the expense of index portfolios);
  • further diversification of investment portfolios (increase of corporate debt and alternative assets at the expense of treasury debt instruments);
  • development of investment property;
  • increase of the role of strategic asset allocation due to the lingering low interest rate environment.

Capital and dividend policy

PZU Group offers complex and effective capital management.
The objective of the capital and dividend policy is to focus on the rate of return for the shareholders by optimising the capital level while ensuring high solvency ratio and maintaining funds for strategic development through acquisitions.

The main premises of PZU Group’s capital and dividend policy include:

  • dividend payment at 50-100% of PZU Group’s consolidated profit;
  • maintenance of the solvency margin (pursuant to Solvency I) at a level no lower than 250%;
  • maintenance of assets to cover the technical provisions in individual companies of PZU Group (i.e. PZU and PZU Życie) at a level no lower than 110%;if the law should allow it, optimisation of the funding structure by changing the surplus capital into subordinated debt (optionally depending on the needs resulting from acquisitions).

PZU Group admits the possibility of changing the capital and dividend policy after the Solvency II Directive comes into effect.