In an interview with the "echoes", the President of the French Federation of insurance companies, Gérard de La Martinière provides its assessment on the first year of commercialization of the PERP. For him, it is not yet a real success, but signals appear encouraging.
The launch of the PERP was a success, according to you
It is still a little early to make a judgment. At this stage, it cannot not even really talk about success. The collected amounts remain modest compared to the great flood of allocation of savings. End of November, 1.125.000 PERP had been sold for a collection of EUR 340 million. Our initial estimates were a collection of full-year to EUR 1 billion. But the marketing of the product has actually begun that late April, after the publication of the Decree of the Fillon law. We also expect the figures for December. It was during this period that savers take initiatives on reduction of the tax invoice. Payments are usually higher than in other periods of the year. But, even with the collection of December, we should not reach 1 billion euros of turnover.
Has the launch of the PERP cannibalized life insurance
The figures speak for themselves. Seven months (late November), the collection on the PERP has reached EUR 340 million while life insurance grew by 13 since the beginning of the year 2004, to EUR 93.9 billion... The launch of the PERP did touch nothing common and normal flow generated by life insurance.
What have been your surprises at the end of these some eight months of marketing
The biggest surprise comes from the average age of the PERP subscribers, according to the companies, between forty and forty-five years. The first indications that date back to the market, it appears that the target age is younger than the early. This course, the consequences on the collection has since the contributory capacity of this young population are lower. On another level, we are very satisfied with the interest shown our citizens to the product. This goes far beyond our first forecast. With our reflexes of insurers, we imagined that only silver populations would be the next step. In fact, the plebiscite for the PERP was much broader. Furthermore, everything that was said on the dislike of the French for output in annuity apparently does not produce its effects. A genuine interest is shown for this very long contractual savings concept, which has a character permanently assigned to retirement coverage. All these signs are very encouraging. I believe that we are successful positioning of a new generation of products.
The bancassureurs have, for the time being, taken the bulk of the market. That is that it inspires you
It is a chance to have a wide variety of distribution channels. This confirms especially the strength of the banking networks in commercial terms and on the products of mass marketing. It also registered increasing the contribution of the subsidiaries of a bank approach development of insurance products. Despite the "capital" of their house-mother culture, the bancassureurs show their willingness to be present on all products and insurance professions. Their positioning on this new market of retirement is also consistent with the part they represent life insurance now more than 60 of the market.