Annual report 2009 - Santander

45InsuranceSantander Insurance focuses on risk coverage and savingsinsurance for individuals and households. Its strategy is based ona global business model that fosters development of innovativeproducts that are then distributed via networks in the countrieswhere the Group operates and its own distribution channels.Its business model combines exploiting synergies and the bestpractices that come from its global positioning, with specialisedmanagement in each country. It is a low-risk business due to itsgeographic diversification and to its retail nature.The total contribution to the Group’s revenue (gross incomeplus the fee income from the various networks) was EUR 2,422million (+4%).In 2009, Santander Insurance developed and increased its rangeof products, anticipating the needs of customers andcommercial networks, with achievements in all markets:• In Spain, leadership, already consolidated, in life insurancebusiness and strong drive in quality of service and distributionprocesses.• In Latin America, integration of insurance business in Braziland development of savings products in Mexico and Chile.• Consolidation of insurance business in the UK with theintegration of Abbey, Alliance & Leicester, Bradford & Bingleyand GE Money.• Santander's bancassurance model introduced in Sovereign.• In European consumer finance business, strong drive to sellinsurance in Germany.Means of PaymentSantander Cards globally manages means of payment. It is boththe issuer of credit and debit cards as well as the supplier ofpoint-of-sale terminals for shops. It contributes a specialisedview of this business which is well integrated into the Group’sretail banks. The division manages 75,3 million cards.Its business model combines business and risk outlook,from admission to management and the recovery of cards.The focus in 2009 was on:• Consolidating the integration of Banco Real in Brazil,launching for it innovative products such as the Flex card.• Creating the business model in the UK, strengthening thecapturing of customers in the branches of Abbey, Alliance &Leicester and Bradford & Bingley, and launching the SantanderZero card for customers of Alliance & Leicester.• Progress in integrating the cards business acquired from GeneralElectric Money.• Launching in Spain the Plus card which gives its customersa 5% discount on their purchases.Insurance businessMillion eurosNumber of policies (million) 30Total revenues for the Group 2,422Gross income 729Attributable profit 350Santander Cards*Million eurosTotal number of credit cards (million) 24.8Total number of debit cards (million) 50.5Lending 10,983Gross income 3,241* Santander Cards data perimeter (total Group excluding Banesto and Santander Consumer Finance)Annual Report 2009