LNDAF - Línea Directa Aseguradora S.A. Compañía de Seguros y Reaseguros (LNDAF) Q4 2023 Earnings Call Transcript
2024-03-05 13:40:05 ET
Línea Directa Aseguradora, S.A., Compañía de Seguros y Reaseguros (LNDAF)
Q4 2023 Earnings Conference Call
March 04, 2024 03:00 AM ET
Company Participants
Mark Brewer - Investor Relations
Carlos Rodriguez Ugarte - Chief Financial Officer
Conference Call Participants
Maksym Mishyn - JB Capital
Freya Kong - Bank of America
Carlos Peixoto - CaixaBank
Thomas Bateman - Berenberg
Presentation
Mark Brewer
Welcome everybody. My name is Mark Brewer, Investor Relations at Línea Directa. We published our fourth quarter results earlier this morning and I have here with me our CFO, Carlos Rodriguez Ugarte to present this report.
Let's start by reminding we started to report under IFRS 17 figures in 2023. We've been reporting in parallel under IFRS 4 for a smooth transition. On this matter, there are certain key messages we would like to highlight.
The profit and loss account changes format. Income from insurance service is equivalent to premiums earned. The discounting effect in claims reserves is accounted for in other comprehensive income. So, we are reporting a combined ratio which is undiscounted.
This being said, please bear in mind that differences in calculations appear from IFRS 4 to IFRS 17 such as a statistical methodology in home versus a case-by-case reserve and the best estimate under IFRS 17 with many more parameters to which we calculate the risk adjustment. This is to underline that some upward or downward differences are taking place and will continue to take place.
A reclassification of certain items move from expenses to claims and to non-assignable expenses. Regarding the investment result, realized gains from equity investments are accounted for in other comprehensive income....
Línea Directa Aseguradora, S.A., Compañía de Seguros y Reaseguros (LNDAF) Q4 2023 Earnings Call Transcript