Swedish ICMIF member Folksam has highlighted the impact of its Competitiveness Programme as a key development in 2025, pointing to streamlined processes, reduced costs and strengthened long-term sustainability across the business.

While the Folksam Group reports improved profitability and total assets under management of SEK 999 billion for the year, the organisation has placed particular emphasis on structural changes delivered through its “Competitiveness Folksam” initiative – especially within its non-life operations.

As a result of the programme, alongside premium adjustments, portfolio growth and a mild winter with fewer claims, profitability in Folksam Sak has developed positively during 2025. The work within Competitiveness Folksam has contributed to streamlining internal processes through stronger supplier management, improved recourse handling, strengthened anti-fraud efforts and new working methods.

The total expense ratio in Folksam Sak improved to 84 per cent, while the consolidation ratio reached 215 per cent.

The Group says it also reduced both operating and claims costs during the year, with investments in digitalisation and automation delivering more efficient processes across the organisation.

“2025 has been another turbulent year in the world with increased political polarization and geopolitical unrest. As CEO of the Folksam Group, I am proud that despite an uncertain global situation, we have continued to deliver security and created value for our customers, partly through our products but also thanks to a good return on their capital. In 2025, we also reduced our operating and claims costs while premiums increased,” says Ylva Wessén, President and CEO, Folksam and Vice-Chair of ICMIF’s Board of Directors, in a comment.

Asset management performance remained strong across the Group’s businesses, contributing to overall resilience in an uncertain global environment.

“The Folksam Group is stable even in an uncertain world. Assets under management have increased to a new record level and we can deliver strong returns to our customers, which is one of our most important competitive advantages,” says Marcus Blomberg, Head of Asset Management and Sustainability.

Folksam says its modernisation efforts have been central to creating more sustainable cost levels for the future.

“We have modernised the business and created long-term sustainable cost levels. It strengthens both the Folksam Group and our customers for the future,” says Ylva Wessén in conclusion.