Magazine date:
Jul 2016 According to Standard & Poor's, the profitability of French life insurers is expected to decline by 2020.
The downward pressure of prices and overcapacity will lead to an erosion of the average return on equity (ROE) of around 1 to 1 5% per year over the next four years.
The situation is even more complicated since insurers are using their return on investment to secure their return on equity. This strategy is difficult to maintain with declining interest rates.
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