Mutual, dividend | Pay more than two billion to Norwegians



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More than 800,000 Norwegians can expect to receive money in the account.

– Some payments are made automatically. For the sake of order, one should verify the account, even if everyone receives a notification. We definitely have the majority of private clients, so it may be welcome money for many these days, says non-life communications manager Bjarne Rysstad at Gjensidige a Nettavisen.

For 11 years in a row, the insurance giant pays dividends from clients to their owners. A total of 800,000 Norwegians, both private and commercial clients, are getting their share of the Gjensidige pie these days. Therefore, more people may have received money without receiving it, even if notified by text / email after the money has been received into the account.

What are the average payments for a private client?

– Most clients recover a few thousand dollars. I can mention some examples, where the average is 2600 crowns per customer at Øvre Eiker and Asker, says Rysstad by phone.

2700 crowns

A little later, the person in charge of communications with statistics from other municipalities arrives.

– 5,300 Gjensidige clients in Ringerike, Hole and Jevnaker municipalities will share NOK 12.5 million in customer dividends, and 5,700 Gjensidige clients in Kongsberg, Flesberg, Rollag, Nore and Uvdal municipalities will share NOK 13.4 million in customer dividends, Rysstad writes in an email.

– The average is about 2700 crowns per customer. It includes both commercial and private clients, says the communications manager.

Fine thread

Since 2009, Gjensidige has distributed client dividends to their owners. This year, however, the share dividend was at stake, as the Gjensidige general meeting decided on May 25 that no money should be distributed, as a result of the crown situation affecting Norway.

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However, Gjensidige’s board was authorized to pay dividends at a later date, and now the payments have started. Owners are paid NOK 6.1 billion, corresponding to NOK 12.25 per share.

Also read: Great year for one of the most powerful businesses: receive a dividend of 60 million

More than two billion

The largest shareholder is the Gjensidige Foundation, which in turn pays part of the dividend received from Gjensidige. Gjensidige clients will recoup 13.7 percent of what they paid for their non-life insurance in 2019, and after tax, the dividend amount will be 11 percent, writes smartepenger.no.

– This means that Gjensidige’s non-life insurance clients can expect to share around NOK 2.2 billion in 2020, Rysstad tells Nettavisen.

Very little affected

The company does this, despite Finanstilsynet in early fall asking banks and insurance companies to hold back. Gjensidige herself says the company is “very strong”. Among other things, they had the best second quarter of this summer with an insurance result of NOK 1.34 billion, compared to NOK 1.258 million in the second quarter of 2019. Therefore, there is capital in the company to distribute dividends.

Also read: Record result for Gjensidige: will pay dividends

– Gjensidige’s board of directors believes that the great uncertainty has been reduced and that there is now a good information base to support the payment of dividends. Despite the extraordinarily large compensation related to trip cancellation, the total compensation payments are not significantly different from a normal situation.

– The company’s premium income is very little affected by the ongoing pandemic, and there is little indication that this will change significantly in the future, Gjensidige writes in a press release.

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