Barmenia Gothaer Sets Sights on €10 Billion Revenue, Embraces AI for Future Growth
Cologne/Wuppertal, Germany – In a bold move signaling its ambitions in the competitive German insurance market, Barmenia Gothaer, formed through last year’s merger, today unveiled a comprehensive five-year strategy focused on aggressive growth, digital transformation, and a commitment to sustainability. The company aims to increase its premium income to €10 billion by 2028 and secure a position among the top three mutual insurance associations in Germany by 2030. This is breaking news for the financial sector, and a signal of consolidation and innovation within the European insurance landscape.
Andreas Eurich (l.) and Oliver Schoeller, joint chairmen of the board, presented the new strategy at a press conference.
A Four-Pillar Strategy for “Strong Together”
The new strategy, dubbed “Strong Together,” rests on four key pillars: People, Growth, Resilience, and Technology. Co-Chairmen Oliver Schoeller and Andreas Eurich emphasized that sustainability will be a driving force across all dimensions. This isn’t just about financial performance; it’s about building a future-proof organization that addresses the evolving needs of its customers and the planet. The company currently holds a 9th place market share in Germany with €8.6 billion in premium income, demonstrating significant room for expansion.
Streamlining Operations and Harnessing Synergy
Achieving these ambitious goals requires a fundamental shift in how Barmenia Gothaer operates. The company plans a significant reduction in structural complexity, harmonization of risk carrier strategies, and the integration of its two health insurance divisions. This streamlining is designed to unlock synergy potential and create new opportunities for investment and innovation. Eurich highlighted the importance of strengthening insurance technology in both composite and health insurance, alongside optimizing the reinsurance structure.
Targeted Growth in Key Sectors
Barmenia Gothaer’s growth strategy focuses on three core areas: retail banking, employer benefits (company health insurance and retirement planning), and medium-sized businesses. In retail banking, the company will leverage digital sales channels and consolidate its exclusive sales organizations, creating one of Germany’s largest exclusive agent networks with 2,830 agents by early 2026. For employer benefits, the focus will be on penetrating the small and medium-sized enterprise (SME) market, where demand is particularly strong. The company also sees significant potential for international expansion within its composite business, currently generating €200 million in overseas sales.
AI to Bridge the Demographic Gap and Boost Efficiency
Perhaps the most forward-looking aspect of the strategy is the planned integration of Artificial Intelligence (AI). With approximately 1,700 of its 7,300 employees expected to retire in the next five years, Barmenia Gothaer is proactively seeking to mitigate the impact of this demographic shift. The company aims for 20% of its workforce to regularly utilize AI-powered tools, going beyond basic generative AI applications to leverage AI agents that streamline business processes. This isn’t just about replacing jobs; it’s about empowering employees with tools to enhance their productivity and deliver better customer service. This move positions Barmenia Gothaer at the forefront of the AI revolution in the insurance industry.
Sustainability as a Core Value
Barmenia Gothaer is also doubling down on its commitment to sustainability, planning €2 billion in impact investments by 2029, adding to its existing €5.6 billion portfolio. The company aims to increase its market share in insuring onshore wind turbines in Europe to 25% and achieve climate neutrality by 2050. This commitment reflects a growing trend within the insurance industry to integrate Environmental, Social, and Governance (ESG) factors into core business strategies.
Barmenia Gothaer’s ambitious strategy signals a new era for the merged company, one defined by growth, innovation, and a dedication to both financial success and responsible corporate citizenship. The company’s focus on AI and sustainability positions it well to navigate the challenges and opportunities of the evolving insurance landscape, and its progress will be closely watched by industry observers and competitors alike. Stay tuned to archyde.com for continued coverage of this developing story and insights into the future of the insurance sector.
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