PRESS RELEASE: In the first half of 2013, -2-

-1 of 3- 05 Sep 2013 05:01:00 UTC  *DJ In the first half of 2013, Nationale Suisse increases operating profits despite a downward trend in premiums, and its solvency 1 ratio remains very solid

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-2 of 3- 05 Sep 2013 05:01:00 UTC  PRESS RELEASE: In the first half of 2013, Nationale Suisse increases operating profits despite a downward trend in premiums, and its solvency 1 ratio remains very solid

Nationale Suisse / In the first half of 2013, Nationale Suisse increases operating profits despite a downward trend in premiums, and its solvency 1 ratio remains very solid . Processed and transmitted by Thomson Reuters ONE. The issuer is solely responsible for the content of this announcement.

Nationale Suisse generated a higher operating profit in the first half of 2013; this increase follows the reduction in the profit for the same period in the previous year by a positive one-off effect. Against the backdrop of the challenging economic and market environment, the insurance group recorded a downward trend in premiums. In non-life business, it achieved a very good combined ratio. Its solvency 1 ratio was already very solid, and it has recorded a further improvement. Markus Deplazes is confirmed as a member of the Executive Board and Head of Customer Service & Non-life Switzerland. For 2013 Nationale Suisse is cautiously optimistic for the Group as a whole. It will keep to its risk-conscious underwriting policy.

Key figures from the 2013 semi-annual result at a glance:

-- Increase in operating consolidated profit of 6.4% to CHF 53.2 million following the reduction in the profit for the same period in the previous year by the positive one-off effect of the change to the rules relating to the Nationale Suisse pension fund in Switzerland, namely CHF 6.8 million after taxes

-- Without this reduction, consolidated profit has actually fallen by 6.4% (CHF 56.8 million for the first half of 2012)

-- Downward trend in gross premiums of 3.8% at constant exchange rates to CHF 880.4 million against the backdrop of a selective underwriting policy in a difficult environment

-- Downward trend in premiums of 7.2% in the specialty lines, depressed by the cyclical Engineering and Credit Life specialty lines

-- Very good combined ratio of 92.9% (91.5% for the first half of 2012) thanks to a low claims burden in Switzerland, but unsatisfactory result abroad

-- Solid annualised return on investment of 3.1% (2012: 3.4%)

-- Equity virtually unchanged at CHF 888.3 million (CHF 893.9 million as at end of 2012)

-- Substantial return on equity of 12.0% (2012: 14.2%)

-- Already very solid solvency 1 ratio further improved to 264.6% (259.2% as at the end of 2012)

Increased operating profit, and solvency 1 ratio remains at a very solid level

Nationale Suisse generated an operating consolidated profit of CHF 53.2 million during the first half of 2013, up a pleasing 6.4% on the previous year. This increase was achieved after reducing the previous year's profit for the period by the one-time effect from the change in rules relating to the Nationale Suisse pension fund in Switzerland, namely CHF 6.8 million after taxes. Without this reduction, consolidated profit has actually fallen by 6.4%.

At constant exchange rates, gross premiums fell by 3.8% to CHF 880.4 million at Group level. "A recessionary market environment and the austerity measures adopted by many countries as well as tough competitive conditions led to this development", says Hans Künzle, CEO of Nationale Suisse. "However, the considerable falls in premiums in some lines were softened at Group level by growth in other lines. Nationale Suisse's diversification strategy, which is based on two pillars, made a considerable contribution here." This strategy encompasses the less volatile client segments private clients and corporate clients and the six specialty lines, some of which are cyclical.

The Group's equity is practically unchanged at CHF 888.3 million (CHF 893.9 million as at the end of 2012) and the return on equity was a high 12.0% (2012: 14.2%). Nationale Suisse again achieved an increase in its very solid solvency 1 ratio to 264.6% as at 30 June 2013 (2012: 259.2%).

Non-life decreased slightly due to a selective underwriting policy and a difficult market environment

In the first half of 2013, Nationale Suisse recorded a fall in non-life premiums of 2.6% to CHF 775.0 million at constant exchange rates (2012: CHF 791.3 million). At -15.1% in original currencies, the cyclical Engineering specialty line contributed in particular to this negative growth. This is attributable to the adverse economic situation, the challenging market environment and a correspondingly selective underwriting policy. The fall in premiums of 18.9% at constant exchange rates in the motor liability business of the Non-life Foreign Countries segment also had a major impact on the overall premium decrease; this was a consequence of the economic situation in Italy, Spain and Belgium and ongoing portfolio restructuring measures.

Non-life Switzerland remained highly profitable - Non-life Foreign Countries segment produced an unsatisfactory result

In the first half of 2013, the Group's combined ratio in non-life business came to a very good 92.9% compared with 91.5% in the same period in the previous year - this is thanks to the low claims burden in the Non-life Switzerland segment and despite the burden imposed by some major claims in the Non-life Foreign Countries segment. The improved profit before taxes of CHF 87.8 million (+9.7%) in the Non-life Switzerland segment was not sufficient to offset the deterioration abroad. "The disappointing result in the Non-Life Foreign Countries segment is attributable to operational, strategic and macroeconomic factors", states Hans Künzle. "Against this background, we are now reviewing Nationale Suisse's transformation process in the foreign subsidiaries in Europe."

Higher Life segment profits before taxes, despite the fall in premiums

In the life business, gross premium volume decreased by 11.6% to CHF 105.4 million at constant exchange rates. This fall in premiums is due, in particular, to a severe slump in the Credit Life specialty line in the Individual Life Foreign Countries segment, caused by the economic situation. Nationale Suisse's traditional business involving single premiums in Switzerland also shrank because of the strategy-driven switch to a new, capital-efficient product range. An improvement in pre-tax profits was produced in both Life segments.

Solid investment result thanks to slightly higher current income despite low interest rates

Nationale Suisse's investment portfolio, which had changed little in terms of composition, again proved its ability to cope with anything in the face of continuing volatility in the financial markets. This is also clear from the fact that the net income from investments only fell slightly, by 6.2% to CHF 78.1 million, despite persistently low interest rates and few realised gains. This is equal to an annualised return on investment of 3.1% (2012: 3.4%). Net current income from investments rose slightly, after deducting administrative costs, by 5.6% to CHF 68.4 million. The return on investment from current income therefore increased slightly to 2.7% compared with 2.6% in the first half of 2012.

Markus Deplazes confirmed as a member of the Executive Board

Markus Deplazes, who has been running Customer Service & Non-life Switzerland on an interim basis since 1 May 2013, will become a member of the Executive Board of Nationale Suisse with immediate effect and will perform his role on a permanent basis. Here, he is responsible for technical services, customer service and claims management in the Swiss private and corporate clients segment which comprises both the traditional and the business differentiated by specific target groups.

Outlook: disciplined underwriting is a priority - initiatives for growth to be continued

Despite signs of an economic recovery in Switzerland and large parts of Europe, the economic situation remains uncertain. Nationale Suisse aims to profit from a possible increase in volume in the insurance market, while applying risk-conscious underwriting guidelines. "We are therefore concentrating in a consistent and focused manner on growth and earnings drivers, such as the recently agreed cooperative ventures in art insurance, the application for a licence in Singapore and the new product range in Individual Life Switzerland", says Hans Künzle. "Thanks to the pleasing profit for the half-year period, we are cautiously optimistic for the year as a whole at Group level."

The interim report for the first half of 2013 is available at:

www.nationalesuisse.com/semi-annual-report

Brief profile

Nationale Suisse is an innovative, international and independent Swiss insurance group providing first-rate risk and pension solutions in non-life and life business as well as a growing number of tailored specialty lines products. Consolidated gross premiums came to CHF 1.51 billion in 2012. The Group comprises the parent company and about 20 subsidiaries and branch offices for focused product lines in Switzerland, Italy, Spain, Germany, Belgium, Liechtenstein, Malaysia, Latin America and Turkey. The headquarters of Swiss National Insurance Company Ltd are in Basel. Nationale Suisse is listed on the SIX Swiss Exchange (NATN). On 30 June 2013, the Group employed 1 889 staff (full-time equivalents).

Information Remo Meier Nationale Suisse Investor Relations Steinengraben 41 Phone +41 61 275 22 45 4003 Basel Fax +41 61 275 22 21 Switzerland remo.meier@nationalesuisse.com www.nationalesuisse.com/invest or-relations

Christina Hartmann Nationale Suisse Media Relations Steinengraben 41 Phone +41 61 275 23 40 4003 Basel Fax +41 61 275 22 21 Switzerland (MORE TO FOLLOW) Dow Jones Newswires

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-3 of 3- 05 Sep 2013 05:01:00 UTC  PRESS RELEASE: In the first half of 2013, -2-
christina.hartmann@nationalesuisse.com www.nationalesuisse.com/media- relations

Key dates Publication of the annual report 2013 26.03.2014 Media conference to announce financial results 26.03.2014 at Widder Hotel, Zurich Financial analysts' conference at Widder 26.03.2014 Hotel, Zurich Annual General Meeting, Basel 19.05.2014

Disclaimer and exclusion of liability

The purpose of this press release is to inform the public about certain events or developments arising from the company's business. The information published in this article is not an advertisement, offer or recommendation to engage in transactions involving securities or other products of Nationale Suisse or any other type of transaction. This press release may contain certain forward-looking statements. Even if these forward-looking statements reflect the opinion and expectations of Nationale Suisse, a number of risks, uncertainties and other important factors may lead to actual developments and results differing strongly from the expectations of Nationale Suisse. It is pointed out expressly that the statements and projections contained in this press release are selective in nature. Nationale Suisse provides no guarantee, either explicitly or implicitly, regarding the accuracy and completeness of the statements and forecasts published in this press release. Neither Nationale Suisse nor its executive bodies or senior managers accept any liability for any damage or losses arising directly or indirectly from the use of this press release. Unless otherwise provided by applicable binding law Nationale Suisse is under no obligation to update or amend the statements contained in this press release, be it in response to new information, future events or any other reasons.

Updated post-publication information is available on our website www.nationalesuisse.com. You may find further details and forecasts about the business of Nationale Suisse there.

Press release: http://hugin.info/100296/R/1727313/576545.pdf

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Nationale Suisse

Steinengraben 41 Basel

WKN: 1081197;ISIN: CH0010811971;

http://www.nationalesuisse.com (END) Dow Jones Newswires

   September 05, 2013 01:01 ET (05:01 GMT)- - 01 01 AM EDT 09-05-13