Menzis is the fourth-largest healthcare insurer in the Netherlands, serving 2.1 million insured. The concern operates three different labels: Menzis, Azivo and AnderZorg. All labels offer various healthcare insurance policies with different coverage ranges. During 2010, customer satisfaction for all labels resulted in a score of 7.7 and employee satisfaction in a score of 7.6. During 2010, the investments in all categories achieved an excellent return, which made for a positive return on investments amounting to €45.4m. The excellent investment result was achieved by adhering to a very prudent and responsible investment policy. The technical result is also positive: €53.2m on Basic Insurance and €29m on supplementary insurance. The positive result of almost €130m is added to the reserves and will be used to further reinforce the solvency rate. The latter is necessary due to new, stricter European solvency rules, Solvency II and stricter requirements issued by De Nederlandsche Bank (DNB, the Central Bank of the Netherlands). Menzis’s solvency rate of 1.94 by late 2010 allows the insurer to face these new rules and requirements with confidence.

Sustainable earning model
Menzis’s strategic choices are based on guaranteeing excellent and affordable healthcare, now and in the future, rooted in a sustainable earning model. Menzis is a not-for-profit organisation; its sole shareholders are the insured. The Members’ Council – a representation of policyholders – is Menzis’s highest body. In order to ensure that the premiums collected are used to maximum effect in providing healthcare to the premium-paying customers, Menzis keeps the management fees to a minimum. A sustainable earning model means transparent operations with full input of the stakeholders. Policy arises fromdialogue with the stakeholders, which underpins the trust that Menzis’s environment puts in the authenticity and sustainability of its organisation, services and products.

Responsible investment
Menzis feels that a responsible structure in the investment portfolio is essential. Menzis’s investment portfolio is sustainable, structured in accordance with the ‘10 Global Compact Principles’ of the United Nations, supplemented by exclusion of tobacco producers. As per 31 December 2010, the portfolio is considered 98.4 percent responsible according to  UN standards. In order to monitor the policy of responsible investment and its development in the course of time, Menzis has had the investments scored on environmental, social and governance criteria for the first time in late 2010. In September 2010, Menzis became a member of Eumedion in order to realise its ‘active engagement’ strategy. Engagement means that Menzis plays its shareholder role actively by entering into a dialogue with the companies it invests in. The objective is to realise improvements with respect to sustainability. Eumedion is a Dutch organisation focusing on Corporate Governance in Dutch listed companies. Institutional investors have united within Eumedion in order to join forces in implementing Corporate Social Responsibility, which is a consequence of shareholdership, as described in the Dutch Corporate Governance Code. During 2011, Menzis started investing in the Dutch healthcare sector in order to invest in the future of healthcare in this way.

It is an organisation maintaining interactive customer contacts, collaborating with a select group of healthcare providers, offering customers an insight into the differences in quality and leading the way to the very best healthcare.

Health organisation
Menzis’s ambition is to develop from an insurer into a health organisation during the next few years, moving from solely covering financial risks into becoming a service organisation focusing on purchasing healthcare as well as contributing to its customers’ health and wellbeing. Menzis aims to develop into a healthcare insurer offering extra value in healthcare, keeping healthcare affordable, available and at a good quality level.

Leading the way in healthcare
Menzis is an advocate of customers in healthcare. The healthcare insurer wishes to provide its customers with an insight into the differences in quality and point the way to the best healthcare. For example, customers may call Menzis if they feel they have to wait too long for a certain treatment in their designated hospital. Menzis Healthcare Advisor will then review if there is a quicker option in a different hospital. The average gain in days for customers in this respect amounted to 41.4 days during 2010.

Cost of healthcare
The cost of healthcare has quickly increased in The Netherlands, driven by an increasing percentage of elderly people and people suffering from chronic diseases. Additionally, there are more medical and technological possibilities that people wish to make use of. The Central Planning Office in The Netherlands expects that collective healthcare costs will further increase from €61bn during 2010 to €74bn in 2015. If healthcare is to remain affordable, healthcare providers, patient organisations and healthcare insurers must jointly get a better grip on quality, price and volume. Menzis accepts its responsibility in this respect based on the principle ‘inexpensive where possible, but paying more where it makes a difference’. During 2011, the company will buy more selectively with quality as the leading factor.

TopZorg certificate
Attention for quality was made visible within Menzis three years ago by instigating the TopZorg (Top Healthcare) certificate. Sixty healthcare providers with very successful operative treatments regarding breast cancer, varicose veins, groin rupture, cataracts or meniscus problems were issued with this certificate, implying that they have become preferential suppliers. Menzis quickly also contracted TopZorg providers of treatments regarding knee and hip arthrosis, hernia in the back and tonsils. During 2010, treatment of sleep apnoea was added – the tenth treatment. TopZorg proved very successful. Since October 2008, hundreds of patients – on their own initiative or on Menzis’s advice – chose to have their condition treated by a healthcare provider with the TopZorg certificate. Meanwhile, Menzis’s contracts in TopZorg certificates amount to €150m, which is over seven percent of the sum total. Many healthcare providers have taken TopZorg as a benchmark to initiate improvement projects. For example, the opening hours were extended to evenings and weekends and the information provided to patients has improved. Meanwhile, more healthcare aspects are a factor when considering a contract. For example, psychological and social aftercare is now a factor when Menzis considers a contract for the treatment of breast cancer. TopZorg is continuously on the move in order to make the quality delivered by healthcare providers transparent and lead their customers to the best healthcare.

Prevention
With increased demand for healthcare and a decreasing working population within the healthcare sector, a scarcity in healthcare services may arise. The Dutch people will have to adopt a healthier lifestyle in order to prevent unnecessary use of the healthcare resources available, the more so as a large proportion of healthcare costs are related to behaviour. Preventing diseases (including chronic diseases) is therefore more important than ever in order to prevent the healthcare chain from being overloaded in the future, and keep it running smoothly. Healthcare insurers, healthcare providers and the government must ensure information, materials and resources are available to encourage healthy behaviour. Menzis makes an effort in this respect in various ways, directly towards the customers and all people of the Netherlands, but also via clubs, associations, employers, municipalities, etc. For example, new collaboration chains are set up to help people live a healthier life and prevent the healthcare chain from being unnecessarily burdened. The goal is to help as many people as possible become more active, and in an easily accessible manner. Menzis especially targets youth, for example by supporting more programmes in primary schools and sponsoring low-threshold walking events.

Menzis’s mission and growth strategy focuses on each person and social involvement. The policy concentrates on affordable healthcare for everyone based on continued solidarity.

Sustainability
Menzis’s mission and growth strategy focuses on each person and social involvement. From this perspective, it is natural for Menzis to have sustainability as a high-priority item on its agenda. Sustainable work means that choices are not only based on the here and now, but also on the future. To Menzis, sustainability goes far beyond the ‘green concept.’ To Menzis, sustainability is all about the quality of life. Menzis wishes to keep high-quality healthcare affordable and accessible to everyone – now and in the future. Additionally, Menzis wishes to leave a cleaner and more social world to future generations as its heritage. Menzis is convinced that the sustainable model is ecologically and socially the best model as well as in economic terms. After all, companies that act on their responsibility for a more sustainable world are the companies of the future, as customers increasingly consciously choose to buy from honest and clean companies. And because employees want to feel proud of their socially involved company. And because partners feel responsible for the entire chain in which they operate.

Sustainability is all about the quality of life. Menzis is convinced that the sustainable model is ecologically and socially the best model as well as in economic terms. After all, companies that act on their responsibility for a more sustainable world are the companies of the future.

Future
As from 2011, Menzis wishes to offer more added value in terms of quality and information to customers and make a substantial contribution to keeping healthcare affordable. In healthcare contracting, the focus is increasingly on the performances to be delivered to customers; in financial terms, ‘sense and saving’ are leading. Menzis will also carefully review its own organisation and management costs. Menzis also aims to make both healthcare and patients more aware of the costs of healthcare. A collective effort is required in order to keep healthcare affordable and accessible and maintain its quality level, in particular in times of increasing pressure. As a financially sound healthcare insurer, Menzis is a reliable and dependable party in this respect.