BBSE3: quote, dividends and indicators for BB Seguridade

BB Seguridade Participações S.A. is an insurance and pension holding company controlled by Banco do Brasil S.A., with common shares traded on B3 under the ticker BBSE3. Established in December 2012, the company was created to consolidate, within a single corporate structure, the insurance, open pension plans, capitalization and related activities of the Banco do Brasil conglomerate. Although BB Seguridade is relatively recent as a company, its formation stems from a reorganization process started years earlier in Banco do Brasil’s insurance division, involving the creation and acquisition of several insurance, pension and capitalization companies, strategic partnerships with private groups, and the centralization of these stakes in BB Seguros Participações S.A. In April 2013, the company carried out an initial public offering, became a publicly held company and joined B3’s Novo Mercado segment, with Banco do Brasil retaining control.

The origins of the conglomerate’s insurance division date back to the 1990s, with the incorporation of companies such as Brasilprev Seguros e Previdência S.A. to operate in open pension plans, Brasilcap Capitalização S.A. in the capitalization bond segment, and insurers such as Brasilveículos Companhia de Seguros and Companhia de Seguros Aliança do Brasil, now Brasilseg Companhia de Seguros. Throughout the 2000s, Banco do Brasil carried out a broad corporate restructuring, including the creation of the holdings BB Seguros Participações S.A. and BB Aliança Participações S.A., the increase of stakes in companies such as Brasilprev and Brasilcap, and the formation of significant joint ventures, such as the partnership with the MAPFRE group in the general and personal insurance area. This process culminated in the creation of BB Seguridade as the vehicle for consolidating and streamlining the group’s insurance strategy, seeking scale gains, greater operating efficiency and expansion of the insurance, pension and capitalization businesses.

BB Seguridade’s business model is based on holding equity stakes in companies that operate in different segments of the insurance industry and on distributing products through specialized brokers. The company organizes its activities into two major operating segments: insurance and brokerage. In the insurance segment, it concentrates investments in companies that underwrite insurance risks, manage open pension plans, issue capitalization bonds and operate dental care plans. In the brokerage segment, it engages in the intermediation and sale of these products, mainly through BB Corretora de Seguros e Administradora de Bens S.A. and the digital broker Ciclic Corretora de Seguros S.A. The corporate structure is heavily based on long-term partnerships with domestic and international private groups, combining Banco do Brasil’s customer base and distribution reach with the technical expertise of specialized insurers.

In insurance, BB Seguridade operates mainly through Brasilseg, the result of a joint venture with the Spanish group MAPFRE that was restructured in 2018. Brasilseg concentrates operations in life, rural, mortgage, homeowners, business and mass-market insurance, and also manages a runoff portfolio of large risks, composed of policies sold up to 2018. In open pension plans, BB Seguridade holds an interest in Brasilprev in partnership with Principal Financial Group, focusing on PGBL and VGBL plans for individuals and legal entities, in addition to a legacy portfolio of traditional defined benefit plans that are no longer sold. In capitalization, Brasilcap, in partnership with Icatu Seguros and Aliança da Bahia, offers bonds in the traditional, popular, guarantor and incentive modalities. In dental plans, Brasildental Operadora de Planos Odontológicos S.A., structured as a joint venture with Odontoprev, manages and sells private dental care plans. In 2024, the insurance segment accounted for 52% of BB Seguridade’s consolidated net operating revenue, with results mainly from equity income from its investees.

Product distribution is a core pillar of BB Seguridade’s business model. BB Corretora is the main platform for selling insurance, pension, capitalization and dental plans, operating mostly through Banco do Brasil’s banking channel. The investee companies operating in insurance, pension and dental plans have exclusive distribution agreements via BB Corretora in Banco do Brasil’s branch network, leveraging its presence in most Brazilian municipalities, with physical branches, ATMs, banking correspondents and digital channels serving millions of active customers. In the capitalization segment, BB Corretora sells Brasilcap’s bonds without contractual exclusivity. The broker uses Banco do Brasil’s staff and systems infrastructure, reimbursing distribution and product administration costs. In parallel, BB Seguridade invests in alternative and digital channels through Ciclic and partnerships with cooperatives, farm machinery and input dealers, broker platforms and financial institutions, expanding its reach beyond the traditional banking environment.

In terms of sector performance, BB Seguridade, through its investees, has a significant presence in several markets regulated by SUSEP and ANS. In life and credit life insurance, it holds prominent positions in written premiums, leading in credit life and with a relevant share in life insurance. In the rural segment, Brasilseg has become one of the main players in written premiums. In open pension plans, Brasilprev is among the leaders in contributions and reserves, reflecting the importance of the banking channel and the offering of PGBL and VGBL plans. In capitalization bonds, Brasilcap also holds leading positions in reserves and collections, while Brasildental has a market share in private dental plans. The company considers its activities to be non-cyclical and without major seasonality, with a diversified portfolio of risk and accumulation products distributed throughout Brazil.

From a regulatory standpoint, BB Seguridade is supervised by multiple bodies. As a publicly traded company listed on B3, it is part of the Novo Mercado segment and follows the rules of the Brazilian Securities Commission (CVM), including disclosure, corporate governance and securities trading requirements. As it is controlled by Banco do Brasil, a federal mixed-capital company, it is also subject to the State-Owned Companies Law, which governs governance, transparency, risk management and bidding and contracting processes, as well as Banco do Brasil’s internal regulations. Operations related to insurance, pension, capitalization and dental plans are regulated by bodies such as the National Council of Private Insurance (CNSP), the Superintendence of Private Insurance (SUSEP), the Board of Appeals of the National System of Private Insurance, Open Private Pension and Capitalization, and the National Agency for Supplementary Health (ANS). The company and its subsidiaries also comply with rules related to anti–money laundering, customer risk profiling and specific regulations for operating as an insurance broker.

In terms of environmental, social and governance (ESG) practices, BB Seguridade adopts commitments aligned with the regulatory requirements of B3’s Novo Mercado and the State-Owned Companies Law, publishing an annual sustainability report. This report follows international standards such as GRI and SASB, and in 2024 it received limited assurance from an independent auditor. The company structures its ESG strategy based on a materiality assessment, which since 2019 has guided the identification of topics considered most relevant from the perspective of financial and socio-environmental impacts. In 2024, this process was updated together with its main investees, resulting in aligned materiality matrices, including innovation and technology, customer satisfaction and transparency, climate change, service quality and safety, information security and data privacy, ethics, integrity and compliance, as well as aspects related to talent attraction and development. This approach seeks to integrate sustainability management into the strategic planning of the insurance conglomerate under BB Seguridade’s leadership.

BB Seguridade’s operations are concentrated in the Brazilian market, without significant revenue from abroad. Consolidated operating revenue is generated mainly by domestic insurance, pension, capitalization, dental plan and insurance brokerage operations. In 2024, the split between segments reinforced the importance of both distribution activities, which accounted for 48% of net operating revenue through BB Corretora, and insurance activities, which accounted for 52% based on the performance of Brasilseg, Brasilprev, Brasilcap and Brasildental. The holding structure allows BB Seguridade, listed on B3 under the code BBSE3, to allocate capital among these business fronts, strengthen strategic partnerships and capture the results of its investee companies in a Brazilian insurance market that is still developing in terms of penetration and the availability of long-term protection and accumulation products.