Insurance Day is part of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them. Informa PLC’s registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.

This copy is for your personal, non-commercial use. For high-quality copies or electronic reprints for distribution to colleagues or customers, please call UK support +44 (0)20 3377 3996 / APAC support at +65 6508 2430

Printed By

UsernamePublicRestriction
UsernamePublicRestriction

Axa XL further cuts property catastrophe book in Q1

Further shift towards specialty in reinsurance portfolio

Axa XL saw a further double-digit reduction in its property catastrophe reinsurance revenue during the first quarter of 2020 as parent company Axa continued to reshape its portfolio.

The division's property/casualty (P&C) reinsurance revenues grew 2% to €1.9bn ($2.06bn) during the quarter, with specialty expansion more than offsetting the property cat reduction.

In the division’s insurance business, revenue rose 10% to €4.6bn, driven by double-digit growth in P&C and specialty classes.

In property, Axa XL saw 19% revenue growth in its insurance book on the back of strong rate increases in both international and North America.

Casualty saw revenue growth of 11%, with specialty up 10%, driven by strong price increases in aviation and higher new business in the group’s fine arts team.

The division’s total revenues rose 8% to €6.6bn.

During the quarter, Axa XL reported renewal price increases on 10.4% in insurance and 5.7% in reinsurance.

Excess casualty saw the most notable growth with renewal price increases of 64%, with international property up 14%. Axa XL said early indications were the favourable pricing environment had continued into April.

At group level, Axa saw total revenue grow 4% to €31.7bn.

The group said it had seen a limited impact of Covid-19 claims to date but added the confinement measures that had been introduced would have a material impact on several product lines, most notably event cancellation and business interruption.

Axa said it expected event cancellation claims to total in the mid-triple-digit-million euros range, adding it was too early to estimate the extent of business interruption claims.

Axa did not disclose what percentage of these claims it expects to incur through the Axa XL division.

Topics

UsernamePublicRestriction

Register

IV001392

Ask The Analyst

Ask The Analyst - Ask Your Question Send your question to our team of expert analysts. You can: • Ask for background information on/explanation of articles in Insurance Day * • Find out more about our views on industry developments • Ask for an interpretation of market trends • Source supplementary data relating to articles • Request explanations to further your understanding of current issues (* This relates to any Insurance Day that is included as part of your subscription) We will do the research and get back to you personally with the information you need.

Your question has been successfully sent to the email address below and we will get back as soon as possible. my@email.address.

All fields are required.

Please make sure all fields are completed.

Please make sure you have filled out all fields

Please make sure you have filled out all fields

Please enter a valid e-mail address

Please enter a valid Phone Number

Ask your question to our analysts

Cancel