French insurer AXA has reported 7% progress in gross written premiums (GWP) & different revenues to €41.8 billion for 9M 2023 inside its property and casualty (P&C) business, as progress in industrial and private traces greater than offset a year-on-year decline at AXA XL Reinsurance.
Growth in Europe was additionally sturdy at 8% on the again of favorable worth results and better volumes, and in Asia Africa & EME-LATAM, industrial traces premiums grew 31% year-on-year, pushed principally by Turkey.
In private traces, premiums rose 5% to €13.9 million, pushed by motor and non-motor.
However, at AXA XL Reinsurance, premiums fell 3% year-on-year for 9M 2023 to €2.1 billion, which the agency attributes to decrease premiums in property disaster reflecting a minimize in publicity, which is in keeping with AXA’s technique. This was partially offset by favorable pricing. Additionally, casualty and specialty premiums have been up, principally from favorable worth results.
AXA highlights the elevated pure disaster expertise within the third quarter of 2023. Despite this, the insurer says that it’s nonetheless on observe to be inside its price range of 4 factors of mixed ratio for the 12 months. The French insurer can also be one of many first to offer an estimate for the influence of Hurricane Otis, offering a loss determine of round €200 million, earlier than tax and web of reinsurance.
In its L&H phase, the insurer noticed GWP & different revenues of €35.7 billion for 9M 2023, a dip of two% year-on-year. In life, premiums have been secure with increased gross sales of capital-light G/A financial savings merchandise and progress in safety, offset by decrease premiums in Unit-Linked, and decrease gross sales of conventional G/A merchandise.
In well being, premiums fell 7% after the non-renewal of two giant legacy worldwide Group contracts in France. Excluding this, well being premiums rose 7%.
Within L&H, NBV fell 4% to €1.7 billion, because the margin grew 0.2 factors to five.1% on the again of beneficial market circumstances, considerably offset by the influence of assumption modifications.
Turning to AXA’s asset administration business, and belongings beneath administration (AUM) elevated 1% to €842 million, though the common AUM fell 5% to €736 million, pushed by unfavourable market results.
Asset administration revenues decreased 2% to €1.2 billion, primarily pushed by decrease recurring charges as a consequence of a lower in common belongings beneath administration, says the agency.
Alban de Mailly Nesle, Chief Financial Officer of AXA, commented: “AXA achieved one other superb efficiency within the first 9 months of 2023. Revenue progress remained sturdy with good momentum in our technical and money generative traces and throughout our two Commercial and Personal pillars.
“In P&C Commercial traces, which is our largest business, premiums have been up 9% benefiting from good buyer demand and disciplined pricing. In P&C Personal traces, we noticed continued repricing with general premiums now up 5%. Life & Health revenues have been once more of top of the range with good natural progress throughout Protection, Capital-light G/A4 business and Health, though the setting remained difficult for Unit-Linked. The right-sizing of our non-prioritized businesses is now almost full throughout Property Catastrophe Reinsurance, conventional G/A Savings, and a few Group Health worldwide contracts.
“Our mannequin continues to ship sturdy capital technology. AXA’s Solvency II ratio stood at 230% on the finish of September, specifically reflecting our determination to not refinance over Euro 1 billion in subordinated debt.
“In line with our strategy, we continue to focus our footprint on our core markets where we have leading positions, while exiting non-core markets. The Group recently finalized the acquisition of Laya Healthcare, strengthening our leadership in Ireland, and agreed5 on the disposal of its joint venture Bharti AXA Life Insurance Co in India. We also remain confident in delivering our in-force management target6 by year-end.”
“The Group is on track to achieve its earnings outlook target for the year and fully deliver on its four main “Driving Progress 2023” monetary targets7. AXA is in a position of power forward of launching its new Strategic Plan, which might be communicated on March 11, 2024.
“I would like to thank all our colleagues, agents and partners for their commitment and support, as well as our clients for their continued trust,” added the CFO.
