AIG UK reports strong 2013 results
AIG’s UK business reported a significantly improved underwriting profit of £181 million for its results ending November 2013, an improvement of £213 million on 2012.
The unit also reported increased net premium written of £1.2 billion in 2013, compared with £1.1 billion in 2012 and a 19 percent point reduction in its 2012 combined ratio of 84 percent. The latter is the result of a benign claims environment, the full benefit of portfolio remediation carried out in 2012, improved operational efficiency and reduced project spend.
Nicolas Aubert, CEO of AIG Europe in the UK said: “2013 saw the continued development of AIG’s offering in the UK. The company’s vision is to be the most valued insurance company in our target markets. This strong set of financial results combined with product development and service innovation demonstrate the progress we have made towards achieving our goal.”
Aubert said that the company is focused on delivering value to stakeholders, managing risk and capital more effectively and making operations more efficient, giving the company’s underwriting strategy as an example.
“From an underwriting perspective we are also growing our higher value business and our increased focus on the London market – announced last May – is fundamental to our underwriting strategy,” he said.
Last year the company launched a market leading satellite policy to enhance its D&O product, a Pollution Incident and Environmental Response network and a web-based service to help companies estimate the cost of product recall incidents.
“2013 also saw us undertake a root and branch re-organisation of our claims operations in the UK to transform the service we offer across all business lines. This has already delivered significant cost savings and service improvements that will continue as we move forward,” said Aubert.
“These results mean we have a powerful platform from which to grow the business and deliver valuable volume across our proposition from our Property large limits capability to our ambition for Private Client Group our high net worth business.”