AXIS Capital bounces back from 2020 loss, combined ratio improves
Bermuda-based re/insurer AXIS Capital is making progress in repositioning its portfolio that helped the business swing back to profit, turning around from a loss a year ago.
The company has generated a net profit of $588 million in 2021, against a net loss of $151 million reported in 2020.
Its gross premiums written increased by $859 million, or 13%, to $7.7 billion in 2021, with an increase of $845 million (21%) in the insurance segment and an increase of $14 million (1%) in the reinsurance segment.
The re/insurer’s combined ratio also improved, to 97.5% for the year, compared with 109.6% in 2020.
Albert Benchimol (pictured), president and CEO of AXIS Capital, said: “Our results provide further evidence that our work in recent years to reposition our portfolio is delivering its intended outcome, and we’re committed to sustaining this momentum and producing consistent profitable growth.
“In addition to driving significant improvement to our combined ratio, we continued to optimise balance and volatility in our portfolio as we drive PMLs lower across the entire curve. Further, we continued to capitalise on favourable market conditions to build upon our well-established positions in some of the best performing specialty insurance markets.”
Benchimol added: “Within our insurance segment, we delivered both record new business growth and total premium, as we produced the largest and most diversified insurance portfolio in the company’s history. Our insurance business produced a combined ratio of 91.6% for the full year, and we’re focused on delivering performance in line with the top ranks of the specialty insurance sector.
“Within our reinsurance segment, which reported a full year combined ratio of 99%, we took substantial portfolio actions during the year and into the 1/1 renewals to improve the quality and reduce the volatility of the book, and we will continue to do so in 2022.”
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