General Insurance Financial Overview slide image

General Insurance Financial Overview

☐ General Insurance: Strong International Commercial Lines NPW growth of 17% along with 3.4 points of Commercial Lines AYCR, as adjusted improvement International Commercial Lines NPW grew 17% (13% on a constant dollar basis) compared to FY'20, reflecting strong rate improvement, higher renewal retentions and strong new business production International Personal Insurance NPW decreased 3% (4% on a constant dollar basis) compared to FY'20, reflecting underwriting actions taken to improve our portfolio mix and to maintain rate adequacy, partially offset by a rebound in travel activity International Commercial Lines AYCR, as adjusted, improved 3.4 points primarily from expense discipline supported by enhanced risk selection and changes in business mix International Personal Insurance AYCR, as adjusted, improved 0.1 points due expense discipline, offset by lower COVID-19 frequency related benefits in FY'21, as compared to FY'20 ($M) Net premiums written International Net Premiums Written ($M) Total NPW +7% +5% (Ex. FX) $14,157 FY'20 FY'21 $13,175 $14,157 Commercial Lines 6,874 8,030 $13,175 Personal Insurance 6,301 6,127 Net premiums earned $13,360 $14,068 $6,301 Commercial Lines 6,927 7,746 Personal Insurance 6,433 6,322 Underwriting income $277 $1,102 (27) 549 $6,874 304 553 ($691) ($310) Commercial Lines Personal Insurance Note: Impact of CATS, pre-tax Commercial Lines +17% +13% (Ex. FX) $6,127 $8,030 FY'20 FY'21 ■Commercial Lines Personal Insurance International Combined Ratios Total Calendar Year Combined Ratio 97.9% 92.1% Commercial Lines Calendar Year Combined Ratio 100.4% 92.8% Personal Insurance Calendar Year Combined Ratio 95.3% 91.2% AYCR, as adjusted improved -2.0 points 91.9% 14.2% 89.9% 90.1% -3.4 points AYCR, as adjusted improved 93.9% 93.8% 86.7% 14.8% 14.3% 13.3% 13.8% 12.5% ■ CATS of $310M primarily related to Europe/UK floods, Hurricane Ida, South Africa civil unrest, Japan Winter Weather and NA Winter Storms vs. $691M in FY'20 23.2% 22.2% 19.8% 18.7% 26.8% 26.5% Favorable PYD of $7M with $227M favorable PYD in Personal Insurance offset by $220M unfavorable PYD in Commercial Lines 54.5% 54.4% 56.5% 55.5% 52.3% 53.0% AIG Copyright ® 2022 by American International Group, Inc. All rights reserved. No part of this document may be reproduced, republished or reposted without the permission of AIG. FY'20 FY'21 FY'20 FY'21 FY'20 FY'21 23 ■AYLR, As Adj Acq. Ratio GOE Ratio
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