AIG Earnings and Investment Portfolio Report
General Insurance: 3.0 pt improvement in International AYCR, as adjusted, due
to improved risk selection, rate increases, and ongoing expense discipline
($M)
Net premiums written
FY'19
$13,602
FY'20
$13,175
Commercial Lines
6,833
Personal Insurance
6,769
Net premiums earned
$14,302
6,874
6,301
$13,360
Commercial Lines
7,087
6,927
Personal Insurance
7,215
6,433
Underwriting income
$454
$277
Key Takeaways:
■ International Commercial Lines NPW grew 1% and International Personal Insurance
NPW decreased 7% largely from the adverse impact of COVID-19 on Travel,
Accident & Health (A&H) and Personal Lines (Auto and Personal Property)
■ International Commercial Lines AYCR, as adjusted, improved 4.4 pts due to
enhanced risk selection along with rate increases and ongoing expense discipline
■ International Personal Insurance AYCR, as adjusted, improved 1.3 pts reflecting
lower claims frequency and changes in business mix
■ CATS of $691M; $301M related to non-COVID-19 CATS and $390M related to
COVID-19 CATS
Commercial Lines
177
(27)
Personal Insurance
277
304
■ Unfavorable PYD of $81M with $112M unfavorable PYD in Commercial Lines and
$31M in favorable PYD in Personal Insurance
Note: Impact of CATS, pre-tax
($430)
($691)
International Combined Ratios¹
Total
Commercial Lines
Personal Insurance
97.9%
96.9%
97.6%
100.4%
96.2%
95.3%
3.2%
5.3%
3.5%
8.5%
2.9%
1.8%
(1.1%)
0.7%
(0.4%)
1.8%
(1.9%)
(0.4%)
94.9%
94.5%
91.9%
90.1%
95.2%
93.9%
AYCR, as
AYCR, as
AYCR, as
14.7%
adjusted,
14.2%
14.3%
adjusted,
15.1%
13.8%
adjusted,
14.8%
improved
improved
improved
23.6%
20.3%
3.0 pts
23.2%
4.4 pts
19.8%
26.8%
1.3 pts
26.8%
AYLR, as
AYLR, as
56.6%
adjusted,
54.5%
improved
2.1 pts
FY'19
FY'20
59.9%
adjusted,
56.5%
improved
3.4 pts
FY'19
FY'20
AYLR, as
53.3%
adjusted,
52.3%
improved
1.0 pts
FY'19
FY'20
CYCR CAT Ratio
PYD Ratio
AYCR, As adjusted
GOE Ratio Acquisition Ratio
AIG 1) FY'19 CYCR includes adjustments for ceded premium under reinsurance contracts and other of (0.1) pts in Total International.
AYLR, As adjusted
24View entire presentation