General Insurance Financial Overview slide image

General Insurance Financial Overview

General Insurance: North America NPW growth of 20% and a 4.9 point improvement in AYCR, as adjusted ($M) FY'20 FY'21 Net premiums written North America Net Premiums Written ($M) $9,784 $11,733 Commercial Lines 8,635 Total NPW 10,226 Personal Insurance +20% 1,149 1,507 Net premiums earned $9,784 $1,149 $11,733 $1,507 Personal Insurance $10,302 $10,989 +31% 8,516 9,451 1,786 1,538 ($1,301) ($47) $8,635 Commercial Lines +18% $10,226 (861) (342) (440) 295 Note: Impact of CATS, pre-tax ($1,737) ($1,047) ☐ NA Commercial Lines NPW grew 18% from FY'20 reflecting strong rate improvement, higher renewal retentions and strong new business volumes as well as reductions in reinsurance cessions NA Personal Insurance NPW grew 31% from FY'20 reflecting growth in Travel and Warranty business driven by a rebound in travel activity and consumer spending, as well as lower reinsurance cessions NA Commercial Lines AYCR, as adjusted, improved 4.5 points to 91.0% reflecting changes in business mix along with strong earned rate improvement in excess of loss trend, focused risk selection and improved terms and conditions NA Personal Insurance AYCR, as adjusted, improved 4.2 points to 99.6% reflecting changes in business mix, improved PCG loss experience and a rebound in travel activity supporting the expense leverage Commercial Lines Personal Insurance Underwriting loss Commercial Lines Personal Insurance Total Calendar Year Combined Ratio FY'20 FY'21 ■Commercial Lines Personal Insurance North America Combined Ratios Commercial Lines Calendar Year Combined Ratio 110.0% Personal Insurance Calendar Year Combined Ratio 124.7% 80.9% 103.7% 112.6% 100.4% AYCR, as adjusted improved -4.9 points 97.0% 95.5% -4.5 points AYCR, as adjusted improved AYCR, as adjusted improved 103.8% -4.2 points 99.6% 15.7% 92.1% 91.0% 17.8% CATS of $1.0B primarily related to Hurricane Ida and Texas Winter Storm events vs. $1.7B in FY'20 11.3% 10.3% 10.3% 9.1% 14.3% 28.1% 16.7% 15.2% 22.0% 16.1% Favorable PYD of $194M with favorable PYD of $429M in Personal Insurance offset by unfavorable PYD of $235M in Commercial Lines 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. 69.0% 70.9% 65.7% 66.7% 60.0% 59.8% FY'20 FY'21 FY'20 FY'21 FY'20 FY'21 22 ■AYLR, As Adj Acq. Ratio GOE Ratio
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