By Favour Nnabugwu
The AXA Group grow revenue by 2 percent to €30.7bn in Q1 on a comparable basis, with commercial lines revenue up 4 percent to €11.6bn helped by the strong rate increases.
AXA XL’s revenues were up 4 percent in the first quarter of 2021, with rates rising 11 percent across the portfolio and renewal rates up 15 percent in insurance and 11 percent in reinsurance
AXA XL’s growth was partly curbed by a 7 percent reduction in underwriting exposure in certain areas, particularly international casualty and property.
AXA said AXA XL is on track to hit its €1.2bn underlying earnings target for full-year 2021, despite a higher-than-usual nat cat charge in Q1, which includes losses for the Texas freeze event. AXA XL’s non-cat losses have been more favourable than expected, AXA said.
Commercial lines business outside AXA XL recorded growth of 4 percent in France to €1.3bn, and in Europe revenue was up 1percent to €3.3bn.
AXA’s group chief financial officer Etienne Bouas-Laurent said: “This good performance was underpinned by sustained growth in our preferred segments, notably with P&C commercial lines up 4percent, health up 5 percent.”
Adding: “AXA XL performed well in the quarter, pursuing its underwriting discipline, achieving significant price increases, targeted exposure reductions and growing revenues by 4 percent”