CB - Earnings call transcript Q3 2021

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Operator

Ladies and gentlemen, please standby. Good day and welcome to the Chubb Limited, Third Quarter 2021 earnings. Today's call is being recorded. [Operator instructions] For opening remarks and introductions. I would like to turn the call over to Karen Beyer, Senior Vice President Investor Relations. ahead. go Please

Karen Beyer

and quarter everyone our XXth, September Good conference welcome call. third earnings XXXX, morning to

more Our will growth Company to performance, and report relating conditions, recent affect risks may available pricing, statements today at website on market our actual and earnings information factors and could SEC for that contain on differ and matters. forward-looking uncertainty, materially. Please business financial results release, these are our investors. filings, see mix, which supplement, opportunities, and are chubb.com which economic including and subject statements, to

We measures, press direct earnings will to are also comparable refer of most our today in release, to and details non-GAAP the related provided reconciliations financial financial GAAP supplement. and measures which

Now I'd like to introduce our speakers.

and Enns, turn pleasure by Officer, of we'll several Chairman Chief our to Officer. with Then to team. First, Executive our my over your Financial with And we Peter to questions. Also to assist members Evan. the management take call us Evan followed Chief questions have your Greenberg, now

Evan Greenberg

We basis, a the of outstanding globally third premium strong excellent P&C catastrophe had elevated [Indiscernible] very quarter growth by and current year results and highlighted on revenue calendar simply underwriting both despite losses. XX% morning. Good

XXX quarter continued the by prior of commercial powered operating up diversification XXX over XX% broad year. X.X were net was our share year results million Our income reserves our prior billion, in while from expansion, lines per underlying up growth, double-digit the strong margin and of to Core were of XX% strength of income X.X was businesses.

globally. up of we XX.X quarter again, to the natural have broad XXX of produced Which X.X to underlying over core billion and normal was catastrophes. includes both shaping be income of ratio loss X.X new strength change For we on Yet million. Year-to-date combined to And businesses, XX% we that of is P&C record losses. basis, an a with billion the diversification another a our domestically it cut have and year sources net and on underwriting of both X.X With and revenue income of underwriting a and Company's tied the cats, income other by to our events year on And earnings. climate brought sizable speaks reported weather-related ratio. earnings, combined for Again, societal XX.X. up changes. what active operating billion for produced of

we we detail. quarter, and margin a this And reported showing in again million XXX our approach of exhibit simple conservative investment to Net in book and investment was up is income to Peter in X.X%. have value. development. XXX in reserve going development, income, release year to to reserving included ratio evidence was record. exclude of up Speaking frequency the again our more XX.X combined ratio, COVID loss ex-cut on reflective our adjustment positive compared in one-time to billion, because a lower [Indiscernible] of unaffected points. year underwriting X.X year XX.X prior quarterly the underwriting we combined a with quarter we Balance the cuts, favorable about Sheet health income The underwriting was prior period current as basis, last This expansion. XX% to current our accident of period shutdown, of prior the loss X related say strength is our year press quarter and took improve due If more million the

the Turning to rate growth environment. in

for mid-sized to in the broad-based the the XX% XX% all From businesses P&C quarters, With up and XX.X growth topped again premiums companies, opening, or those the dollar. XXXX. nearly XX% and organic commercial first Growth and most in we consumer growth agriculture quarter, globally, with up were at contributions for said last to seen months since constant X%, business our premiums P&C I strongest and was small, the that the its of exposure was was world of up on and globally. year-on-year As commercial serving XX.X virtually The quarter large most robust X world improvement the P&C have with in the distribution America. business In in net channels. with rate important premiums both regions growth total continued remains and grew commercial with had P&C commercial the America, P&C we over and all in regions fantastic pricing premiums North wrote premium on pace up renewal. XX.X%, environment to new quarter premium were which over XX% a XX.X excluding of over about commercial XX%, agriculture, North right in up own

commercial basis. for currently The all business, are trending composite this for strong market lines though vary America the X.X%. last our specialty growth in for future. short upon of Overall lines commercial standout on our XX% North anticipate commercial Can around increase And is costs premium remains division. over you, in depending at Once this classes loss down retention up or just Simply trending increased again, in a of to over and business. again, we XX%. like tail was commercial growth commercial up XX% general, business and XX.X% in quarter, loss XX.X middle line XX% remind about X% quarter costs to lines in by and over major renewal small business. premium and New accounts a rates a to are

excluding costs, X%. loss comp, are tail trending about long While

vary of rates up largest up financial better wholesale our In In market and management and sense down give were over Property X.X%, America, rates were with X.X%. rates the were our casualty rates XX quarter, America. increased rates me XX. quarter. in were XX% rates Property excluding nearly category E&S we're In accounts up over comp, related the lines up the rates by in were of rates XX%. business, up up workers by Risk in rates Casualty comp middle business quarter financial casualty XX%. over lines the property were just rates rates casualty up primary serves up X%. a was increased up casualty. and financial General about up major by the you lines and rate XX, increase Rates for movement companies North in were XX%. XX% about rates XX%. which X% XX, increased Let in were

Turning on published International Commercial Insurance General XX.X% International basis, XX into P&C our a XX% constant XX in were dollar. dollar. in grew or nearly premiums Operations. P&C commercial grew retail, constant

division. While premiums region. over our growth our wholesale XX% grew by in up P&C business Retail varied London XX%. With European commercial almost

varies trending we XX, by business was rate international XX% about globally the recover X%. XX, Asia-Pacific growth loss continued U.S. rates by by that in up lines quarter respectively. London And XX%. financial to XX, property financial exposure country. casualty in were XX.X, increased ongoing rates business, commercial achieve in consumer rates to like X% increased to quarter our in about grew In portfolio. we lines lines Internationally, America quarter P&C XX%, the up lines up class Consumer X. primary our commercial of related from the up currently America, Outside Latin in the and wholesale and markets where Property X.X. while up continued and North commercial to excess retail Marine improved effects grew, business, pandemic's are costs our across activities. in Though those on up and the up XX%

down or grew in And a published published personal international little that X% almost in business consumer quarter grew Our XX% on basis. on constant dollars. breaking the basis, a further, almost a XX% international lines

traditional A&H distribution lines X.X related While internationally in personal in we our and strong California particularly grew constant with quarter. X% auto powered in personal X%, our North renewal America credits, over A&H over consumer X% relationships. Latin and lines grew were in dollar. respectively, focused XX.X% premiums or premiums digitally COVID the quarter just XX.X% a both America, adjusted net high up Net in had business by and just non-renewals in for up worth

in remain of Our rate XX% U.S. our net-worth business grew the exposure lines personal retentions the remained XX% and and severity of true, trends The XX.X% client high which we heart pricing, positive quarter. Overall, in includes elevated. homeowners segment, strong the achieved at and in portfolio. our

quarter. in our life net were international XX% Asia-focused over Lastly, plus in business, premiums deposits the insurance up

over to favorable conditions conditions. continue market our While were net up some, premiums In in economic Global on and we broad-based XX%. improving and capitalize business Re

Cygnet from serving Asia lines in life accident, as business. cash. and and large wholesale, businesses growth All continue. announced the for or In all to small acquire well market global companies both billion globally. one in to and are the Global X.XX health to agreement in companies quarter, that you and our saw, of our Re businesses that house improving will forms our margin personal life insurance non-life to of are insurance agriculture supplemental to sentence, and businesses, improving of did to personal businesses, Life trends definitive two we the retail middle commercial Both P&C in the Asia-Pacific our A&H expansion

to we expect our the Chubb's already business. Company saw, approximately you transaction, revenue, Company. expand can portfolio P&C sizable the strategy including or and approximately This these margins complementary in investor our favorable of of see Company's global from which adds presence A&H Pacific XX% in transaction significantly advances presentation, premium Global during will operations exposed Asia have to our billion are generate our region, and Upon presence, our Asia-based cycle. X not As underwriting represent the completion Asia-Pacific life the share XXXX, of highly to

For management again, approach advancing and risk Asia, value The many strategies very both come. years, and growth, The our innovation, we business and holding capabilities. transaction the our Company contribute and capital have for will transaction businesses and confirms demonstrates underlying to once and are disciplined in in its and consistent including strategically product Cigna's decades to these inorganic. our for organic admired patience to economics distribution to people, our creation attractive,

Peter, in capital exposures, to turn while form has margins to All then value. deliver I our earning quarter with need patient period and this In over future. strong, we which team our excellent and sustainable and of generation return expanding We now Company effectively we'll revenue and our outperform what capabilities. have back earnings a shareholder Our and dividends ability substantial and and questions. deploy are call been of a we another cats, repurchases, future to My shareholders be continue conclusion, and share to take to continue business our was overtime. in will unexpected. management to investing considerable confident of the the hand I build more your growing not in excess to never in power our

Peter Enns

Thank and you, good again Evan, everyone. morning

from top-line Evan, growth, our just margin overall to franchise and improvement, profit you've continues As growth. deliver heard outstanding

and management. discuss capital me balance Now let our Sheet

flow cash investment our performance, and liquidity, operating Our which all reserves, position for months. for and our first X.X X.X quarter with cash nine financial capital. the operating portfolio, remains the billion strong, It flow, billion produced exceptionally including starts in

We ended impact dividends The of over XX, X% our repurchases. almost billion, significant in liquid even not million X in X continue Cigna's, repurchase is and over insurance X.X life to capital-related the and X.X cash billion actions returned billion share after in Among outstanding acquire Pacific dividend end remain over months and shareholders, expected of $X X.X dividends. including Asia billion XXX to extremely billion to management billion. capital the to with quarter, we share our in and quarter, investments the Or we our Through agreement ANH, at the September returned repurchases share in and actions. of businesses including X commitments. of the short-term shares

portfolio position investment quarter any investment material billion our we XXX very million in continues an net quarter range from tax. investment higher X.X changes gain to last and and at increased not portfolio estimated private distributions. in made allocation. have million quarter the than high million, higher be our the pretax was XXX for to of XXth, income billion remained investment September portfolio and XXX quarter Our unrealized during equity Adjusted similar quality, The XX our the of benefiting to of after

Evan Greenberg

XXX the in for continue losses international to catastrophe And income factors. X.X our from run our XX the As Ida. And X about from last flood billion. million million. results I quarters, many which second investment earnings the call, expect million based from U.S. $XXX of notwithstanding was Pretax losses approximately which our of billion quarter quarter were better-than-expected on quarterly With is Europe. events XXX the to be we rate few in was on Hurricane noted over

Our reserves reserve net strong billion remains position X.X with increasing

Peter Enns

million includes impact XX has of the period growth, in reflecting basis, dollar which favorable development pretax, constant in XXXX a on X.X% from prior losses or the and XXX million on catastrophe a agricultural impact reserves. particular our business, of seasonality America had XX% We quarter which development from to from And prior. tail long-tail The lines, of adverse and approximately accent years North in XXXX XX% of short lines. XXX related was in personal legacy favorable remaining XXXX principally development million principally exposures. environmental our lines, split

million, Our and portfolio paid-to-incurred ratio in million, million XX% billion of or exchange increased X of XXX from per XXX strong agriculture. core was quarter. by respectively tangible after adjusting decreased reflecting value the for Book and for income, foreign Book on XX% tax, losses % net a which operating very was value investment and of and X.X than more last a share X.X% a billion share X.XX our and XXX repurchases dividends. book X.X% by and gain offset PPD

the year-to-date XX.X% for was respectively. and quarter Our XX.X% and reported ROE

X.X% equity tangible quarter. Our and core and for operating XX.X% ROE on respectively return the operating core were

include equity companies value not operating of our as core do. fair did income, in the we our reminder, funds a mark peer private on many As

our and operating the points increases would the per over to a comparison XX.X%. Karen. ROE value increases P by mark percentage operating fair our $X.XX. to core be X share on core $X.XX to turn our operating I'll back call purposes, by core ROE, For including funds, Year-to-date income our XX.X%

Karen Beyer

you. this we're point, your to At happy take Thank questions.

Operator

instructions]. gentlemen, and [Operator Ladies

begin will Phillips, We Morgan with Stanley. Michael with

Michael Phillips

are Thank in climate some talked actions you the either take. and exposure see and and are Evan expect doing? morning, the Andy, you going release, that you. your because the we future changes might cat actions change what some on can to to everybody. press actions or of about change, you talk of those changes because about thoughtful comments from the can in the load what those of you're just put Good in what

Evan Greenberg

globally differently the arise Chubb simply little arising and it's in a has in commercial less broader cut. not was from industry seen release personal losses included making industry. it especially Chubb, recent that. losses frequency and the non-modeled or severity and modeled property a the press I and that from years And answer well I'm mean, statement of to in than it's it insured about The from that causes.

with adequately Our the risk. is of paid price this for get objective twofold, business all

or of against less Factors exposures pearls loss modeled. to understand contributing accumulation fall Secondly, categories. manage rise that well X non the that weather-related in modeled and actually are into

apparel wildfires, the in globally and frequency of such storms, as floods. changes today tropical seeing severity the we're First, and

when record today's thinking historical the However, risk provides environment. an interesting context about

wind activity For part of example, storm far first would than from in modern not of earlier is or the hurricane compared recent falling intense either to storms anomalous XXth land frequency especially period this industry generate any of of greater in U.S. fact repeats century. frequency speed terms as losses measured the And loss. in say, by storms

amount within that all loss events. All of risk of contained storms the there which the greater. contemplated is And precipitation and to our already from increasing that with though, modeling And evidence appears management. that is now in is amount said be of the emanating

of examples that personal properties, factor actual shifts increases from the stock that values are exposure commercial changes to and footprint geographies, leading demographic higher the natural units, infrastructure. impact and are by risk higher second contributes GDP vulnerable exposure aging insurable is events And factors growth, the and to in The is the all loss further potential. finally, increasingly amplified building of third, of

'XX, management. these grid our reflect actively in the risk We're in impact during exposure and during XXXX failure Texas the of the freeze. Katrina the example, pricing, selection, levy all to failures trends For Hurricane systemic and of electric working

as go. still modeling, there's in wildfires. such secondary and have especially We way a floods significant advances to perils But

level rates and aggregation changes risk exposure manage both loss more refine us as recent recognition can are recent that together adjusted shifts. to that for dynamically net an The experience be consider demographic or experience factors such management appropriately for results of continue exposure concentrations. growth, portfolio sea with we quantified, And ever our granular loss Our to in rise, reflect explicit level. costs charges risk and

shape. So And we're an on dedicated of pretty think we of to have and frankly, effort. we're awful striving resource lot this, I to in good stay the top

Michael Phillips

details. Appreciate you the that. Thank for Okay.

I better? Sure. Second appreciate then details bit. question on, you a Yes. that Is gave little the

Evan Greenberg

better. little that's Yeah, a bit

Michael Phillips

worrisome you domain of break of you pieces change. that Again the X.X gave specifically down trend of a you numbers because loss Off-shelf gave of side you most my can appreciate the if would that that, the them could guess, on this casualty be long base or headset. X.X that is all What on make details kind I the going clearly trends I tail guess. quarter, that the going on of to the on. less loss with I casualty that here side on the number

Some make Any there event piece things and that could financial of you'd and different that go be some inflation, that up? are social number about that inflation happening worried more there.

Evan Greenberg

I No. worry. I'm There's one ingredient. no so as wouldn't not worried, characterize it

don't worried, so is be these of a the bar, -- it all you're as are funding. -- and the all business, -- the enduring litigation social At business. that ingredients, dynamics trial that in economic, of taking are science, are are the that moment If the casualty inflation, been time, you simply the this in are because These and taking has head-fake inflation, consistent have and legislation, factors. head understanding and environment have and changing the lag. not latency And closed, closed with on been legal not then the courts all our -- of whether

future arrives. try good the their And anticipating. we're is unknowable you it, And Some more of anticipate can by it than little what of head that. that's the times. of only And of so at to of a it. we job nature rear mindful a all others And until much do

good the bad conservatively you late. news In question. therefore, Thanks fact, news declare for so early and manage

Operator

ISI. Motemaden David question We'll now move to a Evercore with from

David Motemaden

an power to I get on position. highlight generation. this just Hi, And the the about far said capital capital at X just I year, billion a year, Capital has point know return morning. excess But been past, drag a returned so earnings X through of was good but I you've excess since update the ROE. dividends. and so in on as think you last capital buybacks was the end about and then hoping

asking, capital [Indiscernible] the guess the at you was way the of end position long-winded quarter? think of guys I excess So do where

Evan Greenberg

about the about range Yeah. It's come X in about it's from -- down X.X. of to

David Motemaden

uses have acquisition. potential should guess CIGNA the about around that. timing be thinking still also X any share stake additional just billion the just should -- thoughts and Wutai, thinking then the I the And And we it. of headroom then wondering, repurchase. Obviously capital. on up about ownership Got I'm of thinking some buying how just in

Evan Greenberg

it stake, excess over When the number up next XXXX. going potentially prognosticating comes Wutai good which ownership it months. well through the then say would buying up, with of specifically And to XX%, that luck over in I -- China few that and buying of to months,

David Motemaden

one helpful. it. could And maybe I in. then if Got That's just more sneak

still strong quarter the good pricing being components exposure to this the if quarter, I down like drill you a Last the just the wanted And break other about of in maybe can Another growth was little sounded negative. some but talked America strong. We're there commercial. North down business, new case, that's and wondering and if of were bit growth wondering very board, across quarter. obviously you I they of

Evan Greenberg

that net-net, go about had positives North changes about retention it would on impact lines that from deductible economic out growth. and all point. way in our a and a includes increases growth aggregate, commercial X.X other to activity etc, then exposure And structural nets X.X the both Look, and like a Yeah. America

David Motemaden

you. Thank Great.

Evan Greenberg

welcome. You're

Operator

hear with Elyse will Next Wells Fargo. we Greenspan from

Elyse Greenspan

you talked Hi. while robust for about Thanks. seen a across we've that Good Again the price industry. increases morning.

year, loss the broadly dynamics think out of do can next there? industry you you trend think course think just of rate As in as maintain underlying you the over the the about out excess

Evan Greenberg

do. I Elyse,

look now from of -- and when quarters, have I our kinds rate the in everything I then think at rates at moderation increase. look I how retention over a a rates would simply rates I a environment, ball, I I pattern and the that crystal of what is see number about achieving. cost and When I right loss look, but the the -- we're and at shape look don't look against I call of of

rate then which of marketplace. certain retention increases, we business, the on booked tone about So achieved tells a rate me the

continue tells All should some the of achieve of in cost that rate loss that time come. for industry me excess to to

Elyse Greenspan

loss North that frequency Okay. good around America was Great. since other terms then was And obviously, noise a segments. the of America anything there a improvement, basis you underlying XXX impacted -- underlying in the the ratio guys out, Is within of indicator call that improvement is didn't commercial? pretty commercial year-over-year COVID points North any one-off or in margin

Evan Greenberg

number. underlying is run rate not It's a one-offs. pretty good There

Elyse Greenspan

Great. Thanks for the color.

Evan Greenberg

welcome. You're

Operator

come will Wolfe question from Research. Mike Next Zirinski,

Mike Zirinski

exact morning. short-tail have Good back I expected you the but costs. I'm some loss going guess increase to Evan, of commercial might missed future. classes Great. I some wording, to the said I of you the think in

could provide that. some you around If color

Evan Greenberg

of evidence Right for some much commodity there inflation scarcity been supply materials, is property, given not short-tail, in and in the so commercial but in paid costs homeowners and and chain labor But losses. prices, time. our prudent. way anticipating and lines problems be of and And we top. now has view that's the just payments. rise all to on we're only for into common pricing, And that future claim sense it is Not in costs saying, to it. which we're ahead expect in waiting building I'm

Mike Zirinski

seeing too, -- the that some losses casualty delayed having looking being carriers, are a some casualty let's or the or because say, like guess in paid to that's interesting slower lines running due the I follow-up, it clogged at the courts as lines? pace. Is in of seemed of a at Chubb down

Evan Greenberg

Yeah.

about now full, saying I has closed, whole delay and all and you dockets industry, We half it for confuse courts said and what a about not What just over been though. we've the short-tail a Let's a obviously underwriter casualty. that a adjudication said year any and pattern not loss. final ultimate change. head-fake a going pattern that's -- change But and And in believe of is in take related good that casualty paid claims. a pattern processing that means of or to change the with the

don't exchange so believe trends. of that's therefore, we the And

And as so come factor will and the ultimately pace as remain a nd lag X% said therefore, as through incurrence. a we with I earlier trend the well

Meyer Shields

Understood.

the last XQ Lastly heard sure, loss benefits year. North your make 's of out, ratio year about want to just about you thanks there the I didn't I since results, answer, for I mostly early that guys heard year-over-year underlying the personal guess in or granular granular your we benefits commercial. answer benefits break question assuming quarters, -- last when America But just to thinking some XXXX. details we We same should those lines? segments were future be from in are Lisa

Evan Greenberg

I don't saying. you're what know know

Meyer Shields

I not guess frequency benefits, and just of just they frequency XQ, But those -- XQ later, but yes. benefits okay -- year. -- just Evan, right? In the he happen didn't XQ probably this

should that account. taking we So to be

Evan Greenberg

we -- see. Not that we not that

Meyer Shields

you. Thank

Operator

to move Benguigui Barclays. now with We will Tracy

Tracy Benguigui

morning. Thank you. Good

X markets Cygnet siloed. you different the or those Looking describe across at can field, of cohesiveness more any countries dynamics those marketplace

Evan Greenberg

Tracy, it's are with they're these Their -- individual like social their their dynamics, own their countries describing cultures, individual languages. They're own not markets. systems. countries, own socioeconomic

Evan Greenberg

France away, United about than can United These the breath? in saying, it different view a the No. the Asia we and it's States wouldn't vast and -- same States, talk 's Or France, and are I sterile no in Brazil. -- well,

the independently. managing each a global point That's them of to have think whole business. You of

by Idiosyncrasies, opportunities, The varied the great local each. and geographies are risks. understand You market.

Tracy Benguigui

which you has going benchmark its model. known? a to comes on about Maybe I you. comment compel you to lot lower know, guess getting that you to sidelines management S&P is in just more until this plans not an excess you with to is Thank cross request capital. development what advanced AAA, do and for capital S&P's back decision Or the update information as capital respect from And notice We at, help sit does to shared February, know published capital I deployment capital come will to AA back Okay. more understood? bridge will you that when I'm it. out, but unlock

Evan Greenberg

when bridge We'll more cross that known. is information

with very Always an have on productive close We agencies. rating and ongoing dialogue. basis

Tracy Benguigui

taking for Thank you my questions.

Evan Greenberg

You are asking. Thanks welcome. for

Operator

with Greg Raymond comes question from Peters James. Next

Greg Peters

everyone. and Good my retention question morning, Evan focus like recruiting. guess I around to first I'd

your talked the there's previous of And marketplace around the You availability a shortages. money lot labor about in news answer, of in workers.

million Louis workers Fed due COVID. was may to have St. earlier this X think something retired out about I week,

give with could us retention you recruiting. what's Chubb around going your at perspective maybe So on and

Evan Greenberg

Like different Thanks. and And it's of just difficult in in lives recruiting for companies, with rates retirements. clearly all around, it's of -- combination outcome and effort retention a many and people lower COVID more and a constant modestly moving marketplace are choices it's their a an of making ways.

we in North around manage, it then. was that from down such We and We're of improved have capabilities we Company up in in June the that had America to And positions more a beefed -- -- but people progress today work focus the number it. many resource People or and what work want we've on they -- different our open recruiting. aggregate, make and continue in progress, And significantly you have an have intense is making office we they on and days hours from work. the want the grind way to work. while -- we'll They to flexibility to be. different it, want remain

our with has shutdown greater and accelerated years or allows that last that. since NSA And about are the went therefore for into over and adjusted a guess productively over flexibility. ability year that we work, year-and-a-half the -- ability to now of own -- half. but proving recognize closer adjusting been I from to X that The the recognized our we given a or today, the have home technology not office, the expectations and around that proven simply from We

We brightest the work for obviously, those most and competes a ambitious for the ambitious, most So and Chubb. say. we're -- and should want best talent. and that the to mindful want marketplace to we're the in I Really

different going sure were objectives to not an those work to where our and And We want game goals them moderate balance make our concerns to life want We're to are hard, ambitious share work where to be employment here. and Company. ambition and apply a place to just work here. We because who step we our to want they we're up going but our of to work kind motivated be them from. of want

we're so strides in that. And making

I of And said, as not I here good number positions down. And a strides. overall think is small down, the amount. open

Greg Peters

retention going Brokers companies. your related, involved and distribution. in talk how guess that out your from business. for you we're forward as like hire equity you or it your I companies It's doesn't of Can then And the roll-ups, about distribution of outside be private seeing but of answer. ratios? disruptive Thank are higher we're in Chubb, in it hearing And there that large it that's risk highlighted news what is. seem might business. some affecting on there of producers sort Is look changes your ratios renewal to changes you lot the roll-ups as other it's seeing the we a

Evan Greenberg

strong and position in I -- the country. believe No, of all presence. with the an strong agency has Strong plants Chubb enjoys dialog, so. don't extremely top brokerage,

to a has to are Chubb. compelling offering who market. to who Our their without our a that's spread pretty -- we of job, hard has a simply a and any local make make And market to agent broker And product or make capability. capability, very to market,

balanced. to in compete capability community tools, and fierce as ingredient is a well partnership Chubb very business. brokerage the ourselves bring of compete and helping for other, they a frankly, and between in against of it's And lot their is our market within so an they compete effort compelling important each and them we how

Greg Peters

Seems Thanks your fair a like time. answer. for

Evan Greenberg

You're welcome.

Operator

with next Tunis the Autonomous question. has Ryan

Ryan Tunis

Hi, thanks. Good morning.

policy solid of cost improvement acquisition in quarter the Another ratios.

commercial in especially better How is segment. think, reinsurance? that driving terms what's is Evan? lines the I trend, Curious on that that sustainable

Evan Greenberg

it's available. is and better to Not business. margin. down. reinsurance. rates in business -- see steady, We business commercial mix degree. of predominantly increased, as you It's there And though terms pretty what And some that also It's come business, within on benefits of a And rates the sustainable. fee think driven, commission not a have is unimportant, commissioned And there lines is have it's on lines.

Ryan Tunis

And then

Ryan Tunis

recall in market, of more things you I've bothered that conditions. casualty of If of beginning kind the and the business. was excess follow-up done hard a got having a I terms at the one

talking million how remember addition the I'm that been that's become if X points just attachment there's attachment years. into wondering that guess are something -- Is the you about and I corrected over $X I might is in broadly think that market, points something later self-corrected? stale help us rate? those hard I to that years

Evan Greenberg

within you attachment when swap it dollar market, X But a The us. you is ameliorate and from is it to And that a clients a in X a what got definitely with helps they're doesn't it the million because layer of you're to and motivated on is a increase. point hard ingredients one difference between of million also self-correct. go incented. and And million out you pay, adequately million rate price.

yourself. that retain for it's So you rational,

limits broad more and very all of I'll And terms rate areas we we a rate on we been policy, construction for deductibles and basis. today's definition rational when because policy and well. and completely our And ingredients Ryan in continue it. of taking points environment economic lines and be the increase measure adjusted that so place it we been you, lines that look about place are within taking can different conditions. have Within remind a is the definitively, has can how and exposures in we transparent within -- were attachment increase, in to at to that in so And certain include and that a

Ryan Tunis

that in hard new that not mentioned and terms better tend the Is a conditions, road rate? we're market, a of than to do the bit when a those little headline points, limits, that down those market. those maybe thing attachment in You hard type happens stick do deductibles,

Evan Greenberg

tend Yeah, to point much and than is. rate the attachment stickier be the deductibles

Ryan Tunis

Got it.

Evan Greenberg

business, it And middle endures. particularly market, depending to It on the endure. than in more tends stickier

Ryan Tunis

Thanks.

Evan Greenberg

welcome. You're

Operator

[Operator Instructions].

Brian with Meredith to move UBS. We will now

Brian Meredith

Two questions for you. here quick Thanks. Yes.

something the happened happen was new growth Was what First, there years, the perspective? client? accounting with from it an business, Ag massive a

Evan Greenberg

a had If -- were new like the farm must size was they it they of client, have

Brian Meredith

take U.S. Exactly [Indiscernible] floral the will which over Western client

Operator

Lupine. John

Evan Greenberg

another supplies by had acres growth, corn beans up year-over-year were prices spring respectively. significantly planted record crops, new Thanks Brian. our were and And in and and base terms we our know XX, producers. XX% count up and policy acquisition the year of

XX 's price, So year corn John simple way, price, a are the that over And growth base. the is February a you that beans. the really prices in of if commodity or say, drove policies, prior the price can exposure. priced to up. significantly up is you rate against referring that apply because the when a exposure commodity is price, which And you're that's

Operator

sense. Makes Yeah.

I your and ANH. to my question talk about bit I just little think a wanted second is, global

Evan Greenberg

Giant XXX,XXX farm, [Indiscernible] record that was acres like

Brian Meredith

we're nice seeing to there business. with about know talk already any I travel-related, the And that's growth indications economic to next, a that it. A&H going growth some turn that is but the seeing that bit then have just thought of would a I it's would've around I the component little start like global to here, out

Evan Greenberg

about September month now they we've starting where I it of America. predominantly Korea, and see jumping Latin just and up and following been you've travel open it. us, they're was, the that just let's can very to is year-and-a-half, Singapore, closed Countries real it's Australia And in think it, are seen And they've November. where starting to in Asia if been we're Luis it's locked open. November. down Taiwan, first pickup, to to a October, all X% month open fact, Our just say down have going until for through and business been starting And our Asia Thailand, one growth all we're Hong like recently down. is growth Kong, been locked or remind and has

our what so off X% to 'XX, remind was However, you, XX% at is go. it a about from travel to ways got is

Brian Meredith

you. Thank Good.

Evan Greenberg

You're welcome.

Operator

from And KBW. we Shields last will Meyer with take our question

Meyer Shields

looking me brief in questions with, Thanks California? to are fitting homeowners Evan or start in and Great. in. to Florida add One shrink exposure you for

Evan Greenberg

exposed own were which our wildfire, we shrinking. in is adequate We moderately gave wildfire And gave would is amount an wisdom, remind of that a highly impact price -- to Meyer that that, the And exposed amount small information risk their shrinking related a were footprint State us. were not forward some amount. in a not an by to the we that of you, not for and both premium California, I'll and Well, that charge to exposed we cannot small even in that's California we because in amount. we small

of else unfortunately. pleasure that the writing will So someone have business,

pretty and shrinking steady. we've that Florida, been particular in we've so been And

Meyer Shields

then Okay. broad about maybe Congress question. bills the a Can to and Chubb you talk And helpful. considering. risks infrastructure that potential opportunities the That's maybe of now is

Evan Greenberg

going it's to are time It's add activity going over Well, construction a great. to around lot of -- the to opportunities infrastructure.

the the if and over correctly, the passed -- it's period takes you awful it'll I an dollars then infrastructure improvements time, But is of and Now, a of infrastructure. decade. putting ground generate bill, on trillion recall infrastructure a is to shovel a bill, the lot

the and our infrastructure want Now, border will country the realize the other those that others $X the will a construction it the spend and package, very for both It's to because we're thing infrastructure to to wrestle And with a that projects that need -- make beneficiary don't recognize trillion to affect we're of of part be the that to into and go sorely industry of expect. have want to to temporary insured, that Mexicans something we that working on issue and projects 's that as remain Congress be of -- is visa to to necessarily read interesting to home hand, insurance if they the way, projects a have and to and by and labor be after And difference want immigration X-point And want to see. those executing is address south very needs. and surety. one rationally labor work here. -- here. to those labor capable They going we after

Meyer Shields

you Perfect. Thank so Okay. much.

Operator

our over or the to your and ladies concludes gentlemen, for host I any closing question-and-answer And remarks. session. additional turn will this back call

Karen Beyer

your you speaking for everyone Have We a day. next morning. again seeing look -- with time to this Thanks, forward great quarter.

Operator

thank do today. participation. that, for your With you conference gentlemen, does conclude your We for ladies now you and may this And disconnect.

Chubb Limited (CB) 27 Oct 212021 Q3 Earnings call transcript