AIG 2013 Annual Report Download - page 102

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The following table presents AIG Property Casualty net premiums written by major line of business:
Commercial Insurance
Casualty $ 8,574 $ 9,820 (5)% (13)%
Property 4,191 3,811 12 10
Specialty 3,576 3,552 4 1
Financial lines 3,959 3,872 8 2
Total net premiums written $ 20,300 $ 21,055 3% (4)%
Consumer Insurance
Accident & Health $ 6,969 $ 6,762 (5)% 3%
Personal lines 7,181 7,000 (3) 3
Total net premiums written $ 14,150 $ 13,762 (4)% 3%
Other (14) 23 57 NM
Total AIG Property Casualty net premiums written $ 34,436 $ 34,840 –% (1)%
WORLDWIDE NET PREMIUMS WRITTEN BY LINE OF BUSINESS
(in millions)
Commercial Insurance
2013 20112012
Accident & Health
Property
Casualty
Specialty
Financial lines
Personal lines
2013 20112012
$4,708
$8,145
$4,191 $3,811
$8,574 $9,820
$20,842 $20,300 $21,055
$13,552 $14,150 $13,762
$3,730 $3,576 $3,552
$4,259 $3,959 $3,872
$6,621
$6,931
$6,969 $6,762
$7,181 $7,000
Consumer Insurance
During 2013, Commercial Insurance continued to focus on the execution of its strategic objectives.
Casualty net premiums written decreased in 2013, compared to the prior year, primarily due to the execution of our
strategy to enhance risk selection, particularly in the Americas and EMEA, as well as to increase specific reinsurance
purchases to better manage our exposures. Changes in reinsurance strategy decreased net premiums written by
approximately $185 million in 2013, compared to the prior year. In line with our strategy, Casualty net premiums
written decreased 17.1 percent since 2011 due to the capital intensive nature of the long-tail Casualty book of
business. We implemented rate increases in retained business, especially in the U.S., that partially offset these
premium decreases.
Property net premiums written increased in 2013, compared to the prior year, primarily due to growth in new
business across all regions, favorable retention in renewal businesses and increases in coverage limits and changes
to our per-risk reinsurance program to retain more favorable risks, while continuing to manage aggregate exposure.
Catastrophe-exposed businesses in the Americas also benefitted from rate increases.
AIG Property Casualty Net Premiums Written
2013 and 2012 Comparison
Commercial Insurance Net Premiums Written
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AIG 2013 Form 10-K84
ITEM 7 / RESULTS OF OPERATIONS / AIG PROPERTY CASUALTY
Percentage Change
Years Ended December 31,
(in millions) 2013 2012 2011 2013 vs. 2012 2012 vs. 2011
$ 8,145
4,708
3,730
4,259
$ 20,842
$ 6,621
6,931
$ 13,552
(6)
$ 34,388
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