Peer Benchmarking for Leading U.S. Non-Life Insurers, Based on Key Financial Parameters May 2013
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Peer Benchmarking – Top-Line and Bottom-Line Performance of Leading U.S. Non-Life Insurers Net Earned Premium (In $ bn) – Peer Comparison 6.09
80%
3.52
40%
2.15
1.58
3.19 1.98
1.44
64.8% 60%
4.24
5.69 3.60 1.73
3.08 1.42
2.84
1.82
2
1.43
4
2.55
6
5.41
5.71
8
Loss Ratio 2012 – Peer Comparison
20% 70.2%
65.3%
70.8%
63.9%
53.8%
Hanover
XL
Selective
CINF
Markel
0% 0 2009 Hanover
2010 XL
Selective
2011 CINF
2012 Markel
Expense Ratio 2012 – Peer Comparison
15.1%
1,000
13.5%
800
34.8%
30%
600
20%
400
10%
200 34.2%
Average
2012 Operating Income (In $ mn) & Operating Margin (%)
50% 40%
Loss Ratio
31.0%
33.2%
32.2%
11.6% 2.0%
43.3%
0%
3.3%
832.8
56.5
620.0
404.8
XL
Selective
CINF
Markel
0 Hanover
XL
Selective
Loss Ratio
CINF
Markel
90.6 Hanover
Average
Operating Income
16% 14% 12% 10% 8% 6% 4% 2% 0%
Operating Margin
Source: Company Financial Results 2012; Earning Call transcript; JANNEY MONTGOMERY SCOTT LLC; STERNE, AGEE & LEACH, INC
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Peer Benchmarking – ROE and Investment Income of Leading U.S. Non-Life Insurance Companies ROE – Peer Comparison
2012 Investment Income (In $ mn) & Investment Yield
15% 10%
1,200 1,000
9.3%
4.7%
4.2%
5% 3.9%
4%
3.3%
3.2%
800
5%
6.4%
0%
2.2%
1.5%
3%
600 2%
400
-5%
1%
200 276.6
1,012.4
131.9
531.0
282.1
0
-10% 2009 Hanover
2010 XL
2011 Selective
CINF
2012 Markel
0%
Hanover
XL
Selective
Investment Income
CINF
Markel
Investment Yield
Source: Company Financial Results 2012; Earning Call transcript; JANNEY MONTGOMERY SCOTT LLC; STERNE, AGEE & LEACH, INC
© 2013 Sutherland Global Services Inc., All rights reserved. Privileged and confidential information of Sutherland Global Services Inc.
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Report Concludes Here
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