Company: AXS-PE
Filing Date: 2025-02-26
Form Type: 10-K
Source: 0001214816-25-000056
Chunk: 287

Company: AXIS CAPITAL HOLDINGS LTD
Filing Date: 2025-02-26
Form: 10-K
Item: Item 7
Chunk 287
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Comparatively, in 2023, catastrophe and weather-related losses, net of reinsurance, were $111 million, or 3.2 points, primarily attributable to the conflict in the Middle East, the Earthquake in Turkey, Maui wildfires, Cyclone Gabrielle, Typhoon Mawar and other weather-related events. 

Adjusting for the impact of the catastrophe and weather-related losses, the current accident year loss ratio increased to 52.1% in 2024 from 51.8% in 2023. The increase was principally due to higher loss ratios in liability and cyber lines, partially offset by the change in business mix attributable to the increase in property business written in recent periods which is associated with a relatively lower loss ratio.

Prior Year Reserve Development

Refer to Item 8, Note 8 to the Consolidated Financial Statements 'Reserve for Losses and Loss Expenses' for details of prior year reserve development by segment, line of business and accident year.

Acquisition Cost Ratio 

The acquisition cost ratio increased to 19.5% in 2024 from 18.7% in 2023, primarily related to an increase in profit commission expense driven by improved loss performance mainly in accident and health lines, and a decrease in ceding commissions due to changes in business mix driven by the decrease in professional lines business written in recent periods which is associated with relatively higher ceding commissions and the increase in property business written in recent periods which is associated with relatively lower ceding commissions. 

Underwriting-Related General and Administrative Expense Ratio

The underwriting-related general and administrative expense ratio decreased to 12.4% in 2024 from 13.7% in 2023, mainly driven by increases in net premiums earned, partially offset by an increase in performance-related compensation costs.

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Reinsurance Segment

Results for the reinsurance segment were as follows:Year ended December 31,2024% Change2023% Change2022Revenues:Gross premiums written$2,390,304 8%$2,215,761 (16%)$2,629,014 Net premiums written1,506,806 12%1,343,605 (29%)1,885,150 Net premiums earned1,380,199 (15%)1,622,081 (20%)2,026,171 Other insurance related income30,627 35%22,693 81%12,514 Expenses:Current accident