AIG to launch IPO for life, retirement business; Allianz books Q4'21 loss

TOP NEWS IN GLOBAL INSURANCE

* American International Group Inc. intends to launch an IPO for SAFG Retirement Services Inc., the holding company for its life and retirement business, in the second quarter. AIG CEO Peter Zaffino said the insurer is not constrained in terms of how much of the life and retirement business it can sell in an IPO due to the sale of its affordable housing portfolio, with the IPO size ultimately dependent on market conditions.

* Allianz SE logged a fourth-quarter 2021 net loss attributable to shareholders of €292 million, or a loss of 74 cents per share, compared with a net income of €1.82 billion, or €4.39 per share, in the prior-year quarter. For full year 2021, the company's net income declined to €7.11 billion, or €15.83 per share, from €7.13 billion, or €16.32 per share, in 2020. The decline resulted from a €3.7 billion one-time pretax provision in anticipation of settlements with major investors in the AllianzGI U.S. Structured Alpha funds.

➤ AIG CEO: Climate forcing insurance business model to change

AIG has already taken some action to reduce risk in the high net worth property business by no longer offering admitted personal property homeowners policies in California.

PROPERTY AND CASUALTY

* Axa SA became a majority shareholder of Atalante SAS, which trades under the commercial name CAPZA, subject to regulatory approval. Axa will also invest at least €3.5 billion in CAPZA-managed strategies over five years.

* Zurich Insurance Group AG has placed for sale its Australian property and casualty subsidiary, Zurich Australian Insurance Ltd., Insurance Insider reported. Zurich Australian Insurance's portfolio is skewed heavily toward property and motor, which accounted for roughly a quarter each of its premium revenue in 2020.

* Insr Insurance Group ASA implemented a name change after a proposal to change the company's name to Insr ASA was approved during its extraordinary general meeting on Feb. 17, FinansWatch reported. Norway's financial supervisory authority directed the name change since Insr no longer operates a core insurance business.

* Patricia Ayuela de Rueda will replace Miguel Ángel Merino González as CEO of Línea Directa Aseguradora SA, Expansión reported.

* Kinsale Capital Group Inc.'s fourth-quarter 2021 net income jumped year over year to $48.3 million, or $2.09 per share, from $38.2 million, or $1.65 per share. The company's full-year 2021 net income surged to $152.7 million, or $6.62 per share, from $88.4 million, or $3.87 per share, in 2020.

LIFE AND HEALTH

* Life Insurance Corp. of India's IPO is expected to open for anchor investors on March 11, Reuters reported, citing sources. The offering, expected to obtain regulatory approval by the first week of March, is set to be India's biggest IPO yet.

REINSURANCE

* Swiss Re AG has acquired Alcan Holdings Switzerland AG's Switzerland-based runoff reinsurance captive Champlain Reinsurance in a legacy transaction, Reinsurance News reported. Champlain Re's remaining reinsurance liabilities consist of Rio Tinto Alcan Group's general liability and workers' compensation exposures.

* Reinsurance Group of America Inc. has closed a longevity reinsurance transaction covering approximately €4 billion of underlying reserves with the Netherlands-based NN Life. The transaction was effective Dec. 31, 2021.

* Pool Reinsurance Co. Ltd. is seeking £75 million of retrocessional reinsurance protection against U.K. terror attack losses for three years through a Baltic PCC Ltd. series 2022-1 catastrophe bond transaction, Artemis reported.

Sophie Davies and Gerard O'Dwyer contributed to this report.

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