Sign in

    Yaron Kinar • Oppenheimer & Co. Inc.

    Yaron Kinar's questions to AXIS Capital Holdings Ltd (AXS) leadership

    Yaron Kinar's questions to AXIS Capital Holdings Ltd (AXS) leadership • Q4 2024

    Question

    Yaron Kinar sought confirmation that the risk margin for U.S. casualty reserves set in the prior year remains intact. He also asked about the loss cost trends underlying the significant rate increases in casualty lines and potential wildfire exposure through the company's London-based specie book.

    Answer

    CFO Pete Vogt confirmed that recent studies and claims data reinforce the company's confidence in its casualty reserves and 2024 loss picks. President and CEO Vincent Tizzio added that the primary casualty book is underwritten through the E&S channel, allowing for freedom of form and rate. Regarding the specie book, Tizzio acknowledged some exposure but stated it was contemplated within his estimate that the wildfires would not be a material event, with Vogt adding that the book has a $10 million event deductible.

    Ask Fintool Equity Research AI

    Yaron Kinar's questions to Chubb Ltd (CB) leadership

    Yaron Kinar's questions to Chubb Ltd (CB) leadership • Q4 2024

    Question

    Yaron Kinar questioned the apparent disconnect between the 2% gross premium growth in North America Commercial and the significantly higher reported pricing increases.

    Answer

    Chairman and CEO Evan G. Greenberg advised focusing on net premium growth, as gross figures are often distorted by large, structured transactions. He further explained that even net premium growth does not translate directly from pricing due to the complex interplay of business mix, retention rates, and new business volume, which vary by line.

    Ask Fintool Equity Research AI

    Yaron Kinar's questions to Chubb Ltd (CB) leadership • Q3 2024

    Question

    Yaron Kinar from Jefferies asked if low exposure growth in North America casualty implied a future increase in appetite and questioned if the competitive behavior in London applied to both property and casualty lines.

    Answer

    Chairman and CEO Evan G. Greenberg corrected the premise of the first question, clarifying that the analyst was confusing the 'exposure' component of pricing with overall premium growth and asserted that casualty lines are, in fact, growing quickly. He confirmed that the competitive behavior he observed in the London market was occurring 'across the board' in both property and casualty.

    Ask Fintool Equity Research AI

    Yaron Kinar's questions to Everest Group Ltd (EG) leadership

    Yaron Kinar's questions to Everest Group Ltd (EG) leadership • Q4 2024

    Question

    Yaron Kinar of Jefferies asked for tangible examples of changes in risk selection for new business and questioned whether the decisive 'one renewal' strategy could risk alienating broker relationships.

    Answer

    Executive James Williamson provided examples of the pivot, such as writing marquee loss-sensitive accounts in sectors like manufacturing and tech instead of guaranteed-cost real estate, and focusing on rounded accounts. Regarding brokers, he expressed confidence, stating that sophisticated partners understand the need for corrective action on underperforming business and that strong new business flow with these same brokers proves the relationship remains solid.

    Ask Fintool Equity Research AI

    Yaron Kinar's questions to W R Berkley Corp (WRB) leadership

    Yaron Kinar's questions to W R Berkley Corp (WRB) leadership • Q4 2024

    Question

    Andrew, on behalf of Yaron Kinar of Jefferies, asked for the specific drivers of the strong growth in short-tail insurance lines, questioning if it was property, inland marine, or A&H. He also inquired about the 50 basis point impact on the current year loss ratio, noting that property growth should have been beneficial.

    Answer

    W. Robert Berkley, Jr. (Executive) confirmed that property and inland marine were the primary drivers of short-tail growth. Richard Baio (CFO) explained that while property growth is beneficial to the loss ratio, its positive impact was offset by the mix, as casualty lines like other liability and auto, which have higher loss ratios, still represent nearly 50% of the total book.

    Ask Fintool Equity Research AI

    Yaron Kinar's questions to Travelers Companies Inc (TRV) leadership

    Yaron Kinar's questions to Travelers Companies Inc (TRV) leadership • Q4 2024

    Question

    Yaron Kinar asked how the California wildfires might affect Travelers' appetite for property business in the state and whether the growing appetite in auto considers potential tariffs.

    Answer

    CEO Alan Schnitzer stated their future appetite in California depends on market reaction and potential regulatory reforms. President of Personal Insurance Michael Klein added they were already shrinking in the state. Regarding auto, Klein said they would react to tariffs if they materialize rather than trying to predict them, given their current confidence in margins.

    Ask Fintool Equity Research AI

    Yaron Kinar's questions to Fidelis Insurance Holdings Ltd (FIHL) leadership

    Yaron Kinar's questions to Fidelis Insurance Holdings Ltd (FIHL) leadership • Q3 2024

    Question

    Yaron Kinar asked for a discussion on the relationship between large and attritional losses and how to reconcile the commentary on benign attritional activity with the company's holistic view of losses.

    Answer

    Chief Actuarial Officer Jonathan Strickle explained that the company focuses on the overall combined ratio rather than distinguishing heavily between loss types, as the classification can be arbitrary in a single quarter. He confirmed the attritional experience was benign year-over-year but cautioned that the metric can look artificially low if medium-sized events are classified as large losses.

    Ask Fintool Equity Research AI

    Yaron Kinar's questions to Hippo Holdings Inc (HIPO) leadership

    Yaron Kinar's questions to Hippo Holdings Inc (HIPO) leadership • Q3 2024

    Question

    Yaron Kinar inquired about the scale of Hippo's new homes channel, seeking a nationwide figure for homes serviced and data on retention and loss ratios as these homes age. He also asked for clarification on the EBITDA impact from the sale of the First Connect platform.

    Answer

    President and CEO Rick McCathron clarified that Hippo has access to approximately 200,000 new homes annually nationwide and noted that retention in this channel is very high. CFO Stewart Ellis added that while long-term data is still developing, early results show new homes perform better on losses than older homes. Ellis also confirmed the First Connect sale has a small positive impact on adjusted EBITDA as the unit was not yet profitable.

    Ask Fintool Equity Research AI

    Yaron Kinar's questions to Renaissancere Holdings Ltd (RNR) leadership

    Yaron Kinar's questions to Renaissancere Holdings Ltd (RNR) leadership • Q3 2024

    Question

    Yaron Kinar followed up on casualty loss trends, asking why emerging issues wouldn't necessitate revisiting prior year reserves. He also questioned what specifically changed in the quarter to prompt a 50% increase in the share repurchase authorization, given the benefits of the Validus deal were previously known.

    Answer

    Group Chief Underwriting Officer David Marra explained that prior year reserves are resilient due to disciplined underwriting, such as avoiding commercial auto, and a conservative reserving process where they did not fully credit rapid rate improvements in 2020-2021 to their loss picks. Regarding the buyback, CFO Robert Qutub cited the company's significantly larger scale, while CEO Kevin O'Donnell added that the timing was driven by the final consolidation of Validus balance sheets, which unlocked the expected liquidity and completed the integration.

    Ask Fintool Equity Research AI

    Yaron Kinar's questions to Arch Capital Group Ltd (ACGL) leadership

    Yaron Kinar's questions to Arch Capital Group Ltd (ACGL) leadership • Q3 2024

    Question

    Yaron Kinar of Jefferies inquired about the source of growth in other liability occurrence lines (organic vs. acquisition) and what market dynamics specifically accelerated this opportunity in the third quarter.

    Answer

    Executive François Morin confirmed a significant portion of the growth was organic E&S casualty, driven by double-digit rate increases. CEO Nicolas Alain Papadopoulo explained the Q3 acceleration reflects a broader market realization of inadequate past reserves, fueled by rising social inflation and claim severity. This has prompted more drastic and widespread underwriting actions, creating attractive opportunities.

    Ask Fintool Equity Research AI

    Yaron Kinar's questions to Allstate Corp (ALL) leadership

    Yaron Kinar's questions to Allstate Corp (ALL) leadership • Q3 2024

    Question

    Yaron Kinar asked if the run-rate for auto renewal ratios should be expected to decline as Allstate grows in lower-retention channels like nonstandard auto and direct. He also questioned the lag between rate increases and retention declines, suggesting the impact from Q1 rate hikes should have moderated by Q3.

    Answer

    Executive Mario Rizzo acknowledged that a future mix shift towards more new business and nonstandard auto would likely put downward pressure on the overall retention rate, but the current impact is muted. Regarding the lag, Rizzo clarified that while California rates were implemented in Q1, significant rate increases in New York and New Jersey occurred in Q3, continuing the pressure on retention. Executive Thomas Wilson added that the customer shopping behavior that creates the lag is not simple or immediate.

    Ask Fintool Equity Research AI

    Yaron Kinar's questions to Root Inc (ROOT) leadership

    Yaron Kinar's questions to Root Inc (ROOT) leadership • Q3 2024

    Question

    Yaron Kinar of Jefferies questioned the trends in cohort-based policy churn, the potential for accelerated retention improvement, and the timing and strategy behind potential rate reductions given the strong recent loss ratio performance.

    Answer

    CEO Alex Timm noted a modest improvement in cohort-based retention, which he expects to accelerate as the higher-retaining partnership channel grows and the company expands into marketing channels that attract stickier customers. Regarding pricing, Timm explained that rate reductions are a reaction to hitting target loss ratios based on credible data and improved segmentation from new models, rather than a strategy to aggressively pursue market share.

    Ask Fintool Equity Research AI

    Yaron Kinar's questions to Skyward Specialty Insurance Group Inc (SKWD) leadership

    Yaron Kinar's questions to Skyward Specialty Insurance Group Inc (SKWD) leadership • Q3 2024

    Question

    Yaron Kinar asked why gross written premiums in the Professional Lines and Industry Solutions segments began to decline in the quarter. He also questioned the full-year catastrophe loss guidance, noting it implied a historically high Q4 cat load.

    Answer

    CEO Andrew Robinson attributed the Professional Lines decline to intense competition in private company D&O and miscellaneous E&O. The Industry Solutions decline was driven by intentional, ongoing cuts in Commercial Auto. Regarding cat losses, he confirmed the full-year guidance of 2.0% to 2.5% reflects their conservative view and that they feel good about Q4 results, suggesting the implied high dollar amount for Q4 was an overestimation.

    Ask Fintool Equity Research AI

    Yaron Kinar's questions to Brown & Brown Inc (BRO) leadership

    Yaron Kinar's questions to Brown & Brown Inc (BRO) leadership • Q3 2024

    Question

    Yaron Kinar asked about the impact of a recent captives transaction, which created a noncontrolling interest (NCI), on the Programs segment's reported organic growth and margins.

    Answer

    R. Watts, an executive, clarified that the transaction has no impact on the Programs segment's organic growth or margins. He explained that accounting rules require the company to report revenue on a gross basis at the segment level, with the NCI adjustment occurring below the pretax income line, making a segment-level adjustment irrelevant.

    Ask Fintool Equity Research AI