Axis Capital Holdings Limited · NYSE:AXS
Axis Capital — Keefe, Bruyette & Woods 2008 Insurance Conference
10 slides from Axis Capital's conference presentation, Sep 3, 2008
Slide 1: AXIS Capital at the Keefe, Bruyette & Woods 2008 Insurance Conference
AXIS Capital John Charman CEO & President September 3, 2008 Keefe, Bruyette & Woods 2008 Insurance Conference Exhibit 99.1
Slide 2: Safe Harbor Disclosure
Safe Harbor Disclosure Statements in this presentation that are not historical facts, including statements regarding our estimates, beliefs, expectations, intentions, strategies or projections, may be “forward-looking statements” within the meaning of the U.S. federal securities laws, including the
Slide 3: Investment Highlights
Investment Highlights Well-diversified leader in the global wholesale P&C markets Established global insurance and reinsurance platforms Well-diversified mix of specialty and niche businesses Geographic diversification globally Disciplined and proven underwriter Proven steward of capital (generated
Slide 4: AXIS Insurance GPW and Combined Ratio Since Inception
AXIS Insurance GPW and Combined Ratio Since Inception 62% 68% 81% 93% 72% 69% 72% 1,200 1,500 1,800 2,100 LTM 6/30/2008 $1,607 $1,920 Property Marine Terrorism Aviation & Aerospace $1,875 $2,070 Political Risk Professional Lines Casualty Accident & Health $2,039 Focus on underwriting profitability C
Slide 5: AXIS Re GPW and Combined Ratio Since Inception
AXIS Re GPW and Combined Ratio Since Inception 76% 76% 78% 1,200 1,500 1,800 LTM 6/30/2008 $1,093 $1,519 (1) $1,539 Catastrophe Property Professional Lines Credit & Bond Motor Liability Engineering/Other (1) Includes KRW reinstatement premiums of $88 million. $1,551 Focus on underwriting profitabili
Slide 6: Quality, Sustainability and Profitability
Quality, Sustainability and Profitability Return on Average Common Equity Net Income Combined Ratio 27.7% 22.5% 23.0% 21.5% 24.4% 25.2% 26.3% 42.7% 51.1% 61.4% 80.3% 52.9% 50.1% 54.8% 0% 25% 50% 75% 100% 2008 YTD 19.9% 24.6% 26.7% 2.9% 16.3% 22.3% 14.7% 0% 10% 20% 30% 2008 YTD $1,055.2 $925.8 $90.1
Slide 7: Favorable Reserve Development since Inception
Favorable Reserve Development since Inception 28.1 74.9 114.3 49.0 123.0 74.2 27.7 106.8 268.7 167.5 214.0 100.7 2008 YTD Reinsurance Insurance $55.8 $181.7 $383.0 $216.5 $322 excluding adverse KRW development of $337.0 We mitigate reserve risk by limiting overall exposure to long-tail business, int
Slide 8: Strong Net Reserve Position
Strong Net Reserve Position $572 $290 $627 $429 $537 $558 $1,200 Property and Other Liability Professional Lines Cat, Property & other Credit & Bond, Motor & Liability Professional Lines Net Case Reserves Net IBNR Reserve AXIS Insurance Net IBNR Reserves = $1,489 Total Net Reserves = $2,001 AXIS Re
Slide 9: Modest Financial Leverage = Financial Flexibility
Modest Financial Leverage = Financial Flexibility 250 250 250 250 499 499 499 499 499 Capitalization Ratios 1,961 2,817 3,238 3,012 3,913 4,659 4,763 $1,000 $2,000 $3,000 $4,000 $5,000 $6,000 6/30/2008 $2,817 $3,737 $4,011 $4,912 Common Equity Series A Preferred Equity Series B Preferred Equity Debt
Slide 10: Driving Shareholder Value Creation
Driving Shareholder Value Creation Diluted book value per share + Accumulated dividends $30.30 $28.79 $23.45 $18.34 $19.29 $16.74 $13.90 Diluted Book Value Per Share (1) (1) Calculated using the treasury stock method. Accumulated Dividends Paid 2002 – Q2 08 Average ROACE = 18% Diluted book value per
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