Chubb is Well Positioned For the Next Phase of Pricing
<p>RBC Capital provided a review of <a href='https://financialmodelingprep.com/financial-summary/CB'>Chubb Limited (NYSE:CB)</a>, noting that it is well-positioned for the next phase of pricing. According to the analysts, the company is a best-in-class underwriter who prices for risk and return, not growth and consistently reserves conservatively - critical attributes when pricing is adequate and more critical should pricing begin to wane. </p>
<p>Management commented that the pricing environment remains strong as the market transitions to reinsurance led hard-market from an insurer-led one. The company noted a 51.3% cumulative rate increase since the beginning of 2019 and showed every intention of maintaining rate increases at or above loss cost inflation going forward.</p>
<p>The capital return has been good and the analysts see an ROE in the low to mid-teens with recent accretive acquisitions and rising investment income key drivers in addition to already strong underwriting margins. The analysts raised their price target to $250 from $230 while maintaining their Outperform rating.</p>

NYSE:CB