Aegon, a provider of life insurance, pensions and asset management, has said that at this point, it has observed no material adverse impacts on claims ratios as a result of the COVID-19 outbreak.
The announcement comes as part of an update on Aegon’s capital position in light of the impact of the virus outbreak and subsequent volatility in financial markets.
The company confirms that at this point, the company has experienced no material adverse impacts on claims ratios from the virus outbreak, nor has Aegon observed any material credit rating migration.
Furthermore, Aegon says that it remains well capitalised in the upper half of the Solvency II ratio target range, with its Group Solvency II ratio estimated at 190% at the end of Q1 2020, based on market data from March 12th and following the allowance for payment of the proposed final dividend.
Expanding on its capital ratios, Aegon notes that in the U.S., the Netherlands, and the UK the capital ratios are all estimated to be well above the bottom-end of their respective target zones.
“This is expected to allow for the planned level of remittances to the Group, absent a further significant deterioration of the current status of COVID-19 and ensuing effects on the financial markets,” explains the company.
Ultimately, Aegon says that it’s too early to tell what the potential impact from the virus will be on its financial performance, with results dependent on numerous factors, including underwriting results and the financial markets.
“At this point, we remain focused on supporting our customers, colleagues and business partners while maintaining our financial and operational resilience,” says Aegon.