Re/insurance brokerage Aon has reported organic revenue growth of 17% for its Reinsurance Solutions segment during the fourth quarter of 2019, driven by double-digit growth cross every major business.
Aon said the performance of the segment was highlighted by continued new business generation globally, as well as strong growth in catastrophe bonds within capital markets transactions.
Overall revenue for Reinsurance Solutions came to $187 million in Q4 2019, representing a 15% increase on the $162 million recorded during the same period in the previous year.
This helped to boost Aon’s total revenue by 4% to $2.89 billion for the quarter (including organic revenue growth of 7%), in combination with 5% growth for Commercial Risk Solutions, which recorded revenue of $1.33 billion.
“Our fourth quarter results reflect strong operational and financial performance to finish the year, highlighted by organic revenue growth of 7%, including growth of 5% or greater in four of the five solutions lines, and substantial operating margin improvement of 210 basis points,” said Greg Case, Chief Executive Officer.
Looking at the full year, Aon reported revenue growth of 2% to $11.0 billion, including organic revenue growth of 6%.
Revenue for the Commercial Risk Solutions segment was largely static at $4.67 billion in 2019 versus $4.65 billion previously, but the Reinsurance Solutions again saw some improvement, growing from $1.56 billion to $1.69 billion.
“For the full year, we delivered our strongest level of organic revenue growth in over 15 years and adjusted operating margin of 27.5%,” Case continued. “Our strong performance reflects continued momentum as we strategically position the firm to bring the best of global Aon to clients and execute against our Aon United strategy.”
“We enter 2020 in a position of strength to continue to improve the long-term growth profile of the firm that we believe will unlock significant value for clients and shareholders.”
Also notable in Aon’s results was the continued growth of its Data & Analytics Services segment, which increased revenue by 7% to $291 million for the fourth quarter, and also by 7% for the year to $1.18 billion.
The company said this performance was helped by particular strength in the US driven by double-digit new business generation, as well as solid growth in the Aon Inpoint and ReView businesses thanks to strong retention.