Re/insurance broker Aon has reported overall revenue growth of 10% to $3.5 billion for the first quarter of 2021, including organic revenue growth of 6%.
Its performance was aided by organic revenue growth in its Reinsurance Solutions business, which at 6% was still strong but well below the impressive rates that the segment had maintained over the previous several quarters.
Reinsurance Solutions revenue stood at $922 million by the end of the quarter, which was 12% higher than the $848 million recorded in the previous year. Aon said the continued organic growth of its reinsurance buiness reflected new business generation globally, and double-digit growth in facultative placements.
The broker’s overall net income for Q1 was $913 million, representing a 16% increase over the $772 million that it reported for the same period last year.
Its Commercial Risk Solutions unit saw its revenue grow 12% to $1.29 billion, or 9% on an organic growth basis, with performance driven by growth across every major geography, reflecting strong retention and management of the renewal book portfolio, highlighted by double-digit growth in the U.S., Asia, and Latin America.
On average globally, pricing for this business unit was modestly positive, Aon said, while exposures were flat, resulting in a modestly positive market impact.
For the Retirement Solutions segment, revenue grew 9% to $434 million, or 5% on an organic basis, driven by growth across every major business, and highlighted by double-digit growth in Human Capital, and solid growth in the core Retirement business.
Health Solutions revenue grew 7% to $536 million, or 4% organically, and Data & Analytic Services revenue was up 6% to $351 million overall, but saw a decrease in organic revenue growth of 2%.
“In the first quarter, our colleagues delivered an outstanding operational performance including 6% organic revenue growth and 170 basis points of margin improvement, building on over a decade of progress on our key financial metrics, creating momentum for 2021, and demonstrating the power of Aon United,” said Greg Case, Chief Executive Officer of Aon.
“Today, clients are justifiably focused on the unprecedented impact of the COVID -19 pandemic, but they are also increasingly aware of other challenges like climate change, supply chain disruption, the future of work, and the growing health-wealth gap. Our strategy is built to bring the best innovation, insight, and solutions from across our firm, and our potential to address client need only increases with our pendin g
combination with Willis Towers Watson.”