Everest Provides Preliminary Information on First Quarter 2021 Catastrophe Losses

Rhea-AI Summary

Everest Re Group, Ltd. has announced preliminary estimates for first quarter 2021 catastrophe losses ahead of its full earnings report on April 28, 2021. The company expects pre-tax net losses to total $260 million from various events, including $250 million from the Texas winter storms and $10 million from New South Wales flooding. Everest also confirmed it will not be increasing its Covid-19 Pandemic loss provision, which currently stands at $511 million. The company remains committed to aiding affected communities during these events.

Positive

• Everest's total estimated catastrophe losses of $260 million remain manageable within the company's overall financial framework.
• The organization is not increasing its Covid-19 Pandemic loss provision, indicating confidence in its pandemic risk management strategy.

Negative

• The estimated losses of $250 million from Texas winter storms may impact the company's financial stability in the short term.
• The overall $260 million in catastrophe losses could affect investor sentiment and stock performance.

Everest Re Group, Ltd. (“Everest” or the “Company”) announced today preliminary information on first quarter 2021 catastrophe losses in advance of its full quarterly earnings to be released on April 28, 2021.

Everest is estimating pre-tax net catastrophe losses for the first quarter 2021 as detailed in the table below.

• All amounts are net of reinsurance recoveries and reinstatement premiums
• For the Texas winter storms Everest is estimating insured industry losses of approximately $15 billion

Amounts in USD (millions)	Reinsurance Segment	Insurance Segment	Event Totals
Texas winter storms	203	47	250
New South Wales flooding	10	0	10
Segment totals	213	47	260

Everest is not adding to its Covid-19 Pandemic loss provision. To date, the Company’s total Pandemic loss provision is $511 million, of which approximately 80% remains as IBNR.

Everest Re Group President & CEO Juan C. Andrade Commented: “Our thoughts and sympathies go out to all those affected by these recent catastrophe events. We are proud to be able to help communities rebuild when events such as these take place.”

This news release contains forward-looking statements within the meaning of the U.S. federal securities laws. We intend these forward-looking statements to be covered by the safe harbor provisions for forward-looking statements in the U.S. Federal securities laws. These statements involve risks and uncertainties that could cause actual results to differ materially from those contained in forward-looking statements made on behalf of the Company. These risks and uncertainties include the impact of general economic conditions and conditions affecting the insurance and reinsurance industry, the adequacy of our reserves, our ability to assess underwriting risk, trends in rates for property and casualty insurance and reinsurance, competition, investment market and investment income fluctuations, trends in insured and paid losses, catastrophes, pandemic, regulatory and legal uncertainties and other factors described in our latest Annual Report on Form 10-K. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

About Everest Re Group, Ltd.

Everest Re Group, Ltd. (“Everest”) is a leading global provider of reinsurance and insurance, operating for close to 50 years through subsidiaries in the U.S., Europe, Singapore, Canada, Bermuda, and other territories.

Everest offers property, casualty, and specialty products through its various operating affiliates located in key markets around the world.

Everest common stock (NYSE:RE) is a component of the S&P 500 index.

Additional information about Everest, our people, and our products can be found on our website at www.everestre.com. All issuing companies may not do business in all jurisdictions.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210419005870/en/

FAQ

What are Everest Re Group's estimated catastrophe losses for Q1 2021?

Everest Re Group estimates total catastrophe losses of $260 million for Q1 2021.

How much is the estimated loss from Texas winter storms for Everest Re?

The estimated loss from the Texas winter storms is approximately $250 million.

Is Everest Re increasing its Covid-19 loss provision?

No, Everest Re is not adding to its Covid-19 Pandemic loss provision, which totals $511 million.

When will Everest Re Group announce its full earnings report?

Everest Re Group will release its full quarterly earnings report on April 28, 2021.

What is the ticker symbol for Everest Re Group?

Everest Re Group's stock is traded under the ticker symbol 'RE'.