AXA has increased its 11 September loss estimates by Euros 89m.
It blamed the complexity and delays in the claims process. The French group reported first half earnings down by 32% compared to the same period last year. Its overall net income fell to Euros 837m from Euros 1.22bn the same time
last year.
The increase in the 11 September losses led to an increase in reserves by Euros 89m and contributed to a loss in Axa's international insurance division of Euros 28m. It also offset a 17% increase in the group's operating earnings, which increased to Euros 1.02bn from Euros 876m in the first half of 2001.
But Axa's property and casualty division increased its first half operating earnings by 94% to Euros 228m from Euros 117m the time before and the division's combined ratio came down to 105.8% from 110.9% the time before.
Lower losses in the first half of 2002 helped the loss ratio improve by 3.9 points to 80%.
