Today, Aegon N.V. is participating in the annual Morgan Stanley Financial Services Conference, which for the first time, is being held virtually. Aegon’s Group Chief Financial Officer, Matt Rider, will discuss the company’s 2019 results, and provide an update on its capital position in light of the impact of the Coronavirus (COVID-19) outbreak and recent volatility in financial markets.
Aegon remains well capitalized in the upper half of the Solvency II ratio target range. The Group’s Solvency II ratio is estimated at 190% at the end of the first quarter of 2020, based on market data from March 12, 2020 and after allowing for payment of the proposed final dividend. No material adverse impacts on claims ratios have been observed from COVID-19 at this point, nor have we observed any material credit rating migration.
The capital ratios of Aegon’s businesses in the United States, the Netherlands and the United Kingdom 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.
Aegon is continuously monitoring the market and the economic turbulence that has arisen as a consequence of the COVID-19 outbreak, and its impact on the company. It remains too early to quantify the potential impact on Aegon’s financial performance. The effect on Aegon’s financial results will depend on a range of factors, including the financial markets and underwriting results. At this point, we remain focused on supporting our customers, colleagues and business partners while maintaining our financial and operational resilience.