Chubb’s 2016 merger with ACE Limited has paid off better than Chubb Chairman and CEO Evan Greenberg ever expected, he told CNBC on Wednesday in an interview with Cramer.
“We exceeded our initial expectations by a mile on efficiencies and cost take-out, but it’s really about one plus one equals three,” Greenberg said of the newly integrated insurance giant. “We are growing faster today than I believe the two companies left on their own would.”
Citing “the complementary strengths of the two organizations in terms of product capability and service strengths and geographic reach and distribution excellence,” Greenberg said the market opportunity still ahead of the company was “compelling.”
And when it comes to broader global concerns like climate change that insurers may need to hedge against in the future, Greenberg said it was Chubb’s duty as a company to tackle the issues.
“As long as we can be paid properly and we can understand the risk and we can structure the risk, we will assume that risk,” Greenberg said. “As climate change becomes a greater reality and we have more volatility and as society … becomes more affluent, urbanizes more, then there’s greater concentrations in exposure. That’s the insurance industry’s job if we want to remain relevant.”