AXA Essentials

2020 Edition “2019 enabled us to finalize the strategic shift we set in motion in 2018. Today, is a group focused on technical risks that What were the highlights enable more frequent interactions of 2019 for AXA? with our customers”

Thomas Buberl: The year 2019 was marked by some significant progress in the implementation of our Ambition 2020 strategy. In 2019, we focused on precise objectives to generate more growth in our target segments, simplify the withdrawn from our life, How do you identify Group’s scope and change savings and asset management growth sectors for its risk profile. AXA pursued business in the United States. the Group? dynamic growth, which This is a major step that will was accompanied by high make us even less sensitive to T. B.: We’re moving towards profitability. This enabled financial risk. The Group has sectors where the major us to achieve underlying further reduced its debt, in economic, societal and Interview earnings of €6.5 billion. line with our commitment. environmental transitions Finally, despite the low At the same time, we’ve made present major challenges. interest rate environment, good progress with the That’s where we can be useful What were the main developments we demonstrated strong integration of XL’s business and position ourselves as for AXA in 2019, the fourth year of its performance, in particular into AXA Group. Today, AXA is a partner for our customers. CEO of AXA with a 198% solvency ratio a group focused on technical If we look at the healthcare Ambition 2020 plan? How have the Group’s at December 31, 2019. risks that enable more sector, in a decade, medical strategy and commitments created value frequent interactions with our research has made major How is AXA doing now that customers. Our profile is fully progress and connected for its customers and society? 2019 has come to a close? aligned with the objective objects have largely changed What are the main values behind AXA’s we’ve set with Ambition 2020: the relationship between purpose, which was defined this year? T. B.: The past year enabled to transition from a payer patients and their care us to finalize the strategic role to be a partner for our pathways. The downside is Thomas Buberl answers these questions shift we set in motion in 2018. customers. that treatment is often more and shares his vision of AXA’s role. We’ve now completely expensive and health systems

02 03 more complex. As an insurer, of risks, the vast volume of “The current crisis shows that we have a natural role to play in data at our disposal and our this equation, to better connect range of specialties broadened we must find ways to extend the our customers with medical through the integration scope of coverage.” services. This business offers of AXA XL, we’re among enormous potential for the best placed to meet innovation (for example, with the new challenges faced telemedicine) and growth, by businesses. And because by extending coverage to new we’re aware their issues services and expanding our are increasingly complex, healthcare offering. in 2019 we developed our risk consulting business to offer With AXA XL, you’ve also tailored advice and solutions aligning our investments with Is the current crisis boosted your presence for corporate customers. the Paris Agreement, limiting underlining the need in the corporate sector. their climate warming to invent new forms How do you include your potential to +1.5°C by 2050. of coverage? T. B.: Here too, our wider customers’ viewpoints We’re also going to achieve expertise as an insurance in your decision making? complete divestment from Absolutely. AXA’s top priority partner can make all the coal by 2030 in Europe and during this crisis has been difference. Companies of all T. B.: We measure customer OECD countries, and by 2040 to guarantee the safety sizes are facing new risks. satisfaction in all of our in the rest of the world. of our 160,000 employees When you add our knowledge regions. For us, this indicator, Finally, we want to drive the and enable them to continue entire economy’s transition, assisting our 108 million in particular by creating customers worldwide. transition bonds, a new asset Exceptional measures class that will help finance have been taken to support companies’ move towards the customers who have which improved at all our AXA recently announced more sustainable business been most impacted “Our credibility is based on divisions in 2019, is not just some very ambitious models. by the economic fallout a formality. It enables us climate measures… our customers’ recognition. to confirm the value of our Their trust enables us to make products and services and T. B.: Our knowledge of risks ambitious commitments ensure that the priority we convinced us very early on make of customers is not an of the need to take action to to society.” empty promise but a reality limit global warming. In 2015, reflected in the behavior we made strong climate of every employee. We’re all commitments and helped conscious that our credibility put this issue at the top of our is based on our customers’ industry’s collective agenda. recognition. Their trust Today, I’m convinced we enables us to make ambitious must go even further. That’s commitments to society. why we’ve committed to

04 05 Our sustainable value creation

WE IDENTIFY, WE CREATE ASSESS AND POOL PRODUCTS RISKS RELATED AND SERVICES TO PEOPLE AND THAT ENABLE This reflects our aim BUSINESSES FOR OUR CLIENTS A MORE STABLE TO TRANSFER of helping our customers, WORLD. WE HELP OUR THEIR RISKS. CUSTOMERS MANAGE ress by pr both individuals and prog otec THEIR RISKS. an tin companies, and society as m g w hu h r a a whole to move forward. o t f Dis m t trib a It also evokes the notion of c Adv uti t a ice on t / Su e protection that’s at the very e pp or r W t s core of our business as an n / ce ig t n s n ie e e c s Savings d m a of the lockdown. But the society, what drives us every insurance company, enabling e t t g a c a D u / crisis has also underlined day – now and in the long customers to plan for the n t d a h o m ig r s P k n the need to extend the scope term. After talking to many future with peace of mind. s i i l R a i r of insurance coverage. of our employees, as well as And in times of crisis, like the a u t

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I a al i stakeholders and authorities by protecting what matters.” our action. li c t e n Health s a A s n to define a public-private i A d F d In i insurance regime capable n t o i v o a n of meeting the challenges ti a o l n s / e P r of a crisis like the one our a v r i tn c Protection er es society has been experiencing “Our purpose – acting for s hi / ps s ts over the last few months. ion en rat ym human progress by protecting Ope Pa e / ervic mer s ce Custo stan AXA recently defined its what matters – reflects our aim Assi purpose. What is it and of helping our customers and how will it be useful for the Group? society move forward.” WE COMMIT TO WE INVEST CUSTOMERS, PARTNERS RESPONSIBLY It seemed useful to take the AND INVESTORS OUR ASSETS AND REINVEST PART ON BEHALF OF BOTH time, as a group, to formulate OF OUR PROFITS IN OUR OUR CUSTOMERS AND AXA’s role for customers and BUSINESS, IN OUR HUMAN OUR SHAREHOLDERS. RESOURCES AND IN OUR COMMUNITIES.

06 07 Our profession

Insurance is a major catalyst for economic development and progress in society. It also plays a key role in the distribution of wealth, the allocation of economic resources 1. Pushing the boundaries of underwriting and the resilience of individuals in the face of risks. AXA’s aim is to extend the scope Insurers analyze the impact and frequency of risks to set prices. of insurance action to reinforce its positive role. Pooling creates a system of mutual support, through which the good fortune of the many benefits the few who encounter difficulties. AXA is developing ways to extend the scope of insurance coverage. The Group is innovating to enable populations who have traditionally been less well protected (such as emerging consumers or women) to access insurance. It is also creating solutions to cover new types of risks: cybercrime, weather risks, and so on. Like natural disaster insurance schemes that are jointly managed by the State and insurance companies, AXA is working to create a pandemic insurance regime insures as a public-private partnership. individuals 2. Promoting positive-impact investment

Insurers invest the premiums they receive in financial markets to cover their customers’ risks in the future. Often focused on the long analyzes manages term, these investments are essential for funding the economy. and mutualizes AXA premiums and AXA aims to meet two objectives with its investment choices. First risks resources of all, it looks for quality, to bring its customers and shareholders guarantees of solidity and durability. Second, the Group aims to steer business stakeholders in directions that are positive for society. Its commitment to divesting from the coal and tobacco industries, in particular, and the creation of positive-impact funds enable AXA to direct financial flows to business sectors that take a more insures responsible approach to the environment and healthcare. companies

3. Offering useful new solutions

In line with its “Payer to Partner” strategy, AXA is developing new services. In this way, the Group is expanding the insurance value chain to enable customers to prevent or reduce the impact of negative events. With the support of AXA Next, the division focused on innovation, all the Group’s business lines are developing additional solutions for their customers. In addition to its health insurance offering, for example, AXA Ensure revenue is developing a whole range of services enabling customers to prevent Provide access to better Organize mutual support predictability and health problems, access quality practitioners and simplify treatment financial terms between individuals reliability follow-up. AXA is also pioneering new e-health platforms and opened its first integrated medical centers in 2019.

Facilitate risk taking Invest long-term in Organize support (innovation, jobs, etc.) financial markets between generations

08 09 A clear, carefully executed strategy

With Ambition 2020, AXA has designed a clear roadmap for reinforcing its core business and accelerating its transformation. By reducing its insurance model in Switzerland by no longer exposure to financial risks, innovating for its customers and boosting handling financial management to focus on its commitments as a responsible leader, AXA has taken significant steps technical management. forward in implementing this strategy. 2019 enabled AXA to finalize the strategic shift set in motion in 2018. Having fully withdrawn from its life, savings and asset With the acquisition of XL, 1. Transforming 4. Acting as a management business in the United Sates, the Group is now the global our risk profile responsible leader AXA was able to consolidate its acquisitions leader in commercial property AXA has chosen to reduce As a leader in risk insights, in property & casualty and health insurance, & casualty insurance. AXA is the share of business most AXA’s responsibility is twofold: and further reduce its debt. exposed to financial markets also pursuing strategic to share its knowledge with the development in the health and increase the share of aim of helping society become With this strategy, AXA is focusing its sector to become a major 1. Transforming technical insurance products, more resilient to the major action on the medium and long term. player in healthcare access. such as health and property transitions underway, and to our risk profile This position is reinforced by the Group’s & casualty insurance. The sale lead the way through impactful robust performance, based on rigorous of its life, savings and asset 3. Innovating pioneering commitments. for our customers asset-liability management, which enabled management subsidiary in the Good examples are AXA’s At the heart of the Ambition 2020 plan, AXA to achieve a 198% Solvency II ratio at The Group’s innovation United States aligns with this complete withdrawal from the AXA’s decision to reduce its exposure December 31, 2019. Ascertained by credit strategy has three objectives: strategy. Furthermore, AXA’s tobacco industry, its gender to financial risks meets two objectives: rating agencies, this financial strength being there for customers rigorous approach to insurance parity targets and its ambitious first, to diversity the Group’s risk profile provides lasting guarantees to AXA's by developing services that premium and capital climate strategy, which includes and minimize the impact of financial crises; customers and shareholders. facilitate their formalities management enables it to a new phase announced in 2019. and second, to better meet the new needs and improve their everyday achieve solid performance in of society and customers, who expect much risk management; helping support of its long-term more from their insurer than financial them achieve their goals with Group debt ratio in 2019 commitments. services. Launched in 2016, this strategic shift solutions, advice and tools has accelerated since 2018, transforming 2. Accelerating that enable them to plan AXA’s business. 32% 29% property & casualty for the future; and extending the scope of insurance by and health insurance Accordingly, AXA has sold or transformed developing ways to cover AXA focuses on insurance the activities most exposed to financial risks. -3pts segments that enable it to go new risks and populations In 2019, the Group finalized the sale of AXA vs 2018 that have been traditionally beyond its payer role and be Inc., its life, savings and less well protected. a partner for its customers. asset management subsidiary in the United States, following an 2018 2019 in May 2018. AXA has also transformed its life

10 11 3. Innovating for our customers Another operation carried out by developed a digital platform to provide the Group to develop property & casualty the bank’s customers with innovative life, and health insurance was the takeover health and property & casualty coverage. of 100% of AXA Tianping, enabling the Group to harness the growth potential of these The innovations developed by AXA also segments in China. extend the scope of insurance coverage. Through its AXA Climate division, for As a leader in the health sector, AXA is example, the Group is using parametric making access to healthcare a strategic insurance technologies to offer new priority. As an e-health pioneer, AXA is solutions to climate challenges. AXA is also present from the start of its customers’ care creating new offerings for freelancers and pathways, offering them access to competent entrepreneurs in emerging countries, two 2. Accelerating health professionals and guiding them populations who have traditionally been towards suitable specialists, depending less well protected but will now be able to property & casualty on their situation and concerns. achieve their goals, thanks to insurance. and health insurance In 2019, the Group reached a new milestone with the creation of its own health networks Innovation is a key driver of the Group’s in Egypt and Mexico. With this offering, growth and transformation strategy, While selling its activities most exposed AXA intends to facilitate access to effective, based on one approach: start by under- to financial risks, AXA made ambitious affordable healthcare and become a real standing customers’ and society’s needs to choices to accelerate its development partner to patients. In 2020, the Group invent solutions, tools and business models in key sectors. The first was its acquisition signed a partnership with Accor to offer that are truly useful to them. To meet this of XL, a leading provider of commercial medical assistance to customers of the challenge, the Group is also working on new property & casualty insurance with brand’s 5,000 hotels worldwide. disruptive models to meet future needs, as a portfolio of solutions, customers and well as everyday innovation by employees offices complementary to AXA’s. AXA XL, to directly meet the needs of individuals and the division created by this merger, is one of companies identified on the ground. the rare global companies currently able to provide a comprehensive range of insurance 62% Above all, AXA wants to simplify its and solutions to all types of AXA's revenues come customers’ lives by providing solutions of companies. Finalized in the last quarter from target segments that enable them to better manage of 2018, the operational integration of XL (health, life and commercial everyday risks. In the health sector, AXA’s was pursued in 2019 with aligned offerings, property & casualty) numerous initiatives include applications the results of the first commercial synergies for managing the entire care pathway, a and the creation of new solutions, such as coaching platform to prevent disease and a risk consulting business providing tailored remote consultations to facilitate access to solutions to companies. quality care. With ING, the Group has also

12 13 4. Acting as a responsible leader A leader committed to the future

A responsible leader AXA was one of the first companies during the crisis €300M to commit to a responsible investment and underwriting strategy. A pioneer in of solidarity measures 2020 has been marked by the Covid-19 in Covid-19 crisis tobacco industry divestment, committed epidemic. Having impacted every to biodiversity, the Group is also continent and immobilized a large part spearheading measures to combat global of the planet, this global crisis has warming, having announced ambitious brought health, economic and financial new climate measures in 2019. risks on an unprecedented scale. As a global leader in the health sector, AXA has also done everything in its power to respond to The new phase in AXA’s climate strategy AXA Group’s top priority has been to the health emergency by extending coverage builds on the Group’s experience to offer new, guarantee the safety of its 160,000 employees for healthcare professionals, mobilizing its even more effective and impactful measures and enable them to continue assisting its medical networks and e-health services, while with a new ambition: playing a driving role 108 million customers worldwide. providing financial and material support to in the climate transition by helping accelerate caregivers in many countries. change in industry, in addition to the financial Because this portfolio reflects the Exceptional measures have also been sector. real economy, AXA wants to support taken to support the customers who have In the longer term, true to its commitments the transformation of industrial been most impacted by the economic fallout as a responsible company, the Group intends At the heart of these new commitments companies by creating the first transition of the lockdown, particularly craftsworkers, to play an active role in post-crisis recovery is AXA’s intention to align its investment bonds, a new asset class to finance transition tradespeople and small companies. and the rebuilding of our economies and portfolio with the Paris Agreement, projects created by companies that are the society. Through the AXA Research Fund, limiting its climate warming potential to not yet eligible for green bonds. At the same the Group has committed to supporting +1.5°C by 2050. This potential currently stands time, AXA will continue increasing its volume research on infectious diseases and the at +3.0°C – considerably better than the sector of green investments. The Group’s new Covid-19 virus. In addition, AXA is working average but still too high to help build a climate policy also includes a complete with- alongside other insurers and authorities to sustainable world. drawal from the coal industry by 2030 define public-private insurance capable of in European and OECD countries, and by meeting the challenges of a crisis like the one 2040 in the rest of the world. the world has been experiencing over the last few months. AXA also wants to drive adaptation, The warming potential of drawing on its insurance expertise to better AXA’s portfolio limited to counter the impact of global warming. By developing solutions like CYMO, a satellite or drone surveillance system for real-time +1,5°C alerts and damage assessment, and by sharing To find out more about the Group’s by 2050 information with authorities to facilitate action during the Covid-19 crisis, decision making, the Group aims to be an ally please visit axa.com. in climate change adaptation.

14 15 Drawing on Management Committee 29/02/2020 strong governance 1 2 3 Board of Directors 31/12/2019

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9 10 11 12 13 DENIS THOMAS DUVERNE BUBERL Chairman of AXA’s Chief Executive Officer 1 - Thomas Buberl 5 - Benoît Claveranne 10 - Jacques de Peretti Board of Directors of AXA Chief Executive Officer of AXA Chief Executive Officer Chief Executive Officer International & New Markets of AXA France i i 2 - Gérald Harlin Group Deputy Chief Executive 6 - Georges Desvaux 11 - Karima Silvent Officer and Executive Chairman Chief Strategy and Business Chief Human Resources of AXA IM Development Officer Officer

3 - George Stansfield 7 - Scott Gunter 12 - Astrid Stange PATRICIA MARTINE JEAN-PIERRE BETTINA Group Deputy Chief Executive Chief Executive Chief Operating BARBIZET BIÈVRE CLAMADIEU CRAMM Officer and Group General Officer of AXA XL Officer Employee Secretary Representative Senior Independent Employee 8 - Alban de Mailly Nesle 13 - Gordon Watson Director Representative 4 - Étienne Bouas-Laurent Chief Risk and Investment Officer Chief Executive Group Chief Financial Officer Officer Asia i i i i i 9 - Antimo Perretta Chief Executive Officer Europe

IRENE RACHEL ANDRÉ ANGELIEN STEFAN Define and prioritize strategic priorities and ensure DORNER DUAN FRANÇOIS-PONCET KEMNA LIPPE that objectives are met successfully

i i The Partners Group

Members of the Management Committee and about 30 Group leaders

Thomas Buberl ■ Daniel Bandle ■ Matthieu Bébéar ■ Marc Blottière ■ Guillaume Borie ■ Étienne Bouas-Laurent

Helen Brown ■ Gilbert Chahine ■ Dongjun Choi ■ Benoît Claveranne ■ Patrick Cohen ■ Charles Cooper

FRANÇOIS RAMON DOINA ELAINE Ulrike Decoene ■ Georges Desvaux ■ Jean Drouffe ■ Hassan El Shabrawishi ■ Claudio Gienal ■ Giacomo Gigantiello MARTINEAU DE OLIVEIRA PALICI-CHEHAB SARSYNSKI Renaud Guidée ■ Scott Gunter ■ Gérald Harlin ■ Jason Harris ■ Rahul Hora ■ Nicolas Leclercq ■ Guillaume Lejeune

Alban de Mailly Nesle ■ Delphine Maisonneuve ■ Sally O’Hara ■ Doina Palici-Chehab ■ Jacques de Peretti Employee Shareholders’ Representative Antimo Perretta ■ Fabrizio Petrillo ■ Neil Robertson ■ Olga Sanchez Rodriguez ■ Julie Scott-Bryant ■ Karima Silvent

Astrid Stange ■ George Stansfield ■ Julien Steimer ■ Christine Theodorovics ■ Jozef Van In ■ Xavier Veyry

Alexander Vollert ■ Sally Wan ■ Amaury de Warenghien ■ Gordon Watson ■ Didier Weckner ■ Seiji Yasubuchi *It is with great sadness that AXA announced the death of Stefan Lippe on April 24, 2020. The Board of Directors and the Management Committee of AXA are grateful for his many decisive contributions to the Group during his eight years on the Board. Push the boundaries and widely explore opportunities, in particular through learning expeditions.

Audit Committee Financial Committee Compensation and Governance Committee i Senior Independent Director Assist the Management Committee with the implementation of strategic action

16 17 Head of publication: AXA Group Communications Department. Photo credits: Franck Juery, Getty images, AFP, Shutterstock, All rights reserved. Design and production: (ref.: RAAX019) E-accessible version: �ipedif

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