8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

Current Report Pursuant to Section 13 OR 15(d) of

The Securities Exchange Act of 1934

Date of Report (Date of earliest event reported)

July 23, 2020

Everest Re Group, Ltd.

(Exact name of registrant as specified in its charter)

Bermuda	1-15731	98-0365432
(State or other jurisdiction	(Commission	(IRS Employer
of incorporation)	File Number)	Identification No.)
Seon Place – 4th Floor 141 Front Street PO Box HM 845 HamiltonHM 19, Bermuda		Not Applicable
(Address of principal executive offices)		(Zip Code)

Registrant’s telephone number, including area code 441-295-0006

Not Applicable

(Former name or former address, if changed since last report.)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

Class	Trading Symbol(s)	Name of Exchange where registered
Common Shares, $0.01 par value	RE	New York Stock Exchange

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 12(a) of the Exchange Act. ☐

ITEM 7.01 REGULATION FD DISCLOSURE

On July 23, 2020, the registrant issued a news release announcing certain preliminary information related to its second quarter 2020 financial results. For the second quarter of 2020, Everest expects to report $160 million of pre-tax losses related to the Covid-19 pandemic, $15 million of pre-tax catastrophe losses related to civil unrest in the United States and $38 million of pre-tax net investment income. A copy of that news release is furnished herewith as Exhibit 99.1 and is incorporated herein by reference.

ITEM 9.01	FINANCIAL STATEMENTS AND EXHIBITS
(c)	Exhibits
	Exhibit No.	Description
	99.1	News Release of the registrant,
		dated July 23, 2020

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	EVEREST RE GROUP, LTD.
By:	/S/ CRAIG HOWIE
	Craig Howie
	Executive Vice President and
		Chief Financial Officer

Dated: July 24, 2020

EXHIBIT INDEX

Exhibit
Number	Description of Document	Page No.
99.1	News Release of registrant,
	dated July 23, 2020	5

EX-99.1

1

N

EWS

R

ELEASE

EVEREST RE GROUP, LTD.

Seon Place, 141 Front Street, 4

th

 Floor, Hamilton HM 19, Bermuda

Contacts

Media: Dane Lopes Investors: Jon Levenson

Group Head of Marketing & Communications Head of Investor Relations

Everest Global Services, Inc. Everest Global Services, Inc.

203.388.3977 908.604.3169

For Immediate Release

Everest Provides Preliminary Information on Second Quarter 2020 Results

HAMILTON, Bermuda -- (BUSINESS WIRE) – July 23, 2020 – Everest Re Group, Ltd.

(“Everest” or the “Company”) announced today net investment income, catastrophe losses, and the

estimated impact from the ongoing Covid-19 pandemic ("Pandemic”) for the second quarter of

2020. Everest is providing details in advance of its full quarterly earnings to be released on

August 5, 2020. 

Despite the ongoing Pandemic and related economic impacts, Everest expects to report another

profitable quarter during 2020, with positive underwriting income and growth in gross written

premium across our platform.

The estimated impacts are as follows:

●

Everest expects to report net investment income of $38 million pre-tax. Since Everest reports most

limited partnership income on a one quarter lag, the global equity market downturn in the first

quarter of 2020 is being reflected in our second quarter results. In turn, the improvement in global

equity markets during the second quarter will be reflected in increased limited partnership

investment income in our third quarter results.

●

Pre-tax net catastrophe losses in the amount of $15 million arising from claims related to civil

unrest in the United States, all within our Insurance segment.

●

Pre-tax net Pandemic losses in the amount of $160 million. The $160 million is allocated $130

million to the Company’s Reinsurance segment and $30 million to the Insurance segment. Due to

the ongoing nature of this unprecedented event, these losses are substantially classified as incurred

but not reported (IBNR) and primarily arise from policies covering event cancellation and

postponement, business interruption and workers’ compensation, and include a provision for loss

adjustment expenses. The second quarter estimate follows an updated and thorough review of

2

existing and potential exposures. Everest continues to evaluate all aspects of our global portfolio.

The Pandemic estimate does not account for legal, regulatory or legislative intervention that could

retroactively mandate or expand coverage provisions. This amount is in addition to the $150

million of IBNR reported in the first quarter of 2020. 

Risks and Uncertainties

There are significant uncertainties surrounding the ultimate number of claims and scope of loss

resulting from the Pandemic. The Company’s estimates are based on best available information

obtained to date from a review of relevant in-force contracts with potential exposure and estimates

of reinsurance recoverables, and also from the Company’s clients and brokers. Given the

uncertain and evolving nature of the Pandemic, actual ultimate losses from these events may vary

materially from these current estimates. Everest anticipates this Pandemic could have a

meaningful impact on revenue, as well as net and operating income in future quarters as a result of

reinsurance and insurance claims due to the Pandemic and resulting macro-economic market

conditions.

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.

XML

Document And Entity Information	Jul. 23, 2020
Cover [Abstract]
Document Type	8-K
Amendment Flag	false
Document Period End Date	Jul. 23, 2020
Entity File Number	1-15731
Entity Registrant Name	Everest Re Group, Ltd.
Entity Central Index Key	0001095073
Entity Incorporation State Country Code	D0
Entity Tax Identification Number	98-0365432
Entity Address Address Line 1	Seon Place – 4th Floor
Entity Address Address Line 2	141 Front Street
Entity Address Address Line 3	PO Box HM 845
Entity Address City Or Town	Hamilton
Entity Address Postal Zip Code	HM 19
Entity Address Country	BM
City Area Code	441
Local Phone Number	295-0006
Written Communications	false
Soliciting Material	false
Pre Commencement Tender Offer	false
Pre Commencement Issuer Tender Offer	false
Entity Emerging Growth Company	false
Security 12b Title	Common Shares, $0.01 par value
Trading Symbol	RE
Security Exchange Name	NYSE