Aon Reports First Quarter 2014 Results First Quarter Key Metrics
- $2.9 billion total revenue with 2% organic revenue growth
- 15.9% operating margin
- $1.06 EPS
- $65 million decrease in cash flow to a use of $11 million
"Our first quarter results reflect a solid start to the year with double-digit earnings growth, highlighted by strong performance across Risk Solutions and effective capital management," Greg Case, president and chief executive officer of Aon plc. "We are returning a record amount of capital to shareholders, highlighted by the repurchase of $600 million of ordinary shares in the quarter and the recently declared 43% increase in our quarterly cash dividend, while continuing to invest in innovative solutions across the firm to strengthen our industry-leading platform for long-term growth, strong free cash flow generation and increased financial flexibility." Click
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Aon Honored with a CIO 100 Award for Technology Platform Behind the Aon Active Health Exchange
Aon was honored with a 2014 CIO 100 Award from CIO magazine, which recognizes organizations that exemplify the highest level of operational and strategic excellence in information technology (IT). Aon and Aon Hewitt were recognized for the technology platform behind the Aon Active Health Exchange, the largest fully insured, multi-carrier private health exchange in the market. The Aon Active Exchange provides greater choice and a new level of competition to health care benefits to empower employees as consumers. More than 600,000 employees and their family members enrolled in group health benefits through the Aon Active Health Exchange for the 2014 plan year.
“We leveraged our vast experience in administering health benefits for more than 9 million individuals to develop an innovative technology platform that applies the increasingly familiar tools of successful online retail shopping experiences into the process of researching and selecting health insurance coverage,” said Matthew Heckler, CIO of Aon Hewitt. “Being recognized with a CIO 100 Award reinforces the critical role our technology plays in empowering consumers and ensuring they have the tools and resources they need to make the best decisions for them and their families.”
Aon Hewitt’s post-enrollment analysis, conducted by an independent third party, shows enrollees are beginning to make the transition from being passive health plan users to empowered and engaged consumers. Nearly 75 percent of enrollees in the Aon Active Health Exchange felt confident they chose the health plan that offered the best value for them and their family, and three-quarters said they had a good understanding of how they share the cost of group medical coverage with their employer. In addition, the use of online decision support tools, including health plan comparisons, cost estimators and provider search tools was high:
86 percent of employees used a comparison tool showing high level design features across plans.
66 percent used a tool to search for their network doctors and hospitals.
64 percent of employees used a “Need Help Deciding?” tool that walks them through a step-by-step decision process to select the plan that works best for them based on their ability to handle an unexpected medical expense versus the desire to minimize their payroll deductions.
“The Aon Active Health Exchange creates a marketplace where employees benefit from both strong competition for their business and the continued health benefits support of their company,” said Cary Grace, CEO of Aon Exchange Solutions. “Our innovative platform enables consumers to comparison shop and model different choices based on their individual needs. It also encourages insurance companies to deliver greater value and provides incentives for ongoing market innovation to benefit all stakeholders— consumers, employers and the insurance companies themselves.”
Complete coverage of the 2014 CIO 100 awards will be online at http://www.cio100.com/ on August 1, 2014 and in the August 1st issue of CIO magazine.