UPDATE: Citi Color On CB Target Increase

Citi, which raised its PT on shares of The Chubb Corporation (NYSE: CB), is providing some color on the stock.

“Mgmt noted rate changes in auto were up low single digitswhile homeowners were up in the mid single digits,” Citi writes. “As a result, CB has seen improvement in new business and renewal retentions as it has not been significantly raising rates. CB has been targeting its homeowners customers who do not have auto insurance at CB and the results have been encouraging with a ~10% response rate.

“Auto premium growth has been driven from outside the US, but is still relatively small overall (~6% of 1Q NWP). Canada, Brazil, UK and Ireland are key non-US drivers.”

Chubb Corporation closed Thursday at $61.56.