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Swiss Re shows a big turnaround in year-round performance

In November 2020, reinsurance giant Swiss Re forecasts a recovery in 2021, proving that expectations are correct. Joining other companies in the same industry today and announcing full-year results for 2021, the group surged in net profit, rising to $ 1.43 billion (about $ 1.83 billion) after a net loss of $ 878. I made it clear that I did. Meanwhile, reinsurance company GWP increased 9% from US $ 42.95 billion in 2020 to US $ 46.66 billion, and in 2021, the Group’s return on equity was 5.7% and the combined ratio was 94.7%.

Swiss Re reported net income attributable to shareholders of $ 2,097 million from a loss of $ 247 million in 2020 across the P & C division. The binding ratio dropped from 109% in 2020 to 97.1%. Reinsurers acknowledged good investment results, as well as improved portfolio quality and higher interest rates.

Looking at the January renewal of the segment, P & C Re renewed its contract on January 1, 2022 with a premium volume of $ 8.9 billion. This is a 6% volume increase compared to the business to be renewed. The amount of premiums related to natural disasters increased by 24%, achieving strong growth in real estate and specialties.

Meanwhile, the corporate solutions business exceeded the 2021 normalized composite ratio target, and the combined ratio in 2021 fell from 115.5% in 2020 to 90.6%. The business reported a strong net profit of US $ 578 million from net profit in 2021. Loss of US $ 467 million in 2020 due to decisive strategic action and continued price increases. GWP in this segment was up 21% to $ 7,492 million, while premiums earned were $ 5.3 billion, up 6.5% from $ 5 billion in 2020.

Only Swiss Re’s Life and Health Reinsurance Business (L & H) reported a net loss of $ 523 million after making a profit of $ 71 million in 2020 against the trends seen in other segments. did. Loss while continuing to improve the underlying profitability. However, net premium and commission revenues in 2021 increased 7.1% to US $ 14.9 billion, and L & H Re improved net revenues by 26% in 2021 to US $ 1.1 billion, excluding the loss of COVID-19. became.

Swiss Re Group CEO Christian Mumenthaler commented on the results, emphasizing that 2021 is an “important turning point” for Swiss Re. He said the group has recovered to a profit of US $ 1.4 billion, despite the significant impact of COVID-19 and the frequent occurrence of large-scale natural disasters throughout the year.

“We have been working hard to enhance our performance, with a strict focus on portfolio quality and underwriting excellence,” he said. “The 2021 results are a testament to these efforts and we are confident that performance will continue to improve.”

Swiss Re shows a big turnaround in year-round performance

Source link Swiss Re shows a big turnaround in year-round performance

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