Four of six comanies studied posted CORs above 110%, according to FSA returns
A group of the UK’s most prominent insurers posted a collective commercial combined ratio of 109.1% in 2011, an Insurance Times Investigation has revealed.
Insurance Times studied the 2011 FSA returns of Allianz, Aviva, AXA, Direct Line Group, LV= and RSA and calculated the combined ratios for their commercial lines business.
The study included commercial motor, property, liability and financial loss business, but excluded marine, aviation and goods in transit.
Five of the six companies studied posted overall commercial combined ratios higher than the 100% break-even mark and four were above 110%.
Direct Line Group and AXA both had 2011 commercial combined ratios of 116.4%. LV=’s was 114.1%, Aviva’s 112.7% and RSA’s 109.5%. Allianz was the only company studied to post a profitable commercial combined ratio for 2011 of 94.1%.
The combined ratios include the impact of additions to or releases from prior-year reserves, but exclude ‘other technical income’. This is non-premium income such as business administration fees and commissions received for placing business with another entity within the same group.
For the full investigation, click here.
No comments yet