Royal & SunAlliance (R&SA) said pre-tax profit for the three months to 31 March, surged 29% to £207m, overthe same period last year, and ahead of the average analyst forecast of £193m.
R&SA said the improvement reflected an efficiency drive that has so far reduced annual costs by £250m.
R&SA said it had also benefited from a 4m insurance profit at its discontinued US operations, reversing a £14m loss a year earlier.
Net written premiums for the quarter were unchanged year-on-year at £1.4bn.
The combined operating ratio stood at 91.6% in the first quarter, little changed from 91.8% a year earlier.
Chief executive Andy Haste, said: "Our key objective is to deliver sustainable profitable performance and each of our core businesses have again delivered strong results".
R&SA shares are currently up 1.96% at 143p.
