Group GWP rises 10% but combined ratio dips 1.3%.
Zurich’s global general insurance business delivered a 10% rise, or 2% rise in local currencies, in gross written premiums and policy fees to $11.2bn (£5.7bn) but its combined ratio increased slightly to 94.6%.
The insurer said the 2% rise in GWP and policy fees was due to organic growth and increased premium volumes from organic growth and bolt-on acquisitions mainly in Europe, while the 1.3% hike in combined ratio reflected a higher amount of large loss claims.
Strong personal lines performance was cited in the UK and Italy.
James Schiro, Zurich chief executive officer, said: “In the face of today’s market challenges, I am proud of our ability to stay focused on our strategy and drive such strong results.
Going forward, I am confident we will continue to execute on our dual focus of profitable growth and operational transformation, turning these challenging times into opportunities for the creation of long-term shareholder value.”
UK results were not reported for the quarter but in its 2007 annual results, Zurich had showed operating profits of £91m, down from £323m the previous year due to floods, and a combined operating ratio of 104.8%. It had also seen its GWP decline a fraction to £2.06bn.
Meanwhile, its first-quarter group results also showed a general insurance business operating profit of $1.2bn (£610m), up 5%, which it said was largely driven by the European business and increased investment income from higher invested assets.
The company said rates had shown signs of improvement in a number of markets in Europe, but were flat overall because of rate reductions in Italy and Ireland.
