QBE, the global insurance company, has announced a net profit of $US1.02 billion ($1.56 billion) for the first half of the year, surpassing the $US802 million reported in the previous corresponding period. The improved results are attributed to stronger income from writing policies and a reduction in claims. QBE is an international insurer and reinsurer with operations in all the world’s key insurance markets. The company’s products are commercial, personal and specialty lines insurance, as well as risk management solutions.
Gross written premium increased by 6 per cent to $US13.8 billion. The combined operating ratio, a crucial metric for insurance profitability, stood at 92.8 per cent, indicating profitable underwriting. QBE’s annualised adjusted return on equity reached 19.2 per cent. The net cost of catastrophe claims totalled $US479 million, representing 5.4 per cent of net insurance revenue, which remained within the company’s targeted range.
CEO Andrew Horton commented that the company’s strategic execution and efforts to reshape its portfolio have underpinned the improved results. He added that the company is on track to achieve its full-year targets.
Looking ahead, QBE anticipates gross written premium growth in the mid-single digits for the remainder of 2024 and expects a combined operating ratio of approximately 92.5 per cent. The company will distribute an interim dividend of 31 cents per share.
