Swiss Re bounces back in first-quarter financials

Swiss Re bounces back in first-quarter financials | Insurance Business Australia

Insurance News

Swiss Re bounces back in first-quarter financials

Chief executive cites “resilience of all our main businesses”

Insurance News

By
Terry Gangcuangco

Swiss Re has enjoyed a turnaround, reporting a profitable first quarter after suffering a loss in the same three-month span in 2022.

Source

Q1 2023 net income/(loss)

Q1 2022 net income/(loss)

Property & Casualty Reinsurance

US$369 million

US$85 million

Life & Health Reinsurance

US$174 million

US$(230 million)

Corporate Solutions

US$168 million

US$81 million

Group

US$643 million

US$(248 million)

The reinsurance giant attributed the increase in P&C Re net income to robust price improvements and higher investment results, while L&H Re’s result benefitted from a strong decline in COVID-19 claims and a higher investment income.

As for Corporate Solutions, the segment’s higher net income was due to continued disciplined underwriting, careful risk selection, and adequate pricing.

“The first-quarter results demonstrate the resilience of all our main businesses, supported by adequate pricing, higher investment returns, and cost discipline,” said group chief executive officer Christian Mumenthaler.

“In an uncertain macroeconomic environment, we continue to focus on achieving our ambitious profit target of more than US$3 billion for the group in 2023. The successful P&C Re renewals so far this year and a good start in L&H Re and Corporate Solutions underpin our confidence, supported by rising interest rates, cost discipline, and a very strong capital position.”

Additionally, Swiss Re has successfully transitioned to a new structure to create what the CEO called a “simpler and nimbler” organisation.