INSURANCE giant Lloyd's of London reported a first half profit of GBP1.4 billion (US$1.9 billion), reversing a year-on-year loss of GBP400 million. drawn on this year's gross written premiums of GBP20.5 billion, up 2.5 per cent.
Premium rates increased by 9.9 per cent, continuing the trend of 15 consecutive quarters of positive rate movement, the insurer said.
The combined ratio of 92.2 per cent is a solid improvement with a 4.8 percentage point reduction on the previous year, excluding Covid-19. These results demonstrate the substantial turnaround of Lloyd's profitability and performance.
Lloyd's continued to provide significant support to its customers around the world, paying GBP9.4 billion of claims, including to customers impacted by Covid-19 where 80 per cent of the claims notified to date have been paid.
Improvements to the combined ratio have been driven by notable reductions to both the attritional loss ratio and the expense ratio. The attritional loss ratio of 50.5 per cent (HY 2020: 52.6 per cent), is a 2.1 percentage point reduction from the ratio reported for the first six months of 2020.
The expense ratio of 35.8 per cent (HY 2020: 37.7 per cent) is a 1.9 percentage point improvement, and 3.7 percentage points improvement since 2017. The reduction in operating expenses remains a focus of Lloyd's digital transformation programme.
Said Lloyd's CEO John Neal: 'In an uncertain world Lloyd's remains acutely focused on supporting our customers when they need us, and in the first half of 2021 we have paid out nearly GBP10 billion in claims to help the recovery of businesses and economies globally.'
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Premium rates increased by 9.9 per cent, continuing the trend of 15 consecutive quarters of positive rate movement, the insurer said.
The combined ratio of 92.2 per cent is a solid improvement with a 4.8 percentage point reduction on the previous year, excluding Covid-19. These results demonstrate the substantial turnaround of Lloyd's profitability and performance.
Lloyd's continued to provide significant support to its customers around the world, paying GBP9.4 billion of claims, including to customers impacted by Covid-19 where 80 per cent of the claims notified to date have been paid.
Improvements to the combined ratio have been driven by notable reductions to both the attritional loss ratio and the expense ratio. The attritional loss ratio of 50.5 per cent (HY 2020: 52.6 per cent), is a 2.1 percentage point reduction from the ratio reported for the first six months of 2020.
The expense ratio of 35.8 per cent (HY 2020: 37.7 per cent) is a 1.9 percentage point improvement, and 3.7 percentage points improvement since 2017. The reduction in operating expenses remains a focus of Lloyd's digital transformation programme.
Said Lloyd's CEO John Neal: 'In an uncertain world Lloyd's remains acutely focused on supporting our customers when they need us, and in the first half of 2021 we have paid out nearly GBP10 billion in claims to help the recovery of businesses and economies globally.'
SeaNews Turkey
