16-03-2020
Generali profits rise 16% with growth across all segments
Insurance AlertssGenerali profits rise 16% with growth across all segments
Italian re/insurer Generali has increased its net profit by 15.7% to €2.67 billion in 2019, thanks to the positive performance of all of its business segments.
This included a 3.3% increase in the operating result of the property and casualty (P&C) segment, which stood at €2.06 billion for the year, versus €1.99 billion in 2018.
The combined ratio for the P&C segment was 92.6%, helped by a decrease in the loss ratio despite slightly higher natural catastrophe claims. P&C premiums similarly grew 3.9% to €21.53 billion, with increases across both motor and non-motor segments.
In terms of the Life segment, the operating result increased 2% to €3.13 billion, compared to €3.07 billion in the previous year. Gross written premiums increased 4.5% to €48.26 billion thanks to a particularly strong fourth quarter. Protection product premiums increased by 7.6%, supported by the growth in all countries, although premiums from unit-linked products fell by 2.8% for the full year.
The operating result for the Asset Management segment also increased by 27% to €425 million, with total assets under management now standing at €531 billion. Generali noted that it may see some volatility in the coming year due to the spread of COVID-19, but will continue to work towards the profit goals set out in its Generali 2021 strategy.
“Generali closed 2019 with the best operating result in its history and with an excellent capital position, consolidating its role as a global leader in the industry,” said Generali Group CEO Philippe Donnet.
“This set of results confirms that we are fully on track to meet all the targets of the ‘Generali 2021’ strategic plan. The disciplined implementation of the strategy is driving profitable growth across all business lines and has made it possible to enhance the diversification of the sources of profit, with Life net inflows at excellent levels and the best Combined Ratio among peers,” Donnet explained. “Our performance in 2019 and the progress we have made towards the targets of the ‘Generali 2021’ strategic plan also put us in a strong position to face the rapidly evolving situation caused by the global COVID – 19 outbreak around the world.”
Source: Reinsurance News
