Aviva CEO labels balance sheet “one of the strongest” in the UK insurance market

Mark Wilson, group chief executive officer at insurance firm Aviva, has labelled the firm’s balance sheet as one of the strongest in the UK market, despite the firm reporting a fall in its profit after tax last year.

The company posted profit after tax for 2015 of £1.1 billion, down from £1.7 billion in 2014.

Aviva did report a 20 percent increase to its operating profit last year however, to £2.7 billion, compared with £2.2 billion in 2014. Its combined operating ratio also improved 1.1 percentage points to 94.6 percent (FY14: 95.7 percent).

Aviva also posted a Solvency II coverage ratio of 180 percent, with low sensitivity to a wide range of market stresses.

Wilson commented: “2015 was about stability and growth at Aviva, against a background of market volatility and uncertainty. Aviva is now a stronger and more focused business. We have completed the fix phase of our transformation.

“With a Solvency II ratio of 180 percent and a surplus of £9.7 billion, our balance sheet is one of the strongest and most resilient in the UK market. Over the last four years, we have tripled our economic capital surplus.”

Wilson added:  “We enter 2016 from a position of strength. Our focus remains on transforming our business and delivering on our commitments.”