CCR Re turnover surpasses €1bn milestone in ‘buoyant’ market
France-based reinsurer CCR Re handled high nat cat claims from large-scale secondary perils in 2023 yet managed to increase its profit by 33.3% with a robust 20% growth in total turnover, supported by favourable market conditions.
CCR Re generated an EBITAER of €88 million and a net profit of €56 million, compared with €64 million and €42 million, respectively, in 2022.
Total sales reached €1.186 billion in 2023, up 20% on 2022 at current exchange rates (23% at constant exchange rates).
Although premium volume in the life business remained stable overall, there was growth in Latin America. Similarly, growth in the non-life business was consistent across all countries, with an outperformance in Canada and Latin America.
Despite a significant rise in the cost of natural catastrophes (€117 million gross and €88 million net of retrocession compared to €62 million gross and €35 million net in 2022) and the persistent impact of inflation, which contributed 380 basis points to the combined ratio, there was an improvement in the combined ratio to 96.6% under French GAAP (compared to 98.7% in 2022). Additionally, within the life activity, the portfolio profitability improved with a technical margin of 3.9%.
CCR Re’s solvency ratio at year-end was 208%.
The company believes that the financial markets benefited from a buoyant environment in 2023. “Recession has been avoided, margins have been upheld and disinflation has arrived,” management noted.
Bertrand Labilloy, chief executive officer of CCR Re, said: “In 2023, CCR Re went well past the one billion euros sales milestone. Continued profitable growth confirms the relevance of our strategy, supported by last year’s capital increase. CCR Re now has all the required resources to become a key player within the reinsurance market in Paris, in line with its ambitions.”
Patrick Bernasconi, president of the Board, added: “The 2023 CCR Re results are perfectly aligned with the business plan set up by the new Board of Directors. I would like to congratulate the CCR Re teams for yet another achievement as well as CCR Re’s clients and partners for their loyalty.”
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