Peak Re profits down, costly nat cats ‘dampen’ P&C results
Hong Kong-based reinsurer Peak Re's profits dipped due to a series of expensive nat cat events in 2021 that led to higher-than-expected losses, which “dampened” the overall property and casualty (P&C) underwriting results.
For the year ending December 31, 2021, the company reported gross premiums of $2.145 billion, up from $1.96 billion seen a year ago.
Net profit for the year was $73.2 million, compared with $87.1 million in 2020.
Over the year, Peak Re reported stable revenue growth in Asia Pacific and healthy premium increases in the Americas and EMEA. 55% of the company’s revenue (based on gross written premium) was generated from Asia Pacific, 33% from the Americas, and 12% from EMEA.
The company’s life & health (L&H) reinsurance business accounted for 11% of total gross written premiums.
Franz Josef Hahn (pictured), chief executive officer of Peak Re, said: “Multiple severe natural disasters were a key feature that underpinned the 2021 performance of the global reinsurance industry and Peak Re’s Property & Casualty (“P&C”) business. But the Company’s strong analytical capability to discern risks and a globally diversified portfolio helped mitigate the financial impacts.”
He added: “ Peak Re has come a long way since its beginning 10 years back. With a firm foothold in China and expanding elsewhere in Asia and around the globe, our clients have come to respect us for who we are and what we want to be. We remain committed to partnering with our clients to support their endeavours.”
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