RenRe CEO bullish on 'attractive reinsurance market' after 2020 profit boost
RenaissanceRe chief executive Kevin O’Donnell is looking forward to the "attractive reinsurance market" in 2021 having boosted its fourth quarter and full year profits in 2020 despite the challenges posed by the COVID-19 pandemic and record-breaking catastrophe events.
The Bermuda-based reinsurer drove up its profitability in 2020, with its fourth quarter numbers in particular increasing significantly on the profits reported in 2019.
RenRe reported net profit of $731.5 million for the full year 2020, compared with $712.0 million for 2019. For Q4 2020, it reported net profit of $189.8 million, compared with $33.8 million in Q4 2019.
Gross written premiums were $5.8 billion for the full year 2020, up from $4.8 billion the previous year. In Q4 20220, gross written premiums increased by 3.3 percent to $935.5 million compared to the same period in 2019. This was driven by an increase of $63.3 million in the property segment, partially offset by a decrease of $33.3 million in the casualty and specialty segments.
For the full year 2020 its combined ratio was 101.9 percent, compared with 92.3 percent in 2019. For Q4, the combined ratio was 114.7 percent, up from 106.7 percent in the same period the previous year.
Kevin O’Donnell, RenaissanceRe’s president and chief executive officer, said: “While 2020 brought many challenges, I am particularly proud of the accomplishments of our employees and the continuity of our culture during a difficult year marked by record-breaking weather events and the stresses of the COVID-19 pandemic.”
He added: “We begin 2021 looking forward and fully focused on executing our strategy into an attractive reinsurance market. The book of business that we wrote at the January 1 renewal is larger and more efficient, with increased expected profitability, and we anticipate further opportunities to improve it over the course of the year.”
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