RenRe FY 2019 results show net profit up despite Q4 Hagibis losses
Bermuda-based RenaissanceRe enjoyed strong growth in the fourth quarter of 2019, however, losses associated with Typhoon Hagibis resulted in a net negative impact to its profits, the re/insurer revealed in its full year results.
The company made a net profit of $33.8 million in Q4 2019, compared to a net loss of $83.9 million in the same period in 2018. For the full year 2019, the company reported a net profit of $712 million, compared to $197.3 million in 2018.
Gross written premiums rose to $905.5 million in Q4 2019, compared to $547.7 million in Q4 2018, driven by an increase of $312.6 million in the casualty and specialty segment and an increase of $45.1 million in the property segment. For the full year 2019, GWPs were $4.8 billion, up from $3.3 billion in 2018.
RenRe's combined ratio for Q4 2019 fell to 106.7 percent, an improvement from 114.3 percent in Q4 2018. However, its combined ratio for the full year worsened to 92.3 percent, up from 87.6 percent in 2018.
The re/insurer reported an underwriting loss of $65.2 million in the fourth quarter of 2019. It said that Typhoon Hagibis and losses associated with aggregate loss contracts resulted in a net negative impact of $193.3 million to its net income in the quarter.
Kevin O’Donnell, president and chief executive officer of RenaissanceRe, said: “I am pleased with our performance this year as we materially grew tangible book value per share plus accumulated dividends and earned a robust operating return on equity.
"We successfully executed our strategy by organically growing our business while efficiently integrating Tokio Millennium Re. Looking forward, I am excited about our opportunities to build a bigger and more attractive portfolio and am confident in our ability to continue delivering long-term value.”
Get all the latest re/insurance industry news with our daily newsletter - sign up here.
SCOR improves profitability at January renewals Talanx Group generates ‘record’ 2019 results of €923m ($1m)
GIC Re obtains reinsurance license for Russian subsidiary
Start-up broker aims to boost diversity in insurance
Renewable energy industry must face new realities - Willis Towers Watson
Silent cyber risk leaving millions of UK businesses underinsured
Financial services playing catch up with more disruptive industries - PwC
UK motor insurers' profit under pressure as higher claims outweigh prices gains
Aon strengthens EMEA M&A and Transaction Solutions business with senior hires
AXA’s apprenticeship schemes will target more mature learners
Beazley combined ratio rose by 2% for 2019
