5th Nov 2021 10:02
(Alliance News) - London-based insurer Beazley PLC on Friday said momentum from the first half persisted into the second half, with rate rises and premium growth that have exceeded its expectations.
Gross premiums written in the nine months to September 30 increased by 29% to USD3.27 billion from USD2.53 billion a year earlier. Premium rates on renewal business increased by 23%.
FTSE 250-listed Beazley said its initial estimate of catastrophe losses for the third quarter is USD125 million, net of reinsurance. This includes an early estimate of losses in respect of Hurricane Ida in the US of USD85 million and USD40 million for the European floods.
Elsewhere, the company said its investments returned 0.2% in the third quarter and 1.4% in the first nine months of 2021. Returns from Beazley's fixed income investments have been low, reflecting the low and rising yield environment, although the company's inflation-linked bond exposures have made a positive contribution, it said.
"I remain excited about the opportunity in the cyber market and with our disciplined and prudent risk selection, our market leading product offering and the ongoing investment in our cyber infrastructure, I believe we are in a great position to capitalise on this," said Chief Executive Adrian Cox.
Beazley shares were 4.4% higher at 413.60 pence each in London on Friday morning, among the best mid-cap performers.
By Evelina Grecenko; [email protected]
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