QBE Insurance Group has published its performance update for the third quarter of 2023.
According to the global insurer, its gross written premium (GWP) saw a 7% hike compared to the same three months in 2022. In the first nine months, QBE’s GWP growth stood at 10%.
Renewal rate increases, meanwhile, averaged 9.6% in Q3 for the group, as seen below. Retention, according to QBE, has remained at favourable levels.
In its quarterly performance update, QBE said: “Natural catastrophe activity continued over recent months, underscored by multiple storm, flood, and wildfire events in Europe and North America, alongside hurricanes Idalia, Otis, and Hillary. Catastrophe claims through the period have, however, trended favourably relative to QBE’s revised FY23 catastrophe cost assumption of ~US$1.3 billion.
“The net cost of catastrophe claims in the four months to October is expected to be ~US$250 million, resulting in catastrophe costs of ~US$950 million in the year to October. Claims inflation trends remain broadly similar with those outlined at QBE’s 1H23 result.
“While some early moderation is clear in certain lines, inflation has remained more persistent across a small number of portfolios including Australia Pacific personal lines, and North America non-core lines and accident & health. This is expected to result in some strain on the current year, and modest adverse prior year development.”
As for its full-year outlook, QBE expects a combined operating ratio of around 94.5%.
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