A more streamlined structure and improved performance in several regions have helped QBE achieve a rise in profit for the first-half, according to results released today.
The global insurer reported a net profit of $358 million for the six months ending June 30 – a 4% increase compared to last year’s $345 million profit.
Globally, the firm’s adjusted combined operating ratio (COR) was 95.8% - safely within the FY18 target range of 95.0%-97.5%.
QBE also confirmed improved performance of its Australian & New Zealand operations, pointing to the introduction of cell reviews and the transformation of business practices as key drivers.
Introduced in final quarter of 2016, the regional operations have enjoyed a 6% improvement in attritional claims ratio (excluding LMI) since then.
Australian & New Zealand operations COR was broadly stable at 92.3%, reflecting a 1.4% improvement in the attritional claims ratio (1.9% excluding LMI).
Earnings quality and resilience (as measured by the spread of underwriting profit contribution by cell) continues to improve. Premium rate increases averaged 6.6% compared with 5.0% in the prior period.
