Suncorp NZ reveals half year profit spike

Suncorp NZ reveals half year profit spike | Insurance Business

Suncorp NZ reveals half year profit spike

The New Zealand arm of insurance giant Suncorp has announced a net profit after tax (NPAT) of $120 million for the six months ending December 31, up 79.1% on the prior corresponding period.

Suncorp NZ’s general insurance business, which includes Vero Insurance and AA Insurance (a joint venture with the New Zealand Automobile Association) delivered profit after tax of $103 million, up 106% on the prior corresponding period.

The result reflected strong top-line growth, the absence of any major natural hazard events during the half year, and strong ongoing business performance, Suncorp NZ CEO Paul Smeaton said.

“While this is a pleasing result, the reality is that natural hazard events could hit us at any time,” Smeaton said. “We’re well prepared to be there for our customers.”

Suncorp’s life insurance business, which includes Asteron Life and AA Life (a joint venture with the New Zealand Automobile Association) delivered profit after tax of $17 million. Its in-force premium grew by 4%.

Smeaton noted Suncorp was working closely with the New Zealand government and regulators on the conduct and culture review of the life insurance industry and that Suncorp welcomed any measures that deliver improved outcomes for customers. Suncorp remains focused on building a more resilient business to meet a greater number of customer and business partner needs, he added.

Meanwhile, Suncorp Group achieved an NPAT of A$250 million.