Ageas UK has revealed a profitable 2018.
Releasing its full-year financial results this morning, the insurer announced a net result attributable to shareholders of £76.7 million – a massive leap from 2017’s £25.4 million. Its combined ratio, thanks to the motor unit, saw a significant improvement from 103.2% previously to last year’s 96.8%.
The motor book, described by Ageas UK as performing “exceptionally well,” saw its success attributed in part to a favourable large loss experience, which offset the results from household and other lines. Motor’s combined ratio was 93.4%, compared to 102.6% in 2017; household, 102%; and other lines, 104.1%.
“I’m pleased to report that we delivered a solid performance in 2018, driven by our strategy to simplify the business, combined with the continued strong performance of our motor book,” commented Ageas UK chief executive Andy Watson.
Reflecting on market conditions, Watson noted: “While there was some evidence of prices stabilising in the motor market in the last quarter, we are still operating in soft conditions following the early response to potential changes as a result of the Civil Liability Bill at the start of last year.”
According to the UK boss, this has reflected in a decrease in volumes as the business maintains its pricing and underwriting discipline.
Moving forward, the CEO believes the 2018 numbers have placed Ageas UK in a strong position for this year. Watson added: “But we are not complacent and hence have been taking further action to simplify our business and respond to changing consumer trends to ensure we remain fit for the future.”
As a whole, the Brussels-headquartered enterprise enjoyed a 30% rise in group net result to €809.1 million in 2018.