QBE Insurance Group has raised its premium growth outlook for 2023, based on the global insurer’s performance in the first quarter.
Compared to Q1 2022, QBE’s gross written premium (GWP) for January to March this year saw an 11% increase. On a constant currency basis, the jump to US$7.6 billion represents a 14% change.
“On account of the stronger than expected start to the year, and expectation that rating will remain firm for the foreseeable future, we have raised our FY23 growth outlook, and now envisage group constant currency GWP growth of ~10%,” chief executive Andrew Horton said during QBE’s annual general meeting (AGM).
The previous guidance for constant currency GWP growth was at mid-to-high single digit.
Group-wide renewal rate hikes, meanwhile, averaged 10% in Q1.
Horton noted: “Group-wide renewal rate increases of 10% for the first quarter represent an improvement on the prior corresponding period across each division (North America, International, and Australia Pacific) and were driven by a reacceleration in rate increases across property classes.”
At the company’s AGM, Horton also took the time to talk about QBE’s strategic priorities, which he said continue to provide direction for the medium to long term.
The group boss declared: “In relation to portfolio optimisation, we have focussed on developing multi-year enterprise portfolio mix targets, which will be embedded into our planning process. These targets have been calibrated to our ambition for sustainable growth and to be a less volatile business.
“Our strategic priority of bringing the enterprise together sits at the core of our strategy, and our objective is to unlock the value of QBE through initiatives that help us leverage capabilities across all our markets. We are seeing more collaboration across product committees, driving consistency across classes of business where we have a global footprint.
“We continue to make progress to modernise our business. There is ongoing focus on core platforms and further IT estate simplification, all centred around making QBE an easier partner to deal with and work for, ensuring we fully leverage our global scale.”
Additionally, QBE has made good progress in the areas of reward and performance, leadership and capability, and workforce planning as part of the group’s people priority. Though the culture priority, the business has also seen greater alignment and connection to QBE’s purpose.
“I believe we have strong enterprise-wide engagement to consistently deliver on our strategic priorities,” Horton said.
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