Property and casualty COR bolstered by reserve releases

Denis Kessler, SCOR

SCOR’s underwriting results in the first half of 2013 beat forecasts despite €128m ($169.4m) of catastrophe losses in the second quarter of the year, according to the firm’s results released today.

The reinsurer had a property and casualty (P&C) combined ratio of 94.3% for the period, up from 93.8% in H1 2012. This was bolstered by $41m of reserve releases and improved attritional losses.

SCOR’s P&C arm increased its gross premiums by 5.5% to $3.15bn in H1 2013. The reinsurer’s life insurance arm increased gross premiums by 7.5% to $6.6bn in the period.

Lower investment returns lowered SCOR’s profit 8.9% to $250.4m when compared with its 2012 H1 results.

SCOR chairman and chief executive Denis Kessler said: “SCOR’s positive results in the first half 2013 and its ability to absorb major natural catastrophes demonstrate, once again, the relevance and robustness of its business model based on four strategic pillars, namely a strong and diversified franchise, a mid-level risk appetite combined with a very comprehensive and solid enterprise risk management policy, high diversification between life and non-life business and an effective capital shield policy.

“All of SCOR’s teams are now mobilised to define the main objectives of the group’s new strategic plan, which will be announced at the investors’ day on 4 September 2013.”