Lloyd’s posted gross profit worth GBP 3.9 billion at the end of H1 2023

11 September 2023 — Andrei VICTOR
Lloyd’s re/insurance marketplace reported H1 2023 underwriting profit of GBP 2.5 billion vs GBP 1.2 billion a year before, an investment return of GBP 1.8 billion (vs. GBP 3.1 billion loss) and a profit before tax of GBP 3.9 billion compared with loss of GBP 1.8 billion in H1 2022.

The market’s combined ratio improved 6.2% to 85.2% (H1 2022: 91.4%) “demonstrating continued progress in underwriting performance”, as Lloyd’s representative informed in a statement.

Total gross written premium increased by 21.9% to GBP 29.3 billion “driven by growth from existing syndicates (6.5%), new syndicates (2.2%), foreign currency movements (4.1%) and risk-adjusted rate increases (9.1%). Major claims represented 3.6% of losses in the first half of the year.

Lloyd’s balance sheet continued to strengthen with a central solvency ratio of 438% and market-wide solvency ratio of 194%, showing the market’s capital discipline and resilience through a range of market conditions”.

“We’re pleased to be reporting a strong set of results for the year so far – with profitability in both our underwriting and investments; a leading combined ratio, strong premium growth and a bulletproof balance sheet that means we can support customers through a range of shocks and scenarios.

Combined with the market’s progress in driving sustainable performance, digitalisation and showing leadership from climate transition to culture change – these results set us up to deliver on our positive financial outlook for 2023”, said John Neal - CEO, Lloyd’s.