In Q2 2023, P&C insurance revenue stands at EUR 1,869 million, up +7.9% vs. Q2 2022. There has been a strong increase in insurance revenue for Specialty insurance (+18.0%), which now represents 33% of P&C overall insurance revenue.
New business CSM in Q2 2023 stands at EUR 271 million, benefiting from strong pricing at the April and June 2023 renewals.
The P&C combined ratio stands at 88.5% in Q2 2023, compared to 113.1% in Q2 20229. The combined ratio is improving due to “a low Nat Cat ratio of 4.2% of net insurance revenue, below the 10% budget announced on 12 April 2023, and an attritional loss and commission ratio of 78.7% (including the discount effect on claims), mainly impacted by a high level of man-made activity including claims on French riots, and by additional prudence brought to selected P&C reserves”.
The P&C attributable expense ratio stands at 7.0% of net insurance revenue in Q2 2023, while the P&C insurance service result is driven by a CSM amortization of EUR 322 million, partly offset by the negative experience variance.
At the June and July 2023 renewals, gross premium renewed increases by +7% supported by a +9% rate increase. “The growth was particularly strong in Latin America & Middle East as well as in Europe & Canada, where the increase in gross premium exceeds +14%. The net underwriting ratio is expected to improve by 2.5 to 3 pts on the renewed portfolio, providing comfort in SCOR’s ability to deliver profitable growth”.
In Q2 2023, L&H insurance revenue amounts to EUR 2,061 million, up +1.2% compared to Q2 2022. “This notably reflects the significant decrease in expected claims related to the Covid-19 pandemic between Q2 2022 and Q2 2023”.
SCOR continues to build its L&H CSM through new business generation, mostly from Protection (EUR 96 million new business CSM2 in Q2 2023).
The L&H insurance service result amounts to EUR 140 million in Q2 2023. It is supported by the CSM amortization.
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