Swiss Re reports FY2022 net income of USD 472 million and targets more than USD 3 billion for 2023

22 February 2023 —
Global reinsurer Swiss Re reported a net income of USD 472 million for 2022, with a net income of USD 757 million in the fourth quarter. For 2023, the reinsurer said it targets a net income of more than USD 3 billion, "supported by successful P&C Re renewals, an expected decline in COVID-19 claims, higher interest rates and cost discipline".

"2022 was a challenging year, marked by the war in Ukraine, surging inflation, the tail end of the COVID-19 pandemic and elevated natural catastrophe losses. We have focused on addressing these challenges proactively, all while maintaining our very strong capital position. This has enabled us to take advantage of attractive market conditions at the January renewals, while continuing our commitment to the ordinary dividend", said Christian Mumenthaler, Swiss Re's Group CEO.

P&C Re reported a net income of USD 312 million for 2022, supported by a strong fourth-quarter net income of USD 595 million.

The reinsurer mentioned that large natural catastrophe claims were above expectations at USD 2.7 billion, mainly from Hurricane Ian, floods in Australia and South Africa, hailstorms in France, winter storms in Europe and the US as well as a series of other smaller events. Net premiums earned increased slightly to USD 22.0 billion, supported by continued price improvements over the year.

The reported P&C Re combined ratio was 91.0% in the fourth quarter and 102.4% for the full year.

P&C Re renewed treaty contracts with USD 10.2 billion in premium volume on 1 January 2023. This represents a 13% volume increase compared with the business that was up for renewal. Healthy growth of 21% was achieved in the natural catastrophe book. Overall, P&C Re achieved a price increase of 18% in this renewal round, with improved rates in all lines of business.

L&H Re reported a net income of USD 416 million for 2022, compared with a net loss of USD 478 million in the previous year.

Net premiums earned and fee income for 2022 were largely unchanged at USD 15.0 billion, compared with the prior year.

Corporate Solutions reported a net income of USD 486 million for 2022. Swiss Re representatives mentioned that the result was impacted by elevated large man-made loss activity including impacts related to the war in Ukraine and significantly less favourable prior-year developments.

Net premiums earned increased 2.6% to USD 5.5 billion, while Corporate Solutions' combined ratio was 93.1% for the full year, outperforming the target of less than 95% for 2022.

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