Swiss Re reports net profit of USD1.4 bn

Swiss Re reported a net income of USD 1.4 billion in 2021 and an ROE of 5.7 percent, driven by the remarkable performance of its property and casualty businesses.

Swiss Re’s Group Chief Executive Officer Christian Mumenthaler said: “2021 marked an important turning point for Swiss Re. Despite still major COVID-19 impacts and a high occurrence of large natural catastrophe events throughout the year, we rebounded to a USD1.4 billion profit. We have worked hard to strengthen business performance, with a rigorous focus on portfolio quality and underwriting excellence. Our 2021 results are a testament to these efforts, and we are convinced our performance will continue to improve.“

Swiss Re’s result was achieved as the Group absorbed large natural catastrophe losses of USD2.4 billion across its businesses as well as total COVID-19-related claims of USD2.0 billion. The vast majority of the COVID-19 losses originated in the L&H Re business, while impacts on the property and casualty businesses were minimal. Excluding the impacts of COVID-19, Swiss Re’s net income was USD 3.0 billion, which is an increase of 39 percent.

Swiss Re continued to grow all its businesses, increasing net premiums earned and fee income for the Group by 4.8 percent compared with the previous year to USD42.7 billion in 2021.

Return on investments of 3.2 percent in 2021 was driven by recurring income and significant equity valuation gains. The Group continues to manage its investment portfolio with a focus on the delivery of sustainable income.

Swiss Re maintained its very strong capital position throughout 2021, and its Group SST ratio was around the mid-point of the 200–250 percent target range as of 1 January 2022.