Zurich reports BOP of USD1.4 billion

Zurich Insurance Group reported a business operating profit (BOP) of USD1.4 billion and net income attributable to shareholders (NIAS) of USD1.3 billion for the three months ended March 31, 2014.

“This is a solid start to the year,” said chief financial officer George Quinn. “We see some early positive signs in the execution of our strategic targets for 2014 to 2016 but there is still much to do. As announced in March, we are implementing a program to streamline the company, removing management layers between Group and the business units and empowering our people to act decisively in delivering first-class services to our customers. Global Life is progressing as planned and the development trend at Farmers is positive, while our General Insurance business reported a good Combined Ratio, benefitting from a relatively benign catastrophe environment and a one-off pension gain.”

General insurance recorded an increase in BOP of USD38 million to USD845 million, or by five percent. Gross written premiums and policy fees remained flat compared with the same period of 2013. Underlying growth in North America Commercial was three percent after adjusting for a fronted portfolio that was not renewed. The net underwriting result increased by USD89 million to USD456 million, with a reported combined ratio of 93.9 percent compared with 94.9 percent in the prior period.