The Bermuda-based reinsurer bounced back to a non-life underwriting result was $466m in the first six months of 2023, for a combined ratio of 83.5%.

Bermuda

PartnerRe has released a results statement for the first six months of 2023, revealing a return to profit amid the hard market for reinsurance, with operating income of $636m.

The Bermudian reinsurer bounced back to a $787m net income in the first half of this year, after a net loss of 999m in the same period of 2022.

PartnerRe showed net income attributable to common shareholder of $783m, for an annualised return on equity of 23.9%.

Net premiums earned of $4.54bn grew by 10% reflecting 6% growth in P&C, 7% growth in Specialty and 21% growth in Life and Health

Gross premium written, before retrocession or other risk transfer, amounted to just under $5.34bn.

Its non-life underwriting result was $466m, with a combined ratio of 83.5%.

“Favourable market conditions persist half way through 2023, and we remain focused on our disciplined approach to capitalizing on these opportunities and making a meaningful contribution to the Covéa group,” said PartnerRe President and CEO Jacques Bonneau.

“Our operating income of $636m for the first half of 2023 continued its growth trend, up 24% compared to the first half of 2022. The fundamentals across operating segments are strong,” he said.

“For the non-life business we saw an improvement in current underwriting year performance for both the P&C and specialty segments as compared to the first half of 2022, though the non-life combined ratio increased marginally by 1.6 points, as the first half of 2022 benefited from favourable prior year reserve development,” said Bonneau.

Life and health added a further $78m of underwriting profit.

A net investment return of $481m included unrealised gains on fixed maturities and short-term investment of $107m and an improvement in net investment income of 57%.

“The contribution from the Life and Health business continues to be a positive source of earnings to the group as premium volume grows. Our investment portfolio also performed well, demonstrated by 57% growth in net investment income compared to the first half of 2022, and we expect this trend to continue as we deploy our increasing cash flows from operations at attractive reinvestment rates,” Bonneau added.

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