QBE Revises Full Year Guidance

   By Alice Uribe 
 

SYDNEY--QBE Insurance Group has updated its full-year guidance after seeing premium growth for the start of the year, though it also experienced elevated catastrophe events through 2023 so far.

The insurer on Friday said growth in gross written premium remained strong in the first quarter of fiscal 2023, up 11% on the prior corresponding period, or 14% in constant currency.

At the same time, group-wide renewal rate increases averaged 10%, driven partly by a re-acceleration across property classes.

"Due to the strong start for the year for premium growth, alongside our expectation that premium rate increases will remain supportive, QBE now expects FY 2023 group constant currency GWP growth of around 10%, from mid-to-high single digits previously," said the insurer.

QBE also revised its fiscal 2023 group combined operating ratio to around 94.5%.

To April, the net cost of catastrophe claims for QBE was US$480 million, which compares to the insurer's catastrophe allowance for the first half of fiscal 2023 of US$535 million.

QBE also said Friday it had strengthened reserves by US$130 million for the prior accident year development, which it said included winter storm Elliot in North America and certain Australian events.

Write to Alice Uribe at alice.uribe@wsj.com

(END) Dow Jones Newswires

May 11, 2023 19:00 ET (23:00 GMT)

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