International insurance group Ageas has reported an improved reinsurance segment combined ratio of 84.1% for 2023, which is considerably stronger than the 103.3% seen in 2022, attributed to significantly lower claims.
Year-on-year, Ageas Re’s protection inflows increased due to new non-proportional external premiums related to the third-party reinsurance business via the reinsurer.
The reported total net operating result at Ageas Re increased to €101 million in 2023, a significant increase year-over-year due to business growth and benign weather, while the 2022 result was significantly impacted by adverse weather in Belgium and the UK.
Ageas Re had a solid outcome at the January 1st, 2024, reinsurance renewals, writing €108 million compared with €29 million a year earlier, reflecting growth of more than 272%.
“This shows that Ageas Re is already today a very well-respected trading partner for clients and brokers in Europe and abroad. With the focus on diversification, the product mix is now more balanced between property and casualty lines,” says the firm.
Group-wide, Ageas has reported a net operating result of €1.166 billion, up 9% year-on-year, and representing a 16.2% return on equity (ROE) at constant exchange rates. The group net result hit €953 million in 2023.
In the Life segment, the operating insurance service result was up 6% compared to 2022, with a net operating result of €894 million, driven by a strong underwriting performance across all segments.
The Non-Life segment combined ratio was reported at 93.3%, driven by a favourable claims experience across all product lines, supported by relatively benign weather in 2023 and an improved expense ratio. The non-life net operating result was €389 million, more than double of 2022, excluding the capital gain realised on the sale of the commercial lines in the UK in 2022.
Hans De Cuyper, Chief Executive Officer, Ageas, commented: “In 2023, we delivered a strong commercial performance. This was mainly driven by a remarkable growth in Non-Life across the Group and by the strong Life activities in China, while Reinsurance also successfully concluded its 1 January 2024 renewal campaign. The solid margins in Life and the strong combined ratio in Non-Life confirm the operational strength of our business now and going forward.
“In meeting our commitments with regards to the Net Operating Result, we are proud to announce a total gross cash dividend of EUR 3.25 over 2023, in line with our engagement under Impact24. Regarding the progress on our Impact24 strategy, again in 2023, we took important steps in delivering on our ambitions in terms of growth, commercial excellence, integration of tech & data, and sustainability.
“As a result, we made good progress against our non-financial and sustainability targets on many fronts, which was also recognised by the outside world, as evidenced by the rating increase throughout the year by five of the six ESG rating agencies that follow us. I’m very grateful to our dedicated people and valued partners for their significant contributions to our strong performance in 2023, and I want to thank our investors and customers for their unwavering trust in our company.”
