Ongoing economic and investment market uncertainty as a result of the global COVID-19 pandemic has led QBE Insurance Group Limited to withdraw its 2020 financial targets.
The insurer announced in mid-February a full-year 2019 combined operating ratio of 97.5%, above the target range of 94.5% to 96.5%.
Within its results announcement, the insurer provided some forecasts for the 2020 year, including a combined operating ratio of 93.5% to 95.5% and an investment return of 2.5% to 3%.
However, the widespread, global uncertainty being caused by the coronavirus pandemic, which continues to accelerate and intensify in many parts of the world, has pushed QBE to withdraw its previously advised targets.
The company notes that premium rate momentum that was evident in the second-half of 2019 continued in the first-quarter of 2020, while the group’s liquidity and capital position remain strong. QBE notes that during these difficult and unprecedented times, it continues to implement its business continuity plans to ensure its services remain available.
QBE’s Group Chief Executive Officer (CEO), Pat Regan, commented: “These are extraordinarily difficult times for all of our stakeholders: our customers, our broker partners, our staff, our shareholders and the community at large. Despite the obvious and extreme disruption to normal business practices, our priority is to maintain the health and wellbeing of our staff and continue to support our customers in this time of need.”
QBE’s Annual General Meeting is scheduled to be held virtually on May 7th, 2020, during which a further update is expected.
