General insurance provider, Gjensidige Forsikring Group, has reported an improvement in its combined ratio to 78.2% for its Q3 results, in comparison to its Q3 2019 result of 83.2%.
The underwriting result was driven by 10% growth in earned premiums, an improved underlying frequency loss ratio and lower large losses.
Earned premiums rose 7.3% as the underlying frequency loss ratio improved primarily due to effective and differentiated pricing measures.
The profit from general insurance operations measured by the underwriting result was NOK 1,512.3 million (USD 161mn), compared to a Q3 2019 result of 1,061.1 (USD 114mn).
The insurer also noted that the return on financial assets was 0.9%, a result higher than last years’ 0.5%, or NOK 550.6mn (USD 59.24mn) compared to NOK 278.8mn (USD 30mn) last year.
The Covid-19 pandemic had a slightly positive impact on Gjensidige Forsikring’s claims which have been estimated at approximately NOK 41 million (USD 4.4mn), corresponding to 0.6 percentage point on the loss ratio.
This was primarily related to travel insurance, partly offset by accident and health insurance products.
Chief Executive Officer (CEO), Helge Leiro Baastad, commented on the results: “We are very satisfied with delivering a strong third quarter result, including a record high quarterly underwriting result. Our performance in Norway is very solid and we continue to see progress outside Norway.
“I am also very pleased that we once again rank number one on overall reputation in the Norwegian finance sector and number six independent of sector, according to Ipsos’ survey.”
