In a trading update for its full year 2023 financial performance, global insurance and reinsurance marketplace Lloyd’s has revealed its underwriting profit increased by £3.3 billion to £5.9 billion.
Burkhard Keese, Lloyd’s CFO commented, “2023 was an outstanding year for the Lloyd’s market. We continued to see sustainable, profitable growth and performance, leading to our best underwriting result in recent history and a rock solid balance sheet that gives us and our stakeholders confidence in an uncertain environment.”
Lloyd’s also disclosed that gross written premium in 2023 increased by 11.6% to £52.1 billion, reflecting 4% organic growth and 7% price change.
Meanwhile, the market’s combined ratio for the year improved by 7.9 percentage points from 2022 to 84%.
At the same time, the 2023 attritional loss ratio remained stable at 48.3% and the expense ratio remained flat at 34.4%.
The market’s investment return for the full year 2023 is reported to be £5.3 billion, up from a loss of £3.1 billion in 2022.
According to Lloyd’s, this reflects the higher interest rate environment and the unwind of the Mark to Market accounting treatment on fixed income portfolios.
Keese added, “We will maintain our focus on underwriting and capital discipline and we look forward to announcing our full results and strategic progress later this month.”
