Reinsurance Group of America (RGA) is reporting a growth in premiums of 8.3% between Q1 2021 and Q1 2022.
The firm, in its latest results, said that the global estimated impact of Covid-19 would be $310m on a pre-tax basis. It also said that first quarter consolidated net premiums totalled $3.2bn, an increase of 8.3% over last year’s first quarter, with an adverse net foreign currency effect of $47m.
It also said that first quarter investment income, excluding spread-based businesses and the value of associated derivatives, decreased 1% to $457m, and average investment yield decreased to 5.29% in the first quarter from 5.67% in the prior year.
Anna Manning, president and CEO, said, “This was a very good start to the year, and despite a meaningful level of COVID-19 mortality claims, many of our businesses performed well, and our investment results were favourable. We continue to see good new business activity both in our organic business and in our global pipelines for in-force transactions.
She added: “On the capital front, we deployed $130m into in-force and other transactions and repurchased $25m in common stock. Our balance sheet remains strong, and we ended the quarter with excess capital of approximately $1bn.”
According to RGA, its Covid-19 impact estimates include mortality and morbidity claims of approximately $316m with offsetting impacts from longevity of approximately $6m in the quarter. Back in February, the firm had said that it deemed the impacts of the Covid-19 pandemic on its latest Q4 and full-year results to be ‘manageable’.
This was despite the company revealing that the global estimated impacts of the pandemic had been $1.4bn for 2021.
