Global provider of life and health reinsurance, Reinsurance Group of America (RGA), has reported a consolidated net premium increase of 3.3% for Q2 2023 to $3.3 billion, with an adverse net foreign currency effect of $45 million. Excluding the net foreign currency effect, consolidated net premiums increased 4.7% year-over-year.
RGA has seen premium growth of 5.3% for H1 2023 to $6.7 billion, or 7.7% on a constant currency basis.
Investment income decreased by 1% year over year for RGA, reflecting lower variable investment income, partially offset by higher yields.
The company has reported that the average investment yield decreased to 4.42% in Q2 2023, from 4.63% in the prior-year period, again due to lower variable investment income, partially offset by higher yields.
For the quarter, net income increased from $105 million to $205 million, and rose to $457 million from $302 million for the first half of 2023.
However, adjusted operating declined from $316 million to $297 million in Q2 2023, but rose from $599 million to $646 million for H1 2023.
Anna Manning, Chief Executive Officer, commented on the results: “This was a strong quarter, with most regions and business lines performing very well, highlighting RGA’s differentiated, diversified and valuable global franchise. We continue to see strong momentum in our new business activities, both organic and in-force transactions. Favorable industry dynamics are creating many growth opportunities, and we continue to partner with our clients for shared success.
“Our balance sheet is strong, and we are benefiting from the higher yield environment while maintaining our risk discipline. Looking forward, we see a bright future and expect to continue to deliver attractive financial results over time, consistent with our new financial targets.”
