Sompo International has reported a JPY 20 billion ($9,176 billion) decrease in profits for its business over the full-year 2020 period, which the company attributes to the impact of the COVID-19 pandemic.
For the 2021 fiscal year, Sompo is forecasting an underwriting profit of $459 million, compared to its profit of $54 million for 2020.
Its underwriting profit was down $84 million compared to 2019, which the re/insurer claims was caused by natural disasters and the impact of COVID-19.
For 2020, the company reported a net income of $285 million, compared to 2019 which came in at $553 million, totalling a loss of $267 million, however the re/insurer has forecasted an income of $531 million for 2021.
2020 saw a combined ratio of 97.8%, compared to 96.2% for 2019, however this is expected to improve to 91.7% in 2021.
Similarly, net premiums written are projected to grow $6.696 billion YoY from $5,882 billion in 2020.
Looking forward, Sompo’s net investment income is expected to improve to $249 million for 2021, compared to its reported income of $245 million for 2020.