French reinsurer SCOR SE has demonstrated significant financial recovery in its 2025 results, which confirm the group’s resilience and capacity to deliver strong capital and earnings performance, according to a credit comment from Fitch Ratings.
SCOR reported an adjusted net income of EUR846 million for 2025, representing a return on equity of 19.1%, a significant improvement on the prior year.
Its strong results were driven by improvement in its Life and Health (L&H) segment and continued outperformance in Property and Casualty (P&C) business.
A challenging 2024 was impacted by a comprehensive review of L&H reserving assumptions, which affected 2024 profitability and led to a negative insurance service result (ISR).
However, Fitch considers that the impact on earnings was mainly felt in 2024. The revised ISR target for L&H is now EUR400 million a year, which the rating agency believes is achievable.
Confirming this turnaround, SCOR’s 2025 L&H ISR reached EUR450 million, surpassing the new target and marking a significant improvement from the negative EUR348 million recorded in 2024.
New business contractual service margin (CSM) was EUR464 million, a 4.3% decrease attributed to lower premium following the assumption review.
The P&C division continued to deliver robust results with a combined ratio of 82.3%, an improvement from 86.3% in 2024, meeting its strategic target assumption of less than 87%.
This was supported by lower natural catastrophe losses and robust attritional loss ratios, partly offset by continued reserves buffer building.
Furthermore, the P&C Insurance Service Revenue (ISR) saw a 23% increase, reaching EUR957 million, while new business Contractual Service Margin (CSM) grew by 8.9% to EUR1.1 billion.
The group’s investment income remained strong at EUR835 million, benefiting from asset-libility management and higher reinvestment rates, resulting in a 3.5% return on invested assets.
SCOR maintained a very strong capital position with a Solvency II coverage ratio of 215% (2024: 210%), placing it at the top end of the optimal range of 185%-220%, reflecting robust operating capital generation and prudent risk management.
According to Fitch, these metrics are supportive of its revision of SCOR’s Outlook to Positive from Stable in October 2025.
While underlying operating capital generation reached EUR 1 billion, it was largely offset by market variances, ALM actions, and a proposed dividend of EUR341 million. Closing shareholders’ equity stood at EUR4.4 billion.
For 2026, the growth outlook remains positive. SCOR’s January 2026 treaty renewals showed a 4.7%increase in traditional reinsurance gross premium, driven by targeted expansion in P&C, particularly in APAC and North America, and strong performance with core clients.
Alternative Solutions grew by an exceptional 80.5%, reflecting rising demand for innovative, structured risk transfer. Disciplined underwriting enabled SCOR to maintain broadly stable terms and conditions, including attachment points, and achieve a 2% increase in the net underwriting ratio.
Fitch expects SCOR’s solvency position to remain very strong and within the group’s target range in 2026.
