Swiss Re, one of the world’s largest reinsurance companies, generated net income of $2.8 billion for the first half of 2026, a rise of 9% on the prior year, driven by strong contributions from all business units.
Group-wide, ROE was 22.7% for H1’26, down slightly on the prior year’s 23%, as the insurance service result, which reflects underwriting profitability, increased by $500 million year-on-year to $3.5 billion.
Insurance revenue for the Group decreased by $600 million year-on-year to $20.3 billion, with lower revenues in P&C Re partly offset by higher revenues in L&H Re, supported by favourable foreign exchange movements.
Swiss Re’s new business contractual service margin (CSM) totalled $2.1 billion in H1’26 compared with $3.1 billion in H1’25, which the firm attributes to continued challenging market conditions impacting P&C Re renewals, and a lower contribution from L&H Re amid lower transaction activity.
The reinsurer achieved an ROI of 4% for H1’26, reflecting strong recurring income of $2 billion, supported by realised gains from real estate sales in the first quarter.
The global reinsurer’s capital position remains strong with an estimated Group Swiss Solvency Test ratio of 264% as of 1 July 2026, above the target range of 200–250%.
Within P&C Re, net income increased 18% to $1.4 billion from $1.2 billion, as the segment’s strong underwriting performance was supported by low large natural catastrophe losses.
The P&C Re insurance service result rose to $1.8 billion from $1.6 billion, with large natural catastrophe claims of $169 million, driven by Storm Kristin. Large man-made losses for the first six months of the year totalled $129 million.
The segment’s combined ratio strengthened to 76.7% for H1’26 compared with 81.1% in the prior year, which is below the unit’s target of less than 85% for the full year.
Insurance revenue at P&C Re decreased by $700 million to $8.2 billion, driven by overall renewals outcome in 2025 and reduced volumes written by cedents.
Amid what Swiss Re describes as a challenging market environment, P&C Re delivered a new business CSM of $1.6 billion, down on last year’s $2.2 billion.
During the mid-year reinsurance renewals, Swiss Re’s P&C Re business wrote treaty contracts with $4.5 billion in premium volume, recording a nominal price decrease of 1.2% with stable terms and conditions. However, loss assumptions increased by 4.2%, resulting in a net price decrease of 5.3%.
Year-to-date, P&C Re has renewed treaty contracts totalling $19.5 billion, an increase of 0.5% on the business that was up for renewal, with a year to date nominal price decrease of 0.2%.
Turning to L&H Re, net income increased from $865 million in H1’25 to $1 billion in H1’26, as the insurance service result rose by 24% to $1.2 billion, and insurance revenue increased 6% to $8.4 billion.
L&H Re generated a new business CSM of $338 million for H1’26 compared with $569 million a year earlier, driven by lower transaction activity.
Today, Swiss Re has also announced that Velina Peneva, currently Group Chief Investment Officer (CIO), has been appointed CEO of L&H Re, succeeding Paul Murray, who decided to leave the firm after over 20 years. Martin Zingg, currently Group Head Corporate Development & Capital Markets, was appointed Group (CIO) and member of the Group Executive Committee. Peneva and Zingg will assume their new roles on 1 October 2026.
Commenting on the appointments, Andreas Berger, Swiss Re Group CEO, said: “These appointments reflect the depth of our internal talent pool and position Swiss Re well to build on its momentum. Velina brings strong leadership and deep expertise in disciplined capital allocation for complex, long-duration risks, alongside a distinctive understanding of the client-relevant issues that are central to the L&H Re business.
“Meanwhile, Martin’s broad investment expertise and more than three decades of leadership experience across the insurance industry will help drive the continued strength of our investment function. We thank Paul for his exceptional commitment, the highly valued service and the very professional collaboration over the last 23 years. We sincerely regret his departure and wish him continued success and all the best, both professionally and privately.”
Turning to the Corporate Solutions business, net income rose by 14% year-on-year to $490 million for H1’26, while the insurance service result increased by 12% to $578 million. The segment experienced large man-made losses of $81 million in H1’26, while large nat cat claims totalled $31 million, driven by a tornado which struck Texas in April, and Storm Fern.
The Corporate Solutions combined ratio strengthened to 86.1% in H1’26 from 88.2% in H1’25, as the unit targets a combined ratio of less than 91% for the full year. Insurance revenue fell by $100 million year-on-year to $3.6 billion, as the new business CSM fell from $262 million to $201 million this year.
“Swiss Re delivered a strong result for the first half of 2026 while supporting our clients with more than USD 17 billion in claims payments. This demonstrates the strength of our diversified Group, with each Business Unit contributing to the resilience of our earnings. P&C Re continues to focus on disciplined underwriting and active cycle management; L&H Re provides important earnings stability through its large in-force portfolio; and Corporate Solutions is selectively expanding in strategic growth markets. We also continue to improve efficiency across Swiss Re and are announcing a more ambitious cost reduction target,” said Berger.
Anders Malmström, Swiss Re’s Group Chief Financial Officer, said: “Each Business Unit delivered increased net income in the first half. Our P&C businesses achieved strong underwriting results, supported by low large natural catastrophe experience, while L&H Re’s performance reflects healthy underwriting margins and favourable US mortality experience. A solid investment result in a highly volatile market further underpinned the resilience of our earnings. We are also making good progress on the USD 1.5 billion share buyback which we announced in February, having completed approximately 60% through the end of July.”
“Strong earnings delivery in the first half of the year puts us well on track towards our 2026 financial targets, while we remain vigilant as we approach the peak of the hurricane season. Looking beyond the current year, we see demand for re/insurance and risk expertise continuing to grow in a rapidly changing world. By investing in data, technology and artificial intelligence, we are building the capabilities that will enable us to better capture this growing demand, help our clients navigate an increasingly complex risk landscape and create long-term value for our shareholders,” added Berger.
