Allianz Group and AGCS released its financial results for the first half year of 2020 ('6M 2020').
- In the first half of 2020, AGCS gross premium written increased by €656 million to €5.520 billion (6M 2019: €4.865 billion). This increase is primarily driven by strong performance in the Capital Solutions line of business with higher premiums flows from capital market partners. The premium volume is also supported by strong rate increases of 20.5% on average across the AGCS portfolio (renewal and new business), with strongest increases in Property and Aviation, followed by Financial Lines and Liability.
- The combined ratio for 6M 2020 stands at 117.2% (6M 2019: 100.4%), largely attributed to already incurred as well as estimated anticipated Covid-19 claims of €488 million. The unfavourable loss ratio development is mitigated by an improved expense ratio benefitting from top line increase, cost savings and reduced travel expenses. Excluding COVID-19 claims, which primarily come from the Entertainment line of business, the combined ratio would stand at 99.3%.
- AGCS’ 6M 2020 operating loss of €295 million (6M 2019: profit of €185 million) is €481 million below prior year driven by lower underwriting result and investment income. Excluding the impact from the global pandemic, operating profit would be €213 million which is €28 million above prior year.
