قالب وردپرس درنا توس
Home / Insurance / Travelers’ profits beat estimates of lower disaster losses

Travelers’ profits beat estimates of lower disaster losses



(Reuters) – Property / non-life insurance company Travelers Cos. Inc. reported on Tuesday a 48% increase in quarterly earnings that beat analysts’ estimates, as lower disaster-related claims dampened a hit from investment losses.

The company’s core revenue rose to $ 1.04 billion, or $ 4.22 per share, during the first quarter, from $ 699 million, or $ 2.73 per share, during the same period last year.

Analysts had expected an average earnings of $ 3.57 per share, according to Refinitive IBES data.

New York-based travelers, often seen as a scapegoat for the insurance industry because it usually reports to its industry counterparts, said net premiums rose 11% to $ 8.37 billion during the quarter.

Over the past two years, the insurance industry has faced claims from companies that have lost revenue due to the coronavirus-led crisis and canceled events, although many have been isolated by virus exclusions in their contracts.

While pandemic-related claims have diminished, the insurance industry is now facing real claims from the Ukraine crisis when sanctions are tightened and the war drags on.

S&P Global said earlier this month that insurance losses from the conflict in Ukraine could amount to $ 35 billion, with cyber one of the most vulnerable insurance classes.

Travelers̵

7; insurance profits rose to $ 659 million from $ 217 million a year earlier, while net investment income before tax fell 9% to $ 637 million, hurt by a reduction in the insurance company’s non-interest-bearing investment portfolio.

The company reported a total cost percentage of 91.3%, compared with 96.6% a year earlier. A quota below 100% means that the insurer earned more in premiums than the one paid out in the compensation.


Source link