Global insurer Chubb’s third quarter net income soared more than 58 percent year-over-year, as premium gains continued their double-digit climb.
The insurer’s Q3 net income reached $1.83 billion during the quarter, or $4.18 per share. That compares to just under $1.2 billion, or $2.63 per share. Year over year, the results reflect a nearly 59 percent improvement.
“Chubb had a very strong third quarter, highlighted by outstanding premium revenue growth globally and simply excellent underwriting results,” Chubb Chairman and CEO Evan Greenberg said.
Property/casualty net premiums written were up 16.9% globally for the quarter, driven by 22.0% growth in commercial lines. Total North America P/C net premiums written were up 17.1%, including growth of 22.4% in commercial lines and 0.6% in consumer lines.
P/C underwriting income for the quarter was $617 million, up 57.5%, leading to a P/C combined ratio of 93.4, compared with 95.2 for the prior year’s quarter.
That robust underwriting result for the quarter was despite higher catastrophe losses, which came in at $1.15 billion, up from $925 million ion the prior year.
Through nine months, Chubb has produced $2.4 billion in underwriting income and a combined ratio of 90.4% despite an elevated level of catastrophe losses year to date. “The growing impact of climate change globally is evident in industry results, and we are reacting thoughtfully but swiftly to ensure we maintain an adequate risk-adjusted return on the business we write,” said Greenberg.
Greenberg said that Chubb is continuing to capitalize on “robust commercial P/C pricing conditions” in most places globally. The results: commercial lines grew 22.5 percent in North America and more than 20.5 percent in Chubb’s international operations.
Chubb’s international consumer lines business is recovering from the pandemic’s ongoing effects on consumer activity, Greenberg said. Results in this sector show premiums were up almost 10 percent in the quarter.
Here are additional Q3 results:
- Consolidated gross premiums written reached $13 billion, compared to $11.2 billion a year ago.
- Consolidated net premiums written reached $10.5 billion, versus $9 billion in the 2020 third quarter.
- P/C net premiums written came in at $9.9 billion, an increase over nearly $8.5 billion last year.
- Consolidated net investment income hit $866 million during the quarter, up from $840 million last year.
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