Hiscox, the Lloyd’s of London insurer, has reported another set of strong results as the company has continued to benefit from a hard insurance market.
In its interim results for the six months to 30th June, the company recorded 3.3 per cent growth in insurance contract written premium (ICWP). The figure rose $89.6m (£70.5m) to $2.8bn (£2.2bn) from $2.7bn (£2.1bn) in the first half of 2023.
Profit before tax jumped 7.1 per cent for the period to $283.5m (£223m). Hiscox benefited from both increased underwiring income and investment income. It reported an underwriting profit of $240.7m (£190m), up from $221.4m (£174m) and an investment result of $152.4m (£119m), up from $121.8m (£96m).
Overall, the company reported an undiscounted combined ratio – the ratio of premiums booked versus claims paid out – of 90.4 per cent, up from 90.2 per cent last year. Hiscox said it had recorded this result despite a “more active loss environment.”
The group also reported a return on equity of 16.5 per cent, down from 19.9 per cent last year and tangible net asset value growth of 23.3 per cent for the period. Hiscox ended the period with a Bermuda Solvency Capital Ratio (BSCR) of 206 per cent.
Aki Hussain, Group Chief Executive Officer, Hiscox Ltd, commented: “Our business has built on the momentum from 2023 and delivered strong profits and robust growth in the first half. We are focused on deploying capital to generate profitable growth and investing in underwriting and technology capabilities to build out our competitive advantages.
“This has delivered a strong and increased underwriting result of $241m (£190m), despite a more active loss environment, and positions us well to deliver high-quality growth through the insurance cycle,” the CEO added.