Improved performance at insurer Beazley's marine division has contributed to a dramatic turnaround in profits.
The UK company reported a $167.3m pre-tax profit for the first half of the year compared with a $13.8m loss in the corresponding period in the previous year.
Gross premiums rose from $1.6bn to $2bn over the period.
Beazley chief executive Adrian Cox said the improvement in its marine business had helped the turnaround.
“The marine book made a strong start to the year benefiting from solid rate increases averaging 10%. As the cycle turned, we were able to deploy significant capital to support the opportunity in the marine market,” he said.
Beazley’s results reflect a continued strengthening of marine insurance rates this year, which has been sparked by a withdrawal of capital from the market two years ago.
Beazley's marine division increased gross premiums by 10% to $194.1m, compared with $176.3m in the previous year. Beazley’s net marine net result was $43.1m in the six-month period, compared with $8.1m in the previous year.
More growth
Cox took over as chief executive of Beazley in April this year. His former position as chief underwriting officer is being filled on an interim basis by head of marine Tim Turner and global head of cyber and executive risk Bethany Greenwood until a replacement is found.
Cox was upbeat about the company’s future in the post-coronavirus pandemic world. “As the pandemic recovery beds in, we confidently anticipate more growth against our selective, specialist and carefully executed strategy supported by a strong capital base and a diversified investment portfolio,” he said.
