Chubb witnesses 13.3% net income surge in Q1’24

The group saw strong results in its commercial and consumer P&C and Asia life businesses.

Chubb saw its net income climb 13.3% year-on-year (YoY) to $2.14b whilst core operating income rose 20.3% YoY to $2.22b,  driven by P&C underwriting income.

“Core operating income was up double-digit, driven by P&C underwriting income up over 15% with a published combined ratio of 86%, investment income up more than 23%, and life insurance income up almost 10%. We produced double-digit premium revenue growth from across the globe with strong results in our commercial and consumer P&C and Asia life businesses,” Evan G. Greenberg, chairman and chief executive officer (CEO) of Chubb said in a press statement.

Both net income and core operating income were slightly affected by two one-time items: an incremental deferred tax benefit of $55m, or $0.14 per share, related to the Bermuda tax law enacted in December 2023, partially offset by a contribution to the Chubb Charitable Foundation of $30m ($24m after-tax), or $0.06 per share.

Global P&C net premiums written, excluding Agriculture, saw a 13.3% YoY increase, with commercial insurance up by 11.1% YoY and consumer insurance by 19.3%. North America saw a 10.1% YoY increase, and Overseas General rose by 17.5%, with notable growth in Asia, Latin America, and Europe.

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"Total company net premiums written increased over 14% in the quarter, with total P&C up 12.5% and Life Insurance up over 26% [...] Premiums in North America were up over 10%, while in our international retail P&C business, premiums in Asia, Latin America, and the Continent of Europe were up 34.7%, 17.5%, and 12.3%, respectively. Life Insurance premiums and deposits were up over 39%, driven, again, by our business in Asia,” Greenberg said.

P&C underwriting income rose to $1.40b, up by 15.4% YoY, with a combined ratio of 86.0%. The current accident year underwriting income, excluding catastrophe losses, was $1.63b, up by 10.3% YoY, with a combined ratio of 83.7%.

Life Insurance net premiums written increased to $1.63b, increasing 26.3% YoY, and segment income reached $268m, up by 9.8% YoY. Net premiums written and deposits collected for Life Insurance totalled $2.23b, a rise of 39.4% YoY.

The company achieved an annualised return on equity (ROE) of 14.3%.