Zurich Group's BOP jumps 21% YoY, APAC business soars

The APAC business also announced a partnership with India-based Kotak Mahindra Bank.

Zurich Asia Pacific reported an operating profit (BOP) of $565m, jumping 18% year-on-year (YoY).

Life and Savings business witnessed strong trading performance, with new business premiums (PVNBP) growing to $2,939m, a 44% increase YoY.

Property & Casualty (P&C) segment saw double-digit growth in Gross Written Premiums (GWP), reaching $3.6b, up 11% from 2022.

The APAC business’ customer satisfaction reached a record high, with the customer base expanding by 7% to 11.7 million customers.

In the life business, significant double-digit growth was observed, driven by higher sales in Japan and increased volumes of corporate business in Australia. 

The P&C business also experienced robust growth, propelled by retail travel and motor lines, as well as new business momentum in the Commercial segment.

Group-wide growth

Zurich Insurance Group, likewise, saw its BOP skyrocket 21% YoY to $7.4b in 2023 with a record-high return on equity (ROE) of 23.1%.

Zurich's net income attributable to shareholders rose by 10% to $4.4b, with earnings per share up 12% in USD and 20% on an adjusted basis.

All of Zurich's businesses contributed to the strong results. The life business achieved a record BOP of $2.1b, driven by strong growth in new business premiums. 

The P&C segment saw double-digit premium growth, with a combined ratio of 94.5%.

Commercial Insurance demonstrated strong returns with a BOP contribution of $3.6b and a combined ratio of 91.4%.

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The company aims to achieve compound annual growth in earnings per share (EPS) exceeding 10% for the period 2023-2025.

“Zurich now expects compound annual growth in 2023-2025 earnings per share (EPS) to exceed 10%. This compares with the target of 8%, which was established at the 2022 Investor Day.” the company said in a statement.

Partnership with Kotak Mahindra Bank

Additionally, Zurich announced a strategic alliance with Kotak Mahindra Bank in India, intending to acquire a majority stake in Kotak Mahindra General Insurance Company. 

This move signals Zurich's entry into one of the fastest-growing insurance markets globally, representing a significant investment in the Indian insurance sector.