Despite the pandemic and the globalist govt reactions in terms of lockdowns, decimation of the tourism and hospitality sectors, plus increasing spending on food, fuel, heating and healthcare for many people, MAPFRE’s results are rather good. Here are some highlights for you;
MAPFRE’s net earnings in the first nine months of this year totalled 524 million euros, a 16.4 percent increase compared to the same period last year. Group revenues reached almost 19.8 billion euros, a 3.8 percent increase, while premiums grew 7 percent in euros, (7.1 percent without the negative effect of currencies and the positive effect of a significant two-year policy in Mexico), to 16.6 billion euros. Together with the effect of the aforementioned two-year policy (totalling 473 million euros), this increase is driven by, among other factors, the favourable performance of the reinsurance business (which grew 14.5 percent) and the strong sales of unit-linked Life products in Spain.
This result is strongly affected by the high cost of Life insurance claims deriving from COVID-19, which totaled 344 million euros between January and September (with the majority, 280 million euros, concentrated in Latin America). In the third quarter, the 91 million euros incurred in Latin
America due to claims of this nature were practically offset by the more than 90 million generated in realized capital gains. In total, since the start of the pandemic in 2020, MAPFRE has allocated more than 666 million euros to virus-related claims.
At the end of September, the Group’s combined ratio had risen 1.3 points, standing at 96.5 percent, affected by an increase in claim activity, a logical consequence of the recovery in economic activity.
Insurance Unit premiums from January to September of this year amounted to 13.7 billion euros, a 7.6 percent increase. In the Iberia Regional Area (Spain and Portugal), premiums rose 7.4 percent to 5.7 billion euros. The growth of the Life business stands out due to the improvement in sales of unitlinked products and group policies, among other reasons. In Spain, premiums grew by 7.6 percent, compared to an increase of 4.1 percent for the sector. Spain continues to contribute the most to Group earnings, at 328 million euros.
In the Automobile business, MAPFRE’s premiums rose to almost 1.7 billion euros, up by more than 1 percent, as against a fall in the sector of almost 1 percent. The number of insured vehicles rose by 3.6 percent to just under 6.2 million units. In General P&C, premiums grew by 4.7 percent to 1.7 billion euros, highlighting the solid performance of Homeowners insurance (+2.2 percent), Communities (+6.4 percent) and
Companies (+9.8 percent). Health and Accident premiums were up by 8.5 percent to 744 million, (683 million in Spain, up 9.8 percent).
Also noteworthy was the solid performance of the SANTANDER MAPFRE business, where premiums at the close of September this year exceeded 37 million euros. The Life business increased by 19 percent to 1.4 billion euros, growing three times as much as the sector in general achieved in the Life segment (about 6 percent), driven largely by the improvement in the Life Savings business (+28.2 percent).
Be the first to comment