
Thomas
Fossard
Investor Relations
The Group demonstrates its ability to create value and its resilience
Gross written premiums of EUR 8,441 million in H1 2021, up 9.1% Net income of EUR 380 million in H1 2021 Annualized return on equity of 12.2% in H1 2021, 1,177 bps above the risk-free rate1 Estimated solvency ratio of 245% on June 30, 2021, above the optimal solvency |
SCOR SE’s Board of Directors met on July 27, 2021, under the chairmanship of Denis Kessler, to approve the Group’s H1 2021 financial statements.
The key highlights are:
In H1 2021, SCOR records a strong growth with gross premiums up 9.1%2, strong profitability with a net income of EUR 380 million and a very strong solvency position of 245%, demonstrating its ability to create value and its resilience.
The underlying performance of the business continues to be strong, reflecting the successful recent P&C renewals in 2020 and 2021, on the back of a disciplined (re)insurance market environment, with attractive growth prospects.
In H1 2021, the consequences of the Covid-19 pandemic continue to be proactively managed. The impact of Covid-19 on the Life side stands at EUR 268 million3, of which EUR 222 million comes from the U.S. mortality portfolio. In P&C, the impact stands at EUR 109 million4 in H1 2021, stemming mainly from Property Business Interruption lines.
The conclusion of the settlement agreement with Covéa5 demonstrates the value of SCOR’s in-force Life book and provides strong optionality – with a strengthened solvency position and EUR 860 million6 of cash to be reinvested – enabling greater flexibility to fuel growth.
Denis Kessler, Non-Executive Chairman of SCOR, comments: “The agreement reached with Covéa marks an important milestone for the Group. It enables SCOR to rebuild a working relationship with this leading insurer. It unlocks the value of SCOR’s Life reinsurance portfolio, while giving the Group additional degrees of freedom to manage its capital and pursue its development. All the conditions are in place to pursue profitable and solvent growth.”
Laurent Rousseau, Chief Executive Officer of SCOR, comments: “In the first six months of 2021, SCOR once again demonstrates the strength of its business model and the relevance of its strategy. The Group continues to expand its franchise, in both Life and P&C, and delivers a robust underlying performance despite natural catastrophes, the on-going Covid-19 pandemic and the low-yield environment. SCOR is very well positioned to capture profitable growth opportunities, in particular in the P&C (re)insurance market where pricing and terms & conditions are increasingly attractive.”
1 Based on a 5-year rolling average of 5-year risk-free rates (44 bps in H1 2021)
2 At constant exchange rates
3 Net of reduced flu claims in the U.S., net of retrocession and before tax, including IBNR
4 Net of retrocession and reinstatement premiums, and before tax
5 Please refer to the press releases from June 10, 2021 and July 1, 2021
6 Of which EUR 840 million received on July 1, 2021
7 Based on a 5-year rolling average of 5-year risk-free rates (44 bps in H1 2021)