QBE Insurance’s capitalisation and leverage as 'strong': Fitch Ratings

QBE's financial leverage ratio is also moderate.

QBE Insurance Group’s capitalisation and leverage are deemed as 'strong,' maintaining a 'very strong' Fitch Prism Model score at the end of 2022, Fitch Ratings reported.

The coverage of regulatory prescribed capital remains high at the end of the first half 2023 (1H23: 1.8 times growth).

Non-risk-adjusted capital metrics, including net written premiums/capital (end-2022: 1.7 times growth), are consistent with the assessment. 

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QBE's financial leverage ratio (end-2022: 23%) is moderate, supporting the ratings, Fitch Ratings described.

Underwriting performance improved in 2022 and 1H23, with a favourable insurance service result of $377m. 

The statutory combined ratio, reflecting pricing benefits and enhanced portfolio underwriting, improved to 86% in 2022.