SCOR logs $191.45m in Q1'24 driven by robust P&C segment

Business segments had mixed results during the period.

SCOR reported a $191.45m (€176m) adjusted net income in the first quarter of 2024 (Q1'24) which was due to “a strong return on invested assets and a P&C [Property and Casualty] performance in line with expectations.”

The P&C business unit’s insurance revenue grew 2.6% to $1.99b (€1.837b) in Q1 versus a year ago. 

“In P&C (re)insurance, the combined ratio of 87.1% in Q1'24 benefits from a low natural catastrophe claims ratio of 7.2%. The attritional loss and commission ratio of 78.8% reflects a satisfactory underlying performance allowing for a continued reserving discipline,” the firm noted.

As of the end of March, SCOR also logged total invested assets at $24.98b (€22.96b). Total investment income stood at $209.99m (€193m) in Q1'24, with a return on invested assets of 3.4% (vs. 3.7% in Q4 2023) and a regular income yield of 3.5% (vs. 3.7% in Q4 2023).

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“SCOR’s asset mix is optimised, with 79% of the portfolio invested in fixed income. SCOR has a high-quality fixed income portfolio with an average rating of A+ and a duration of 3.0 years,” it noted. 

The company said reinvestment rate stood at 4.7% as of 31 March, increasing from 4.5% at 31 December 2023. 

SCOR said its invested assets portfolio remains highly liquid and financial cash flows of $11.21b (€10.3b) are expected over the next 24 months, enabling it to continue to benefit from elevated reinvestment rates.

Insurance revenue from the Life and Health (L&H) unit also grew 6.6% to $2.47b (€2.276b) in Q1, the company said. However, insurance service results fell 73.6% to $78.34m (€72m) due to volatility in US mortality claims and claims reporting effects, partly offset by a positive contribution from onerous contracts.

SCOR said it continues to build its L&H Contractual Service Margin (CSM) through new business generation mostly from protection across all regions and with no large transactions booked in Q1. 

($1.00 = €0.92)