Swiss Re posts $1.28b Q1 profit with gains in underwriting and tax

P&C Re reported a net income of $527m, lower on a YoY basis.

Swiss Re’s first quarter (Q1 2025) net income jumped 16% year-on-year (YoY) to $1.28b.

The group's result was driven by disciplined underwriting, solid investment income, and a favourable tax rate of 14%, despite large losses from natural catastrophes and man-made events, a press release stated.

Insurance revenue totalled $10.4b, down from $11.7b a year earlier, mainly due to one-off IFRS transition effects, the termination of an external retrocession transaction in L&H Re, and adverse foreign exchange movements. 

The insurance service result stood at $1.3b, slightly below the $1.4b recorded in Q1 2024. Book value per share was at $79.51, up 7% YoY.

P&C Re reported a net income of $527m, compared to $555m a year ago. The unit faced large natural catastrophe claims of $570m—primarily related to the Los Angeles wildfires—and man-made losses of $140m. 

During the April renewals, P&C Re achieved $2.2b in treaty premium volume, a 2.8% increase. Price increases averaged 1.5%, whilst loss assumptions rose 3.7%.

Corporate Solutions posted a net income of $208m, up from $195m in Q1 2024. The insurance service result rose to $240m from $213m.

Large man-made losses reached $147m, and natural catastrophe claims totalled $60m, mainly due to the Los Angeles wildfires and Tropical Cyclone Alfred. 

The business recorded a combined ratio of 88.4%, better than its full-year target of below 91%. Insurance revenue was stable at $1.8b.

L&H Re delivered a net income of $439m, up from $412m in the prior-year period. 

Insurance revenue declined to $4.1b from $4.8b, primarily due to the end of an external retrocession transaction and positive IFRS transition effects in 2024.

CEO Andreas Berger reaffirmed confidence in Swiss Re’s 2025 targets, citing strong business performance in a volatile start to the year.