SCOR reported a net income of €196 million (€176 million adjusted) for Q1 2024, driven by a robust return on invested assets and solid performance in P&C.
In P&C re/insurance, the combined ratio of 87.1% in Q1 2024 benefited from a low natural catastrophe claims ratio of 7.2%. The attritional loss and commission ratio of 78.8% reflected satisfactory underlying performance and continued reserving discipline.
In L&H reinsurance, the insurance service result was €72 million, impacted by an adverse experience variance of €-71 million due to unfavorable claims experience in the US mortality business and claims reporting effects. Onerous contracts had a positive impact on the quarter, by €20 million.
In investments, SCOR benefited from elevated reinvestment rates in Q1 2024, recording a strong regular income yield of 3.5%, up 0.7 points from Q1 2023.
The effective tax rate for Q1 2024 was 24.1%, below the 30% assumption expected over the duration of the Forward 2026 plan.
The annualized return on equity (ROE) reached 17.3% (15.5% adjusted), and the group economic value grew by 4.1% at constant economics.
SCOR’s solvency ratio was estimated at 215% at the end of Q1 2024, in the upper part of the optimal range of 185%-220%, compared to 209% at year-end 2023. This was supported by strong operating capital generation from the P&C business.
Thierry Léger, chief executive officer of SCOR, stated that for the first quarter of the Forward 2026 strategic plan, SCOR reported a strong net income.
“In P&C, we are reaping the benefits of very attractive market conditions with a combined ratio of 87.1% and we remain determined on building reserve buffers,” Léger said. “In L&H, we are impacted by an adverse experience variance, mainly driven by US mortality and claims reporting effects. In investments, SCOR benefits from elevated regular income yield and reinvestment rates. Overall, we are starting the year with a high ROE of 17.3% and an improved solvency ratio of 215% supported by strong operating capital generation driven by P&C January renewals.”
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