HDI Global reports strong 2023 results – UK & Ireland business shows further growth and improved broker engagement
Reporting on the full year of 2023, industrial insurer HDI Global SE has announced double-digit growth in insurance revenue and a further improved combined ratio. The results are backed by strong performances in the liability and property lines. HDI Global’s UK & Ireland branch had a record underwriting result in commercial operations and grew in headcount across the business, bolstering its Distribution and Marketing team to best service clients’ and brokers’ needs across commercial and specialty services. The branch thus contributed to the positive overall result of the Germany based multi-national industrial insurer belonging to the Talanx Group.
“2023 was a year of profitable growth in our UK & Ireland business. Our commercial business grew by 12 percent, writing new business of over EUR 100 million. In specialty we were able to grow our already respectable market position by 8.7 percent – all achieved in an environment of increased competition and inflation,” says Richard Taylor, CEO HDI Global UK & Ireland.
On a worldwide scale, HDI Global lifted insurance revenue by 10 percent to EUR 9.1 (8.2) billion in the fiscal year 2023, or 12 percent after adjustment for currency effects. This demonstrates the success of the industrial insurer’s strategy as a globally active Partner in Transformation for its clients, providing excellent service as well as profitable underwriting. The growth is primarily driven by property and liability business, which resulted in a good insurance service result of EUR 770 (574) million, on the back of higher interest rates, a low level of frequency losses, and low large losses. Large loss payments were within budget at EUR 334 (381) million. Consequently, the combined ratio for HDI Global improved to 91.5 (93.0) percent. The net insurance financial and investment result before currency effects amounted to EUR 11 (169) million; this was due among other things to higher interest rates and the conscious decision to accept disposal losses when rebalancing from lower-yield investments to higher-yield ones. The operating profit rose to EUR 446 (430) million, and HDI Global’s contribution to the Talanx Group’s net income climbed 13 percent to EUR 351 (311) million.
For the UK & Ireland branch, Richard Taylor offers his outlook for 2024: “Whilst competition has returned, the market still provides great opportunity to grow our portfolio in a disciplined way. We have some exciting initiatives planned, we are looking to grow and develop our Captive and mid-market property proposition and set up an international London hub starting with property.
Constant change, new risks and opportunities will play a big part for our clients in 2024. As an insurer who sees itself as the clients’ Partner in Transformation, we have a strong reputation as a stable long-term capacity provider in the UK & Ireland, enabling clients and brokers to work with us over the long term. Our experts in underwriting, claims and risk management work with our partners to deliver real tailor-made solutions. Across our commercial and specialty business, we can offer 25 lines of business and with recent extension of our Cyber proposition, we act as a true one-stop shop in 2024 as well.”
Authored by HDI Global
