Mapfre posts 94.4% non-life CR for 2024

By Rebecca Delaney

Feb 12 - (The Insurer) - Spanish insurance group Mapfre has posted a non-life combined ratio of 94.4 percent for the 2024 financial year, marking a year-on-year improvement of 2.8 percentage points despite a higher frequency of catastrophic events.

Mapfre said the improvement was driven by profitable growth, tariff adjustments and more benign weather than in 2023.

The general P&C combined ratio stood at 80.9 percent, a year-on-year improvement of 6.7 percentage points.

Mapfre reported a result of €992mn ($1.03bn) for the full year, with the attributable result standing at €902mn (up 30 percent from the prior year period) after a €90mn goodwill writedown in Verti Germany.

This increase was driven by an improvement in the non-life technical result, which increased by more than €490mn gross as a result of both underwriting measures and the absence of relevant claims.

Mapfre said it experienced a higher frequency of catastrophic events over the year, with the storms in Europe and flooding in Brazil's Rio Grande do Sul region resulting in a combined impact of €82mn.

Additionally, Mapfre reported a €34mn net impact from the storms in the southeast region of Spain in October 2024.

Premiums increased by 4.5 percent (+6.6 percent at constant exchange rates) to €28.12bn from €26.92bn in 2023. This included non-life premiums of €22.14bn, driven by non-life reinsurance (€7.92bn) and general P&C (€8.62bn).

Mapfre noted that general P&C business indicated lower growth year on year owing to the slowdown of the agro business in Brazil, as well as currency depreciation.

Latin America, including Brazil, continued to be the highest contributor to group profit with €408mn (up €34mn from 2023), while in Iberia, the result saw an uptick to €367mn (+€6mn).

“These results, the best in the company’s history, reflect our ambition for growth and technical excellence, stemming from the execution of our strategic plan,” commented Antonio Huertas, chairman and CEO of Mapfre.

“The dividend has reached a new historic maximum and is proof of our commitment to shareholders. We are starting 2025 full of optimism and with the confidence that we will continue creating value.”

Mapfre Re

Mapfre Re, which includes the reinsurance and global risks businesses, posted a result of €325mn, up 33 percent from 2023.

Premiums in the segment reached almost €8.4bn, up 6.7 percent from the prior-year period. The reinsurance business contributed close to €6.6bn (+7.3 percent), with the global risks business contributing more than €1.8bn (+4.5 percent).

Mapfre Re reported a combined ratio of 93.6 percent, marking a 2.0 percentage point improvement.

The most relevant weather events for Mapfre Re over the year were the Rio Grande do Sul floods and the storms in Europe. Mapfre said that prudence levels in provisions continue to be strengthened in response to uncertainty over weather events.

Net financial losses were realised for the amount of €7.1mn for Mapfre Re after taxes and minorities, marking a swing into the red following €12.3mn in gains in 2023.