Insurers report losses in their Q2 financial results

European insurer AXA saw its underlying earnings drop by 48 per cent and gross revenues decline by 10 per cent, giving it a net income of €1,429 billion – marking a 39-per-cent fall from the same period last year when it recorded €2,333 billion in net income.

Allianz Asia Pacific's consolidated results for the half-year revealed that total operating profit for the company was down 4.3 per cent to US$296 million, while its total revenues were up 12.7 per cent to $4.2 billion. Its life and health operating profit went down 9.1 per cent (at $225 million), property and casualty revenues were up 21.3 per cent to ($779 million), and its operating profit was up 16 per cent (at $68million).

“The implications of local lockdowns and ongoing economic uncertainty depressed spending and unsettled consumer behaviour in the first half – this had a direct impact on the demand for goods and services,” commented Allianz’s Regional CEO Solmaz Altin. “The Allianz business in the region is resilient and strong, however it is not immune to the subsequent effects from the crisis.”

Elsewhere, Aviva, overall, saw operating profits of £1,225 million, which marked a decrease from last year’s £1,386 million. Economic returns, however, climbed to reach £890 million, up from H1 2019’s £780 million.

And UK life insurance and employee benefits firm MetLife Inc. witnessed a 96 per cent decrease in profits compared to the previous year – making around £52 million in the second quarter of 2020.

“The decline in our private equity portfolio was squarely within our expectations,” CEO Michel Khalaf said in a statement. “On underwriting, our well-diversified set of businesses provided meaningful offsets to increased claims from Covid-19.”