Generali share in green: Generali can handle catastrophe damage
The Italian insurer Generali has put up with high losses from natural disasters in Europe.
Thanks to good business with life insurances and funds, the operating profit after the first nine months of 4.4 billion euros was a good ten percent higher than a year earlier, as the rival of the German Allianz group (Allianz) announced on Thursday in Trieste. The increase in the third quarter was thus as high as in the first half of the year.
While Generali increased its premium income in the first nine months by six percent to 54.9 billion euros, things went differently in the individual sectors. The operating result in life insurance rose by seven percent, and in asset management by almost a third. In property and casualty insurance, on the other hand, Generali had to accept a decline of more than two percent. The reason was high damage from natural disasters, including the devastating floods in Europe, which in July caused damage amounting to billions, especially in Germany. Without an increase in investment income, the segment’s operating profit would have fallen even more.
The bottom line is that Generali earned 2.25 billion euros in the first nine months, almost three quarters more than a year earlier. Depreciation on investments and the expensive settlement of a dispute over the sale of the Swiss bank BSI had pulled the result down.
Generali shares in Milan temporarily rose by 0.18 percent to 19.055 euros.
/ stw / lew / jha /
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