Insurance profitability declines
The profitability of the Australian insurance actually declined in the March quarter of this year, according to the latest data released by the Australian Prudential Regulation Authority.
The data showed that the industry’s annualized return on equity through the March quarter was 11.7 per cent compared with 13.6 per cent for the same period last year.
However the APRA data showed that net premium revenue for the year ended 31 March, 2006, was up 0.8 per cent over the same period in 2005 to $21.1 billion, albeit that industry net premium for the March quarter was 2.8 per cent.
It said that net incurred claims for the year ended 31 March, 2006 were up 5.8 per cent to $13.1 billion, while the net loss ration for the industry was 62 per cent.
AUTHOR
Mike Taylor
Recommended for you
In this new episode of The Manager Mix, host Laura Dew speaks to Nick Paul, institutional portfolio manager at MFS Investment Management to delve into everything small and mid-cap equities.
In this episode of Relative Return, host Laura Dew chats with Kellie Wood, head of fixed income and deputy head of fixed income and multi-asset at Schroders Australia, to discuss why fixed income is returning to favour after a 12-year wait.
In this episode of Relative Return, host Laura Dew speaks with Michael Hunstad, deputy chief investment officer and chief investment officer of global equities at Northern Trust Asset Management, to debunk myths around index investing.
In this episode of Relative Return, host Maja Garaca Djurdjevic chats with Robin Tsui, APAC gold strategist at State Street Global Advisors, to discuss gold’s role as a diversifier in portfolios.
