Skuld today announces an improved combined ratio, as well as a positive bottom line result of USD 13 million for its 2015 financial year (USD 13.5 million in 2014).
Gross earned premium in 2015 amounted to USD 410 million. With a strong focus on upholding rates and retaining quality members and clients in a challenging market, and through the diversification of core business, Skuld delivered its best combined ratio in five years at 95%. A positive underwriting strategy provided for a technical result of USD 22 million and a bottom line of USD 13 million, while investment return was down 1.6%.
Skuld's technical and bottom line results have been accounted for after the deduction of a 28% credit, totalling USD 5 million, returned to Skuld's mutual members in 2016. In part, the mutual members' credit was achieved thanks to the positive combined ratio delivered by Skuld's commercial service offering.
Ståle Hansen, Skuld president and CEO said: "This set of results is an encouraging sign that our team of underwriters and claims handlers are well equipped to meet the needs of our members and clients in a difficult business environment. Our combined ratio is at a five year low and while a number of our service offerings have performed well, I was especially pleased to see a strong contribution from our offshore book of business. The diversification strategy enables us to give a credit back to our mutual members even when the investment returns have proven to be volatile.
"A clear vision and a firm strategy have paved a successful path and our 2015 results underscore the importance of continuing our diversification strategy as we build on our platform of profitable growth in 2016 and beyond, and continue to provide our members and clients with service and competence they can rely on."
Please see full report on our Financial reports page.