Continued focus on profitability, combined with benign weather, resulted in an increased year on year profit, offset by higher claims inflation in the third quarter

• Net profit of £58.2 million compared to a profit of £54.2 million (9M 2018)

• Resilient Combined Ratio at 97.0% (9M 2018: 97.5%) despite challenging motor market conditions

• Benign weather in 2019 combined with strategic exit from underperforming schemes led to a good underlying Household performance

• Motor claims inflation impact in the third quarter, as experienced across the market

Maintained pricing discipline in dislocated market conditions

• Lower volumes reflect strategic exits from underperforming schemes combined with continued pricing and underwriting discipline in the current soft personal lines motor market conditions

• Continued growth in the direct aggregator channel following the launch of Ageas motor last year

• Trading momentum in the broker market continues with new deals and a healthy pipeline of bespoke schemes

In GBP Million
Net result 58.2 54.2 7%
Gross Income 1,171.2 1,216.0 -4%
Combined ratio 97.0% 97.5%  


Ageas UK entities
Fire & Other Damage
A&H and other lines
in GBP million 9M'19 9M'18 9M'19 9M'18 9M'19 9M'18 9M'19 9M'18
Gross inflows Non-Life 616.0 614.1 198.4 208.0 115.2 130.4 929.7 952.5
Combined ratio 97.8% 91.3% 90.1% 109.2% 104.7% 106.2% 97.0% 97.5%


Andy Watson, Chief Executive of Ageas UK commented:

As the year progresses we continue to deliver a resilient performance, despite a higher level of claims inflation that is consistent with that reported across the market.

Our home book is performing well as a result of actions we have taken on underperforming schemes and is also benefitting from the benign weather in comparison to 2018.

I’m pleased to say that the large loss severity we reported in our motor book in the first half of the year has now returned to more normalised levels.

We have maintained our disciplined approach to underwriting and pricing in a dislocated motor market, which has had a natural impact on volumes. While there is much speculation about price increases, premiums in the market remain surprisingly low and unsustainable given inflationary pressures and the change in the Ogden rate.

We’ve seen further good progress in the intermediated channel. In addition to new deals announced in the first half of the year, we have a positive pipeline and recently announced a new four year partnership with URIS Group, broadening our specialist personal and commercial lines expertise to a wide range of niche trade sectors.