RSA Insurance Group Limited (formerly Plc), which came under the Intact Financial Corporation umbrella on June 01, has published its interim financial results.
In terms of profit/(loss), here’s how RSA fared in the six months ended June 30:
|
Source |
H1 2021 |
H1 2020 |
|
Continuing operations |
£(269) million |
£10 million |
|
Discontinued operations |
£4.53 million |
£154 million |
|
Total |
£4.26 million |
£164 million |
On June 01, RSA disposed of its Codan A/S and Roins Holdings Limited operations in Scandinavia and Canada, respectively. These have been classified as discontinued operations of the group.
RSA’s principal activity remains the transaction of insurance and related financial services predominantly in the UK, Ireland, Europe, and the Middle East.
The company – whose next dividend payment on its 7.375% cumulative irredeemable preference shares of £1 each will be on October 01 – also reported £2.33 billion in gross written premium (GWP) for its continuing operations. In the first half of 2020, the corresponding GWP stood at £1.98 billion.
Additionally, RSA’s underwriting result for continuing operations was a £143 million loss, a significant tumble from the positive £14 million result in the same period last year.
Meanwhile the insurer noted: “As a result of the disposal of Codan A/S on June 01, 2021, the group is no longer exposed to very long-tail liabilities in Scandinavia that are closely tied to the economic, legislative, and social environment.
“The relevant classes of business that fell into this category were Denmark workers’ compensation, Swedish personal accident, and Swedish motor annuities. Selling these liabilities has materially reduced the group’s exposure to this type of risk.”
The sale of the Canadian and Scandinavian subsidiaries has also simplified RSA’s structural currency exposure, since the remaining material subsidiaries are exclusively denominated in Euro or US dollars.
