Swiss Re reported a net income of US$3.2 billion for the full year 2024, with a return on equity of 15%.
This compares to US$3.1 billion in net income and a 16.2% return on equity in 2023. The company attributed the result to disciplined underwriting across business units and investment performance, though reserve strengthening for U.S. liability business in the third quarter impacted results.
Looming over the above-par performance is the impact of the California wildfires earlier this year, a catastrophe event that Swiss Re acknowledged in its latest results.
The company estimated its preliminary claims from wildfires in Los Angeles at less than US$700 million, which will impact first-quarter 2025 results. The company projected the total insured market loss from the wildfires at approximately US$40 billion.
The insurance service result, which reflects underwriting profitability, reached US$4.3 billion, down from US$4.7 billion in the previous year. Insurance revenue increased to US$45.6 billion from US$43.9 billion in 2023.
Swiss Re’s return on investments for 2024 rose to 4%, up from 3.2% in 2023. The increase was driven by recurring investment income, with the yield for the period at 4%, compared to 3.5% the prior year. The reinvestment yield for the fourth quarter stood at 4.6%.
The company maintained a strong capital position with a group solvency test (SST) ratio of 257% as of Jan. 1, 2025, above the target range of 200–250%. The ratio declined from the mid-year 2024 level of 284%, which Swiss Re attributed to reserving actions, dividend accruals, and an increase in deployed risk capital.
Swiss Re reaffirmed its financial targets announced in December 2024, including a net income goal of more than US$4.4 billion for 2025. Life & Health Re (L&H Re) is targeting US$1.6 billion in net income, while Property & Casualty Re (P&C Re) aims for a combined ratio below 85%, and Corporate Solutions seeks a combined ratio under 91%.
The company also reiterated its multi-year return on equity target of over 14% and aims to grow dividends per share by at least 7% annually for payments made between 2025 and 2027.
CEO Andreas Berger (pictured above) said the company’s business units entered 2025 in a strong position, citing a foundation built on disciplined underwriting and successful January renewals. Berger added that Swiss Re remains focused on delivering its financial targets and achieving cost-efficiency goals.
In addition to its 2024 results, Swiss Re also announced the appointment of Kera McDonald as group chief underwriting officer, effective June 1, 2025, pending regulatory approval.
McDonald, who currently serves as chief underwriting officer for Swiss Re Corporate Solutions, will take on the role with responsibility for underwriting strategy across all business units.
McDonald has been with Swiss Re since 2006 and has held several leadership and specialist roles. She has been part of the corporate solutions executive committee since July 2019 and has served as chief underwriting officer for the business unit since 2022.
She holds a bachelor's degree in mathematics and economics from Cornell University and an MBA in international business from the University of Washington.
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