Allianz says COVID-19 impacted its balance sheet to the tune of €1.3 billion ($2 billion) last year, sending its operating profit down 9%.

Net income attributable to shareholders fell 14% to €6.8 billion ($10.46 billion) in 2020.

In the fourth quarter, revenues were flat from a year earlier while operating profit rose 8% to €3 billion ($4.62 billion).

CFO Giulio Terzariol says Allianz’s underlying business performance is "well diversified and healthy” and its capital position strong.

"We look towards 2021 with confidence,” he said. "The Property-Casualty business segment performed in line with our mid-point target for operating profit if COVID-19 related losses were excluded.”

P&C revenues rose 0.4% to €59.4 billion ($91.4 billion) in 2020 while operating profit fell 13% to €4.4 billion ($6.77 billion). The combined ratio widened 0.8 percentage points to 96.3% in 2020 and Mr Terzariol expects “progress towards” a 93% combined ratio this year.

In the fourth quarter, P&C operating profit rose 2% to €881 million ($1.36 billion) on a significantly higher underwriting result, while the combined ratio improved by 2.2 percentage points to 97.4% compared to a year earlier.