Global Property and Casualty (P&C) business again produced an underwriting profit in 2018 with a combined ratio of 98.9%, up from 98.8% a year earlier, according to Aon’s Insurance Risk Study.

Australia’s 2018 result came in at 95.4%, an improvement on the nation’s five-year cumulative net combined ratio of 97.3%.

Europe averaged a 96% combined ratio last year, while Asia Pacific averaged 100.8% and the Americas 97.9%, the report said.

In 24 of the top 50 markets, combined ratios were below 95%, Aon says.

Ten countries were below 90%, while seven countries showed five-year premium growth of more than 10%, led by very strong growth in China.

“The overall global combined ratio result, and the variation in results by country, demonstrates there are many desirable areas for profitable growth in the market today,” the Risk Study, now in its 14th year, says.

Global premium stood at an all-time high of $US5.5 trillion ($8.01 trillion) at the end of last year, up 5.1% from a year earlier. P&C premium increased by 3.4%, life and health premium increased by 6%, and reinsurance premiums grew by 2.9%.

Auto insurance accounts for 49% of P&C premium, while property accounts for 31% and liability for 20%.

Motor insurance was the fastest growing line of business, with 6.8% annual growth over the past five years, driven by strong growth in Brazil, the US and China. Liability grew at an annual rate of 4.6%, and property at 2.9%.