In a largely forgettable first-quarter reporting season, leading international insurers and brokers alike have seen their profits hit as adverse weather claims and the global credit crunch take their toll.

Chubb’s net income declined 6.5% to $US664 million ($704 million), despite a 2% increase in net written premium to $US2.9 billion ($3.1 billion).

The US-based insurer weathered a difficult investment environment to post a 7% increase in net property and casualty investment income to $US327 million ($347 million).

Chubb’s combined ratio lifted by 0.5 percentage points to 83.9%.

Bermuda-based Ace booked a 46% decline in net income to $US377 million ($399 million), despite enjoying a 9.5% increase in operating earnings to $US725 million ($768 million).

Ace Chairman and CEO Evan Greenberg attributed the loss to “the unprecedented volatility experienced in the debt and equity markets during the quarter”.

Ace’s net written premium was down 4% to $US3.2 billion ($3.4 billion), but its property and casualty combined ratio improved by 2.5 percentage points to 84.6%.

Australian market aspirant Axis fared better, posting a 4% rise in net income to $US238 million ($253 million) despite a 9.7% fall in operating income to $US205 million ($218 million).

The Bermudian insurer and reinsurer’s combined ratio lifted slightly to 81.2%.

On the broking front, Global leader Aon reported a 2% increase in net profit during the first quarter to $US218 million ($233 million).

Total revenue rose 7% to $US1.9 billion ($2 billion) compared with the first quarter last year. Results were buoyed by a 21% growth in Europe/Middle East/Africa revenue to $US525 million ($562 million).

Aon’s Asia Pacific operations saw a 10% increase in revenue to $US110 million ($118 million).

Willis’ first-quarter net income slid 2% to $US166 million ($176 million) as the company spent $US33 million ($35 million) on severance and systems costs associated with its global reorganisation.

The world’s third-largest broker improved its revenue 8% to $US795 million ($843 million), boosted by currency fluctuations.

Competitor Arthur J Gallagher fared worse, experiencing a $US6 million ($6.4 million) loss, compared with a $US19.8 million ($21 million) profit for the corresponding period last year.

The broker attributed the disappointing result to a combination of a $US22.3 million ($23.6 million) loss on discontinued operations and a 95% reduction in investment income to $US1.6 million ($1.7 million).

Arthur J Gallagher’s total revenue was static at $US375.8 million ($398 million), compared with $US375 million ($397 million) for the first quarter of 2007.