The operating profit in the Property and Casualty (P&C) division at Allianz dropped by more than 10% in the third quarter compared to last year, the insurer says.

It now totals €1.3 billion ($2.09 billion).

Improvements in the expense ratio and the accidental year loss ratio were offset by a lower contribution from run-off insurance, Allianz says.

Its operating profit in P&C over the past nine months of the financial year has also fallen, with a higher underwriting result failing to compensate for lower investment returns and a decrease in net fees and commissions.

The combined ratio rose 1.2% to 94.3% in the third quarter compared to the previous corresponding period.

In its life business, €494 million ($793.84 million) in new business value was generated in the third quarter. New business premiums grew 20.3%, driven mainly by life in Germany, the US and Italy. That has led to a total of €49 billion ($78.74 billion) in new business premiums over the first nine months of the financial year.