Royal & SunAlliance recorded a 4% rise in operating profit last year to £814 million ($1.7 billion), despite the impact of widespread flooding in Britain.

But the insurer's combined ratio climbed to 94.9% from 93.3%, reflecting weaker underwriting profitability.

The UK floods cost Royal & SunAlliance £120 million ($253 million).

The company has also announced plans to rebrand in April, when it will become RSA.