Zurich Financial Services has reported a first-half net profit of $US1.5 billion for its global operations. That’s 93% higher than the same period last year.

Business operating profit was reported at $US1.948 billion, up 47% from last year. Gross written premiums in general insurance reached $US20.6 billion, up 6% from 2003, and the combined ratio improved from 98.8% to 96.7%.

CEO James Schiro says the strong performance was supported by a substantial improvement in the general insurance underwriting result.

“The group’s high-quality portfolio benefitted from low claim frequencies, absence of large catastrophes, and the strong rate increases achieved in prior years.

“The life insurance segment showed further progress on its path to recovery as a result of focusing on more profitable businesses, expense reductions, and the better alignment of products and services with current investment yields. The group net investment result rose by 20% to $3.859 billion.”

Mr Schiro says the success stems from a sharp focus on core businesses, financial discipline and sound underwriting.