Earnings from the buoyant Asia-Pacific market have helped stem losses for UK insurer Aviva, which has posted an annual loss of £885 million ($1.95 billion).

The result is markedly lower than its 2007 profit of £1.5 billion ($3.3 billion).

But Aviva Asia-Pacific life insurance units reported a 48% increase in operating profit of £46 million ($101 million), a result that includes the insurer’s Australian life portfolio.

The insurer says its general insurance result has improved over the year and its combined operating ratio is on target at 98%.

CEO Andrew Moss says it was a tumultuous year in which Aviva’s underlying business showed “great resilience”.

“Aviva remains financially strong,” he said. “We’ve undertaken a thorough review of the value of our assets and liabilities and have made cautious provision for future losses so that we are in good shape to withstand the ongoing volatility and uncertainty in world markets.”