esure reports Operating Profit*of £80.8million for 2011
esure Group Holding Limited (“esure”) – one of the UK’s top five motor insurance groups – announces today growth in its Operating Profit* for the year ended 31 December 2011 up at £80.8million (2010: £18.6million) with a significant reduction in the loss ratio following two years of rating, underwriting and counter-fraud action.
• Group Operating Profit* of £80.8million (2010: £18.6million)
• Gross Written Premium up 9.5% at £513million (2010: £468million)
• Combined Operating Ratio down to 94.6% (2010: 114.5%)
• Net Loss Ratio down to 66.8% (2010: 91.5%)
• Total in-force policies up 6% to 1.65million (2010: 1.56million)
• Motor insurance policies in force 1.21million (2010: 1.18million)
• Home insurance policies in force up 16.6% at 443,000 (2010: 380,000)
Peter Wood, Executive Chairman of esure, said:
“These results reflect continuing improvements in many areas of our business. In 2011, we saw the first rewards of concerted action to optimise our underwriting performance, stamp down harder on fraud and grow our income from the additional services we offer our customers. The results of these actions contribute to a significant increase in 2011 profits by boosting key contributors, laying foundations on which we plan to build.
“The board has also taken steps to strengthen its structure commensurate with the development of the business. Dame Helen Alexander joined as Deputy Chairman; Stuart Vann has been appointed as CEO following his significant contribution to these results during two years as COO.
“We look forward with confidence.”