Chubb Reports Strong Start to 2024 with Double-Digit Core Operating Income Growth
Chubb Limited (NYSE: CB) reported strong financial results for the quarter ended March 31, 2024, with net income of $2.1 billion, or $5.11 per share, and core operating income of $2.7 billion, or $6.50 per share. Book value per share increased to $112.25, while tangible book value per share increased to $88.92.
Chubb’s strong performance was driven by growth in all its businesses. P&C underwriting income grew by over 15% to $1.6 billion, driven by strong earned premium growth and underwriting margins. Investment income increased by more than 23% to $441 million, and life insurance income rose by almost 10% to $314 million.
Total company net premiums written increased by over 14% in the quarter, with total P&C up 12.5% and Life Insurance up over 26%. Global P&C premiums, which exclude Agriculture, increased by 13.3%, with commercial lines up over 11% and consumer lines up 19.3%.
Chubb’s Personal Risk Services business grew by 12.3%, and its commercial business grew by 9.5%. The company reported strong policy count renewal retention of 84.7%.
The P&C underwriting environment remains favorable, with pricing exceeding loss costs. Chubb reported the best rates and pricing overall that it has seen in the last four to five quarters.
Chubb’s Overseas General division also performed well in the quarter, with both its consumer and commercial businesses growing. The company’s retail commercial P&C lines pricing across its international business was favorable, and its portfolio is well priced.
Overall, Chubb had a very strong start to the year. The company is confident in its ability to continue growing operating earnings at a rapid pace through P&C revenue growth, underwriting margins, investment income, and life income.
