Zurich domiciled reinsurer MS Reinsurance (MS Re), part of global insurance group MS&AD, generated a net income of $155 million in the first half of 2025, an increase of $27 million, or 21% on the prior year, as the firm’s combined ratio strengthened despite a rise in incurred losses year-on-year.
The company’s financial profit increased to $30 million from $27 million, of which $98 million is investment income, partially offset by insurance service expenses of $68 million. This compares with investment income of $29 million and insurance service expenses of $6 million in H1’24.
Net premium written rose by $359 million, or 15% to $2.762 billion in H1’25 compared with $2.404 billion in H1’24, as net premium earned increased by $121 million, or 9% to $1.531 billion, compared with last year’s $1.41 billion.
Incurred losses, including loss adjustment expenses, increased by $37 million year-on-year to $869 million in H1’25, although the loss ratio, which excludes the change in loss component, came down to 56.7% from 59%.
At the same time, expense for acquisition and other operating expense increased by $58 million to $499 million for H1’25, with an expense ratio, which also excludes the change in loss component, of 32.6%, up on the prior year’s 31.2%.
All in all, MS Re generated a combined ratio of 89.3% for H1’25, an improvement of 0.9 percentage points on the prior year’s 90.2%, as the firm benefited from strong premium growth as a result of continued business expansion with well-managed and diversified portfolios, as well as strong attritional loss ratios.
MS&AD announced the results for MS Re alongside those of its MS Amlin business, which also performed well in the period, despite the impacts of the wildfires in California in January.
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