Zurich-domiciled global reinsurance company, Swiss Re, has set its targets for 2026, including a group net income of $4.5 billion and a Property & Casualty Reinsurance combined ratio of less than 85%.
Alongside the aforementioned P&C Re result, at Swiss Re Corporate Solutions, the commercial insurance arm of the reinsurance giant, a combined ratio of less than 91% is the target for 2026.
Further, Life & Health Reinsurance will target an increased net income of $1.7 billion in 2026, with Swiss Re noting that it has “materially completed the review of underperforming portfolios in L&H Re, focused on the markets of Australia, Israel and South Korea,” revealing a Q4’25 IFRS pre-tax earnings impact of the assumption updates of an estimated $250 million.
These updates come alongside a refreshed strategy, which aims to advance the firm’s core business through disciplined execution, differentiated propositions and a leading position in its most important markets.
Additionally, in 2026, the reinsurer also aims to harness the full potential of artificial intelligence (AI) to “transform” core processes while improving productivity and decision-making. As a whole, the group says that it has made progress in integrating AI into underwriting, claims and data; however, this strategic approach requires an end-to-end transformation of key processes.
Also in 2026, Swiss Re aims to introduce a “sustainable” annual share buyback programme at $500 million to complement its ordinary dividend policy, subject to achieving the full-year 2025 group net income target of over $4.4 billion.
Lastly, Swiss Re has maintained its multi-year IFRS ROE target of over 14% and its dividend growth target of 7% or more per year over the next two years. The group is on track to achieve a reduction in run-rate operating expenses of $300 million by 2027, having made substantial progress in 2025.
Andreas Berger, Group Chief Executive Officer, Swiss Re, commented, “We continue to strengthen the foundations of our business. This year in particular, we accelerated efforts to improve the resilience of our in-force book in L&H Re. Along with the other actions we have taken, this gives us the confidence to increase our target for that Business Unit in 2026, contributing to an updated Group net income target of USD 4.5 billion.”
He continued, “Today we are a stronger Swiss Re – delivering resilient earnings and leveraging a powerful data and AI platform to drive smarter decisions, deeper risk insights and long-term value for our clients. As we look ahead, we continue to focus our efforts and resources firmly on our core markets. Conditions remain constructive, supported by structural growth. This puts us in a strong position for 2026 and beyond.”
Following Swiss Re’s announcement, industry analysts from Goldman Sachs and RBC Capital Markets have shown a certain degree of disappointment, as they believe that the new net income targets for 2026 are below the consensus of what was anticipated.
This view has also been shared by some equity analysts who agree that the new dividend announcement is far lower than they had hoped for.
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