Aviva has reported a 19% surge in its operating profit in its UK general insurance division, Norwich Union Insurance (NUI) for the six months ended 30 June 2005.
Operating profit rose to £431m from £361m in 2004. The group's combined operating ratio improved to 96% from 97% in the full year 2004.
The company said that "despite a highly competitive market", it had achieved a 5% increase in personal motor rates, (2004: 2%) and a 6% (including indexation) increase in homeowners rates (2004: 5%) It said that commercial rate increases have flattened but profitability remains excellent.
The company also said that "excellent progress" had been made on the integration of RAC and its results had contributed £6m to NUI's underwriting result.
