Lloyds Bank reports GWP drop in first half
Lloyds Banking Group’s general insurance business reported a 13% drop in gross written premium (GWP) in the first half of 2017 because of heavy competition in its main market of household insurance.
Lloyds Bank general insurance GWP was £370m in the first half of 2017, down from £424m in the same period last year.
The company said the dip reflected “the continued competitiveness of the household market and the run off of legacy products”.
On a more positive note, the bank said that GWP from new business was up 3% to £38m (H1 2016: £37m), which it attributed to the online offering it launched in 2016.
The unit also improved underwriting profitability. Its combined operating ratio improved by one percentage point to 88% (H1 2016: 89%).