Lloyd’s reports 2024 underwriting profit drop as COR increases

Lloyd’s has revealed its underwriting profit dropped in the 12 months to December 2024.

In a trading update published today (10 March 2025), the marketplace reported that underwriting profit stood at £5.3bn, down from £5.9bn in 2023.

Profit before tax also dropped from £10.7bn to £9.6bn year-on-year.

This came as the combined ratio worsened in 2024, with it increasing 2.9 percentage points to 86.9% in 2024.

Lloyd’s attributed this to larger losses in the latter half of the year. It also estimated the net loss to the market for the Californian wildfires to be approximately $2.3bn.

However, the underlying combined ratio, excluding major claims, improved from 80.5% to 79.1%.

GWP increase

Despite the dip in profit, Lloyd’s said that gross written premium (GWP) rose from £52.1bn to £55.5bn year-on-year – a 6.5% increase.

Lloyd’s noted that premium growth was primarily driven by an 8.5% rise in property and reinsurance business.

Chief financial officer Burkhard Keese said the market had continued to focus on “strong profitability and disciplined growth” while maintaining a high standard of underwriting.

“Our market has delivered another excellent underwriting year for our investors, while providing best-in-class solutions for our customers to protect their business flows and balance sheets,” he said.

Lloyd’s said its full results would released on 20 March 2025.