QBE Insurance Group has released its latest financial results, demonstrating steady expansion in written premiums alongside robust investment gains for the nine months ending September 30.
Catastrophe losses came in considerably below the insurer's budgeted allowance, whilst underwriting performance remained broadly aligned with expectations.
The group previously reported a 27% surge in profits during the first half of 2025, with the Australia Pacific division achieving a combined operating ratio of 86.8%, a meaningful improvement from 95.6% in the prior period, a performance attributed to lower catastrophe claims during the half.
Read more: QBE has a 27% profits surge
Gross written premiums in the nine-month period expanded 6% when measured on both a reported basis and at constant currency rates. The overall growth figure incorporates approximately US$250 million in headwinds attributable to the wind-down of non-core business lines in North America.
Adjusting for this runoff, constant-currency premium growth reached 7%, or 6% when crop-related results are excluded from the calculation.
Rate increases across QBE's portfolio averaged roughly 1.5% during the period. Outside commercial property and Lloyd's of London operations, underlying rate momentum maintained approximately 4%, indicating pricing remained relatively constrained across these segments.
The insurer's investment operations contributed materially to nine-month performance. Fixed income holdings and risk assets generated favourable returns during the third quarter, with core fixed income yields standing at 3.7% as of period end.
Total funds under management reached US$34.8 billion, representing an increase from US$34 billion at midyear, with risk assets comprising 15% of the overall portfolio. Investment returns totalled US$459 million during the quarter and US$1.25 billion on a year-to-date basis.
Catastrophe experience for the first 10 months of 2025 is estimated at approximately US$700 million, substantially lower than the US$950 million allowance established for the equivalent timeframe.
The insurer has provisioned a further US$200 million for catastrophe losses anticipated in November and December. QBE expects full-year catastrophe costs to remain comfortably within budget for the third consecutive year.
The ex-catastrophe claims ratio is projected to finish above plan owing to large losses incurred earlier in the year, shifts in portfolio composition and elevated claims frequency in North American accident and health operations. QBE indicated that management expects improvement in several of these areas during 2026.
The company previously said that its strong performance reflects its broker-focused distribution model, with more than 95% of QBE's business generated through insurance brokers, a channel that has proven instrumental in driving growth across its 26-country portfolio.
QBE has also reaffirmed its full-year 2025 guidance, targeting mid-single-digit constant-currency premium growth alongside a group combined operating ratio of approximately 92.5%.
The insurer announced an on-market share buyback programme valued at A$450 million, to commence in December and continue through 2026, funded from surplus capital.
