Aspen Insurance has swung to an operating loss after tax of $48.2m (£36.6m) and a 109.2% combined ratio for the six months ended June 30, 2020.
According to the group, these results included Covid-19 related losses that totalled $187.3m (£142.3m).
Excluding Covid-19 losses, the group reported an operating gain after tax of $139.1m (£106m), however, as well as a combined ratio of 93.5%. It also reported a 14.2% increase in gross written premiums for the period.
According to Aspen, underlying key performance ratios “clearly illustrate” the progress made with accident year ex-cat combined ratio and accident year ex-cat loss ratio of 90.7% and 54.7%, respectively, against 102.4% and 58.7% the previous year.
Meanwhile, Aspen Capital Markets has continued to build on its contribution to the group, which now expects both AUM2 and fee income to grow through the renewal, expansion and introduction of existing and new structures.
In addition, the insurance group noted that market conditions were “definitely improving”, adding that while some lines of business “still have some distance to achieve adequacy, we have seen strong risk adjusted rate change across both our insurance and reinsurance segments”.
Mark Cloutier, CEO, said: “From the very onset of the pandemic, our team at Aspen were committed to doing our part to help ease the burden on those most affected by the pandemic and we will steadfastly maintain that commitment through to what will hopefully be an end to this terrible event.
“Despite the many challenges we faced in the first half of the year, including a Covid-19 reserve of $187.3 million (15.7% combined ratio points), we are pleased with the progress we have made as we continue to reshape the business with a clear focus on total value creation.”
He added: “ “Looking ahead, I believe that we have the right combination of entrepreneurialism, talent and discipline to build our business and position Aspen as a leading International Specialty (re)insurer.
“Our ambition is underpinned by a determination to build a culture that embraces and advocates for greater diversity, inclusion and corporate responsibility and recognizes their importance as pillars of future success.”