Ageas used its full weather damage claims allowance for the year during Q1 2018 after the fallout experienced by the Beast from The East.
The insurer said that it has no more reserves in case of more adverse weather conditions after paying out claims resulting from damaged cause by the ‘Beast from the East’ earlier in the year. The snow storm in February caused widespread disruption across the country, with businesses being forced to close and fatal accidents on the roads
Ageas would not disclose how much it paid out in those claims but the news follows Direct Line reporting a £50m hit from the same storm.
Andy Watson, CEO of Ageas, pictured, told Post the insurer experienced a negative impact on its home insurance business due to weather conditions.
“We performed very well in our motor business and our loss ration there was very strong,” said Watson.
“We used our full weather allowance in paying out claims resulting from the Beast from the East. As long as we don’t have any more adverse weather over the next half of the year, we should be fine. We planned accordingly for the weather and were able to handle it in the most appropriate way.”
Going forward, Ageas is looking to expand its commercial insurance business.
“Our commercial business is making good progress and we are planning to expand on this area over the next year. Alongside this, we are planning to put a focus on digital transactions in this area.”
Excluding the Ogden rate change and the adverse weather condition, Ageas’ combined operating ratio improved to 98.5% in Q1 2018 compared to 102.4% in the same period last year.
During Q1 2018, Ageas’ gross written premium stood at of £393m.
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