Aspen ramps up insurance segment

Aspen’s annual results reveal a ramping up of its insurance business, despite its reinsurance business being the more profitable segment.

The combined ratio of Aspen’s reinsurance segment fell to 76.4 percent for the year, down from 85.4 percent in 2012, while its insurance segment’s combined ratio rose from 99.3 percent in 2012, to 103.9 percent in 2013.

Aspen wrote $1,512.8 million of insurance business in 2013, up from $1,355.4 million in 2012, while its reinsurance segment wrote $1,133.9 of premium in 2013, down from $1,227.9 million.

Profitability remained strong in Aspen’s reinsurance segment, which brought in $253.1 million of underwriting income, but its insurance segment experienced a loss of $43.9 million during 2013.

Aspen said that its insurance business has benefitted from the building out of its US operations, while the January reinsurance renewals had highlighted Aspen’s importance as a trading partner.

Commenting on operations, Chris O’Kane, CEO of Aspen says: “In 2013 we continued to advance our three levers for enhancing return on equity -- capital management, enhancing investment returns and business portfolio optimization.”