Insurer Zurich expects losses from Thailand, New Zealand

1/26/2012 12:40:01 PM

GENEVA - Thailand's floods and earthquakes in New Zealand contributed to a net fourth-quarter loss of between $200 million (€152 million) and $250 million, Swiss insurer Zurich Financial Services said Thursday. A specific estimate is to be included in the annual results for 2011 due to be released on February 16, the company said in a statement. "Given the exceptional frequency and overall severity of catastrophes and significant weather related loss-events throughout 2011, including the events mentioned above, cumulative losses have triggered the group’s global aggregate catastrophe reinsurance cover with additional recoveries of $130 million." In November the Swiss insurer posted a 64-percent jump in third quarter net profit to $1.2 billion, despite what it described as "the worst catastrophe year" since 2005's Hurricane Katrina. However its combined ratio -- a measure of insurers' profitability -- weakened to 98.8% from 97.7% while turnover rose three percent to $15.4 billion over the three months ending September. Copyright AFP All rights reserved. This material may not be reproduced, published, broadcast, rewritten or redistributed without prior permission in writing from AFP.

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