Divisions at a glance

Consistent with our objective of reducing complexity and simplifying the portfolio, we have decided to exit our Latin American Operations which will see QBE reduce its geographic footprint and focus its ambition on being an “international” as distinct from a “global” insurer, with meaningful operations in the major insurance market hubs.

North American Operations

North American Operations is an integrated specialist insurer and reinsurer, offering commercial, personal and specialty lines capabilities to meet the evolving needs of its customers. Leveraging global strength and local expertise, North American Operations delivers end-to-end solutions through a limited and preferred network of agents and brokers.

Gross written
premium
US$ million

4,556

1% from 2016 1
Net earned
premium 2
US$ million

3,541

7% from 2016
Combined
operating
ratio 2,5

109.1%

98.5% in 2016
Insurance (loss)
profit margin 2
 

(6.7)%

4.7% in 2016

European Operations

European Operations’ insurance business provides a wide range of commercial and specialty products and risk management solutions across the globe through offices in the UK, Europe and Canada as well as through our Lloyd’s syndicates. QBE Re is a global, multi-line reinsurance business with offices in London, Dublin, Brussels, Bermuda and New York.

Gross written
premium
US$ million

4,049

1% from 2016
Net earned
premium
US$ million

3,212

3% from 2016 4
Combined
operating
ratio 5

95.2% 3

90.7% 4 in 2016
Insurance
profit margin
 

10.4% 3

10.1% 4 in 2016

Australian & New Zealand Operations

A market leading position in commercial insurance and a targeted presence in personal lines, including home, motor and CTP. Our strategy is focused on growing market share in SME and building a world-class claims service and pricing capability to deliver attractive and sustainable returns, underpinned by strong financial discipline and a distinctive culture.

Gross written
premium
US$ million

4,024

2% from 2016
Net earned
premium
US$ million

3,480

2% from 2016
Combined
operating
ratio 5

92.0%

92.4% in 2016
Insurance
profit margin
 

12.6%

12.3% in 2016

Asia Pacific Operations

With a presence in multiple markets across Asia and the Pacific, QBE provides commercial, personal and specialist insurance to customers in some of the world’s highest‑potential economies.

Gross written
premium
US$ million

740

3% from 2016
Net earned
premium
US$ million

653

6% from 2016
Combined
operating
ratio 5

115.5%

95.6% in 2016
Insurance (loss)
profit margin
 

(14.2)%

5.5% in 2016

Latin American Operations

Latin American Operations has a presence in Argentina, Ecuador, Colombia, Brazil, Puerto Rico and Mexico. With a customer centric focus, the division is progressing QBE’s Corporate and Specialty strategy by leveraging global broking relationships.

Gross written
premium
US$ million

863

0% from 2016
Net earned
premium
US$ million

715

0% from 2016
Combined
operating
ratio 5

113.1%

102.9% in 2016
Insurance (loss)
profit margin
 

(6.9)%

5.5% in 2016

Equator Re

Equator Re is instrumental in managing the Group’s exposure and reinsurance risk appetites and plays a pivotal role in optimising capital across the Group. In doing so, Equator Re works closely with the divisions to bridge the gap between their risk appetites and that of the Group.

Gross written
premium
US$ million

1,580

17% 6 from 2016
Net earned
premium 6
US$ million

847

81% from 2016
Combined
operating
ratio 5,6

140.9%

70.2% in 2016
Insurance (loss)
profit margin 6
 

(38.1)%

35.0% in 2016
  1. Excludes $142 million of Latin American Operations premium income fronted on behalf of Equator Re in 2016.
  2. Excludes transactions to reinsure US liabilities.
  3. Excludes one-off adverse impact on the Group’s underwriting result due to the Ogden decision in the UK.
  4. Excludes transactions to reinsure UK liabilities.
  5. Combined operating
    ratio adjusted to exclude the impact of changes in risk-free rates used to discount net outstanding claims.
  6. Adjusted for LPT transactions with North American Operations.