Zurich achieved all its targets for 2019 and will therefore increase the dividend. It is the third consecutive increase at Switzerland’s largest insurance company.
Zurich Insurance had already achieved what it defined as its target for the end of 2019 well ahead of time. But today's confirmation will still gladden investors, because it allows the company to again increase its dividend.
The board aims to pay 20 Swiss francs ($20.5) per share, up from 19 francs a year ago, according to a statement released on Thursday. And the insurance giant is well on course for further increases under the guidance of its CEO, Mario Greco. The target of 14 percent return on equity set for the upcoming period through 2022, was achieved already in 2019.
Better Still to Come
Operating profit added 16 percent in 2019 and reached $5.3 billion. The biggest proportion came from property and casualty, which posted an increase of 38 percent to $2.9 billion. Life insurance however saw a slight decline and an operating profit of $1.5 billion.
Zurich expects a further improvement at property and casualty in 2020 with lower costs, higher prices and the right product mix, the company said.
