The Swiss reinsurance group reported a higher loss for 2020 than expected due to catastrophe and pandemic claims.
Swiss Re suffered a heavy loss last year, according to a statement released by the Swiss reinsurer Friday. The bottom line was a loss of $878 million, compared with a profit of $727 million in 2019. Experts had expected a loss of only about half a billion dollars. The reason for the poor performance is pandemic and catastrophe losses.
Despite this setback, Swiss Re plans to pay shareholders a dividend of 5.90 francs per share, the same as last year.
Rising Tariffs
Looking ahead to the current year, the reinsurance group expects to incur further costs in the wake of the Corona pandemic. However, these are likely to be much lower than last year, it added. In addition, Swiss Re should benefit from rising rates.
«While some further COVID-19 losses are expected in 2021, we have dramatically reduced relevant exposures in P&C lines,» Swiss Re CEO Christian Mumenthaler said Friday.
