CHUBB INCOME MORE THAN DOUBLES AND BEATS FORECAST

Global insurer and reinsurer Chubb has posted fourth-quarter net earnings of $1.61bn, more than doubling the $683m that was posted by the old Ace Group for the last quarter of 2015, the last reporting period before Ace closed its near $30bn acquisition of the old Chubb. Operating income per share rose to a $2.72 from $2.38 and easily beat analysts’ forecast of $2.42. Underwriting income as reported rose 75% to $795m but on a pro forma basis fell 6.6% to $812m. The combined ratio added 0.1 points to 88.7% as reported and added 0.3 points to 87.6% pro forma. Catastrophe losses for the quarter more than tripled to $268m in part owing to hurricane Matthew. For the year, the group’s net income rose 46% to $4.14bn compared to the legacy Ace results. Underwriting income increased 56% to $3.02bn as reported but dropped 6.2% to $3.25bn pro forma. The combined ratio added 1.3 points to 88.7% as reported but added only a half-point to 88% pro forma.