(Sharecast News) - Specialist insurer Beazley announced a positive trading performance for the first nine months of 2023 on Tuesday, with a 9% increase in written insurance premiums and a 26% increase in net written insurance premiums.
The FTSE 100 company said it expected to deliver a substantial profit at the end of the year, with combined ratio guidance in the low 80s and growth guidance in the mid-20s on a net basis.
It attributed its growth to its diversified portfolio of products and geographies, as well as its ability to respond to changing market conditions and customer needs.
Beazley's property insurance written premium increased by 63% for the nine months ended 30 September, driven by solid demand and rate increases of 24%.
It also saw growth in its cyber, marine, political risks and contingency lines of business.
Beazley's investment income for the period totalled $202m, or 2.1%, swinging from a loss of $99m, or 3.6%, for the same period in 2022.
The firm said its investment portfolio performed well in a volatile environment, benefiting from its diversified and conservative approach.
"We have taken advantage of the opportunities in the property market this year with our property risks division growing 63% as rates increased by 24%," said chief executive officer Adrian Cox.
"In the cyber risks division, we continue to experience sustained, demand-led growth.
"We remain committed to disciplined underwriting and have delivered a level performance in specialty risks despite significant dislocation in the D&O market."
Cox described the insurance business as cyclical, adding that market conditions were rapidly evolving.
"We have chosen to exercise underwriting discipline, meaning growth to date is less than we had planned at the start of the year.
"However, our agile underwriting and the strength of our platform strategy means we have delivered profitable growth to date, and our claims experience is better than anticipated.
"With sustained discipline and agility in our underwriting, I look forward to reporting a strong profit at year-end."
At 0827 GMT, shares in Beazley were up 1.89% at 540p.
Reporting by Josh White for Sharecast.com.