S&P Estimates COVID Cost Global Multiline Insurers Around $8B
Among GMI rated by S&P, the past year proved to be an earnings event for the industry, but capital remained unchallenged.
While 2020 was challenging, the impact on global multiline insurers (GMI) was limited, according to S&P Global Ratings, which noted the pandemic cost the 16 GMIs it rates around $8 billion. Overall, the rated companies saw net income of $36 billion for the year.
While one-off items related to COVID-19 reduced net income by about $12 billion, S&P noted the past year’s income represented an earnings event for the industry, meaning income was impact but solvency was not threatened. GMIs in commercial property & casualty lines were the hardest hit and accounted for more than half of the pandemic-related drop in net income among the 16 GMIs rated by S&P.
This premium content is locked for
Insurance Coverage Law Center subscribers only.
Start a free trial to enjoy unlimited access to the single source of objective legal analysis, practical insights, and news for the insurance industry.
- Access the most current expert analysis and daily developments across jurisdictions
- Solve complex research issues with expert tools and intelligence
- Tap into insurance coverage expert guidance
Copyright © 2021 ALM Media Properties, LLC. All Rights Reserved.