Brit Limited Achieves Strong 2024 Results, Sets Course for Future Growth
Brit Limited reported robust financial results for 2024, demonstrating its ability to navigate market dynamics. The company’s pre-tax profit from continuing operations reached $661 million, surpassing the $623.9 million reported in 2023.
After-tax profit from continuing operations was $576.2 million, slightly down from $629.2 million the previous year. The return on net tangible assets from continuing operations stood at a healthy 23.5%, reflecting the company’s effective use of capital. The combined ratio after discounting was 75.7%, and the undiscounted combined ratio was 85.9%. Insurance service results yielded a profit of $674.8 million.
Gross written premium for 2024 totaled $3.78 billion, a slight increase from $3.75 billion in 2023. Brit’s capital position remains strong, with a surplus over management entity capital requirements of $987.5 million, or 53% after dividend payments, and the investment portfolio is largely allocated to cash and fixed income securities, representing 84.5% of total investments.
Key Developments in 2024
During the year, Brit expanded its presence in Bermuda by launching Brit Re. The company continues to invest in improving its underwriting capabilities. In December, AM Best affirmed the financial strength rating of A (Excellent) and the long-term issuer credit rating of “a” (Excellent) for Brit Reinsurance (Bermuda) Limited (Brit Re), reflecting the unit’s sound financial footing and limited business profile. The outlook for both ratings remains stable. Brit also launched the “BUILD Project Cargo” and “Cyber First50” consortia. The company completed the sale of its holding in Canadian MGA Sutton.
Ki, recently established as a standalone operation, reported that its platform now provides brokers access to third-party digital capacity from multiple syndicates. Ki’s written insurance premium increased by 16.6% to $1.04 billion.
Strategic Outlook and Future Plans
Brit CEO Martin Thompson attributed the company’s strong performance in 2024 to its underwriting and investment results, emphasizing a clear strategic focus on performance and profitability.
“Market conditions remained favorable in 2024, with cumulative increases since January 2018 of 62.8%. However, challenges have emerged, including increased competition and rate reductions in several classes, resulting in an overall rate reduction of 1.4%,” Thompson said.
Looking ahead, Thompson said the company plans to invest in technology, strengthen broker relationships, and enhance its underwriting capabilities. They also plan to carefully manage its insurance cycle operations amid shifting market dynamics and industry challenges.
“The long-term objective is to remain a leading player in the Lloyd’s market, driven by a focus on lead underwriting and sustainable profitability,” Thompson concluded.
