QBE Insurance Group has reported strong first-half 2026 results, with adjusted net profit rising 4% to over AUD 1 billion. The insurer's gross written premium climbed 6% to AUD 15 billion, and return on equity reached 17.7%. Despite the positive results, QBE's shares fell 5.26% to $22.235. Management said the business remained on track for full-year guidance, with steady execution across underwriting, investment income, and capital management. The company benefited from broad-based premium growth, a strong investment result, and favorable prior-year reserve development.
Key Performance Indicators
The company's gross written premium rose to AUD 15 billion, helped by growth in the northern hemisphere and continued momentum in areas such as reinsurance, broker facilities, cyber, and crop. QBE also said its portfolio has become more resilient, with catastrophe costs below allowance and maximum event retention reduced by 40% in two years.
Challenges
However, the group expense ratio rose to 12.4% from 12.1% a year earlier, and the half included an onerous contract provision tied to accident and health business. QBE also booked losses linked to conflict in the Middle East, although management said marine war business should help balance that out in the second half.
Outlook
QBE left its full-year 2026 guidance unchanged, expecting constant-currency gross written premium growth in the mid-single digits and a group combined ratio of about 92.5%. The company still aims for a full-year expense ratio of 12% and expects investment returns to stay above 3%. Chief Executive Andrew Horton said, 'Momentum in the business is positive, and we are on track for another year of sustainable growth, resilient performance, and excellent returns.
