The contracting of reinsurance, an instrument for protecting insurance companies, also fell monthly (-11.6%), totaling R$1.7 billion
Brazilian insurers recorded net income of R$2.24 billion in November 2024. The value represents a drop of 32.1% compared to the same period of the previous year. This is what the edition of the IRB+Market Bulletin released on February 6 by the IRB+Intelligence platform shows. The analysis also reveals a reduction of 11.6% in premiums ceded in reinsurance, which totaled R$1.67 billion. In other words, the contracting of insurance portfolio protection by insurers fell compared to November 2023. Written premiums reached R$16.6 billion, an increase of 6.7%.
The sector’s loss ratio, an indicator that evaluates the operational performance of insurers, closed the 11th month of 2024 at 37.3%. A retraction of 4.4 percentage points (p.p.), thus maintaining the downward trend observed in the last five months and registering the second lowest level in 2024. All segments of the insurance market recorded an advance in November and Credit and Guarantee recorded the highest positive change: 28.2%.
In the year to November, the net income of insurers totaled R$32.6 billion, a decrease of 3.3%, and the contracting of reinsurance by companies in the sector reached R$24 billion, an increase of 3.7%. Insurers collected, in the period, around R$189 billion, an increase of 10.3% compared to the first 11 months of 2023. The loss ratio, in turn, stood at 42.3%, practically stable. The IRB+Market Bulletin, which analyzes the most recent data published by Susep, can be viewed in full on the IRB(Re) website.
Life accounts for 35.2% of the sector’s revenues
Responsible for 35.2% of the insurance sector’s annual revenue, Life closed November with revenues of R$6 billion, an increase of 8.6% compared to 2023. The loss ratio recorded was 24%, down 5 p.p. In the sum from January to November, Life grew 16.4% and recorded a loss ratio of 28.5%, a decrease of 1.4 p.p.
Automobiles issued, in November, R$4.7 billion in premiums, an increase of 3.6% compared to the same period in 2023. The loss ratio closed at 59.2%, a positive change of 0.4 p.p. In the cumulative period, revenues increased 2.8% and the loss ratio was 59.6%, an increase of 1.4 p.p.
Damages and Liabilities earned R$2.9 billion in November, an increase of 2.7%. Loss ratio decreased 0.9 p.p., standing at 35.7%. When the cumulative index for the year was verified, the segment recorded an increase of 13.2% in revenues and the loss ratio was 47.7%, an increase of 9 p.p.
Individual against Damages had a monthly collection of R$1.4 billion, a positive change of 6.3% compared to November 2023. The loss ratio in the period was 27.3%, a decline of 18.8 p.p. From January to November, the segment grew 14.9%, mainly due to Comprehensive Home insurance (+17.4%); and the loss ratio stood at 32.3%, which represents a decrease of 2.8 p.p.
In November, Rural earned R$1 billion, 11.7% more than the same month in 2023, and the loss ratio was 17.5%, a decrease of 15.6 p.p. In the year to date, the segment grew 0.6%, with a loss ratio of 31.4%, a decrease of 2.9 p.p.
Finally, Credit and Guarantee earned, in November, R$634 million, an increase of 28.2% compared to the same period in 2023. The monthly result shows that the modality had the highest sectoral change. The loss ratio stood at 42.6%, an increase of 9.1 p.p. In the year to date, the segment changed positively by 10.6%, mainly due to the Insured Guarantee product – Public Sector (+15.7%) and recorded a loss ratio of 26.4%, a reduction of 25.8 p.p.
The IRB+Market Bulletin summarizes the insurance operations of damages, liabilities and persons. The IRB+Insurance Market Dashboard, which allows dynamic and free consultation of all information, is also online. Go to the www.irbre.com website for more information.
